The Distinction Between Legal Title and Equitable Title Is an Important

Multiple Choice

The distinction between legal title and equitable title is an important concept in the contract for sale of real estate. When the buyer obtains equitable title, the seller can no longer sell the property to someone else, even though the legal title has not officially passed on. In the contract for sale process, the creation of equitable title occurs when:

A) The contract for sale is written.
B) The contract for sale is signed.
C) The contract terms are orally agreed upon.
D) Each party is deemed legally competent.