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The parties dispute the legal effect of a contested transaction. Two buyers claimed the same property after one recorded late and the other had inquiry notice. One argument was preserved, while another was raised only later. The parties disagree about the legal effect of those facts. Which option gives the best analysis?

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Assume the doctrine applies because one element appears satisfied, even if the remaining elements are contested. The court should resolve the dispute by applying the operative rule to the material facts: The answer should identify the governing rule for Conveyancing and apply it to the operative facts. Treat the formal label attached to the claim or defense as conclusive and disregard facts bearing on the rule's elements. Resolve the dispute on equitable fairness alone without identifying the governing doctrine or its limits.

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