Uncanceled mortgages and prior judgments are examples of what title issue?

• A. Cloud on Title
• B. Lien
• C. Encumbrance
• D. Easement

Answer: (A)

A cloud on title is any unresolved claim or defect that makes the title doubtful or not readily marketable. Uncanceled mortgages and prior judgments fit this because they represent outstanding claims that burden the property and could prevent a clean transfer of title. They would appear on a title search as issues that must be resolved before the seller can convey clear, marketable title. A lien is the underlying legal claim itself, and an encumbrance is a broader category that includes liens and other restrictions; neither term by itself captures the idea of a defect that jeopardizes clear title as precisely as “cloud on title.” An easement is a specific right of use by another party and isn’t the issue described here.