You are reviewing a title examination on Massachusetts recorded land that shows the following encumbrance:

A mortgage taken by a prior owner has never been released. Which of the following is true:

a.Nothing needs to be done because the mortgage was in a prior owner's name.

b.If the mortgage recites that it had a maturity date of June 1, 2005, the mortgage is obsolete and nothing further needs to be done.

c.If the mortgagee is no longer in business, nothing further needs to be done.

d.None of the above

The same title examination shows an easement to Massachusetts Electric Company to maintain high voltage wires on the property. Which of the following is true

a.The sellers' title insurance policy will provide coverage for this issue and eliminate the easement.

b.The easement will not apply to your buyers since they were not parties to it.

c.The easement renders title to the property unmarketable.

d.The easement will be listed as a Schedule B exception on your title commitment and final policy.

The title examination shows a recent Federal Tax Lien recorded against one of the buyers in your transaction. Which of the following is true?

a.The Federal Tax Lien must be resolved prior to or at closing or it will become a lien on the property.

b.The Federal Tax Lien will have no impact on the transaction since it was recorded before the buyer took ownership of the property.

c.The Federal Tax Lien will have no impact on the transaction if the property is in the Registered Land system.

d.None of the above

The property is subject to Restrictive Covenants. Will this be covered by the title insurance policy?

a.Yes

b.No

c.An expanded owners' policy may provide coverage for a violation of the covenants, but not for the mere existence of the covenants.

d.None of the above