Question

Felipe purchases a plot of land that is owned by Ron. After he purchases the property, Felipe discovers that the land contains valuable mineral deposits and quarries them. Ron, who did not know that the land contained valuable minerals at the time of sale, sues Felipe to recover the value of the mineral deposits. Under these circumstances, _____.

Answer 1

Answer:

The correct answer is letter "A": Felipe is the owner of the deposits because they became his personal property upon quarry.

Explanation:

In real estate, the chain of title is the document where all the legal owners of a property are registered. This document also includes information if there are minerals below the surface and to whom they belong in case of the purchase of the property. If in the sale contract that information is not specified and there is no clause denying the ownership of minerals to the buyer if found any, the seller is not necessarily the owner of those minerals.

Therefore, if the purchaser quarries minerals found below the surface of property bought, the minerals would belong to the purchaser upon extraction since they became personal property.