N.C. Ct. of App.: Garren v. Watts- Sufficiency of Description of Real Property

Summary: A quit claim deed, recorded with the Buncombe Register of Deeds on May 14, 2009, was blank as to the legal description and only included the handwritten entry “Parcel #960704498200000.”. On April 29, 2010, a “Affidavit of Correction” was recorded including the legal metes and bounds description. The Court of Appeals held that the quit claim deed was void as it inadequately described the property, holding that a tax PIN alone was insufficient. The Court distinguished Fisher v. Town of Nags Head, ___ N.C. App. ___, 725 S.E.2d 99 (2012), as there “the description of the [property to be condemned] utilize[d] terms that are well defined in the referenced portion of the Administrative Code, such that a surveyor with experience in oceanfront properties could accurately determine the [property].” and GMAC Mortg., LLC v. Miller, 216 N.C. App. 416, 716 S.E.2d 876, 2011 N.C. App. LEXIS 2250, 2011 WL 4920645 (2011), (unpublished), where the Deed of Trust reference a Deed, which did include the full legal description. Further, here the entry “Parcel #960704498200000" did not explicitly even state that it was for the tax PIN. Lastly, the later filed Affidavit could cure the defective deed. Commentary: This should be a nice case for bankruptcy Trustees.  Debtors should not let such avoidances actions be wasted, as they can dramatically reduce the amount to be paid on real property. For a copy of the opinion, please see: Garren v. Watts- Sufficiency of Description of Real Property