What does inquiry notice require a party to do before the transfer of title?

Inquiry notice is a legal concept that requires a party to investigate further if they have knowledge of facts that would lead a reasonable person to suspect that there are other claims or interests in the property. This means that before the transfer of title, a party must conduct an inspection of the premises and look for any signs of other occupancy or ownership.

If the premises reveal visible signs of other individuals who might be in possession or have interests in the property, such as tenants or other occupants, the prospective buyer would be considered to have inquiry notice. This knowledge obligates the buyer to investigate further to determine if any other claims exist that may affect their interest in the property. Thus, performing this inspection aligns with the principle of inquiry notice, which aims to encourage parties to be diligent in understanding the property they are dealing with.

Overall, the need to inspect the premises is fundamental to ensuring that parties are fully aware of any potential claims before completing a transaction.