Bulletin: CT000013

Dear Associates:

This bulletin is intended to provide real estate practitioners and their closing staff a summary reference guide to the statutory types of deeds of conveyance utilized in Connecticut and related information thereto. The statutory forms of these deeds can be found in the state forms section under "CT" in the Stewart Virtual Underwriter website at https://www.vuwriter.com/vuforms-toc.jsp.

Warranty Deed

References: Connecticut General Statutes 47-36c (Statutory Forms of Deeds); 47-36d & 47-36e (Warranty Covenants); 47-5 (Conveyance Requirements); Connecticut Standards of Title 2.5 (Priority).

A Warranty Deed is the typical deed a purchaser should expect to receive at closing and usually specified as a requirement in the Purchase and Sale Agreement. The seller's counsel usually drafts a proposed deed and faxes/emails it to the purchaser's counsel early in the transaction for review and advice on proper spelling of purchaser's name(s) and the form of ownership desired.

Warranties- A full covenant "warranty deed" contains warranties or covenants (sometimes summarized on the deed as "with warranty covenants") running from the grantor (seller), for himself, heirs, executors and administrators to the grantee (purchaser), including:

1. Seisin- promise that the seller is lawfully "seised" or lawfully has full ownership of the property.
2. Freedom from encumbrances- except as listed on the deed.
3. Right to convey- promise that seller has the right to convey the property.
4. Covenant to protect and defend good title- seller, his heirs, executors and administrators promise to protect and defend purchaser, heirs and assigns forever against any futures claims by a person having better title or interest. (CGS 47-36d & 47-36e)

Conveyance Requirements-

1. Deed must be in writing, delivered to the purchaser and then recorded on land records. Recordation serves to hold land against anyone other than seller and his heirs, who are covered by the delivery of the deed.
2. Grantor (seller) must sign himself, if a natural person or his attorney-in-fact may sign if the Power of Attorney grants the authority to convey. Record the Power of Attorney if used. If a corporation, limited liability company or partnership is the seller, then a duly authorized person of such an entity indicating his employment title should sign the deed.
3. Acknowledged by the seller or his attorney-in-fact or a duly authorized person to be his free act and deed before a person with notary public authority.
4. Attested to by two witnesses (one may be the notary public). (CGS 47-5 & 47-10)

Priority- A purchaser who records the deed within a reasonable time of delivery will have priority over another who later acquires an interest in the same property but manages to record earlier. "Reasonable time" is a question of fact decided on a case-by-case basis. If challenged in court, the burden is on the first purchaser to prove his recording was within said reasonable time period. (CT Standard of Title 2.5)

Statutory Form-

WARRANTY DEED

___________________________ of _______________________, for consideration paid. Grant

to ___________________________ of _________________________, with WARRANTY

COVENANTS.

(Insert Legal Description and Encumbrances, if any and any additional provisions)

Signed this ______ day of _________________, 200_.

Witness________________________         _______________________________________L.S.  

Witness________________________

State of ________________________)
                                                             ) ss:
County of ______________________)

The foregoing instrument was acknowledged before me this _____________, ___, 2006, by
____________________________.

_________________________________
Name:
Title:
My commission expires:

Forms of Ownership for Multiple Owners- Connecticut recognizes two forms of ownership when there are two or more owners: joint tenancy and tenants in common.  CGS 47-14 through 47-14k provides joint tenants with all the conveyance and proportional (including equal and unequal shares) ownership rights of tenants in common except for controlling their interest at death. A tenant in common's interest in real estate passes as an asset to his/her estate at the time of death whereas a joint tenant's interest passes at death to the surviving joint tenant or tenants. Note that joint tenants must be "natural persons" as per CGS 47-14a, which rings true given the death/survivorship rights. Connecticut does not recognize tenancy by the entirety or community property. CGS 47-36a(b)(2) provides that a conveyance to more than one grantee (releasee or mortgagee) creates an interest as tenants in common unless the words "as joint tenants" are added. CGS 47-14a further provides a joint tenancy is created when a conveyance contains the "survivorship" language in almost any form which is laundry-listed in CGS 47-14a:

1. As "joint tenants" or "tenants in common" and unto the survivor(s) if them;
2. To the grantees for their lives or joint lives with a remainder interest limited to the survivor of them and to the last survivor's heirs and assigns;
3. To the grantees as "joint tenants with rights of survivorship";
4. To the grantees as "tenants by the entirety"; and
5. To the grantees with the words "as joint tenants" added after their names.

