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It's the Law: Signed, blank deeds are void
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Q: I have a number of properties for sale and will be traveling in South America for two months. I will be unreachable for a large part of that time. My friend suggested I sign some deeds in blank and leave them with him. If any of the properties sell, he will fill in the property description and the buyer’s name on the deed for closing. Is that a good idea?
A: Giving your friend a stack of blank signed deeds is a recipe for trouble. Although you trust your friend, what would happen if the deeds fell into the wrong hands? They would be similar to blank signed checks. An unscrupulous person could fill in property description and name to “steal” your property. You might be able to get your property back from the bad guy but, if he sells it to a purchaser that does not have notice of the fraud, you might be barred from claims against the innocent purchaser, unable to find the crook, and no longer the owner of real estate.
Even without wrong doing, a blank deed is a problem. Under Florida law, real property can only be conveyed by writing signed in the presence of two subscribing witnesses describing the property and the interest being conveyed. To be placed of record, the conveyance document is to be acknowledged before a notary public
Florida case law holds that a deed must show the parties intended to convey a particular piece of property. Although an incomplete or defective property description can be fixed by oral testimony and a trial, a deed without a description of property is a nullity. Similarly, descriptions that do not show intent to convey specific property render a deed invalid. Such descriptions have included “five acres of land, near Kissimmee City, to be selected by his agent.”
A deed giving two inconsistent legal descriptions describing two separate parcels of property is also a nullity.
Signing a deed without description of property creates a void deed. But that is not the only problem with the deeds proposed by your friend. In 1989, the Third District Court of Appeal confirmed a deed that does not contain the name of the grantee is also void. And, it sounds like your “deeds” would not be witnessed at the time of signing as required by Florida law.
At first blush, it would seem the buyer should be more concerned with the quality of the deed than the seller. If the buyer takes title by a void deed, he will not own the property he thought he purchased. Although the buyer might end up with title after expensive litigation, it’s important for the buyer’s attorney to be vigilant in the closing process to be sure that the seller’s deed was not pre-signed and not later completed by the seller to accommodate closing requirements.
Some title companies and even attorneys have their sellers sign deeds without the grantee completed or, in some cases, without a legal description, as a convenience to the seller. They then hold the document until the information needed to complete it is available, complete the document for closing and proceed as if the document was executed property. Although this practice may be a convenience for the seller, it is of risk to the buyer and can be difficult to detect.
It’s not only the buyer who must be concerned with respect to void deeds, but also the seller. The seller warrants title. A deed is usually provided to fulfill the seller’s contractual obligation to the buyer. If there are any problems with the deed, the seller may end up in litigation and liable for damages to a buyer. This could happen where a third party claims a lien right against the property, such as a creditor who gets a judgment against the seller after date of the deed, arguing that the deed is a nullity and that title remained with the seller.
If you truly want to arrange for closing in your absence, you might consider granting a limited power-of-attorney to your friend to execute contracts and conveyance documents in connection with your properties. Although your friend might abuse the authority, the problems associated with incomplete deeds would be avoided. And perhaps most importantly, you should retain the services of an experienced attorney to discuss options.
The facts and circumstances of your case may make other options advisable and an experienced attorney can explain the advantages and disadvantages of each.
Short cuts like blank deeds can be expedient, but can also expose you to expense and legal problems. As in all legal matters, you should seek advice of an experienced attorney as in this case.
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William G. Morris is a lawyer with offices at 247 N. Collier Blvd., Marco Island. The column is not intended to be legal advice for specific circumstances. General questions can be sent by e-mail to wgmorrislaw@earthlink.net or by fax to (239) 642-0722. Read other columns at http://www.wgmorris.com.

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