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Kishore Hemlani et al v. Theodore S. Nelson et al}{\fs20\insrsid6376973 , Opinion\tab Page }{\field{\*\fldinst {\fs20\insrsid6376973 PAGE }}{\fldrslt {\fs20\lang1024\langfe1024\noproof\insrsid4535254 10}}}{\fs20\insrsid6376973  of 15
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\fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\b\insrsid6376973\charrsid4535254 IN THE SUPREME COURT OF GUAM}{\insrsid4535254 
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\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\b\insrsid6376973\charrsid4535254 KISHORE HEMLANI and GURVINDER SINGH SOBTI}{\insrsid6376973\charrsid4535254 
\par }{\insrsid6376973\charrsid4535254 Plaintiffs-Appellants }{\insrsid6376973\charrsid4535254 
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\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\b\insrsid6376973\charrsid4535254 THEODORE S. NELSON, GLORIA B.L. NELSON, 
\par GLENN R. NELSON, RHONDA T. NELSON, GWENDOLYN M. TAIMANGLO and THEODORE D. NELSON
\par }{\insrsid6376973\charrsid4535254 Defendants-Appellees}{\b\insrsid4535254 
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\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\b\insrsid6376973\charrsid4535254 Filed: June 9, 2000}{\insrsid4535254 
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\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid6376973\charrsid4535254 Supreme Court Case No. CVA99-032
\par Superior Court Case}{\b\insrsid6376973\charrsid4535254  }{\insrsid6376973\charrsid4535254 No. CV1721-94}{\insrsid4535254 
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\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid6376973\charrsid4535254 Appeal from the Superior Court of Guam
\par Argued and submitted on March 8, 2000
\par Hag\'e5t\'f1a, Guam}{\insrsid6376973\charrsid4535254 
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\par }{\ul\insrsid6376973\charrsid4535254 Appearing for the Plaintiffs-Appellants}{\insrsid6376973\charrsid4535254 : 
\par Wilfred R. Mann, Esq.
\par Berman, O}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 Connor & Mann
\par 111 Chalan Santo Papa
\par Hag\'e5t\'f1a, Guam 96910\cell 
\par }{\ul\insrsid6376973\charrsid4535254 Appearing for the Defendants-Appellees}{\insrsid6376973\charrsid4535254 : 
\par Cesar C. Cabot, Esq.
\par Law Offices of Cesar C. Cabot, P.C.
\par BankPacific Bldg., 2nd Flr.
\par 825 S. Marine Drive
\par Tamuning, Guam 96911\cell }\pard \ql \li0\ri0\widctlpar\intbl\aspalpha\aspnum\faauto\adjustright\rin0\lin0 {\insrsid6376973\charrsid4535254 \trowd \irow0\irowband0\lastrow 
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\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid6376973\charrsid4535254 BEFORE: BENJAMIN J.F. CRUZ, Chief Justice, PETER C. SIGUENZA, JR., Associate Justice, and JUNE S. MAIR, Justice }{\i\insrsid6376973\charrsid4535254 
Pro Tempore}{\i\insrsid4535254 
\par }{\insrsid4535254\charrsid4535254 
\par }{\b\insrsid6376973\charrsid4535254 MAIR, J.:}{\insrsid6376973\charrsid4535254 
\par }{\b\insrsid4535254 
\par }{\b\insrsid6376973\charrsid4535254 [1]}{\insrsid6376973\charrsid4535254 \tab Plaintiffs-Appellants Kishore Hemlani and Gurvinder Singh Sobti appeal the trial court}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s judgment in favor of Defendants-Appellees Theodore S. Nelson, Gloria B.L. Nelson, Glenn R. Nelson, Rhonda T. Nelson, Gwendolyn M. Taimanglo and Theodore D. Nelson.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
For reasons which follow, the trial court}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s judgment is affirmed.
\par 
\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\b\insrsid6376973\charrsid4535254 I. FACTUAL AND PROCEDURAL BACKGROUND}{\insrsid4535254 
\par 
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\b\insrsid6376973\charrsid4535254 [2]}{\insrsid6376973\charrsid4535254 \tab In this case we decide whether lessors of real property breach the covenant of }{
\i\insrsid6376973\charrsid4535254 seisin}{\insrsid6376973\charrsid4535254  when, prior to signing the lease, one of the lessors acquires the undivided fee simple interest of a party who did not join in the lease.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [3]}{\insrsid6376973\charrsid4535254 \tab Plaintiffs-Appellants (collectively }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{
\insrsid6376973\charrsid4535254 Hemlani}{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254 ) desired to incorporate a certain parcel in Hag\'e5t\'f1
a, Guam into a development they had been contemplating.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Hemlani approached Defendants-Appellees (hereinafter }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols"
 \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254 Nelsons}{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254 
), and on or about August 31, 1992, the parties signed a ninety-nine year lease, which Hemlani drafted, for Lot 1419, Hag\'e5t\'f1a.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The Nelsons were to receive $1,
200 per month, with the first sixty months, or $72,000, paid in advance.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Paragraph 4 of the lease provided:}{\insrsid4535254 
\par 
\par }\pard \qj \li720\ri720\nowidctlpar\faauto\rin720\lin720\itap0\pararsid4535254 {\b\insrsid6376973\charrsid4535254 Title.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Lessor warrants that it is lawfully seized of the above described real property in fee simple; that the same is free and clear of all encumbrances excepting those of record; and that it has good right to lease said property.}{\insrsid4535254 
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid4535254 
\par }{\insrsid6376973\charrsid4535254 Hemlani included a reference to Certificate of Title No. 90588 in the lease}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s description of the property.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 This Certificate of Title indicated that both Defendants-Appellees and Margaret Nelson Hill held undivided interests in the property.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [4]}{\insrsid6376973\charrsid4535254 \tab Ms. Hill was not a signatory on the lease.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 She had passed away in Louisiana on May 30, 1991.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 She died intestate, leaving four heirs, James D. Hill, Sr., William Peter Hill, Betty H. McNeely, and Elena Florence Thomley.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
The heirs quitclaimed their interests to Theodore S. (}{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254 Ted}{\insrsid6376973\charrsid4535254 
{\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254 ) Nelson, who recorded the quitclaim deeds.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
To clear title to Lot 1419, Ted petitioned for probate of Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s interest at the Superior Court on October 19, 1994.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
