Also known as: inquiry notices · inquiry notice doctrine
Written by attorneys — see sources below.
A species of constructive notice that charges a prospective purchaser with knowledge of an unrecorded interest when facts observed would prompt a reasonably prudent person to investigate further and that investigation would disclose the interest. The doctrine operates under recording acts to prevent a purchaser from claiming bona fide status when circumstances on the land or in the records raise a duty of inquiry.
Ira Irving buys Blackacre from Owner after searching only deeds in Owner's direct grantor chain. An easement benefiting a neighboring parcel appears in a deed Owner once gave a stranger, recorded outside that chain. Because the easement lies beyond the chain through which Ira claims, the recording does not place him on inquiry notice and he takes free of the easement under the chain-of-title rule.
Ibrahim Iqbal contracts to buy Whiteacre from Seller for value and records first. At closing the property is occupied by a tenant whose lease is unrecorded. The visible possession would cause a reasonable buyer to inquire about the tenant's rights. Because inquiry would reveal the prior lease, Ibrahim has inquiry notice, loses bona-fide-purchaser protection, and the prior lessee prevails under the recording act.
Visible possession by someone other than the record owner is the most common trigger. A buyer must then inquire about the occupant's rights. Failure to do so charges the buyer with notice of whatever a reasonable investigation would reveal.
Yes. A purchaser who has inquiry notice of a prior unrecorded interest is not a bona fide purchaser and therefore cannot prevail over that interest even if the purchaser records first.
No. Under the chain-of-title doctrine a purchaser is charged only with instruments appearing in the chain through which title is claimed. An easement or covenant recorded in a stranger's chain does not give constructive or inquiry notice.
Yes. Construction of a permanent structure that blocks an old right-of-way places a subsequent purchaser on inquiry notice that the release may be ineffective, so the purchaser takes subject to the easement.
…and that, because notice of the existence of SmartDownload license terms was on the next scrollable screen, plaintiffs were on “inquiry notice” of those terms. We disagree with the proposition that a reasonably prudent offeree in plaintiffs’ position would necessarily have known or learned of the existence of the…