Deck 7: The Property System

Question 1

No bailment has been formed if a student leaves a book bag in class by accident and the professor takes possession to safeguard the bag.

Answer 1

False
Explanation: The focus of bailment relationships is intent. The professor became a bailee when he or she took intentional possession of the bag.

Question 2

Zoning laws apply to types and locations of physical structures but not to aesthetic characteristics such as color and exterior design.

Answer 2

False
Explanation: Zoning ordinances may impose aesthetic requirements concerning color and exterior design.

Question 3

In a bailment for the sole benefit of the bailor, the bailee owes a very high duty of care.

Answer 3

False
Explanation: In a bailment for the sole benefit of a bailor, the bailee owes only a slight duty of care while the object is in the bailee's possession, but in a bailment for the sole benefit of the bailee, such as where the bailee has borrowed the object, the bailee owes a very high duty of care.

Question 4

Mike repaired Rosie's car and Rosie refused to pay the bill. Mike was still in possession of the car and therefore could claim a mechanic's lien on the car.

Question 5

Zoning ordinances are implemented through a state or local government's police powers.

Question 6

The right of redemption allows a mortgagor, before foreclosure, to get back land upon payment of the full amount of the debt.

Question 7

Property ownership helps generate prosperity by establishing the conditions necessary for capital formation.

Question 8

Property is the legal right to exclude others from resources that are originally possessed or are acquired without force, theft, or fraud.

Question 9

A purchase money security interest creates a perfected interest without the need to put a document on public record.

Question 10

A buyer in an ordinary course of business has priority over a perfected security interest.

Question 11

Common carriers are not responsible for acts of God or of public enemies.

Question 12

Through the government's power of eminent domain, it can take private property for "public use," upon the payment of "just compensation."

Question 13

Upon the death of a joint tenant, his interest automatically transfers to the other tenants.

Question 14

House-sitting would be an example of a bailment because you are in temporary possession of someone's house with the intention to return full possession to the owners upon their return.

Question 15

The women in the house next to you party all the time and keep you up most nights. They are creating a public nuisance.

Question 16

Easements by prescription pertain only to land around hospitals.

Question 17

A fee simple absolute represents restricted, limited ownership of personal property.

Question 18

Indirect taxes like the progressive income tax are authorized by the Bill of Rights.

Question 19

Ken is having a bad morning. He has to go to work and can't find his car keys. After searching for 20 minutes, he finds them in the pocket of the jeans he wore the previous day. The keys would have been considered lost until he found them.

Question 20

Private property is a system of law under which the state recognizes and enforces an individual's rights to acquire, possess, use, and transfer scarce resources.

Question 21

An easement:

A) creates ownership of the land in question.
B) exists for the benefit of pharmaceutical corporations.
C) occurs when landlocked property is purchased.
D) creates a leasehold estate.
E) places a particular use of land behind the exclusive legal fence.

Question 22

Which of the following is intangible property?

A) A patent
B) A car
C) Oxygen
D) A house
E) Gold

Question 23

A _____ deed makes no guarantees other than that the grantor surrenders all claim against the land.

A) simple warranty
B) trust
C) quitclaim
D) special warranty
E) fiduciary

Question 24

The collateral may include not only things currently owned by the debtor but collateral known as after-acquired property that the debtor acquires in the future.

Question 25

Which of the following is a bailment for the sole benefit of the bailee?

A) Borrowing a pencil
B) Renting a car
C) Babysitting for free
D) Finding lost or misplaced property
E) Using a car without permission

Question 26

In a determination of private nuisance, a court will declare a nuisance based solely upon the plaintiff's showing that the defendant's use of his or her land produces an offensive result for the community.

Question 27

What type of laws divides counties or municipalities into use districts designated as residential, commercial, or industrial?

A) Purchase money security interest
B) Zoning ordinance
C) Adverse possession
D) Eminent domain
E) Partitioning

Question 28

Public nuisance claims may be brought only by a public official, not private individuals, unless the latter have suffered some special damage to their property as a result of the public nuisance.

Question 29

A(n) _____ gift is made through a will. The rules of such a gift pass ownership not by delivery but upon the death of the donor and the proving of a valid will that specifies the gift.

A) fee simple.
B) life estate.
C) fungible.
D) testamentary.
E) accession.

