Also known as:priores petentes · first applicant · prior claimant
Written by attorneys · grounded in primary & secondary sources — see below
A prior claimant whose interest in land was created before a subsequent purchaser's interest but remained unrecorded at the time the subsequent purchaser acquired rights. In recording-act disputes involving installment land contracts, the prior claimant holds superior title yet may receive only a lien securing the unpaid balance when a court balances equities by protecting the later purchaser to the extent of payments made.
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Cases
Dictionaries
How it applies
Common Examples
2
Award to Later Purchaser with Lien to Prior Claimant
Platinum Partners contracted to buy a warehouse from Seller under an unrecorded deed. Months later Premier Builders signed a recorded installment contract for the same parcel and paid half the price before discovering the earlier deed. The court awarded title to Premier Builders recognizing its equitable interest from the payments and possession while granting Platinum Partners a lien on the property for the remaining installments owed under the contract.
Award to Prior Claimant with Lien to Later Purchaser
Phoenix Technologies bought an industrial site from Owner under an unrecorded installment contract. Prime Sustainability later signed a recorded installment contract for the identical parcel and paid several installments before learning of the earlier agreement. The court awarded title to Phoenix Technologies while granting Prime Sustainability a lien on the property equal to the installments already paid.
Common questions
Frequently Asked
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What remedy does a court typically apply when a prior unrecorded claimant competes with a later installment purchaser who has paid only part of the price?+
The court may award title to the prior claimant while granting the installment purchaser an equitable lien measured by the amounts already paid. This approach treats the later purchaser as a bona fide purchaser only to the extent of payments made and prevents unjust enrichment of the prior claimant.
Does the prior claimant's failure to record immediately forfeit its priority against a later good-faith installment purchaser?+
No. The prior claimant's unrecorded interest retains superior title, but the court may still protect the later purchaser's partial payments through a lien rather than allowing complete forfeiture. The rule balances first-in-time priority with equitable reliance on the record.
How does visible possession and improvement by the installment purchaser affect the remedy against the prior claimant?+
Visible possession and improvements strengthen the case for an equitable lien protecting the amounts paid and the value added, but they do not automatically confer full title. Courts focus on the extent of payments made while the prior interest remained unrecorded.
What policy does the lien remedy serve in these recording-act conflicts?+
The lien remedy encourages prompt recording by initial grantees while protecting reliance interests created when a later purchaser pays in good faith on the strength of a clean record. It avoids harsh forfeiture for partial performance and preserves the first-in-time principle.
Real PropertyTitles · Title assurance systemsUBEIntermediate