PP#1

Question 1

Lex Mercatoria

Answer 1

This is merchants laws from the medieval days. It was used to settle all disputes of trade and commerce.

Question 2

Assumpsit

Answer 2

An obligation to do something, this was relatively huge in commercial law. It provided accountability for actions to take place, because if somebody did not deliver goods to you, you could take them to the court system under a breach of Assumpsit. This would evolve into the Sales of Goods Act and the Bill of Exchange Act.

Question 3

Sources of Commercial Law

Answer 3

1. Custom and Usage
2. Domestic Legislation
3. Common Law
4. Equity
5. International Commercial Law

Question 4

Custom and Usage

Answer 4

You have the right to customize contracts that limit legislation in the commercial context. You also have the freedom to contract, meaning you can choose the amount of flexibility and predictability you want to have.

Question 5

Domestic Legislation

Answer 5

There is legislation such as the “Fair Trading Act” that provides individuals with legislative regulations regarding commerce. An example is when you buy a Time Share you are subject to forego a cooling off period where you can change your mind even after purchasing.

Question 6

Common Law

Answer 6

When you conduct commerce you are subject to the common law legal system and its rules.

Question 7

Equity

Answer 7

There are times in commerce where you are entitled to something based on the principles of equity, such as equity by specific performance.

Question 8

International Commercial Law

Answer 8

If you conduct commerce internationally you are subject to the legislation that your commerce countries have signed on to. This is things such as the International Sales of Goods Act.

Question 9

Real Property

Answer 9

Fixed and immovable property, generally this is land and any buildings on land as well as attached fixtures. Real property is always tangible.

Question 10

Personal Property

Answer 10

All property outside of real estate, personal property is all movable property - tangible or intangible.

Question 11

Bundle of Rights

Answer 11

Consider ownership over property as a bundle of rights. You can give some of your rights away with property while still maintaining ownership. For example, If I own a house, i can lease or lend my house to somebody. It still means that I own the house, but the rights that I have to full autonomy over the house become more limited as I give away sections of my bundle. A bailment, a lease, and a purchase come with a different threshold of a bundle of rights,

Question 12

Joint Tenants

Answer 12

You both have equal share in the property. You are also unable to sell your interest in the property without the approval of the other tenant(s). If you do try to sell, you go from being a Joint Tenant to a Tenant in Common. Joint Tenants have survivorship rights, meaning in the event that one of the tenants dies, there ownership is automatically transferred equally to the remaining parties.

Question 13

Tenancy in Common

Answer 13

You do not have to have an equal share in the property, You also are able to sell your land rights to someone else however there are many limitations that come with it, as you own an indivisible portion in land.

Question 14

Trespass to Good

Answer 14

wrongful interference with goods that are in the possession of somebody else.

Question 15

Tort of Conversion

Answer 15

If a Trespass to Goods is severe enough such that you have no longer want to keep your personal property. You can ask the judge to commit a forced sale on the item to the person who caused the interference.

Question 16

Dentiue

Answer 16

This occurs when two parties argue over who has a better claim to personal property. An example of this is when a divorced couple attempt to discover who has better ownership of a pet. Or, when former business partners try to determine who has better ownership rights over property that they purchased together.

Question 17

Bailment

Answer 17

The act of temporarily delivering goods to a person for a particular purpose, without actually transferring ownership.

TRANSFERRING GOODS WITHOUT TRANSFERRING OWNERSHIP.

Question 18

Examples of a Bailment

Answer 18

Hotel or Bank Safety Vault
Mechanic
Computer Repair
Lost and Found
Valet Parking
Pawning an item
Borrowing an item
Park N Fly

Question 19

Duty of Care

Answer 19

Whenever a Bailment is created, a Duty of Care is also implicitly created. A duty of care is the relative amount of care you are required to apply when dealing with a bailors personal property. The level of duty of care fluctuates very closely in regards to the benefit of the bailor.

Ex: I have a higher duty of care to take care of your car if you are letting me use it for free, as opposed to if I am paying you to use it.

Question 20

Constructive Possession

Answer 20

A situation (which can often happen with bailments) in which a bailee or anything of the like, may have actual ownership over chattels or real property but does not have physical ownership.

An example: A bank can hold your valuables in a vault, and the only key to the vault is kept by you. In this manner the bank cannot open the vault itself, however they are still holding your valuables. This is constructive possession as they do not have physical control but they have actual control.

Another example: Your car is in my actual possession when you leave it at a Park N Fly, but it is not in my physical possession because you have the keys.

Question 21

Attornment

Answer 21

A term of the past, An attornment is requesting consent from you tenant to transfer your landlord ownership to someone else. It is giving the tenant a chance to voice their view even though they do not have a legal right.

Question 22

Is Renting a form of constructive possession?

Answer 22

Ask your prof.

Question 23

Charge

Answer 23

The right that a creditor has to seize upon property that is used as collateral in a General Security Agreement in the event that the debtor defaults on their debt.

Question 24

Security Interest

Answer 24

A right you can give away in your ‘bundle of rights’ , it is an interest in property that a creditor has in the event that the debtor defaults on a loan agreement. It allows the creditor to claim ownership in said property, and sell it for procure the funds they did not receive from the debtor.

Legally enforced collateral.