Subsequent Possession

Question 1

Subsequent Possession

Answer 1

something is owned by someone else and without the consent of the original owner

Question 2

Acquisition by Find

Answer 2

• Finder of lost property has a better claim to the good than the entire world other than the true owner or prior possessor. Unless, the property was not taken in good faith, then title is not transferred.
• The finder prevails against everyone other than the prior possessor and the T.O. The closer you get to the T.O. in the possession line, the better claim you have

Question 3

Bailment

Answer 3

transfers possession but not tile

Question 4

Examples of bailment

Answer 4

banks, valet, dry cleaner

Question 5

Merchant exception

Answer 5

where the true owner entrusts a good with a merchant, and the merchant then sells it to a bona fide purchaser, the BFP takes good titles. This title passes. The true owner is defrauded. Title does transfer to the buyer.

Question 6

Merchant exception: policy

Answer 6

The purchaser is trusting that the seller has title. To ask if they have title and ensure that they have title would be a waste of time.

Question 7

Good obtained by fraud exception

Answer 7

• Where the true owner trades a good with the fraudster in exchange for a counterfeit a fake item which the true owner thinks is real and the fraudster then sells the good to a BFP, the BFP takes good title.
• the title the fraudster has before selling to the BFP is voidable
• True owner can sue and make the title voidable
• Even if an exception applies, the true owner can sue the bad guy for monetary damages but the true owner does not get title

Question 8

Types of found property

Answer 8

lost, abandoned, mislaid, and treasure trove

Question 9

Lost

Answer 9

• accidentally put down and left behind, you have an abandoned the item because you did not intentionally give up your property rights
  
  • possession: goes to finder
  • ownership: remains with the true owner

Question 10

Abandoned

Answer 10

• intentional relinquishment of ownership rights; reflects bother intent and action to abandon
  
  • possession and ownership got to the finder
  • ex. throwing trash away; the government does not need a search warrant to look through trash

Question 11

Mislaid

Answer 11

• intentionally put down the property and accidentally left behind
  
  • possession: goes to locus owner (where property was found)
  • ownership: remains with TO

Question 12

Treasure trove

Answer 12

typically not enforced by courts; gold, silver, currency buried for a long time; circumstances are such that we assume the TO is not coming back