Exam 28: Personal Property and Bailments

Patty's parents give her a car as a gradua?tion present.While Patty spends the sum?mer in Europe,her friend Rita agrees to keep the car in her ga?rage.On Patty's part,this is acquisition of property by

Constructive delivery occurs when property is physically transferred.

All bailments include a bailee's right to use the bailed property.

An unlimited number of persons can hold property as joint tenants.

Clancy sells shares in Darling Pool & Spa Company to Eton.Clancy does not deliver the actual possession of the shares to Eton,but gives him the key to a safety-deposit box in First State Bank in which the stock certifi?cates are locked.Presenting the key is

The most common way to acquire personal property is to "capture" it.

Mona asks Ned if she can store her furniture in his garage while she serves a tour of duty with the U.S.Marines Corps.Ned agrees.This is a bail?ment for

BroadView Company arranges to have Carrier Corporation,a common carrier,transport 500 DVD players from New York to California.Dan is Carrier's driver.BroadView will have no cause of action against Carrier if Carrier fails to deliver the players on time because

Grain from Harvest Farms is wrongfully commingled with grain from Idyllic Fields,which obtains possession of all of the grain.This is

Ira is declared mentally incompetent.Jay,Ira's son,is named his guard?ian.At Jay's insistence,Ira transfers his assets to Jay "for safekeeping." A court might conclude that this gift is not effective on the ground that there was no

Venerable Company stores office furniture with Warehouse Storage,Inc.(WSI),under a contract that limits the warehouse company's liability for lost or damaged property to $500.Venerable declines the option to pay a higher storage rate for an increase in the liability limit.The furniture is lost through no fault of WSI.The loss is most likely suffered by

A bailment must be in writing to be valid.

Before undergoing sur?gery that could cause death,Greg,a violinist,gives his concert violin to Holly.The surgery is successful,and Greg does not die.The gift of the violin is

Delivery of intangible personal property must be done by sym?bolic delivery.

Faye owns the land on which Golden Spurs Ranch is situated,plus the ranch house,barn,and other structures permanently attached to the land.Faye's brother Huey owns everything else in the ranch's opera?tion-livestock,feed,and so on.The personal property is owned by

In most bailments,the bailor must notify the bailee of hidden defects that the bailor knows or could have discovered with reasonable dili?gence.

Property used by a government for a public purpose such as a park is community property.

Edna and Flavia buy a boat that they dock in a marina near Gulfport,Mississippi.On the death of either owner,that owner's interest in the boat passes to her heirs.This is

In a gratuitous bailment,a bailee has a right to be compensated for costs incurred in keeping bailed property.

Fact Pattern 28-1 (Questions 25-26 apply) Town Transport Company (TTC)agrees to pick up two containers for Unlimited Sales,Inc. ,and store their contents,to be delivered later.While TTC un?loads one container,the other disappears from TTC's loading dock. -Refer to Fact Pattern 28-1.TTC can avoid liability