Owens contracted to sell a tract of land, Overlea, to Painter by general warranty deed. However, at the closing Painter did not carefully examine the deed and accepted a quitclaim deed without covenants of title. Painter later attempted to sell Overlea to Thompson, who refused to perform because Owens had conveyed an easement for a highway across Overlea before Painter bought the property. Painter sued Owens for damages. Which of the following arguments will most likely succeed in Owens' defense?
The existence of the easement does not violate the contract. The mere existence of an easement which is not being used does not give rise to a cause of action. Painter's cause of action must be based on the deed and not on the contract. The proper remedy is rescission of the deed
Question: Owens contracted to sell a tract of land, Overlea, to Painter by general warranty deed. However, at the closing Painter did not carefully examine the deed and accepted a quitclaim deed without covenants of title. Painter later attempted to sell Overlea to Thompson, who refused to perform because Owens had conveyed an easement for a highway across Overlea before Painter bought the property. Painter sued Owens for damages. Which of the following arguments will most likely succeed in Owens' defense?
A. The existence of the easement does not violate the contract.
B. The mere existence of an easement which is not being used does not give rise to a cause of action.
C. Painter's cause of action must be based on the deed and not on the contract.
D. The proper remedy is rescission of the deed
Answer: