Unit 6 Flashcards
Landlord and Tenant
A legal relationship where one party (landlord) owns property and allows another party (tenant) to use it in exchange for rent
Lease
A contract between a landlord and tenant that outlines the terms and conditions under which the tenant can occupy the landlords property
Types of Tenancy
Various forms of agreements governing the relationship between the landlord and the tenant such as fixed term or periodic leases
Fixed term
A lease agreement with a specific startinf and ending date which can range from short term to long term
Improvements to leased Property
changes or upgrades to the property which may or may not be done at the option and expense of the owner
Periodic Lease
A lease agreement without a set end date often turning into a month to month lease once a fixed term lease expires as long as the landlord continues to accept rent
Termination of lease
the process by which a lease contract ends which can occur due to mutual agreement or contract expiration
Personal Property
movable items owned by an individual as opposed to real estate. it includes items acquired by purchase, gift, or discovery.
Source of Title
The legal basis by which an individual owns a property, which may come from purchase, gift, discovery or lost , abandoned, or mislaid items
Lost Property
Personal property found by someone other than the owner. The finder may keep it until the owner comes forward.
Abandoned Property
Property that the original owner has intentionally discarded, allowing another person to claim ownership.
Mislaid Property
Property that is intentionally placed somewhere by the owner but forgotten. The owner of the premises where the property was found may have a right to it over the individual who discovered it.
No Property Theory (Ecclesiastical)
A historical theory where the dead human body was under the exclusive control of the church, and no individual had property rights in the body.
Property Theory
The legal concept that recognizes a bundle of rights in an object, granting individuals ownership and control over it.
Quasi - Property Theory
The current legal theory regarding the status of a dead human body, recognizing certain rights to the body for the purpose of disposition, as if it were property.
Insured
person protected against the loss
Beneficiary
person who receives the proceeds of life insurance
Underwriter
company writing insurance
Policy
written contract of insurance
Premium
consideration paid by the insured
Face
the maximum the insurer pays for a loss
Risk or Peril
the danger of the loss or, or injury to, property, life, or anything else
Rider
addition to the insurance policy that modifies, extends, or limits the base contract.
must be clearly incorporated in, attached to, or referred to in the policy
Binder
temporary contract of insurance until the company investigates the risk and issues a formal policy
Insurable intrest
the policyholder has an interest in the nonoccurrence of the risk insured against, usually because there would be financial loss
Insurable Contract
A contract in which an insurer agrees to compensate or indemnify the insured against a specific loss in exchange for premium payments.
Laws governing insurance contracts
General contract laws apply to insurance contracts, but specific laws govern concealment, representation, warranties, subrogation, and estoppel.
Concealment
When the insured willfully fails to disclose pertinent information to the insurer. To void the contract, the concealed information must be material and affect the insurer’s decision to insure or set the premium rate.
Representation
A misstatement of a material fact by the insured, either orally or in writing, before the insurance contract is finalized. If significant, the insurer may void the contract.
Warranty
A statement or promise made by the insured that is related to the risk and included in the insurance contract or another document incorporated into it.
Subrogation
The right of the insurer to assume the legal rights of the insured in certain circumstances, such as seeking reimbursement from a third party responsible for the insured’s loss.
Estoppel
A legal principle preventing a party from denying or going back on a previous assertion or promise when another party has relied on that assertion and would be harmed by its reversal.
Types of Insurance
Common types include life insurance, property insurance, and automobile insurance.
Real property
Land and objects that are permanently attached to the land, such as buildings.
Fee simple estate
The highest level of property ownership, providing full ownership rights and passing the estate to heirs upon the owner’s death, subject to legal and private restrictions.
Life Estate
Ownership of property for the duration of a person’s lifetime. Once that person passes away, ownership transfers according to the terms of the estate.
Transfer of real property
The process of transferring ownership of real property through documents like deeds or titles.
Deeds
Written documents used to transfer title to real property.
Title
A legal document that serves as evidence of property ownership.
Abstract of Title
A brief history of ownership for a piece of property, summarizing previous owners, dates of sale, and any potential conflicting claims.
Mortgage Contract
A contract where the borrower uses real property as collateral for a loan, with the lender holding a legal claim on the property until the loan is repaid.
Deed of Trust
A deed transferring property to a trustee to hold for the benefit of a creditor, commonly used in real estate transactions.
Joint Tenancy
A form of property ownership by two or more parties with equal rights. Upon the death of one party, ownership passes to the surviving owner(s).
Tenancy in Common
A form of property ownership where two or more parties possess the property at the same time, but each party can transfer their ownership interest independently.
Tenancy by the Entirety
A form of joint ownership available only to married couples. Upon the death of one spouse, the surviving spouse automatically becomes the sole owner of the property.