Quitclaim Deed

References: Connecticut General Statutes 47-36c (Statutory Forms of Deed); 47-36f  (Quitclaim Deed force & Effect); 47-5 (Conveyance Requirements); Connecticut Standards of Title 2.5 (Priority citing 47-10) and Standard 18.2 (Effect of Quitclaim Deed from Mortgagee to Former Owner).

A quitclaim deed contains no representations, warranties or covenants as to the status or quality of the title being conveyed or that the seller has any title at all. It conveys whatever interest the seller has in the property at the time of deed delivery. Purchaser takes title "as is". It is sometimes referred to as a release deed as it can be used to release a mortgage, attachment, judgment lien or any other interest in real property. (CGS 47-36f) 

A quitclaim deed from a mortgagee to a mortgagor who no longer owns the property or the then record owner or to some other third party who does not have title, constitutes a release of the mortgage if the deed contains a statement of intention to release or that the mortgage debt is paid or other facts from which it can be inferred, with reasonable certainty, that a release of the mortgage was intended. (CT Standard of Title 18.2)

Conveyance Requirements and Priority- see above under Warranty Deed.

Statutory Form-

QUITCLAIM DEED

___________________________ of _______________________, for consideration paid. Grant

to ___________________________ of _________________________, with QUITCLAIM

COVENANTS.

(Insert Legal Description and any additional provisions)

Signed this ______ day of _________________, 200_.

Witness________________________         _______________________________________L.S.  

Witness________________________

State of ________________________)
                                                             ) ss:
County of ______________________)

The foregoing instrument was acknowledged before me this _____________, ___, 2006, by
____________________________.

_________________________________
Name:
Title:
My commission expires:

Conservator's Deed

References: Connecticut General Statutes 47-36c (Statutory Forms of Deed); 47-36o (Conservator's Deed Force & Effect); 47-5 (Conveyance Requirements); 47-10 (Recordation); 45a-658 (Conservator Appointment recorded on Land Records) & Connecticut Standards of Title 2.5 (Priority); Standard 6.3 (Mental Capacity) and Standard 6.5 (Deed from Fiduciary to Fiduciary citing 45a-175).

The Conservator's Deed conveys real property owned by an incapable person. Since the owner lacks the mental capacity to convey (a seller must have the ability to understand the nature and consequence of his act of conveyance), the seller is a person appointed by a court of probate. A conservator is required to record his/her appointment (and, when appropriate, the termination) as ordered by the probate court, on the land records of each town where the property is located. The particular sale itself must then be authorized and the conservator directed to sell by the probate court. (CGS 47-36o; & 45a-658)

If the appointed conservator is both seller and the purchaser, the probate court order must contain approval of such a sale and it must be recorded on the land records. (Connecticut Standard of Title 6.5 & CGS 45a-175)

Covenants- the statutory words "Conservator Covenants" in the deed makes the following promises or covenants:

1. Authority- The conservator has the full power and authority as a conservator to sell/convey to the purchaser.
2. Warrant and Defend- conservator and his successors shall defend against all future claims of any person claiming by or under such conservator. (Emphasis added.) (47-36o)

Conveyance Requirements-

1) Deed must be in writing, delivered to the purchaser and then recorded on land records. Recordation serves to hold land against anyone other than seller and his successors who are covered by the delivery of the deed.
2) Grantor (seller)- appointed conservator must sign himself in this capacity.
3) Acknowledged by the seller to be his free act and deed before a person with notary public authority. Attested to by two witnesses (one may be the notary public). (CGS 47-5 & 47-10).

Priority- see above under Warranty Deed.

Testamentary Trustee's Deed, Administrator's Deed & Executor's Deed
References: Connecticut General Statutes 47-36c (Statutory Forms of Deed); 47-36p (Testamentary Trustee's Deed force & Effect); 47-36q (Administrator's Deed force & effect); 47-36r (Executor's Deed force and effect); 47-5 (Conveyance Requirements); 45a-322 (Death of Owner of Real Property to be recorded) & Connecticut Standards of Title 2.5 (Priority)(citing 47-10); Standard 6.5 (Deed from Fiduciary to Fiduciary) citing 45a-175); See also Connecticut Standards of Title, Chapter 15- Testamentary Trusts.

