Module 1: First Possession, Discovery, Conquest Flashcards
Ways to acquire real property without a purchase and the top two that we focus on in class
Discovery (not yet discovered by Christian Europeans)
Conquest/capture
Treaty
Sale (by tribes v. government grants)
Papal Decree (The Pope says it’s yours)
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* Labor Theory (by working the land, improving it, it’s yours)
* First in time, first in right (I was there first, I have the rights over someone else)
What were the overriding values demonstrated by the Johnson v. M’Intosh case?
1 Certainty > Fairness The US takes away almost all land rights from the First Nations
What did Locke mean when he said, “Thus in the beginning, all the world was America”?
usually property rights are transferred through voluntary transaction. However, the formation of America wasn’t this case. It was a land grab, fundamentally unfair.
What is legal positivism?
Property rights are defined by law.
Johnson v M’Intosh reflects the approach of legal positivism. Without the law/government, there would be no rights. Mostly by state law, with some exceptions to the federal government.
The Three Elements to Possession
1) Manifest an unequivocal intention of appropriation.
2) Must deprive the animal of its natural liberty. Ex: Wounding or capturing.
3) Pursuer must bring the animal within certain control. Similar to above. Most intuitive.
How do occupancy and capture relate?
They’re essentially the same. CONTROL = establishing a foundation of property system.
What is constructive possession and what doctrine does it serve?
An individual has actual control over chattels or real property without actually having physical control of the same assets. Certainty, the easiest way to make a decision. Recognized in the UK but not in the US regarding wild animals.
How did Pierson v Post establish the Capture Rule as the American Standard?
+ If you catch a wild/feral animal, you have made them into your property.
+ Pure, first in time, first in right in nature.
+ Always the default, despite being problematic it’s critical.
+ Grab as much as you can before anyone else does.
+ Not only applies to animals, but also natural resources like mining, hunting, gas
+ The system has a built in incentive to take as much as you can and to get there first to exploit. Being there first means you get the biggest chunk. Maximizing profit as quickly as possible.
What is the Doctrine of Accession?
Method of acquiring property by adding value to other property through labor or new raw materials. Through a property law doctrine known as ‘accession’, ownership of property naturally carries with it the right to possess all of the things that are added to or produced by that property, similar to Labor Theory
What is the Doctrine of Increase?
Offspring or increase of tame or domestic animals belongs to the owner of the dam or mother… the increase of the increase of domestic animals comes with the rule and belongs to the owner of the original stock.
Did ratione soli have any bearing on the final decision in Keeble (the duck pond case)?
At first, maybe. However, the arguments of counsel led Justice Holt to change his mind to the theory of malicious interference with trade (economic efficiency> constructive possession
What are externalities and how to they relate to Economic Theory of Property?
Externalities = making a decision without taking into account the full effect of the decision (overlooked possibilities). Consequence is misused/misallocated resources. At the heart of economic theory of property rights, not always a bad thing. At the heart of Tragedy of the Commons.
What is the Economic Theory of Property and what are some drawbacks?
Private property exists to maximize the wealth of society. Maximize wealth by “internalizing externalities”, meaning that the costs of the resources use is for the user to bear. Property rights concentrate the costs and benefits of the use on owners, giving them greater incentives to use their own resources more efficiently.
Problems: High transaction costs, external effects of using resources and misused resources. Ex: free-riders,collective/nonexclusive effects, holdouts to a group in order to carry out transactions. Also, controversial to say the least. Tends to favor the rich, think of the “trickle down” approach in economic policy.
What is the Utilitarian Theory of Property?
Private property exists in order to maximize the happiness/utility of all citizens. Property is a mere artifact of human invention. Property is allocated and defined in the way that best promotes general welfare of society, aka ECONOMIC EFFICIENCY. Not focused on morality or social justice.
Property and law are born together and die together” - Bentham. Role of legislator was to do “what is essential to the happiness of society” Dominant theory in present society.
Problems of this theory include: It’s difficult to assess happiness. Yes, it’s easy to justify the existence of private property under the theory, but how should the property be allocated?
In Popov v Hayashi (baseball case), what were the values demonstrated by the court?
Fairness and Efficiency > Certainty
+ Since we don’t have evidence of Popov’s ability to keep control of the ball (he was unfairly attacked), we can’t side with his conversion claim against Hayashi.
+ Also, we can’t side with Hayashi due to Popov’s pre-possessory claim. Therefore, the court designates equal ownership rights, a “middle ground” to show equity.
+ Sell the baseball, put it out there in the stream of money and be done with it