Gifts

Question 1

What does a valid gift do in terms of property rights?

Answer 1

A valid gift passes title

Question 2

What are the two kinds of gifts?

Answer 2

1. inter vivos (during life)
2. causa mortis (made in contemplation of death)

Question 3

What are the three requirements for a valid inter vivos gift?

Answer 3

1. Donative intent
2. A valid delivery
3. A valid acceptance

Question 4

Donative intent means the intent to ____ _____ now.

Answer 4

pass title (not just use, possession, or enjoyment)

Question 5

Donative intent is much easier to find when…

Question 6

A valid delivery doesn’t have to be the item itself, just…

Question 7

A valid delivery may be obviously satisfied…

Answer 7

on the facts. (e.g. Handing something to someone clearly is valid delivery)

Question 8

Where the donee is already in possession of the item, when the gift is attempted, delivery is…

Answer 8

valid.

Question 9

Where the donor hands over something that is representative of the object of the gift, delivery is…

Answer 9

generally valid.

(e.g. the keys to the corvette, handing over passbook to an account.)

Question 10

If the donor makes out check to donee or promissory note to donee and gives it to donee…

Answer 10

No delivery until check is cashed or note is paid.

Question 11

But, if the donor hands donee check or note made out to the donor by a third party…

Answer 11

There’s valid delivery even if donor hasn’t endorsed the check to the donee.

Question 12

If it’s the donor gives his instrument…

Answer 12

no delivery until the cash is received.

Question 13

If the donor uses someone else’s instrument….

Answer 13

There’s a valid delivery right now.

Question 14

A donor hands donee a stock certificate representing shares in a corporation. Valid?

Answer 14

This is a valid delivery even if donor has not signed endorsement nor told corporation of the transfer.

Question 15

When the donor uses a third party to get the gift to the donee, if the middle person is the donee’s agent, then there is a valid delivery when…

Answer 15

donor hands the item to the middle person.

Question 16

When the donor uses a third party to get the gift to the donee, if the middle person is the donor’s agent, then there is a valid delivery when…

Answer 16

it reaches donee’s hands.

Question 17

When the donor uses a third party to get the gift to the donee, but it’s not clear as to whose agent the middle person was…

Answer 17

construe them to be the donor’s agent.

exception: if the donee is a minor, then construe them to be the donee’s

Question 19

Acceptance of a gift (is/is not) implied by silence.

Answer 19

is

Question 20

The only way not to accept is…

Answer 20

if you have explicit rejection by words or deeds.

Question 21

if you get engaged, but call it off and move out, ring goes to…

Answer 21

The giver of the ring. Act was the moving out. Rejection of marraige= rejection of ring.

Question 22

Gifts causa mortis apply to situations where…

Question 23

Rules about Gifts Causa Mortis are (in addition to/aside from) i.the usual rules for gifts inter-vivos.

Answer 23

in addition to

Question 24

Gifts causa mortis rules aim to…

Answer 24

protect donors who make gifts in these stressful situations. (all IV rules apply first, then these).

Question 25

What are the two analysis questions for gifts causa mortis?

Answer 25

1. what danger is the donor facing?
2. When is a gift causa mortis revoked?

Question 26

no gifts causa mortis allowed unless donor is facing a…

Answer 26

grave peril with impending death.

Question 27

the peril the donor faces has to have a fair degree of certainty or likelihood that death is imminent and…

Answer 27

likely to occur. (no just being scared you’re gonna die)

Question 28

When is a gift causa mortis revoked?

Answer 28

1. Donor can at any time revoke it, even on their last breath.
2. If donee predeceases the donor.
3. If the donor recovers.

Question 29

Gifts causa mortis are only valid gifts if…

Answer 29

the donor actually dies.

Question 30

For gifts causa mortis to be valid, it (matters/doesn’t matter) what caused the death.

Answer 30

Doesn’t matter