I. Testamentary Trustee's Deed- when making a will, a person may leave property to a trust. The will itself establishes the trust and sets the boundaries of the trustee's authority. Therefore it is important to review the will. The trust creation depends on (a) the testator's (person who writes the will) death; (b) the proper admission of the will into probate; and (c) the completion of the probate proceedings. After recording a certificate or notice of death on the land records where the property is located the trustee may then use this deed to convey the title to the real estate held in the testamentary trust. (CGS 47-36p & 45a-322)
           
Covenants- the statutory words "Testamentary Trustee's Covenants" in the deed makes the following promises or covenants to the purchaser:

1. Duly Qualified- testamentary trustee is duly qualified to act as a testamentary trustee.
2. Authority- testamentary trustee has the full power and authority order to sell/convey to the purchaser.
3. Warrant and Defend- testamentary trustee and his successors shall defend against all future claims of any person claiming by or under such testamentary trustee. (CGS 47-36p)

If the testamentary trustee is both seller and the purchaser, the order of the probate court must contain approval of such a sale and it must be recorded on the land records. (Connecticut Standard of Title 6.5 & CGS 45a-175)

Conveyance Requirements-

1) Deed must be in writing, delivered to the purchaser and recorded on the land records. Recordation serves to hold land against anyone other than seller and his successors who are covered by the delivery of the deed.
2) Grantor (seller)- testamentary trustee must sign himself in his capacity.
3) Acknowledged by the seller to be his free act and deed before a person with notary public authority. Attested to by two witnesses (one may be the notary public). (CGS 47-5)

Priority- see above under Warranty Deed.

II. Administrator's Deed- upon the death of a person owning an interest in real property, who did not have a will or whose will was found to be invalid, the probate court will appoint a fiduciary called an Administrator ("Administratrix" if female) to wind up the decedent's affairs. After recording a certificate or notice of death on the land records where the property is located and probate court approval of the sale, the Administrator may use this deed to convey property from the decedent's estate. (CGS 47-36q & 45a-322) 

Covenants- the statutory words "Administrator Covenants" in the deed makes the following promises or covenants to the purchaser:

1. Duly Qualified- administrator is duly qualified to act as an administrator.
2. Authority- administrator has the full power and authority by probate court order to sell/convey to the purchaser.
3. Warrant and Defend- administrator and his successors shall defend against all future claims of any person claiming by or under such administrator. (Emphasis added) (CGS 47-36q)

If the appointed administrator is both seller and the purchaser, the order of the probate court must contain approval of such a sale and it must be recorded on the land records. (Connecticut Standard of Title 6.5 & CGS 45a-175)

Conveyance Requirements-

1) Deed must be in writing, delivered to the purchaser and recorded on the land records. Recordation serves to hold land against anyone other than seller and his successors who are covered by the delivery of the deed.
2) Grantor (seller)- appointed administrator must sign himself in his capacity.
3) Acknowledged by the seller to be his free act and deed before a person with notary public authority. Attested to by two witnesses (one may be the notary public). (CGS 47-5)

Priority- see above under Warranty Deed.

III. Executor's Deed- When a person dies owning an interest in real property and who had a valid will, the probate court will appoint a fiduciary called an Executor (“Executrix” if female) to wind up the decedent's affairs. The executor must record a certificate or notice of death on the land records where the property is located. If the will gives the executor the authority to sell real estate or if not, the probate court so orders, the executor may use this deed to convey property from the decedent's estate. (CGS 47-36r & 45a-322)

Covenants- the statutory words "Executor Covenants" in the deed makes the following promises or covenants to the purchaser:

1. Duly Qualified- executor is duly qualified to act as an executor.
2. Authority- executor has the full power and authority by terms of the will or probate court order to sell/convey to the purchaser.
3. Warrant and Defend- executor and his successors shall defend against all future claims of any person claiming by or under such executor. (Emphasis added) (CGS 47-36r)

If the executor is both seller and the purchaser, the order of the court of probate must contain approval of such a sale and it must be recorded on the land records. (Connecticut Standard of Title 6.5 & CGS 45a-175)

Conveyance Requirements-

1) Deed must be in writing, delivered to the purchaser and recorded on the land records. Recordation serves to hold land against anyone other than seller and his successors who are covered by the delivery of the deed.
2) Grantor (seller)- appointed executor must sign himself in his capacity.
3) Acknowledged by the seller to be his free act and deed before a person with notary public authority. Attested to by two witnesses (one may be the notary public). (CGS 47-5)

Priority- see above under Warranty Deed.

