Question 1

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

Accepted Answer

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 2

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.

Accepted Answer

A) True 
 B)False

Question 3

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

Accepted Answer

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

Question 4

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

Accepted Answer

The answer of Remedies for failure to perform obligations arising...

Question 5

Which of the following exemplifies possession without ownership?

Accepted Answer

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 6

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

Accepted Answer

A) True 
 B)False

Question 7

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.

Accepted Answer

A) True 
 B)False

Question 8

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?

Accepted Answer

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 9

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

Accepted Answer

A) True 
 B)False

Question 10

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?

Accepted Answer

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 11

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?

Accepted Answer

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

Question 12

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

Accepted Answer

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

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

Accepted Answer

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 14

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?

Accepted Answer

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

Question 15

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?

Accepted Answer

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 16

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

Accepted Answer

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 17

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?

Accepted Answer

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

Question 18

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

Accepted Answer

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 19

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

Accepted Answer

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 20

What is the most significant aspect of a bailment contract?

Accepted Answer

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.

Exam 17: Introduction to Property Law

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

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.

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

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

Which of the following exemplifies possession without ownership?

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

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?

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

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?

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?

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

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

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?

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?

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

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?

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

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

What is the most significant aspect of a bailment contract?