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Five years ago, a lien was recorded against a parcel of property by a construction company. When the lien was recorded, a man was the owner of the property and a woman was an active partner in the construction company. The property is in county A, but the lien was recorded in county B. Now, the woman is trying to buy the property from the man. A title search in county A disclosed no liens against the property. Which of these is TRUE

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Answer:

The woman has actual notice of the lien but not constructive notice, because of the mistake in recording.

Explanation:

The woman has actual notice of the lien but not constructive notice, because of the mistake in recording. It has to be noticed that the woman was a partner and she knew that the lien was filed. Constructive notice is not given because the lien was not filed in the county where the property is located, which is where it would be expected to be filed.

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