On July 6, 1996, over four years after Hemlani and the Nelsons signed the lease for Lot 1419, Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s interest was probated solely to Ted.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Hemlani did not include the heirs in the lease of Lot 1419 when he drafted the lease agreement, and they were not party to it.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [5]}{\insrsid6376973\charrsid4535254 \tab Hemlani was unable to develop the property, allegedly because banks had refused financing when they discovered Ms. Hill}{\insrsid2955959\charrsid4535254 '}{
\insrsid6376973\charrsid4535254 s interest on the Certificate of Title.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The alleged defect in title caused Hemlani to file a complaint for breach of contract and breach of warranty of title on or 
about November 23, 1994.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Bench trial yielded judgment for the Nelsons on both causes of action.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Hemlani v. Nelson}{\insrsid6376973\charrsid4535254 
, CV1721-94 (Super. Ct. Guam Feb. 22, 1999).}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [6]}{\insrsid6376973\charrsid4535254 \tab Hemlani appeals the judgment, asserting that it was error for the trial court to find that there was no breach of the lease agreement}{\insrsid2955959\charrsid4535254 '}{
\insrsid6376973\charrsid4535254 s warranty provisions.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Hemlani argues that Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s undivided interest was a not a mere encumbrance of record, which under the lease agreement, is an exception to the lessor}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s warranty against encumbrances.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Instead, Hemlani contends that Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s interest was a defect in record title causing a breach of covenant of }{\i\insrsid6376973\charrsid4535254 seisin}
{\insrsid6376973\charrsid4535254 .}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 We agree with Hemlani that Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s undivided interest in Lot 1419 is not a mere encumbrance of record.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 However, we do not agree that Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s interest constituted a breach of the covenant of }{\i\insrsid6376973\charrsid4535254 seisin}{\insrsid6376973\charrsid4535254 .}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Accordingly, the judgment of the trial court is affirmed.}{
\insrsid4535254 
\par 
\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\b\insrsid6376973\charrsid4535254 II. ANALYSIS}{\insrsid4535254 
\par }\pard \ql \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid4535254 
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\b\insrsid6376973\charrsid4535254 [7]}{\insrsid6376973\charrsid4535254 \tab We have jurisdiction over the appeal of a final judgment of the Superior Court under Title 7 GCA, }{
\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}{\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  3107 and 3108.}{
\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [8]}{\insrsid6376973\charrsid4535254 \tab A trial court}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s application of law is reviewed }{\i\insrsid6376973\charrsid4535254 de novo.}{
\i\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Coffey v. Gov't of Guam}{\insrsid6376973\charrsid4535254 , 1997 Guam 14, }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 38 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{
\insrsid6376973\charrsid4535254  6.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 A trial court}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s findings of fact shall not be set aside unless such findings are clearly erroneous.
}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Yang v. Hong}{\insrsid6376973\charrsid4535254 , 1998 Guam 9, }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 38 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{
\insrsid6376973\charrsid4535254  4.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 A.\tab Ms. Hill}{\b\insrsid2955959\charrsid4535254 '}{\b\insrsid6376973\charrsid4535254 s undivided interest in Lot 1419 was not an encumbrance of record}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [9]}{\insrsid6376973\charrsid4535254 \tab Under its application of law, the trial court concluded that Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s undivided interest, as designated on the Certificate of Title, was an encumbrance of record on Lot 1419.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 This conclusion led to the court}{\insrsid2955959\charrsid4535254 '}{
\insrsid6376973\charrsid4535254 s finding that Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s interest did not constitute a breach of the lease agreement.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 We disagree.}{
\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [10]}{\insrsid6376973\charrsid4535254 \tab The parties failed to provide the court with a copy of the Certificate of Title for Lot 1419.}{\cs15\super\insrsid6376973\charrsid4535254 \chftn {\footnote \pard\plain 
\qj \fi720\li0\ri0\sa240\nowidctlpar\faauto\rin0\lin0\itap0 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\cs15\fs20\super\insrsid6376973 \chftn }{\fs20\insrsid6376973  The Plaintiffs-Appellants sought our review of the trial court}{
\fs20\insrsid2955959 '}{\fs20\insrsid6376973 s findings of fact concerning whether Ms. Hill}{\fs20\insrsid2955959 '}{\fs20\insrsid6376973 
s interest may have been subject to other outstanding claims at probate.  However, as the record submitted to us lacked a copy of Certific
ate of Title No. 90588, and as neither party made available deeds affecting the transfer of interests in Lot 1419, we take the facts as they have been adjudicated or found in }{\i\fs20\insrsid6376973 Hemlani v. Nelson}{\fs20\insrsid6376973 
, CV1721-94 (Super. Ct. Guam Feb. 22, 1999) and }{\i\fs20\insrsid6376973 In the Matter of the Estate of Margaret Hill}{\fs20\insrsid6376973 , PR0175-94 (Super. Ct. Guam July 5, 1996).}}}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Nevertheless, it is undisputed that Ms. Hill had an interest designated on the Certificate of Title, and we begin our analysis by analyzing that interest.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [11]}{\insrsid6376973\charrsid4535254 \tab Under Guam law, ownership of real property by several persons is as joint tenant, tenant in common, partnership interest, or community property interest.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Title 21 GCA }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  1214, (1993).}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Under Guam}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s Land Title Registration Law, }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt
