NY BAR REVIEW 5 Flashcards
Contracts for Necessaries
Necessary - depends on circumstances of particular minor.
Minor must have actual need for items furnished.
Cannot be simply for pleasure.
Goes beyond thing necessary to survive.
Infant liability limited to FAIR VALUE
Infant liable only to extent of FAIR VALUE of necessaries furnished even if contracted to pay more.
Successive assignments of same rights
Exception - where assignment of construction contract or money due thereunder is NOT validuntil filed.
Subsequent assignee in good faith who filed first prevails over party who failed to file.
Gratuitous assignment revocable
EXCEPTIONS
Gratuitous assignment is IRREVOCABLE if in writing, signed by assignor.
Breach by plaintiff
Materially breaching party can recover under quasi contract for less than substantial performance unless statutory exception applies,such as under the UCC or down payment under real estate contract.
Warranty
Covenant that grantor agrees to defend on behalf of grantee any lawful or reasonable claims of title by a 3rd party
Executory Interest v. Remainder
No distinction in NY bw contingent remainder and executory interest. Any future interest in transferee that is subject to condition precedent is REMAINDER SUBJECT TO CONDITION PRECEDENT.
Doctrine of Worthier Title
Rule against Remainders in Grantor’s Heirs
NONE in ny.
A disposition in a trust in favor of class of persons described as heirs, next of kin, distributees of creator, does NOT create beneficial interest in the trust. SETTLOR CAN terminate trust without consent of heirs, If settlor does NOT terminate, on the death of settlor, the heirs will take by remainder.
Executory Interest v. Remainder
NO distinction in ny bw contingent remainder and executory interest. Any future interest in transferee that is subject to condition precedent is REMAINDER subject to condition precedent.
Vested remainder subject to total divestment
Remainder vested subject to complete defeasance
defeasance
rendering something null and void
divestment
selling off interests or investments
Ameliorative waste
Proposed change does NOT violate agreement regulating conduct of life tenant.
Life estate / term of years is NOT less than 5 years.
Life tenant gives each future interest holder written notice of the proposed change.
At least 30 days prior to commencement of work.
Notice MUST be served personally or by registered mail.
Ameliorative waste
If owner of future interest demands security to protect interest, court will set reasonable dollar amount which MUST be satisfied BEFORE work can begin
Limitations on possibility of reverter and right of entry
Rerecordation Statute
Holder of interest MUST record declaration of intent to preserve interest no sooner than 27 years and no later than 30 years after creation of interest.
Holder MUST file successive renewal declarations no sooner than 9 years and no later than 10 years after initial declaration or last renewal.
