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Simple English definitions for legal terms
certificate of title
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A quick definition of certificate of title:
A certificate of title is a special paper that proves who owns something, like a house or a car. It's like a special sticker that says "this belongs to me!" When someone buys something, they get the certificate of title from the person who sold it to them. But just having the certificate doesn't mean that everything is okay. Before buying something big, like a house or a car, it's important to check that everything is okay by doing a special search called a title search.
A more thorough explanation:
Certificate of Title
A certificate of title is an official document issued by the state that shows who owns a piece of property. It proves that someone has the right to own something, like a house, car, or boat. When someone buys a property, the certificate of title is transferred from the seller to the buyer. However, the certificate doesn't guarantee that the property is free and clear of any problems, so a title search is needed to make sure everything is okay.
- When you buy a car, you get a certificate of title that shows you own it.
- When you buy a house, you get a certificate of title that shows you own it.
- When you buy a boat, you get a certificate of title that shows you own it.
These examples show how a certificate of title is used to prove ownership of different types of property. When you buy something, you need to make sure you get the certificate of title so you can prove that you own it. But just having the certificate isn't enough - you need to do a title search to make sure there aren't any problems with the property, like unpaid taxes or liens.