\f36\fs24}}}{\insrsid6376973\charrsid4535254 [i]n all cases where two (2) or more persons are entitled as tenants in common to an estate in registered land, such persons may receive one certificate for the entirety, or each may receive a sep
arate certificate for his undivided share.}{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Title 21 GCA }{
\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  29126, (1994).}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 As Ms. Hill}{
\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s interest was designated with the other owners of Lot 1419 on the Certificate of Title, we can conclude that her interest was an undivided interest as a tenant in common in Lot 1419.}{
\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [12]}{\insrsid6376973\charrsid4535254 \tab Having concluded that Ms. Hill held an undivided interest as tenant in common, we must next determine the estate she possessed.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 The Land Title Registration Law provides:}{\insrsid4535254 
\par 
\par }\pard \qj \li720\ri720\nowidctlpar\faauto\rin720\lin720\itap0\pararsid4535254 {\insrsid6376973\charrsid4535254 No mortgage, lien, charge, or lesser estate than fee simple shall be registered unless the fee simple to the same land is first registered.}{
\insrsid4535254  }{\insrsid6376973\charrsid4535254 It shall not be an objection to bringing land under this Law, that the estate or interest o
f the applicant is subject to any outstanding lesser estate, mortgage, lien, or charge; but every such lesser estate, mortgage, lien, or charge shall be noted upon the certificate of title and the duplicate thereof, and the title or interest certified sha
ll be subject only to such estates, mortgages, liens, and charges as are so noted, except as herein provided}{\insrsid4535254 
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid4535254 
\par }{\insrsid6376973\charrsid4535254 Title 21 GCA }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  29107, (1994).}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 As there were no outstanding lesser estates having an interest in Lot 1419, all interests noted on the Certificate of Title must have necessarily been fee simple estates.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s undivided interest as tenant in common, therefore, was in a fee simple estate.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [13]}{\insrsid6376973\charrsid4535254 \tab By contrast, Guam law provides that an encumbrance }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{
\insrsid6376973\charrsid4535254 includes taxes, assessments, and all liens upon real property.}{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Title 21 GCA }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  4211, (1994).}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 As with many statutes in this jurisdiction, section 4211 was adopted from California; in this case California Civil Code }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols"
 \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  1114.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 California authority applying section 1114 defines an encumbrance as }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL
 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254 any right to, or interest in, land which may subsist in another to the diminution of its value, but consistent with the passing of the fee.}{
\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Evans v. Fraught}{\insrsid6376973\charrsid4535254 
, 231 Cal. App. 2d 698, 706, 42 Cal. Rptr. 133, 137 (Cal. Dist. Ct. App. 1965) (citations omitted).}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Additionally, an encumbrance is an interest that }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst 
SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254 charges, burdens, obstructs or impairs [a property}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s] use or impedes its transfer.}{
\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
The list of interests described in the statute is inclusive.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 1119 Delaware v. Continental Land Title Co.}{\insrsid6376973\charrsid4535254 
, 16 Cal. App. 4th 992, 1000, 20 Cal. Rptr. 2d 438, 443 n. 4 (Cal. Ct. App. 1993).}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Thus, courts have found covenants restricting the use of property, restrictions on construction, reservations of right of way, easements, encroachments, leases, deeds of trust, and pendency of condemnation proceedings to be encumbrances.}{\insrsid4535254 
 }{\i\insrsid6376973\charrsid4535254 Evans}{\insrsid6376973\charrsid4535254  231 Cal. App. 2d at 706, 42 Cal. Rptr. at 137 (citations omitted).}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Prospective real property and inheritance taxes on land conveyed to Native Americans have also been found to be an encumbrance.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Kirkwood v. Arenas}{\insrsid6376973\charrsid4535254 
, 243 F.2d 863, 869 (9th Cir. 1957) Likewise, an encumbrance has been found where land transferred was subject to a conditional use permit limiting occupancy only to senior citizens.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 1119 Delaware}{
\insrsid6376973\charrsid4535254  16 Cal. App. 4th at 999, 20 Cal. Rptr. 2d at 444.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [14]}{\insrsid6376973\charrsid4535254 \tab It is apparent that Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s undivided interes
t in fee simple is unlike the encumbrance interests found in California case law.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Her interest is the largest estate in property and does not subsist in another estate to the diminution of the value of the other estate as does a mortgage (encumbering the mortgagor}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s interest), a covenant (encumbering the covenantor}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s interest), an easement (encumbering the subservient estate), or the like.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Her undivided interest in fee simple is clearly not an encumbrance.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Therefore, the trial court}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s conclusion that Ms. Hill}{
\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s interest was an encumbrance was error.}{\insrsid4535254  
\par 
\par }{\b\insrsid6376973\charrsid4535254 B. \tab The Nelsons neither breached the covenant of }{\b\i\insrsid6376973\charrsid4535254 seisin}{\b\insrsid6376973\charrsid4535254  or covenant of right to convey}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [15]}{\insrsid6376973\charrsid4535254 \tab Although we find the trial court}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s conclusion of law to be error, we hold that the Nelsons di
d not breach the warranty provisions contained in the lease agreement with Hemlani.}{\insrsid4535254  
\par 
\par }{\b\insrsid6376973\charrsid4535254 [16]}{\insrsid6376973\charrsid4535254 \tab When a grantor makes a covenant of }{\i\insrsid6376973\charrsid4535254 seisin}{\insrsid6376973\charrsid4535254 
