Also known as: race notice statute · race-notice statutes · race notice statutes · race-notice recording statute · race-notice act
Written by attorneys · grounded in primary & secondary sources — see below
A recording statute that awards priority to a subsequent purchaser for value who acquires without notice of a prior unrecorded interest and who records before the prior interest is recorded.
Owen conveyed a vacant parcel to Gate Development, which accepted the deed but left it unrecorded. Owen later conveyed the same parcel to Imperial Contractors, which paid value and recorded immediately. Imperial Contractors had no notice of the prior deed at the time of purchase. Under the race-notice statute Imperial Contractors holds superior title because it recorded first without notice.
Wesley secretly executed a forged deed to Andrew but left it unrecorded. Wesley later sold the condo to Swift Cloud, which paid value, searched the records, and recorded promptly. Swift Cloud had no notice of the forged deed at purchase. The race-notice statute protects Swift Cloud because it recorded first without notice of the prior claim.
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The purchaser must take without notice of the prior unrecorded interest and must record before the prior interest is recorded. Both elements are required for protection.
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A pure notice statute protects a subsequent purchaser without notice regardless of whether that purchaser records first. A race-notice statute adds the requirement that the subsequent purchaser must record before the prior grantee.
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Yes. Visible possession that would prompt a reasonable purchaser to inquire further creates inquiry notice. A purchaser with inquiry notice cannot claim the protections of the statute even if it records first.
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The subsequent purchaser still prevails if it lacked notice at the time of purchase and recorded first. Notice acquired after recording does not retroactively defeat priority.
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