Property I Outline
Tuesday, August 12, 2008
1. Personal Property
i. Found Property
1. Lost Property: Property the owner accidentally and involuntarily loses; lost property is usually determined by the location where the property is found
a. Finder has title that is superior to everyone except the true owner
b. Exceptions include (1) real property owner if finder is a trespasser, (2) employer, if found by employee while working, (3) real property owner if found in a “highly private locus,” (4) real property owner for buried items (except treasure trove)
2. Mislaid Property: Property the owner intentionally placed in a location and thereafter forgot to remove. Property is considered mislaid if it is found in a location that suggests the owner will come back for it.
a. Owner of the real property where the personal property is found has title superior to everyone but the true owner.
3. Abandoned Property: Property the owner voluntarily relinquished with no intent to retain. It is property left in a place an under circumstances that indicate that the owner voluntarily gave up both possession and title.
a. First person with intent to possess and
b. First person with control of the property is the new owner.
1. Donative Intent
a. Present intent to immediately and gratuitously transfer property to the donee
i. May be made to a third person, but if the third person is the agent of the donor, the gift is not complete.
ii. The death of the donor before delivery to the donee works as a revocation of the gift.
c. Symbolic (by written instrument)
a. Presumed, if property is valuable
1. Void Title: A thief has void title and cannot pass good title.
a. Exception: Adverse Possession
2. Voidable Title requires:
a. Transaction of Purchase: A person with voidable title has power to transfer a good title to a good faith purchaser
b. Deception is when:
i. The transferor was deceived as to the identity of the purchaser (could think a person is wealthy, when they are not), or
ii. The delivery was in exchange for a check which is later dishonored, or
iii. It was agreed that the transaction was to be a cash sale, or
iv. The delivery was procured through fraud punishable as larcenous under the criminal law
iv. Entrustment: to protect businesses
1. Any entrusting of possession of goods to a merchant “who deals in goods of this kind” can transfer all rights of the entruster to a buyer.
2. “Entrusting” includes any delivery and any acquiescence in retention of possession regardless of any condition expressed between the parties to the delivery or acquiescence and regardless of whether the procurement of the entrusting or the possessor’s disposition of the goods have been such as to be larcenous under the criminal law.
v. Adverse Possession requires possession to be:
1. Hostile and under a claim of right,
2. Actual (Not constructive),
3. Open and notorious (Not hidden),
4. Exclusive (Not shared)
5. Continuous for the limitations period of time
b. Custody and Care
i. Bailment: A situation in which the personal property of one person (Bailor) is entrusted to another person (Bailee), who is obligated to return the bailed property to the b
ovided that,” “in the event that,” or “condition that” (b) express right of entry
2. Future Interest of the Grantor: Right of Entry
3. Characteristics: The property may be transferred subject to the continuation of the present condition. The owner may not transfer the right of entry during life, but it can be transferred after death.
4. Termination: The ownership ends when the condition is stopped and the grantor makes a demand for the property to be returned.
ii. Future interest belongs to a third party
1. Fee Simple Subject to an Executory Limitation
1. Creation: “, then to” a third party
2. Future Interests of the Grantee: Executory Interest
3. Characteristics: The property may be transferred during life and after death.
4. Termination: The ownership ends when the condition is stopped and the property is transferred to the third party.
ii. Life Estates
1. Life Estate Determinable
a. Future Interests:
i. Reversion (To the Grantor): If the property reverts to the grantor when A dies.
ii. Remainder (To a Third Party): If the grantor designates a third party to obtain ownership when A dies.
2. Life Estate Subject to a Condition Subsequent
a. Future Interest:
i. Right of Entry
3. Life Estate Subject to Executory Limitation