Trustee's Deed
References: Connecticut General Statutes 47-36c (Statutory Forms of Deed); 47-36s (Trustee's Deed force & Effect); 47-5 (Conveyance Requirements); Connecticut Standards of Title 2.5 (Priority- citing 47-10); Standard 6.5 (Deed from Fiduciary to Fiduciary) citing 47a-175); See also Connecticut Standards of Title, Chapter 15- Trusts.

The Trustee's Deed conveys the real property held in a trust. A trust is a fiduciary relationship between individuals and the holding of assets. In a trust relationship, one individual or entity holds legal title to the property of another for the benefit of that person or a third person. The rules governing the trustee's power and authority to convey the trust property using a trustee's deed are usually set forth in a formal written agreement known as a trust agreement. The trustee's power and authority to sell with the property may be limited by the terms of the trust agreement. Therefore it is of utmost importance to review the actual trust document in its entirety to determine the authority of the trustee to convey. (CGS 47-36s)

Covenants- the statutory words "Trustee's Covenants" in the deed makes the following promises or covenants to the purchaser:

1. Duly Qualified- trustee is duly qualified to act as a trustee.
2. Authority- trustee has the full power and authority by the trust to sell/convey to the purchaser.
3. Warrant and Defend- trustee and his successors shall defend against all future claims of any person claiming by or under such trustee.

If the trustee is both seller and the purchaser, the order of the court of probate must contain approval of such a sale and it must be recorded on the land records. (Connecticut Standard of Title 6.5 & CGS 45a-175)

Conveyance Requirements-

1) Deed must be in writing, delivered to the purchaser and recorded on the land records. Recordation serves to hold land against anyone other than seller and his successors who are covered by the delivery of the deed.
2) Grantor (seller)- trustee must sign himself in his capacity.
3) Acknowledged by the seller to be his free act and deed before a person with notary public authority. Attested to by two witnesses (one may be the notary public). (CGS 47-5)

Priority- see above under Warranty Deed.

Important note and caveat

1)    This list of Connecticut statutory forms of deed above does not preclude the use of any other type of legal deed. CGS 47-36c provides: "The forms set forth in this section may be used and are sufficient for their respective purposes. They shall be known as "Statutory Form" and may be referred to as such. Nothing in this chapter precludes the use of any other legal form of deed…" (Emphasis added.) These legal forms can include (but not limited to): Bargain & Sale Deed; Limited or Special Warranty Deed; Committee Deed; Correction Deed; Deed of Assignment; Deed of Partition; Deed of Reconveyance; Deed of Release; Deed of Trust; Mineral Deed; Tax Deed and a Trust Deed.

2)  The issues and concerns surrounding the type of deed required in a particular transaction can be many and somewhat complex, drawing other areas of law into the analyses, which are not cited above. The list above is designed to be a reference guide, which, due to the factual circumstances in the transaction, may be just the beginning point for your legal research. It is imperative that, when faced with concerns over the type of deed being proffered or related issues, the real estate practitioner research all areas of the law in an effort to resolve those issues and concerns.

Underwriting

Under no circumstances are you authorized to insure a conveyance that uses a Quitclaim Deed. The company guidelines require use of a Warranty Deed in which the consideration is the fair market value of the property being conveyed. In an arm's length transaction, the fair market value would be the purchase price.

If you are requested to insure a conveyance in which a Quitclaim Deed is used or where the consideration is less than fair market value, you need specific approval of a company underwriter.

For purposes of underwriting, Fiduciary Deeds are considered Warranty Deeds.

If you have any questions about the subject of this bulletin or any underwriting questions, please do not hesitate to call our office.