Deck 17: Introduction to Property Law

Question 1

What is the term "choses in action" synonymous with in law?

A) tangible property
B) pledged property
C) intangible property
D) non-portable items

Answer 1

C

Question 2

Which of the following is an example of a bailment?

A) transportation of personal property
B) purchase of personal property
C) a right of access to service an oil well
D) depositing a car at a garage for servicing

Answer 2

D

Question 3

What feature distinguishes bailment from a contract of purchase and sale?

A) Most commercial contracts are bailments,requiring payment for use of property.
B) Most bailments are gratuitous,requiring no payment for use of property.
C) A bailor retains ownership upon transfer of possession to the bailee.
D) A bailment is typically short-term,while contracts cover a longer term.

Answer 3

C

Question 4

What legal mechanism might be used to facilitate the management of a pension fund by administrators on behalf of the plan members?

A) a trust
B) an easement
C) an endorsement
D) a bailment

Question 5

Why is a short-term lease or rental of property an attractive way for a business to acquire the use of equipment for a particular task or period of time?

A) A lease protects creditors whether the arrangement is contractual or not.
B) A lease is a form of sale and is covered by the large number of terms implied through legislation governing the sale of goods
C) It makes little sense to purchase something that is not needed for a long period,unless,of course,the rental charges approach the cost of buying.
D) The lessee must take reasonable care of the property while that property is in its possession and return it in the state that would be expected

Question 6

Which of the following exemplifies possession without ownership?

A) granting a trademark registration to an applicant
B) granting a licence for use of a bio-waste technology
C) registering a transfer of a freehold interest in land
D) registering a company's truck under its business name

Question 7

Which of the following might be used to transfer the right to use a particular method of manufacturing light bulbs?

A) a bailment
B) a security interest
C) a patent
D) a licence

Question 8

What is the focus of the standard of care required of a gratuitous bailor?

A) A bailor must take utmost care to protect the bailed goods.
B) Proof of ownership must be provided.
C) It must be determined whether the bailor or bailee is receiving the benefit of the bailment.
D) It will depend on the common law strict liability rules.

Question 9

Which of the following is an example of a legal duty or obligation that is typically associated with the ownership of land?

A) duty to encumber
B) duty to develop
C) obligation to pay tax
D) obligation to remove squatters

Question 10

Which of the following is reflected by the requirement that a business offering bailment for value appropriately stores perishable items placed in its possession?

A) special terms that limit liability set out in the parties' contract
B) a standard of care based on who benefits from the bailment
C) special regulations that set out the standard of care
D) a standard of care based on the nature of the property

Question 11

What is the most relevant factor when a business entrusts bailed goods to an employee who then pilfers those goods?

A) The employer is subject to vicarious liability.
B) The employer is expected to take greater care than an ordinary person.
C) The employer's standard of care is higher for more valuable property.
D) The employer is subject to personal liability.

Question 12

How does Canadian law provide for the protection of personal property?

A) by application of the Charter of Rights and Freedoms
B) by application of statutes and common law principles
C) through the Constitution Act,1867
D) by application of common law principles

Question 13

Remmie owns the associated rights to property,the buildings,and everything affixed to them located on that property,and the property itself.How is this particular asset likely to be classified?

A) as chattel property
B) as intangible property
C) as real property
D) as tangible property

Question 14

What term describes the acquisition of ownership of land by occupying land owned by someone else?

A) inadvertent ownership
B) adverse possession
C) lien
D) security interest

Question 15

Geoffrey made arrangements for storing his houseboat for the winter at BoatsRStored4U Inc.What is the most immediate legal question that Geoffrey should be clear on before he allows the storage company to take physical possession of his boat?

A) When should he provide proof of ownership and valuation?
B) What will happen if BoatsRStored4U goes out of business?
C) Who will bear the risk of loss or damage and have the obligation to purchase insurance?
D) How will BoatsRStored4U bill him for its services?

Question 16

What should be included in the standard form contract in order for a lessor to maximize its ability to minimize its exposure for damage caused to a leased vehicle in the lessee's possession?

A) a benefit of relationship clause to ensure reciprocal benefit to the lessor
B) the bailee identified as the party to be paid in the event of loss for insurance
C) an ordinary diligence exclusion clause to limit liability for ordinary neglect
D) the bailor named as the party to be paid in the event of loss for insurance

Question 17

Which of the following describes one of the key roles of property law?

A) to establish who may own personal property
B) to determine what counts as property and can thus be owned
C) to ensure property can be inherited
D) to provide guidelines for the exercise of the constitutional right to protect property

Question 18

What is most likely to result if a bailment is without reward and for the benefit of the person possessing the property?

