Quiz Mods 23-34 Flashcards
(46 cards)
In most instance the insurable interest requirement is…2
1 satisfied by ownership
2 but not always the case
Example when insurable interest is satisfied without ownership
Long term lessee may have insurable interest
Common law requires that the insurable interest in property exist at…
Time loss occurs
Non-notification of the surety by the creditor of the release of collateral will…2
1 Release surety to extent it was damaged by non-notification
2 Which will likely be entire amount
When the surety has assumed that the creditor had possession of collateral that could pay off the debt and was not notified by creditor of the change this would…
Adversely affect the risk of the surety
When the creditor failed to notify the surety of partial surrender of debtor’s collateral, the surety may have estimated…2
1 A much smaller potential financial risk and
2 the risk has changed without the knowledge of the surety
Fraudulent transfer 2
1 transfer made by debtor within 2 years prior to date of bankruptcy
2 debtor did not receive FV in exchange for asset
Copyrights are…
Personal property
Copyrights are personal property as they are the…
result of individual effort and initiative
Copyrights are not…
Not real property
Plumbing fixture, while at one time personal property, when the fixtures were in the hardware store are transmuted into fixtures when they are permanently built into the building making them…
Real property
Common law considers air rights to be…
Realty
Realty generally includes the surface estate and estates below (mineral) and above the land (air rights) unless…
They’ve been severed
Example of estates have been severed
2) what are they still considered?
Oiled and gas rights have been sold
2) still considered real property
An endorsement that reads “Leo Gottlieb, without recourse, for collection only” is what kind of endorsement? Why?
Restrictive endorsement
Because it limits the rights of the next holder
An endorsement that reads “Leo Gottlieb, without recourse” is what kind of endorsement?
Qualified endorsement
When a mortgagor records the mortgage, that gives them rights against the…
Claims of subsequent bona Fide purchasers for value
Once of the defenses available to a responsible party under CERCLA is that…
2) what is this known as?
The occurrence was an act or omission of a Third Party
2) Third Party Defense
To make use of the Third-Party Defense, the responsible party must show that the…3
1 third party was solely responsible for hazardous condition
2 third party was not their employee
3 no contractual relationship exists with the third party
Constructive trust, define 2
1 equitable device that calls for agent to be trustee of ill gotten
goods or
2 income for the principal
Composition agreement AKA Composition of creditors 2
1 debtor enters into agreement with creditors, where debtor agrees
To pay creditors fraction of debt
2 agreement discharges debtor once debt is actually paid
Assignment for benefit of creditors 2
1 transfer by debtor of all his assets to trustee
2 with assigned funds used to pay off outstanding debts
Assignment for benefit of creditors does not have…
Does not have Effect of releasing debtor from debts
Under the Bankruptcy Reform Act of 2005, a debtor is entitled to a homestead exemption of…
$21,625 indexed for inflation
