Also known as: notice recording statute · notice-recording statutes · notice statutes · recording notice statutes
Written by attorneys — see sources below.
A statutory rule under which a subsequent purchaser for value who lacks notice of a prior unrecorded conveyance takes priority over that prior interest.
Norman Nash conveyed a parcel to Nexus Technologies in January but left the deed unrecorded. In April Nexus sold the same parcel to National Trust, which paid value, searched the records and found nothing, and recorded its deed the same week. When Nexus later recorded in June, National Trust prevailed because it took without notice of the earlier deed.
Neil Nair conveyed land to Nigel Nelson by an unrecorded deed. Neil then conveyed the same land to Nova Pharmaceuticals, which paid value but had learned of the prior deed before closing. Nova recorded first. Nigel prevailed because Nova's knowledge of the earlier conveyance defeated its status as a purchaser without notice.
A notice statute protects a subsequent purchaser who takes without notice regardless of who records first. A race-notice statute additionally requires the subsequent purchaser to record before the prior grantee.
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Actual knowledge, record notice from a prior deed in the chain of title, and inquiry notice from visible possession or other facts that would prompt a reasonable buyer to investigate all defeat bona-fide-purchaser status.
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No. The deed remains valid between the original parties. Recording only determines priority against later purchasers who qualify as bona fide purchasers without notice.
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