property 2 Flashcards
from CALI
real property
property for which the owner could obtain specific relief
Teresa enters into a lease with Leonardo, whereby she rents land known as Blackacre for 4 years. One year after she takes possession, Leonardo wrongfully evicts her from Blackacre. In the jurisdiction whose law applies, Teresa has the right to sue Leonardo for damages. However, she does not have the right to retake possession of Blackacre. In other words, she cannot get a judgment from a court that requires Leonardo to restore her possession. Under the historic distinction, is Teresa’s leasehold real property or personal property?
Personal Property
real property
consists of rights associated with land
personal property
Consists of rights associated with movable things (chattels or goods) and intangible rights that are not associated with land
property
you have the right to exclude other persons from a thing, whether land or personalty.
tanglible property: corporeal property
Included in this term is not only natural land (the soil), but also things that are permanently attached to land such as trees and buildings.
Fred owns Blackacre, a tract of land with a house, a small trout pond, and a grove of apple trees. The house is the personal residence where Fred and his family live. What type of property is Blackacre?
real property
The roof on Fred’s house is in bad shape. He contracts to have Fast Roofers install a new roof on his house for a total price of $4000. On Monday, Fred and Fast Roofers pick out the shingles at a local building supply store. On Tuesday, Fred pays Fast Roofers a down payment of $1000, which is equal in amount to the price paid by Fast for the shingles. Fast begins the work on Wednesday, removing the old roof and installing a new plywood subroof. On Thursday, Fast finishes the job, completing the new roof. On Friday, Fred pays Fast the remaining balance of $3000 on the contract price. On which day do the shingles become real property?
Thursday: The instant the shingles are staple gunned to the plywood, they lose their movability and become real property.
chattel
refers to tangible, movable things
Fred’s daughter Mary picks apples from the apple tree in the family’s back yard and takes three of the apples to school, giving one to her teacher, one to her best friend, and keeping one for her lunch. Before she picked the apples, what type of property are the apples?
Real Property: the apples are still attached to the trees, so they’re real property. Although the apples, in a sense, are movable even when they’re on the tree, they can’t be moved without picking them.
Fixtures
items which are attached to the land or a building
Test to determine if chattel has become a fixture
- Physical Attachment: To what extent is the item annexed to or attached to the property?
- Adaptation: To what degree is the item specially adapted to the property?
- Intent: What is the intent of the annexing party or the parties?
Astrid buys a brand new house, which has no drapes or blinds on any of the windows. She adds nice white draperies to the living room window, and six months later, she contracts to sell the house to Hector. The contract of sale says nothing about whether Astrid can remove the drapes before closing, or whether Hector can insist that they remain in place. If the drapes are fixtures, may Astrid remove them?
No: If the drapes are properly labelled fixtures (and ordinarily they should be), then Astrid may not remove them. Calling them fixtures means they are real property for the purposes of a contract of sale. The general rule is that the buyer is entitled not only to the land (dirt, grass, trees) and the building, but also all fixtures.
There isn’t a mathematical test to determine whether a particular object, attached to real estate in a particular way, is a fixture or a chattel. Another person could add the same white draperies, to the same house, as Astrid, but those identical drapes might not become fixtures that are legally part of the real estate. This is because the context may differ.
Imagine that Trip is a tenant, who rents a house just like Astrid’s, under a one-year lease. Trip doesn’t like the existing drapes in the living room, so he carefully takes them down and stores them. He buys a new white set of draperies, just like Astrid’s, and puts them up.
At the end of the lease term, Trip wants to take the drapes with him, but his landlord insists that they stay put. Does Trip have the right to remove the drapes?
Yes: Ordinarily under modern law the tenant has the right to remove chattels that he has attached to the leased premises, provided removal does no material harm to the premises. Older law generally gave fixtures to the landlord, meaning if the drapes were classified as fixtures, they’d have to stay with the premises. Today Trip may have the right to remove the drapes, even if they’re classified as fixtures
intangible real property
rights that are associated with the ownership, use, or enoyment of land
Tanya has written a song, “Land and Sky.” Her copyright in the song is what type of property?
Intangible personal property: The song is an intangible, and like all other songs it’s not tied to any parcel of real estate.
Natalie, the owner of two neighboring houses, sells one to Carla. In the deed, Carla promises that she will never install or permit any artificial reindeer in her yard. The deed states that this promise also binds Carla’s heirs, successors, and assigns. Natalie’s right to enforce this promise is intangible personal property.
disagree: You’re right. The promise is considered intangible. Moreover, the promise is designed to benefit Natalie by protecting the neighboring house that she has kept. She believes she’ll enjoy the property more if she never sees yard reindeer next door.
inter vivos gifts
gifts between living persons
a living donor makes an immediately effective donative transfer of an object of property to a living donee.
testamentary gifts
gifts that take effect upon the donor’s death
causa mortis gifts
sometimes called “deathbed” gifts
3 elements of inter vivos gift
- Donative Intent: The donor must have the intent to make a present transfer of ownership of the property to the donee.
- Delivery: The donor must make an effective delivery of the object of the gift to the donee.
- Acceptance: The donee must accept the object of the gift. Acceptance of a gift is usually presumed where the object of the gift is beneficial to the donee.
Inter vivos subjective and objective
Subjective: in the donor’s own mind
Objective: some action that corroborates the donor’s intent to make a presently effective gift
Inter Vivos Gift Delivery
Manual Delivery: This is the type of delivery that the law typically requires, and it involves the donor placing the object of the gift within the actual, immediate physical control of the donee
Constructive delivery: A constructive delivery occurs when the donor transfers to the donee something that provides the donee with the ability or means to exercise dominion and control over the object of the gift. Courts sometimes permit constructive delivery where manual delivery is impossible or impractical. For example, if Jane wanted to give her son Bill a 1,500-pound safe and its contents, a court might conclude that Jane’s action of giving her son the combination to the safe was a sufficient constructive delivery.
Symbolic delivery: A symbolic delivery occurs when the donor transfers to the donee something that is a “symbol” (or substitute) for the object of the gift. Courts sometimes permit symbolic delivery where manual delivery is impossible or impractical. The best example of symbolic delivery is a deed to land. In feudal times, transfer of land occurred by livery of seisin — in which the grantor and grantee physically went onto the land, and the grantor handed a stick or clod of dirt to the grantee and uttered appropriate words of conveyance. Today, a grantor transfers land by executing and delivering to the grantee a written deed of conveyance — a process that typically takes place in the office of a lawyer, banker, or title insurer rather than on the land itself. Essentially, the deed is a “symbol” of ownership of the land, and the law treats the delivery of the deed as a delivery of title to the land itself.
Inter vivo gifts: delivery exceptions
Self settled Trust: case of a self-declared or self-settled trust, there must still be reliable evidence of the donor’s intent