, she warrants that, at the time of the conveyance, she was lawfully seized of a good, absolute and indefeasible estate of inheritance, in fee simple, and had power to convey the same.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Maxwell v. Redd}
{\insrsid6376973\charrsid4535254 , 496 P.2d 1320 (Kan. 1972) (citations omitted).}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Additionally, when a grantor makes a covenant of }{\i\insrsid6376973\charrsid4535254 seisin}{
\insrsid6376973\charrsid4535254 , she promises that she is }{\i\insrsid6376973\charrsid4535254 seised}{\insrsid6376973\charrsid4535254  of the estate she purports to convey.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 See, generally}{
\insrsid6376973\charrsid4535254 , R}{\insrsid6376973\charrsid4535254 ICHARD}{\insrsid6376973\charrsid4535254  R. P}{\insrsid6376973\charrsid4535254 OWELL}{\insrsid6376973\charrsid4535254 , P}{\insrsid6376973\charrsid4535254 OWELL}{
\insrsid6376973\charrsid4535254  O}{\insrsid6376973\charrsid4535254 N}{\insrsid6376973\charrsid4535254  R}{\insrsid6376973\charrsid4535254 EAL}{\insrsid6376973\charrsid4535254  P}{\insrsid6376973\charrsid4535254 ROPERTY}{\insrsid6376973\charrsid4535254  }
{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  81A.06[2][ii], at 81A-115 (Matthew Bender & Co. ed. 1999).}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Similarly, a grantor covenants that she has good right to convey a particular estate in property when she makes a covenant of right to convey.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 See, generally, id.}{
\insrsid6376973\charrsid4535254  }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  81A.06[2][b], at 81A-116.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 It follows, then, that a grantor does not warrant that she is }{\i\insrsid6376973\charrsid4535254 seised}{\insrsid6376973\charrsid4535254  in fee simple unless that is the estate she purports to convey.}{\insrsid4535254 

\par 
\par }{\b\insrsid6376973\charrsid4535254 [17]}{\insrsid6376973\charrsid4535254 \tab As holders of fee simple interests, the Nelsons can give covenants of title when conveying a lesser estate.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 
See, e.g., Nicholson Corp. v. Ferguson}{\insrsid6376973\charrsid4535254 , 243 P. 195 (Okla. 1925), }{\i\insrsid6376973\charrsid4535254 Sun Exploration and Production Co. v. Benton}{\insrsid6376973\charrsid4535254 , 728 S.W.2d 35 (Tex. 1987), }{
\i\insrsid6376973\charrsid4535254 Walker & Withrow, Inc. v. Haley}{\insrsid6376973\charrsid4535254 ,}{\i\insrsid6376973\charrsid4535254  }{\insrsid6376973\charrsid4535254 653 P.2d 191 (Okla. 1982), }{\i\insrsid6376973\charrsid4535254 Siniard v. Davis}{
\insrsid6376973\charrsid4535254 , 678 P.2d 1197 (Okla. Court. App. 1984).}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The question is what, exactly, is warranted when a covenantor makes the covenants for title that the Nelsons have here.}{
\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [18]}{\insrsid6376973\charrsid4535254 \tab In }{\i\insrsid6376973\charrsid4535254 Nicholson Corp.}{\insrsid6376973\charrsid4535254 
, 243 P. 195, an assignor of oil rights covenanted that it was the lawful owner of a lease of oil rights and interests and that it had good right and authority to sell and convey the lease and rights and interests under it.}{\insrsid4535254  }{
\i\insrsid6376973\charrsid4535254 Id}{\insrsid6376973\charrsid4535254 . at 197.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The oil field and well referred to in the lease were in fact on another}{\insrsid2955959\charrsid4535254 '}{
\insrsid6376973\charrsid4535254 s land.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254  at 196.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The question was whether the assignor}{
\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s covenants of }{\i\insrsid6376973\charrsid4535254 seisin}{\insrsid6376973\charrsid4535254  and of good right to convey were enforceable given that oil and gas leases were assigned.}{
\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254  at 197.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 In Oklahoma, }{\insrsid4535254 
\par 
\par }\pard \qj \li720\ri720\nowidctlpar\faauto\rin720\lin720\itap0\pararsid4535254 {\insrsid6376973\charrsid4535254 [t]he detriment caused by a breach of a covenant of seisin, of right to convey, of warranty, or of quiet enjoyment, }{
\i\insrsid6376973\charrsid4535254 in a grant of an estate in real property}{\insrsid6376973\charrsid4535254 , is deemed to be:}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 First.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
The price paid to the grantor; or, if the breach is partial only, such proportion of the price as the value of the property affected by the breach bore, at the time of the grant, to the value of the whole property.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Second.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Interest thereon for the time during which the grantee derived no benefit from the property, not exceeding six years.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Third.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Any expenses properly incurred by the covenantee in defending his possession.}{\insrsid4535254 
\par }\pard \qj \li0\ri720\nowidctlpar\faauto\rin720\lin0\itap0\pararsid4535254 {\insrsid4535254 
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\i\insrsid6376973\charrsid4535254 Id. }{\insrsid6376973\charrsid4535254 at 198 citing }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols"
 \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  5980 C. O. S. (1921) (emphasis added).}{\cs15\super\insrsid6376973\charrsid4535254 \chftn {\footnote \pard\plain \qj \li720\ri0\nowidctlpar\faauto\rin0\lin720\itap0 
\fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\cs15\fs20\super\insrsid6376973 \chftn }{\fs20\insrsid6376973  The Oklahoma statute concerning the covenant of }{\i\fs20\insrsid6376973 seisin}{\fs20\insrsid6376973  tracks, verbatim, Guam}{
\fs20\insrsid2955959 '}{\fs20\insrsid6376973 s statute:
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0 {\fs20\insrsid6376973 
\par }\pard \qj \li1440\ri1440\nowidctlpar\faauto\rin1440\lin1440\itap0 {\b\fs20\insrsid6376973 Detriment: breach of covenant of }{\b\i\fs20\insrsid6376973 seizin}{\b\fs20\insrsid6376973 .  }{\fs20\insrsid6376973 \tab 
The detriment caused by a breach of a covenant of }{\i\fs20\insrsid6376973 seisin}{\fs20\insrsid6376973 , of right to convey, of warranty, or of quiet enjoyment, in a g
rant of an estate in real property, is deemed to be:  (1) The price paid to the grantor; or, if the breach is partial only, such proportion of the price as the value of the property affected by the breach bore at the time of the grant to the value of the 
whole property;  (2) Interest thereon for the time during which the grantee derived no benefit from the property, not exceeding five (5) years;  (3) Any expenses properly incurred by the covenantee in defending his possession.
