Which of the Following Statements Provides the Best Definition for "The

question 52

Multiple Choice

Which of the following statements provides the best definition for "the insurance principle," as that phrase was used in the text?

• A)Because of the difficulties associated with title searches in registry systems,it is often prudent for the parties to a sale of land to purchase insurance that will provide a source of compensation if the chain of title is not properly established.
• B)The purchaser can sue the vendor for compensation if the vendor fails to provide clear title to land.
• C)Because of the concept of indefeasibility,the land titles system includes a fund that will compensate people who lose their interests in land by mistake of the land title system registry.
• D)A lawyer should be hired to help in the purchase of land,partly because the lawyer will have insurance and therefore can be successfully sued if something goes wrong.
• E)A purchaser of land should purchase property insurance that takes effect as soon as title is transferred from the vendor.

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Definitions:

Common Name

A name by which a species is known to the general public, as opposed to its scientific name.

Goods And Services Proposal

A detailed offer or plan outlining specific products or services offered by a supplier to a potential client.

Pesticide

Chemical substances or biological agents used to control pests that threaten crops, livestock, and public health.

Janitorial Services

Professional cleaning and maintenance services typically employed by buildings or establishments to keep premises neat and sanitary.