Kinch v. Fluke

The Kinches (plaintiffs) bought a home under an unrecorded purchase agreement, taking possession while seller Fluke (defendant) retained title until full payment; Fluke later mortgaged the property to two lenders, who recorded their mortgages before the Kinches finished paying and received title. When the Kinches later obtained separate financing to pay off the balance and received the deed, they were unaware of the earlier mortgages; the trial court held they had both constructive notice (from the recording timing) and actual notice (through their own attorney's title search), and dismissed their quiet-title action.