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0 {\fs20\insrsid6376973 
\par }\pard \qj \fi720\li0\ri0\sa240\nowidctlpar\faauto\rin0\lin0\itap0 {\fs20\insrsid6376973 Title 20 GCA }{\fs20\insrsid6376973 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 10}{\fldrslt\f36\fs20}}}{\fs20\insrsid6376973  2204, (1992).}}}{
\insrsid4535254  }{\insrsid6376973\charrsid4535254 The }{\i\insrsid6376973\charrsid4535254 Nicholson Corp.}{\insrsid6376973\charrsid4535254  court held that the statute concerns not title to real estate, but where }{\insrsid6376973\charrsid4535254 
{\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254 title to an estate in real property fails}{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols"
 \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  and found that the covenants applied to assignments of gas leaseholds.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254  at 199.}{\insrsid4535254  }{
\i\insrsid6376973\charrsid4535254 See also}{\insrsid6376973\charrsid4535254  P}{\insrsid6376973\charrsid4535254 OWELL}{\insrsid6376973\charrsid4535254 , P}{\insrsid6376973\charrsid4535254 OWELL}{\insrsid6376973\charrsid4535254  O}{
\insrsid6376973\charrsid4535254 N}{\insrsid6376973\charrsid4535254  R}{\insrsid6376973\charrsid4535254 EAL}{\insrsid6376973\charrsid4535254  P}{\insrsid6376973\charrsid4535254 ROPERTY}{\insrsid6376973\charrsid4535254  }{\insrsid6376973\charrsid4535254 
{\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  81A.06[2][a][iii], at 81A-115.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [19]}{\insrsid6376973\charrsid4535254 \tab Here, the estate that the Nelsons purported to convey was a ninety-nine-year leasehold.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Under such conveyance, Hemlani becomes vested of a ninety-nine-year tenancy for years and the Nelsons have a reversion.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Hemlani argues that there was a breach of the 
covenant of seisin because Ms. Hill had an undivided 1/7 interest in Lot 1419.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 However, as explained below, Hemlani}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s argument is incorrect.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [20]}{\insrsid4535254 \tab In Guam,
\par 
\par }\pard \qj \li720\ri720\nowidctlpar\faauto\rin720\lin720\itap0\pararsid4535254 {\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254 [u]pon a person}{
\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s death, the title to such person}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s property, real and personal, }{\i\insrsid6376973\charrsid4535254 passes immediately 
}{\insrsid6376973\charrsid4535254 to the person or persons to whom it is devised or bequeathed by such person}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s last will, or, in the absence of such disposition, to the person or persons who succeed to such person}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s estate as provided in Division 2 of this Title.}{
\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  }{\insrsid4535254 
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid4535254 
\par }{\insrsid6376973\charrsid4535254 Title 15 GCA }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  1401, (1994) (emphasis added).}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Thus, at death, title passes immediately to devisees and legatees by will or in accordance with intestate succession.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [21]}{\insrsid6376973\charrsid4535254 \tab In }{\i\insrsid6376973\charrsid4535254 Lathrop v. Kellogg}{\insrsid6376973\charrsid4535254 , 158 Cal.App.2d 220, 322 P.2d 572, (Cal. Ct. App. 1958), compet
ing claimants to a piece of property brought suit to quiet title.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 It was undisputed that title to the property was vested in 1916 in one Ettie A. Sprague.}{\insrsid4535254  }{
\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254  at 222, 322 P.2d at 574.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The record indicated that on July 2, 1937, a tax deed to the state of California was recorded.}{
\insrsid4535254  }{\insrsid6376973\charrsid4535254 Next, a November 14, 1939 deed from the state to Warren and Frank Kellogg was recorded.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
The instrument recorded after the deed to the Kelloggs was a quitclaim deed from Ettie L. Sprague, Marian L. Sprague, John H. Sprague, and George P. Low to Wilbert Lee Lathrop and Mable Lathrop, husband and wife, who eventually came into possession.}{
\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 There was no record that Ettie A. Sprague was ever divested of her interest.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{
\insrsid4535254  }{\insrsid6376973\charrsid4535254 However, the same Ettie A. Sprague died in 1936 (before the tax deed to the state was recorded), leaving her husband John H. Sprague and two children, Marian L. Sprague and George P. Low as heirs.}{
\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Ettie A. Sprague}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s estate was never probated.}{\insrsid4535254  }{
\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254  at 226, 322 P.2d at 576.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [22]}{\insrsid6376973\charrsid4535254 \tab The issue was whether a plaintiff in possession makes a }{\i\insrsid6376973\charrsid4535254 prima facie }{\insrsid6376973\charrsid4535254 
case of ownership sufficient to withstand judgment of nonsuit.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
In California, once the plaintiff establishes ownership, the burden shifts to the defendant to establish that title vests in him through the tax deed.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The }{\i\insrsid6376973\charrsid4535254 Kellogg}{
\insrsid6376973\charrsid4535254  court held that the Lathrops, the successors in interest to Ettie A. Sprague}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s heirs, made a }{\i\insrsid6376973\charrsid4535254 prima facie }{
\insrsid6376973\charrsid4535254 case when they were in possession and derived title from the decedent}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s intestate heirs.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{
\insrsid6376973\charrsid4535254  at 223, 322 P.2d at 574.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The appellate court}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s rationale was that at death, title vests immediately in the heirs, subject only to administration; that the heirs may maintain an action to quiet title; and that the right extends to a grantee of an heir.}{\insrsid4535254  }{
\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254  at 225, 322 P.2d at 576.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [23]}{\insrsid6376973\charrsid4535254 \tab Another quiet title action was brought in }{\i\insrsid6376973\charrsid4535254 Jordan v. Fay}{\insrsid6376973\charrsid4535254 , 98 Cal. 264, 33 P. 95 (1893).}{\insrsid4535254  }
