Donee's who are the subsequent (second or third) acquirer's of title are not protected by recording acts because they are not purchasers for value. They are protected by the recording acts if they were the first one to acquire title and the recording act requirements are met.xhe02 wrote:Can someone help explain when a donee is protected under a recording act? I got this question wrong and am very confused. I thought donees are generally not protected under the recording statues. Is it because the claim arises after the deed was transferred?
thanks a lot!
A donee who records their deed immediately after receiving the deed will always be protected by any recording act against someone who purportedly buys the property later from the original owner.
For this question, the donee is protected by the recording act despite not having recorded the deed because the businessman will have inquiry notice imputed to him.