February 2024 Flashcards
Partnership
Under partnership law, a partnership is formed when two or more people
come together as co-owners to carry on a business for profit. The rule of profit
sharing creates a presumption that there is a partnership when there is a
sharing of the profits and losses of a business
Profit sharing
Under partnership law, when profit sharing is present between two or more
people, a partnership is presumed. However, this presumption does not apply
if an individual’s contribution to a business is in the form of a loan to which
his receipt of profits is in repayment of such loan
Property interest in partnership
Under partnership law, each partner has a property interest in the partnership
to which they can freely transfer upon notice to the other partners, without
the consent of the other partners. Upon such transfer, a transferee does not
become a partner to the partnership, but he does have the right to share in
the profits and losses of the partnership
Right to manage or control partnership
Under partnership law, although a transferee has the right to share in the
profits and losses of a partnership, he does not have the right to manage or
control the partnership, demand profits, nor does he have the right to inspect
the books and records of a partnership. Such rights remain in the transferor of the interest.
Partnership property
Under partnership law, partnership property may only be used for the benefit
of the partnership and may not be used by the partners of the partnership for
personal use or personal gain. If such use does occur, the partner is required
to compensate the partnership for the benefit conferred on the partner for
the unlawful use of partnership property.
Property is deemed partnership property when the property was bought
with partnership funds, bought in the name of the partnership, or used in
conducting the business of the partnership
Express Warranty
The preliminary issue for the essay is whether the contract is governed by
common law or Article 2 of the UCC.
Common law governs contracts for service whereas the UCC governs contracts
for the sale of goods. Goods are objects that are movable.
Here, the sale of the artwork is governed by Article 2 of the UCC as the
painting is a movable item and therefore is considered a good.
UCC Article 2 applies to the contract for the sale of the painting.
The issue is whether the grandson has breached an express warranty.
Under the UCC, an express warranty is affirmation, statement, or promise
of fact that becomes part of the basis of the bargain. Part of the basis of the
bargain means that it is one of the reasons that the individual entered into
the contract. While warranties can be disclaimed under the UCC, express
warranties once made, cannot be disclaimed. Express warranties can be oral or
written.
Mutual mistake of fact
The issue is whether Buyer has a right to rescind or avoid the contract on the
basis of mutual mistake of fact.
Under the UCC, parties are still given common law defenses such as mutual
mistake of fact and can avail themselves of the remedies that are provided for
those common law defenses. Mutual mistake of fact is a defense to a contract
that provides that where both parties are mistaken as to a fact of the contract
and that fact is one that strikes at the heart of the bargain. If mutual mistake
does occur, then the parties can rescind the contract which means that the
parties go back to the original positions as they were before the contract, or
they can avoid the contract which means that neither party must perform their
duties provided for under the contract
Judicial Notice
The issue is whether the court is required to consider Dana’s opposition to the
weather being judicially noticed in the civil trial.
Judicial notice occurs when a party to a case asks the court to accept a matter
as factually established. When a court takes judicial notice of such a fact, the
judicial notice does not supplant the party’s burden of proving that fact or
the element of the action that the fact relates to. When a court takes judicial
notice of a fact that is disputed by the parties, both parties must be heard
on the fact before the judge takes notice. In a civil case, this is especially
important, because when judicial notice is taken, the jury is instructed that it
must accept the fact as true and established
Judicial notice on weather
The issue is whether the court properly took judicial notice of the weather
after evidence was presented to establish the weather.
A court may take judicial notice of a fact that cannot be disputed. To take such
notice, the fact must be established conclusively by the party seeking judicial
notice.
Character evidence
The issue is whether Dana’s characterization of Cara as careless was improper
character evidence.
Character evidence is inadmissible in civil cases unless character is an essential
element of the crime charged (fraud, for example). Character evidence is
offered to show a trait or propensity of a person and that on a certain date
and time, the person’s actions conformed to that character trait. Character
evidence may be offered when a party puts their own character at issue.
Evidence of someone’s character may be admissible to show a party’s motive,
plan, intent, or habit
Habit
The issue is whether Dana’s testimony about Cara frequently misplacing her
phone is admissible as habit evidence.
Habit evidence can be distinguished from character evidence in that a
person’s day-to-day habits are probative that on a certain day, they acted as
they typically do. Habit evidence is admissible, while character evidence is not.
See above for applicable rules.
American Rule
1a. American Rule
Generally, a landlord has a duty to provide the tenant access to the property
on the specified start date. Under the American Rule, the landlord is required
to give the tenant physical possession of the property on the start date, or the
tenant is entitled to terminate the lease
English rule
1b. English Rule
Generally, a landlord has a duty to provide the tenant access to the property
on the specified start date. Under the English Rule, the landlord is not
required to give physical possession but merely give access to possession.
Under the English Rule, if there is a holdover tenant the new tenant is
required to remove them from the premises.
Interest assignability
- The issue is whether the landlord had a right to refuse Tom’s assignment to
his friend.
Generally, an interest is assignable unless the parties expressly agree otherwise.
When parties agree that prior consent is required, there is an implied duty of
good faith that the landlord will not unreasonably withhold consent
Periodic tenant
- The issue is whether the landlord can treat Tom as a periodic tenant for
failing to move out at the end of his lease.
When a tenant fails to vacate the premises on the specified date, the landlord
has a few courses of action. The landlord can hold the tenant as a periodic
tenant subject to the terms of the original lease or the landlord can evict the
tenant and sue for any damages. When a residential term of years tenant fails
to vacate the premises, the landlord may hold them to a month-to-month
periodic tenancy.