{\insrsid6376973\charrsid4535254 In }{\i\insrsid6376973\charrsid4535254 Jordan v. Fay}{\insrsid6376973\charrsid4535254 , Edward P. Fay, owner of 3/4 undivided interest in 547 acres of property, died and left his estate to his wife, Maria Kate Fay.}{
\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254  at 265, 33 P. at 95.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
The remaining 1/4 undivided interest was community property vested in William and Bridget Fay, husband and wife.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
In 1872, Bridget Fay died intestate, leaving four heirs, whom consisted of her husband, and three sons, including the defendant, Thomas J. Fay.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\i\insrsid4535254  }{
\insrsid6376973\charrsid4535254 In 1880, Bridget}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s husband William and one of their sons, Jeremiah G. Fay, conveyed their interests to Maria Kate Fay.}{\insrsid4535254  }{
\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254  at 265, 33 P. at 96.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 In 1883, Maria Kate Fay conveyed the whole prope
rty to Charles F. McDermott, who, in a back-to-back transaction, conveyed this interest to the plaintiff, Jordan.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id. }{\insrsid6376973\charrsid4535254 at 266, 33 P. at 95.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [24]}{\insrsid6376973\charrsid4535254 \tab Jordan brought suit claiming ownership of the property in fee simple.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254 
 at 265, 33 P. at 95.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The court agre
ed, holding that, as to the 3/4 undivided interest that Maria Kate Fay inherited from her husband, she had taken the entire interest notwithstanding the fact that the estate was never settled, nor property distributed.}{\insrsid4535254  }{
\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254  at 266, 33 P. at 96.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 As to the 
1/4 undivided interest, under California law of the time, the rule in intestate succession was that the surviving husband takes all community property without administration.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{
\insrsid6376973\charrsid4535254  at 267, 33 P. at 96.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The court held that William Fay was vested in all of Bridget Fay}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s 1/4 undivided interest in the property at her death, and his subsequent conveyance to Maria Kate Fay was of the entire 1/4 undivided interest.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254 
 at 268, 33 P. at 97.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Jordan was, therefore, vested of the entire parcel in fee simple absolute.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid6376973\charrsid4535254  }{
\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [25]}{\insrsid6376973\charrsid4535254 \tab Applying }{\i\insrsid6376973\charrsid4535254 Lathrop v. Kellogg }{\insrsid6376973\charrsid4535254 and}{\i\insrsid6376973\charrsid4535254  Jordan v. Fay}{
\insrsid6376973\charrsid4535254  to the facts of this case, at Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s death, her heirs became immediately vested of her 1/7 undivided interest in the property in accordance with the statutory scheme for intestate succession.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Upon quitting their interest in favor of Ted, he became vested of their estate.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Ted}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s estate in Lot 1419, therefore, was an undivided 2/7 interest in fee simple.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 As the record indicates that the quitclaim deeds from the heirs to Ted were recorded prior to the signing of the lease, Ted}{
\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s undivided 2/7 interest combined with the remaining interests to vest the Lessors in all 7/7 undivided interests in fee simple in Lot 1419.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [26]}{\insrsid6376973\charrsid4535254 \tab Such a conclusion is not in contravention of the holding in }{\i\insrsid6376973\charrsid4535254 Pangilinan v. Palting}{\insrsid6376973\charrsid4535254 
, DCA Civ. No. 86-0027A, SC Civ. No. 1069-84 (D. Guam App. Div. Jan. 29, 1987).}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 In }{\i\insrsid6376973\charrsid4535254 Pangilinan v. Palting}{\insrsid6376973\charrsid4535254 
, Pangilinan contracted for the sale of a lot in Tamuning with Rosalia C. Palting Guerrero and Marilyn C. Palting on September 10, 1975.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
It was understood by the parties that ownership of the property was subject to probate proceedings in the estate of Paul D. Palting.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Paul D. Palting}{\insrsid2955959\charrsid4535254 '}{
\insrsid6376973\charrsid4535254 s estate was not settled until April 11, 1980, over four years later.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Unfortunately for Pangilinan, 
probate did not vest title to the lot in Rosalia Palting Guerrero or Marilyn Palting but in other heirs.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Pangilinan filed suit seeking to compel Rosalia Palting Guerrero and Marilyn Palting to specifically perform the land sale contract and a declaration that the other heirs had no interest in the property.}{\insrsid4535254  }{
\i\insrsid6376973\charrsid4535254 Id.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [27]}{\insrsid6376973\charrsid4535254 \tab The }{\i\insrsid6376973\charrsid4535254 Pangilinan v. Palting }{\insrsid6376973\charrsid4535254 
court held that, while under section 1401(a) real and personal property passes immediately to heirs either by will or by statute, under subsection (b), such immediate
 vesting of title at death is subject to possession by the administrator of the estate and the control of the Superior Court for administration, sale, or other distribution.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id}{
\insrsid6376973\charrsid4535254 .}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Further, under similar case law interpreting the analogous California statut
ory scheme, although title vests in the heirs at death, it is subject to divestment by the probate court.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [28]}{\insrsid6376973\charrsid4535254 \tab For Pangilinan, operation of section 1401 meant that equitable title derived from the contract of sale purporting to convey Rosalia Palting Guerrero}{
\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s and Marilyn Palting's interests was subject to the probate proceeding.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
However, as the final decree of the probate court failed to vest title to the lot in them, they had no interest to convey to Pangilinan.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The }{
