EXAMINATION STUDY GUIDE 150 REAL
PRACTICE QUESTIONS and RATIONALES
Minnesota Abstracter Licensing Examination Practice
Test (Questions 1–150)
1. A registered abstracter is reviewing a complex chain of
title in Hennepin County and discovers a gap in ownership
where a deed was executed but not recorded for three
years, during which time the grantor executed another
deed to a different party who recorded immediately.
Under Minnesota’s Recording Act, which of the following
best describes the legal standing of the parties?
A) Minnesota is a pure race state, meaning the party who
records first always wins regardless of notice.
B) Minnesota is a race-notice state, meaning a
subsequent bona fide purchaser prevails only if
they record first and took the property without
actual, implied, or constructive notice of the prior
unrecorded conveyance. (Correct Answer)
C) Minnesota is a notice state, meaning the subsequent
purchaser wins as long as they had no notice, regardless of
who records first.
D) The gap automatically voids both conveyances,
reverting the property to the state.
Rationale: Minnesota Statutes Section 507.34
establishes Minnesota as a race-notice state. A
subsequent purchaser in good faith and for valuable
consideration who records first will defeat a prior
, unrecorded interest, provided they had no notice of that
prior interest.
2. While examining a tract index for a parcel of Torrens
property, an abstracter notices an unreleased mortgage
from 1995 that is not carried forward onto the current
Certificate of Title. What is the status of this mortgage
regarding the subject property?
A) The mortgage remains a valid lien because it was
recorded in the past and has not been formally released by
the mortgagee.
B) The mortgage is governed by the 40-year Marketable
Title Act and remains a cloud on the title.
C) The mortgage is unenforceable against the
current certificate holder because interests in
Torrens property must be registered on the
current Certificate of Title to affect the land, with
few statutory exceptions. (Correct Answer)
D) The abstracter must look up the Abstract system
records to see if the mortgage was cross-filed to maintain
its validity.
Rationale: Under Minnesota's Torrens system (Chapter
508), a registered property owner holds the title free
from all encumbrances except those noted on the
Certificate of Title, along with a few specific statutory
exceptions. If an encumbrance is omitted during a
subsequent registration transfer, it generally ceases to
affect the Torrens land.
3. An abstracter is preparing an abstract of title for a rural
parcel in Stearns County and encounters a judgment lien
filed against a debtor with a name highly similar to the
current property owner. Under the Minnesota "idem
sonans" doctrine and common standard practices, how
should the abstracter handle this judgment?
A) The abstracter must show the judgment in the
, abstract if the names sound substantially similar
or if a reasonable searcher would be put on notice,
leaving the determination of identity to the
examining attorney. (Correct Answer)
B) The abstracter should omit the judgment if the spelling
differs by even a single letter to avoid creating an
unnecessary cloud on the title.
C) The abstracter should contact the judgment creditor
directly to verify the debtor's social security number before
including it.
D) The judgment can be ignored if it has been on file for
more than 5 years without an extension.
Rationale: Abstracters must disclose judgments against
individuals with names that are identical or sound
similar (idem sonans) to the property owner. It is the role
of the title examining attorney, not the abstracter, to
legally determine whether the judgment debtor and the
property owner are the same person.
4. A boundary dispute arises on a tract of Abstract land
where a legal description utilizes a legal monument that
has since been destroyed by road construction. In
reconstructing the chain of title and verifying the
description, which rule of construction takes precedence
under Minnesota law?
A) Distances take precedence over natural or artificial
monuments because they can be calculated exactly using
GPS data.
B) Quantity or acreage takes precedence over both courses
and distances.
C) Natural or permanent artificial monuments
take precedence over conflicting courses and
distances when locating land boundaries.
(Correct Answer)
D) The description is rendered legally void and the
, property must undergo a mandatory Torrens conversion.
Rationale: In Minnesota boundary law, it is a well-
established rule of construction that clear monuments
(natural or artificial) control over courses
(angles/directions) and distances when there is a conflict
in a legal description.
5. During a title search, an abstracter finds a notice of lis
pendens filed five years ago regarding a contract dispute
over a parcel of land. No further action or judgment
appears in the district court records. What is the legal
effect of this lis pendens on the current abstract?
A) The lis pendens expired automatically after 3 years
under Minnesota statutory sunset provisions.
B) The lis pendens remains an indefinite, permanent cloud
on the title until a formal release is signed by the plaintiff's
attorney.
C) The lis pendens must be shown because it
provides constructive notice of a pending lawsuit
affecting the possession or title of the real estate,
and it remains effective until the action is formally
dismissed or settled. (Correct Answer)
D) The abstracter may omit it if the property has been sold
to a third party since the filing date.
Rationale: A lis pendens must be disclosed in the
abstract as it provides constructive notice to the world
that the title or right to possession of the real property is
subject to litigation. It does not automatically expire in 3
years and remains a cloud until the case is resolved and
the lis pendens is discharged.
6. An abstracter is reviewing a title chain and notes a
mortgage recorded in 2005 with a maturity date explicitly
stated as September 1, 2020. No modifications or
extensions have been recorded, and no foreclosure actions
are noted. Under the Minnesota Statute of Limitations for