A) The bailor's standard of care will be low.
B) The bailee's standard of care will be low.
C) The bailor's standard of care will be very high.
D) The bailee's standard of care will be very high.

Question 19

Which of the following would constitute a form of real property?

A) a growing crop
B) a holiday trailer
C) a patent
D) furniture

Question 20

Which of the following is a distinguishing characteristic of an easement?

A) It protects land from unwanted intrusion.
B) It grants a right to use land for a particular purpose.
C) It can be used to grant security interests.
D) It imposes a duty to exercise reasonable care.

Question 21

Which of the following describes a right of a carrier in the event a customer fails to pay for the transport?

A) the right to sell the customer's property
B) the right to impose a common law lien
C) the right to punitive damages
D) the right to liquidated damages

Question 22

What is the most significant aspect of a bailment contract?

A) It provides remedies for the failure to perform obligations.
B) It reduces serious defects affecting contractual formation or performance.
C) It limits the liability that common law rules of bailment create.
D) It avoids legal complications for damage or loss of bailed property.

Question 23

Under what circumstances do the rights and responsibilities relating to a storage bailment apply?

A) when standard charge terms limit liability
B) when the property has been returned in the same condition as delivered
C) when the bailor retains possession of the keys
D) when the arrangement meets the definition of a bailment

Question 24

What is most likely to be the result in circumstances involving an outstanding payment for the repair and subsequent storage of a sailboat?

A) a limited defence,mainly relating to circumstances
B) the severe limitation of the bailee's liability
C) the retained possession and sale by right of lien,if needed
D) the bailor's expectation of the receipt of property in good repair

Question 25

Which of the following correctly characterizes the nature of most commercial bailment situations?

A) The bailee is liable for latent defects.
B) The standard of care is very high.
C) They typically benefit both the bailor and bailee.
D) The standard of care is very low.

Question 26

Shawna received a factory recall notice from her GM dealership.She accepted the dealership's offer to drive her to work when she brings the car in for the service recall.What will be the certain result when Shawna hands the dealership her car keys?

A) An agreement on price for the service will be created in advance.
B) An incidental storage bailment will be created.
C) A very high standard of care will be expected.
D) The dealership will lose the right to retain property for payment.

Question 27

What is an attractive way for a business to acquire the use of equipment for a specified period of time?

A) through a bailment contract
B) through a possessory lien
C) through a lease
D) through an easement

Question 28

Which of the following would be the result of a commercial customer's limited means of monitoring a storage facility's treatment of the property given to it for storage?

A) Liability is excluded completely or limited to a very small amount.
B) The bailee must provide consent for storage at an alternative location.
C) The law imposes a high level of accountability for the treatment of the bailor's property.
D) The law imposes a high level of accountability for the treatment of the bailee's property.

Question 29

Which of the following is a valid criticism of the use of contractual clauses to limit bailment liability?

A) There is a social cost of courts having to inject businesses with ethical standards.
B) Courts will consider the contract price relative to losses to determine enforceability.
C) Courts apply different standards to commercial and consumer contracts.
D) They are vulnerable to various common law challenges.

Question 30

Which of the following is a distinguishing characteristic of the legislated ability of innkeepers to post liability limits in their establishments?

A) It gives shared control over guests' property through their occupation of their rooms.
B) Standard form contracts are a common feature used by innkeepers to transfer risk of liability.
C) It is lost due to innkeepers' negligent or deliberate acts or the deposit of the property for safekeeping.
D) It gives an innkeeper a common law lien against the guests' property in its possession.

Question 31

Which of the following is a characteristic of a carrier bailment arrangement where possession of the goods rests with the bailee?

A) the right to sell property on non-payment
B) the owner is required to prove fault
C) a presumption of carrier's liability
D) an agreed value of any ensuring repairs

Question 32

Colleen booked two weeks' lodging with a bed and breakfast beginning on June 30.What is the legal term used to describe the individual who takes the booking?

A) lodgekeeper
B) hostelry
C) innkeeper
D) hotelier

Question 33

Which of the following is a difference between a warehouseman's lien and a carrier's lien?

A) Warehousemen represent themselves to the public as storekeepers for reward.
B) Warehousemen have a common law lien right with the right to sell property.
C) Common carrier contracts are typically covered by federal legislation.
D) Common carriers have a common law lien right without the right to sell property.

Question 34

What is the primary legal source of the rights and obligations of bailees and bailors?

A) commercial chattel leases
B) implied statutory term
C) common law
D) general law of contract

Question 35

What is the most significant effect of the responsibility of the standard of care placed on carriers with respect to the property they carry?

A) Defences relate mainly to events within a carrier's control.
B) A bailor is required to prove fault.
C) Defences mainly relate to the circumstances of the carrier.
D) Carrier liability for mishaps is severely limited.