\i\insrsid6376973\charrsid4535254 Pangilinan }{\insrsid6376973\charrsid4535254 court then held that Pangilinan had no interest in the lot that was purportedly conveyed to him.}{\insrsid4535254  }{\i\insrsid6376973\charrsid4535254 Id.}{\insrsid4535254  

\par 
\par }{\b\insrsid6376973\charrsid4535254 [29]}{\insrsid6376973\charrsid4535254 \tab Like }{\i\insrsid6376973\charrsid4535254 Pangilinan}{\insrsid6376973\charrsid4535254 , title vests immediately in Ms. Hill}{\insrsid2955959\charrsid4535254 '}{
\insrsid6376973\charrsid4535254 s heirs subject to probate of their interests.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 In }{\i\insrsid6376973\charrsid4535254 Pangilinan}{\insrsid6376973\charrsid4535254 , after probate Rosalia Palt
ing Guerrero and Marilyn Palting were found not to take any interest in the estate of Paul D. Palting.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Such finding must necessarily mean that upon application of the law of wills and intestacy, Rosalia Palting Guerrero and Marilyn Palting were not devisees or intestate takers who succeeded to Paul D. Palting}{\insrsid2955959\charrsid4535254 '}{
\insrsid6376973\charrsid4535254 s estate.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Here, on the other hand, Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s intestate heirs were apparently vested of her 1/7 interest; otherwise, Ted Nelson would not have succeeded to their 1/7 undivided interest in the lease property.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
The distinction is that while Rosalia Palting Guerrero and Marilyn Palting did not take either under will or by intestate succession and were not vested, Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s heirs were takers under intestate succession.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [30]}{\insrsid6376973\charrsid4535254 \tab Under the same rationale, the }{\i\insrsid6376973\charrsid4535254 Lathrop v. Kellogg}{\insrsid6376973\charrsid4535254 
 successors in interest to the intestate heirs established ownership sufficient to challenge title derived under a tax deed.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Similarly, under the holding of }{\i\insrsid6376973\charrsid4535254 
Jordan v. Fay}{\insrsid6376973\charrsid4535254 , the surviving spouse}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s conveyance of his interest to a }{\i\insrsid6376973\charrsid4535254 bona fide}{\insrsid6376973\charrsid4535254  
purchaser was a conveyance of the entire 1/4 undivided interest, which he took from his wife by intestate succession.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 In }{\i\insrsid6376973\charrsid4535254 Lathrop v. Kellogg, Jordan v. Fay}{
\insrsid6376973\charrsid4535254 , and }{\i\insrsid6376973\charrsid4535254 Pangilinan v. Palting}{\insrsid6376973\charrsid4535254 , the respective heirs}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
 interests vested immediately upon death of the decedent, and their respective estates were vested either as an heir under rules of intestate succession or as a devisee under a will.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Thus, the cases cited as comparison say no more than the rule that an heir takes so long as she is a taker under a will or by intestate succession.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Likewise, Appellant Ted Nelson took as grantee of Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s intestate heirs.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [31]}{\insrsid6376973\charrsid4535254 \tab The conclusion that the Nelsons were vested in fee simple prior to conveyance of the tenancy of years necessarily means that there was neither a breach of the covenant of }{
\i\insrsid6376973\charrsid4535254 seisin}{\insrsid6376973\charrsid4535254  or of the right to convey.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Powell explains breaches of the covenant of }{\i\insrsid6376973\charrsid4535254 seisin}{
\insrsid6376973\charrsid4535254 :}{\insrsid4535254 
\par 
\par }\pard \qj \li720\ri720\nowidctlpar\faauto\rin720\lin720\itap0\pararsid4535254 {\insrsid6376973\charrsid4535254 Since the covenant guarantees that the grantor is }{\i\insrsid6376973\charrsid4535254 seised}{\insrsid6376973\charrsid4535254 
 on the specified estate in all of the land conveyed, if that estate should be lacking in any material part of the physical premises, a breach will have occurred.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The same is true if 
ownership is lacking in any appurtenance to the basic estate conveyed.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 However, the fact that the estate is subject to an encumbrance or servitude is not a breach of the covenant.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Such interests do not affect the basic }{\i\insrsid6376973\charrsid4535254 seisin}{\insrsid6376973\charrsid4535254  of the grantor.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 In effect, 
this principle recognizes that a person may be }{\i\insrsid6376973\charrsid4535254 seised}{\insrsid6376973\charrsid4535254  of an estate regardless of how encumbered it may be. }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 89 \\f 
"WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid4535254 
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid4535254 
\par }{\insrsid6376973\charrsid4535254 P}{\insrsid6376973\charrsid4535254 OWELL}{\insrsid6376973\charrsid4535254 , P}{\insrsid6376973\charrsid4535254 OWELL}{\insrsid6376973\charrsid4535254  O}{\insrsid6376973\charrsid4535254 N}{\insrsid6376973\charrsid4535254 
 R}{\insrsid6376973\charrsid4535254 EAL}{\insrsid6376973\charrsid4535254  P}{\insrsid6376973\charrsid4535254 ROPERTY}{\insrsid6376973\charrsid4535254  }{\insrsid6376973\charrsid4535254 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols"
 \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6376973\charrsid4535254  81A.06[2][a][iii], at 81A-116.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [32]}{\insrsid6376973\charrsid4535254 \tab Hemlani argues that, at conveyance, the Lessors did not have fee simple title to the property because there was a }{\i\insrsid6376973\charrsid4535254 possibility }{
\insrsid6376973\charrsid4535254 that a competing claimant would bring a claim.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Hemlani does not argue that his possession was disturbed.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Therefore, 
to prove breach, he must show that the Nelsons were not seised of a ninety-nine-year tenancy of years because Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s estate in the Lot 1419 was still subject to divestment through probate, and such state of title left the property lacking in an appurtenance to the estate of years.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [33]}{\insrsid6376973\charrsid4535254 \tab Analysis here begins by discussing Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s interest upon her death and subsequent transfer to Ted Nelson.
