What type of property transfer occurs when actual title is transferred through demonstrated use?

The correct answer is adverse possession. Adverse possession is a legal doctrine that allows a person to claim ownership of land under certain conditions, typically involving possession that is continuous, exclusive, open, and notorious for a statutory period, which can vary by jurisdiction. The key aspect of adverse possession is that it allows a person to gain legal title to property through demonstrated and uninterrupted use, rather than through a formal transfer of title from the current owner.

In adverse possession cases, the claimant must treat the property as their own, which means they must use it in a way that is apparent to others. This longstanding, demonstrable use leads to the presumption of ownership after the statutory period expires, even if the original titleholder has not formally relinquished control or granted permission for that use.

While property dedication refers to an owner formally giving land to the public for use (often seen in the context of roads or parks), easement by prescription allows for the right to use someone else's land under similar conditions as adverse possession but does not result in ownership of the land itself. A license is merely permission to enter or use someone else's property and can be revoked at any time, without the same legal protections associated with adverse possession.