Question 36

Under what circumstances will a carrier be found liable for damage to a customer's property?

A) if the property is lost or damaged while in its possession
B) if it fails to exercise reasonable care
C) only if it has assumed liability in contract
D) if the goods are unusually fragile

Question 37

How is ownership of intellectual property acquired?

A) through creation,licence,or transfer
B) through purchase,manufacture,or trading
C) through creation,registration,or purchase
D) through licence,manufacture,or transfer

Question 38

Which of the following is most prominent in bailment transactions?

A) proof and protection of ownership
B) preservation of economic value
C) transfer of risk
D) retention of risk

Question 39

Which of the following best describes an innkeeper's common law liability for guest property?

A) They have total control and therefore complete liability.
B) They must take great care and are responsible for theft or loss.
C) They are only responsible for losses caused by the innkeeper's staff.
D) They are only liable for gross negligence.

Question 40

What is the name used to describe the individual who has the right to enforce a lien over property until such time as storage fees have been paid?

A) warehouseman
B) financier
C) storagekeeper
D) skilled storagekeeper

Question 41

WeMove4U Inc.is a transport company that operates in Alberta and Saskatchewan.The company has recently adopted a new standard charge agreement that severely limits its liability in the event of mishap with bailed property.By pointing out this clause to its customers,WeMove4U is shifting the burden for damage or loss to the bailor,who should purchase adequate insurance coverage.

Question 42

In Canada,most ownership or custodianship rights associated with bodies of water are vested in the Crown.

Question 43

The practical distinction that exists between carriers and innkeepers relates to the carrier's shared control over the property entrusted to it and the innkeeper's total control over the property of its guests,acquired through their occupancy of rooms.

Question 44

A warehouseman's general responsibility toward its customers' property is to treat it as a skilled storekeeper would deal with its own property,which imposes a standard of reasonableness encompassing responsibility for most foreseeable risks.

Question 45

A bailee who specializes in a certain type of bailment is expected to exercise ordinary diligence but greater care than an ordinary person.

Question 46

Ross sold his house and went travelling for two months.While he was away,he placed his furniture and other belongings in storage with Kitt's Storage Inc.In these circumstances,Ross is a bailee and Kitt's is a bailor.

Question 47

Marcella delivered her suits to the drycleaners and arranged for them to be available for pickup three days later.In this bailment for value,Marcella is a bailor and the drycleaner is a bailee.

Question 48

In contractual bailments,bailors warrant that the goods used by their bailees are fit for the purpose for which they are bailed.

Question 49

Jordan's RV Storage business would be required to exercise a higher degree of care toward a holiday trailer owned by one of its paying customers than would someone who permits a friend to store a holiday trailer on his land free of charge.

Question 50

Tangible property is composed of personal property,the value of which comes from legal rights.

Question 51

A key aspect of a bailment contract is often the limitation of the liability that the common law rules of bailment create.

Question 52

Ownership can be acquired by taking possession of abandoned personal property.

Question 53

According to property law principles,all tangible materials are capable of being owned.

Question 54

Property can be best described as "all tangible things."

Question 55

In law,intellectual types of property are known as choses in action.

Question 56

There is no comprehensive system for registering ownership of personal property as there is with real property.

Question 57

The short-term rental of a piece of equipment would be a bailment relationship.

Question 58

All property,other than land and what is attached to land,that can be identified by its mobility is known as personal property.

Question 59

Excised human tissue constitutes a form of personal property that is capable of being owned.

Question 60

The burden placed on a common carrier to care for the goods of the bailor is determined by the concept of benefit of the relationship.If the bailment benefits the bailor exclusively,the common carrier is required to exercise slight care and is liable only for gross neglect.

Question 61

Identify the rights that comprise the "bundle of rights" normally associated with the ownership of property.

Question 62

Remedies for failure to perform obligations arising in a bailment relationship originate in two contexts.Discuss.

Question 63

Identify the elements that are applied to determine the liability of bailees.

Question 64

Explain what a court will be require in order to determine who is responsible for damaged goods and for how much.

Question 65

Describe bailment,and discuss its key issues.

Question 66

Identify the common types of bailments.

Question 67

Why is the issue of privatizing fresh water supplies controversial?

Question 68

A bailee performing repairs has a right to a lien against property for the value of repairs made to it.Identify one example of a legislated legal source of that lien right,and provide a brief discussion of a bailee's legislated lien right in these circumstances.

Question 69

With respect to a bailment for value,identify the aspects that a contractual services agreement would normally include a description of.

Question 70

Briefly describe the obligations that are typically associated with the ownership of real property.