}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 By statute, Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s heirs took her 1/7 undivided interest in the property in fee simple immed
iately upon her death, subject to competing claims.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Possible claimants would include hidden heirs, mortgagees, prior transferees, and other third parties claiming an interest in Ms. Hill}{
\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s 1/7 undivided interest in the property.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 In the case of a hidden heir, the estate that Ms. Hill}{\insrsid2955959\charrsid4535254 '}{
\insrsid6376973\charrsid4535254 s known heirs would have would be fee simple subject to open.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 In the case of mortgagees, the known heirs would have fee simple subject to an encumbrance.}{\insrsid4535254 
 }{\insrsid6376973\charrsid4535254 In the case of prior transferees, depending on the type of grant, the known heirs would take, if at all, either a present or a future interest.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
In the case of other third party claimants, the known heirs would take fee simple subject to third party claims.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Thus, the heirs}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
 interests were either some future interest or an interest vested in fee simple, fee simple subject to open, or fee simple subject to an encumbrance }{\i\insrsid6376973\charrsid4535254 unless }{\insrsid6376973\charrsid4535254 
Ms. Hill had made a conveyance taking the property out of what would be, at her death, her intestate estate.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [34]}{\insrsid6376973\charrsid4535254 \tab It follows that, upon quitting their interests, Ted Nelson took title to the heirs}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
 estates subject to possible competing claims.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
However, as there were no competing claims, the probate court must have found that, upon application of the rules of intestate succession, Ted Nelson took Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s entire 1/7 undivided interest.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Therefore, after delivery and acceptance of the quitclaim deeds, Ted succeeded in interest to the intestate heirs.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [35]}{\insrsid6376973\charrsid4535254 \tab It is of no consequence that the Lessors did not conclusively know at the time of the grant whether or not they were vested in fee simple or not vested at all.}{
\insrsid4535254  }{\insrsid6376973\charrsid4535254 The dispositive fact is that Ted took the heirs}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254  interest prior to conveyance of the tenancy at years to Hemlani.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Moreover, the probate court}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s judgment that the 1/7 undivided interest vests in Ted Nelson conclusively proves that he took what the heirs had taken under intestacy.}{\insrsid4535254 
\par 
\par }{\b\insrsid6376973\charrsid4535254 [36]}{\insrsid6376973\charrsid4535254 \tab Hemlani testified that he was unable to develop the property because of the recorded existence of Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s undivided interest.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 The ability to incorporate the property into his planned development and mortgage it must be the appurtenance which Hemlani complains is lacking.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 However, again, Ms. Hill in fact had no interest in the property.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Ms. Hill}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s heirs took title by intestacy; Ted Nelson acquired their interests prior to lease execution; and, upon the Nelsons acquiring 7/7 undivided interests in the ninety-nine-year tenancy of years, Hemlani was entitled to all appurtenances to the leasehold.}{
\insrsid4535254  }{\insrsid6376973\charrsid4535254 Under Hemlani}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s interpretation of }{\i\insrsid6376973\charrsid4535254 seisin}{\insrsid6376973\charrsid4535254 , no one would be }{
\i\insrsid6376973\charrsid4535254 seised}{\insrsid6376973\charrsid4535254  of an estate until either recordation of an interest or entry of probate judgment.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
However, such a rule would mean that no conveyance of an estate could be made outside of probate or recordation.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
This rule is patently erroneous and would have transferors rely on the Department of Land Management}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 
s issuance of a certificate of title to effect a transfer of an estate when the Department}{\insrsid2955959\charrsid4535254 '}{\insrsid6376973\charrsid4535254 s proper role is to give evidence of chain of title.}{\insrsid4535254 
\par 
\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\b\insrsid6376973\charrsid4535254 III. CONCLUSION}{\insrsid4535254 
\par }\pard \ql \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid4535254 
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\b\insrsid6376973\charrsid4535254 [37]}{\insrsid6376973\charrsid4535254 \tab The Nelsons had fee simple title to the estate of years they purported to convey.}{\insrsid4535254  }{
\insrsid6376973\charrsid4535254 Being vested in fee simple, they did not breach the covenant of seisin, covenant against encumbrances, or of right to convey.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 
Not breaching any of these covenants, they did not breach the lease agreement with Hemlani.}{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Accordingly, the judgment of the trial court is }{\b\insrsid6376973\charrsid4535254 AFFIRMED}{
\insrsid6376973\charrsid4535254 .}{\insrsid4535254 
\par }\pard \qj \li0\ri0\nowidctlpar\tx-1440\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid4535254 
\par }\pard \qc \li0\ri0\nowidctlpar\tx-1440\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid6376973\charrsid4535254 PETER C. SIGUENZA\tab \tab \tab \tab }{\insrsid4535254  }{\insrsid6376973\charrsid4535254 JUNE S. MAIR
\par Associate Justice\tab \tab \tab \tab }{\insrsid4535254  }{\insrsid6376973\charrsid4535254 Justice Pro Tempore}{\insrsid4535254 
\par }\pard \qj \li0\ri0\nowidctlpar\tx-1440\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid4535254 
\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid4535254 {\insrsid6376973\charrsid4535254 BENJAMIN J. F. CRUZ
\par Chief Justice
\par }}