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What is guaranteed by the Covenant against Encumbrances?

  1. Right of way is always provided

  2. There are no liens or easements unless stated

  3. The property is zoned for commercial use

  4. No one else can have a lease on the property

The correct answer is: There are no liens or easements unless stated

The Covenant against Encumbrances ensures that there will not be any liens or easements on the property, unless explicitly stated otherwise. This means that there won't be any restrictions or limitations on the property's use or ownership, giving the buyer full control. Option A is incorrect because while it does guarantee a right of way, it is not always provided and would need to be specified in the covenant. Option C is incorrect because the zoning of a property can change and is not always guaranteed. Option D is incorrect because another party may have a lease on the property, depending on the terms of the lease and the covenant. Overall, only option B guarantees the absence of any liens or easements, making it the correct answer.