Which of the following types of deeds provides the highest degree of protection to grantees?

Prepare for the BPA Business Law and Ethics Test with engaging flashcards and multiple choice questions. Each question comes with explanations to enhance understanding. Succeed in your exam confidently!

A warranty deed provides the highest degree of protection to grantees because it includes specific guarantees made by the grantor regarding the title of the property. With a warranty deed, the grantor warrants that they hold clear title to the property and have the right to convey it. This type of deed ensures that the grantee will not face any claims against the property after the transfer, as the grantor is responsible for addressing any issues related to title defects or liens that may arise.

This assurance is critical for a grantee, as it provides legal remedies if any problems arise with the property's title after the sale. If a third party were to make a legitimate claim against the property, the grantor would be obligated to defend the grantee against such claims or even compensate for any losses incurred.

In contrast, a quitclaim deed offers no warranties about the title and simply transfers whatever interest the grantor has at the time of the conveyance. A guardian deed typically refers to a deed executed by a court-appointed guardian, and a transfer deed is a more general term that doesn’t specify the level of guarantee associated with it. Therefore, neither of these options provides the level of protection that a warranty deed does for the grantee.

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