A special warranty deed requires special language to ensure that the deed qualifies as a special warranty deed. This language is automatically included by our deed preparation service and valid in all Utah counties.
A Utah special warranty deed form transfers Utah real estate from the current owner (grantor) to a new owner (grantee) with a limited warranty of title that only covers the period when the grantor owned the property. The grantor is not responsible for title issues that arose before the grantor owned the property.
Most states use the term special warranty deed form to refer to a deed that transfers real estate with a warranty of title that is limited to the time that the grantor owned the property. But some states use different terminology. The same document is called a grant deed in California, a covenant deed in Michigan, and a limited warranty deed in some other states. Each of these names refers to the same deed form.
Both covenants limit the grantor’s liability to the period that the grantor owned the property—encumbrances made by the grantor and claims brought under the grantor. This limitation of liability to the period when the grantor owned the property is characteristic of a special warranty deed and distinguishes it from two other popular Utah deed forms:
The warranty provides by a special warranty deed form also distinguishes it from two other deed forms—a Utah TOD deed form and a Utah life estate deed—that are named after their use as an estate planning tool to avoid probate.
Special warranty deeds are most often used in commercial transactions where the parties plan to purchase title insurance to supplement the warranty. Special warranty deeds are also used to transfer Utah real estate to a living trust or an LLC that is owned or controlled by the grantor.
Each state has specific requirements for deeds. These requirements differ from the requirements of other states. All Utah deeds must meet Utah’s requirements for a valid legal description, statement of consideration, and a description of the manner in which co-owners will hold title, font size and page format requirements, and signature and notarization requirements.
To qualify as a special warranty deed, a deed must also meet the requirements of Utah Code § 57-1-12.5. Although the language mentioned in that statute is not strictly required, the deed must include language that is consistent with the limited warranty of title included in a special warranty deed. This requires special care in creating the vesting and warranty language included in the deed.
It is important to create a deed that meets Utah’s requirements. Even minor differences in language—often only a single word—can invalidate the deed or create ambiguity that requires legal action to resolve. Each deed used by our online deed preparation service was attorney-designed to meet the requirements of Utah law and be eligible for recording in all Utah counties.