Personal Property

Question 1

What is real property?

Answer 1

All land and everything appurtenant to the land with the intent that it be a part of the land (aka improvements)

Question 2

What is personal property?

Answer 2

All property that is *NOT* real property

Question 3

Found Property (3 Types)

Answer 3

*ALM* *A*bandoned property *L*ost property *M*islaid property

Question 4

Abandoned property

Answer 4

*Abandoned* if: *(1)* owner *voluntarily* gave up possession *(2)* with the *intent* to give up title and control E.g. You get a painting from your grandpa. You hate it so you throw it in the dumpster in the alley. It’s abandoned. You voluntarily gave up possession by dumping it in the alley and showed an intent to give up title and control *Finder’s rights in abandoned property* (1) Finder must have *possession* (2) with *intent* to assert title and control E.g. If guy pulls painting from dumpster in alley and takes it with him has rights in the abandoned property

Question 5

Lost property

Answer 5

*Lost* if: (1) owner’s parting with the property was *accidental* (2) and *involuntary* e.g. I’m walking down the street with my coat slung over my shoulder and my wallet falls out without me realizing it.

Question 6

Mislaid property

Answer 6

*Mislaid* if: (1) owner’s parting with the property was *voluntary* (2) such as placing it down e.g. I set my wallet down at Starbucks while I pick up my coffee and then forget the wallet when I leave.

Question 7

Who keeps *mislaid* property that’s found?

Answer 7

*Owner/occupier of premises prevails over finder*

Question 8

Who keeps *lost* property that’s found?

Answer 8

*Generally, finds beats owner/occupier of premises* *Unless* 3 Exceptions Apply: (1) *Tresspassor* loses to owner/occupier of land (2) *Master* prevails over servant who finds (3) If lost property found in *highly private locus* not open to the public, owner/occupier wins (e.g. home or private office)

Question 9

Gifts (2 Types)

Answer 9

(1) *gifts inter-vivos* (2) *gifts causa mortis*

Question 10

*gifts inter-vivos*

Answer 10

gift made during one’s lifetime

Question 11

*gifts causa mortis*

Answer 11

gift made in contemplation of death

Question 12

Gifts Inter-vivos Requirements (3)

Answer 12

(1) Donative *Intent* (2) Valid *delivery* of the gift (3) Valid *acceptance* of the gift

Question 13

Donative Intent

Answer 13

Intent to pass *title* now, *NOT* *possession* E.g. You have a Picasso. You write a letter to museum giving them title, but saying you want to display Picasso in your home until you die. There’s donative intent to pass title now though possession won’t change until your death

Question 14

Valid *delivery* of the gift

Answer 14

Delivery is valid many ways (*look to facts*, e.g. below) (1) *Handing* something to someone (2) Donee is *already in possession* of item when gift is made [e.g. Donor says just keep lawnmower you borrowed] (3) Donor gives something *representative of the gift* [Grandpa gives keys to new car to grandson on his b-day]

Question 15

Valid *acceptance* of the gift

Answer 15

Acceptance is *implied by silence* Only no acceptance if *explicit rejection* by words or deeds E.g. Last week Mark asked Wanda to marry him, presenting her with a ring. This week Wanda moved out and no longer wants to marry Mark. Mark keeps the ring because Wanda rejected marriage and the ring by moving out

Question 16

Delivery with Checks and Promissory Notes

Answer 16

If it’s the *donor’s instrument* (e.g. check or promissory note) no delivery *until cash is received (e.g. cash checked, note is paid) If it’s someone else’s instrument, *valid delivery* right then E.g. Mom writes son a personal check for his b-day. No delivery until donee-son cashes the check E.g. Mom gives son a check from his grandma for his b-day. Here it’s grandma’s check so delivery when son gets the check not when he cashes it

Question 17

Delivery with stock certificates

Answer 17

If donor hands donee a *stock certificate,* valid delivery even if donor *not endorsed* stock to donee *nor told corporation of transfer*

Question 18

Delivery Using 3rd Parties

Answer 18

If 3rd party is *donee’s agent*, valid delivery when *donor hands gift to 3rd party* If 3rd party is *donor’s agent*, valid delivery when *3rd party hands gift to donee* If unclear, construe as *donor’s agent*, so no delivery until donee gets the gift *EXCEPTION* If donee is *minor*, construe 3rd party as *donee’s agent*

Question 19

Gifts Causa Mortis

Answer 19

Rules for Gifts Inter-vivos still apply. With additional rules for times *when a donor makes the gift thinking she’s about to die*

Question 20

Gifts Causa Mortis Requirements

Answer 20

Donor must be *contemplating imminent death* Must satisfy *Gifts Inter-vivos* requirements: (1) Donative *Intent* (2) Valid *delivery* of the gift (3) Valid *acceptance* of the gift *AND* must *actually die* [doesn’t matter how]

Question 21

Revoking Gifts Causa Mortis (3 ways)

Answer 21

(1) Donor can *revoke it* at any time (2) Donee predeceases donor (3) Donor doesn’t die

Question 22

Bailments (Two questions)

Answer 22

(1) Is it a bailment? (2) What’s bailee’s liabilty if chattel is damaged, destroyed or missing?

Question 23

Is it a bailment?

Answer 23

When *alleged bailee* takes over *custody* of a chattel with *intent* to serve as a bailee Bailee has responsibility for all items *usually found* in the chattel E.g. Bailee takes my car is responsible for usual items found in a car trunk

Question 24

Safe Deposit Bailment

Answer 24

Safe deposit boxes are a bailment, so contents are bailed even if bank doesn’t know what they are

Question 25

Parking Garage Bailment

Answer 25

Only if they keep your car keys

Question 26

What’s bailee’s liability? (3 types)

Answer 26

(1) *Sole Benefit of Bailor* = liable only for gross negligence (2) *Sole Benefit of Bailee* = liable even for *slight* negligence (3) *Mutual Benefit Bailment* = ordinary care *Strict liability* in two situations E.g. A offers to fix B’s watch for free. Benefit solely for bailor (B); it’s gratuitous bailment so gross negligence standard. E.g. C borrows D’s watch to use during an exam. D is a gratuitous bailor; bailment is for sole benefit of bailee (C) so slight negligence standard E.g. E pays F $50 fix his watch. Mutual benefit bailment. E gets his watch fixed; F gets money. So ordinary care

Question 27

*Strict liability* for Bailments (2 types)

Answer 27

(1) *Unauthorized use* (2) *Misdelivery* to someone else even if using a forged authority *EXCEPTION* No strict liability for misdelivery of car in parking garage

Question 28

Bailee Exculpatory Clauses

Answer 28

Bailee tries to limit liability for damage to the chattel *Only for ordinary negligence* if *bailor* had *effective notice* of the limitation

Question 29

Bankruptcy and Bailments

Answer 29

Bailed items not part of bailee’s bankruptcy estate

Question 30

Common carriers

Answer 30

One who undertakes for *hire* to *transport persons or goods* from place to place

Question 31

Common Carrier Requirements (3 of them)

Answer 31

Common carrier: (1) *Hold out* as performing service to *all* who apply (2) Carriage must be *for hire* (3) Service must be for *carriage*

Question 32

Common Carrier Liability

Answer 32

Considered an *insurer* of goods by the shipper and is liable for *any* damage or loss, with *exceptions*

Question 33

Common Carrier Liability Exceptions (3 Types)

Answer 33

(1) *Act of God* destroys/damages goods (2) *Fault of shipper* causes damage to goods (3) *Perishable* goods and nature took its course