Question 30

State law generally specifies that a landlord and tenant must give each other written notice of 30 or 60 days in order to terminate a lease that does not run for a definite duration.

Question 31

Foreclosure means that the court will order the land sold to satisfy the debt owed, usually by auction to the highest bidder, with any excess after payment of what is owed to the secured creditor going to the debtor.

Question 32

The _____ limits all exercise of property over resources to a duration of "lives in being plus twenty-one years."

A) rule of transaction
B) rule against perpetuities
C) rule of first possession
D) rule against lateral transfers
E) rule against eventualities

Question 33

The Supreme Court has stated that it is unconstitutional for governments or government entities to take private land for public development.

Question 34

If foreclosure and auction does not produce enough money to satisfy the debt owed by the mortgagor, the creditor-mortgagee can still sue the debtor for the balance owed, called a "remainder."

Question 35

It is presumed in court that a bailee in a mutual benefit bailment is negligent for the loss or damage of the bailor's goods.

Question 36

Sarah has given 24 acres of land to Kent County for as long as the land is used as a park. Kent County has a:

A) life estate.
B) fee simple defeasible.
C) fee simple absolute.
D) tenancy in common.
E) warranty deed.

Question 37

Generally, mortgages and deeds of trust must be registered in a recording office in the county where the land is located.

Question 38

Mike has a car accident and Maria saves his life. To show his appreciation, Mike gives Maria a life estate in one of the homes he owns. Maria lives there for a while and then accepts a job in another state so she gives the property to her sister Jackie. (This is permissible to do.) Jackie owns the property until:

A) she dies.
B) Maria dies.
C) Mike dies.
D) both Mike and Maria die.
E) both Maria and Jackie.

Question 39

The courts have generally defined just compensation in terms of market value.

Question 40

Which of the following would be granted the greatest priority?

A) A perfected secured lien
B) A secured lien
C) An attached lien
D) A preliminary lien
E) An artisan's lien

Question 41

Mike rents a car from Brandy for a day for $40. Which of the following statements is correct?

A) This is a bailment for the sole benefit of the bailor.
B) Brandy is the bailee.
C) Mike owes the duty of slight care.
D) Brandy must tell Mike of any defects regarding the car that aren't obvious.
E) This is a bailment for the sole benefit of the bailee.

Question 42

Josh borrows Amanda's car to get to school. Josh is obligated to exercise _____.

A) the level of care imposed by Amanda
B) a reasonable duty of care
C) a slight duty of care
D) the level of care imposed by Amanda's parents
E) a very high duty of care

Question 43

When a tenant in common dies, his or her share of the property _____.

A) passes to the state government
B) passes to the remaining tenants in common
C) passes to the highest bidder in an estate auction
D) passes to the federal government
E) passes to his or her heirs

Question 44

A _____ deed promises the grantee (usually, the buyer) that the grantor (seller) has good ownership and the full power to convey it.

A) special warranty
B) pass title
C) quitclaim
D) freehold
E) warranty

Question 45

Larry loses his watch in a city park. Frieda finds the watch lying in the grass while strolling through the park. Frieda discovers Larry's name and address engraved on the back of the watch. Which of the following is correct (assume no city statutes exist regarding lost property)?

A) Frieda may keep the watch because it is a misplaced property.
B) Frieda may keep the watch because it is a lost property.
C) Frieda must contact Larry and tell him that she has his watch.
D) Frieda must turn the watch over to whoever runs the park.
E) Larry may sue Freida for the watch.

Question 46

Once a court has determined that an offender has substantially and unreasonably interfered with the use or enjoyment of another's property, the court may issue an injunction forcing the offender to do something to ease the nuisance-creating activity. Which of the following will be conducted by the court in determining whether to issue an injunction?

A) An investigation into the relevant political connections of the parties before it
B) A balancing of interests looking at the relative economic hardship of the parties and any public interest in the offender's activity
C) A balancing of interests looking at the offender's charitable donations and the offender's income tax revenue
D) An investigation into what local scientists think the property in question is best suited for
E) A determination of how much money can be saved by ignoring the nuisance

Question 47

Which of the following most accurately describes dirt in your neighbor's wheelbarrow?

A) The dirt in the wheelbarrow is an intangible good.
B) The dirt in the wheelbarrow is a fixture.
C) The dirt in the wheelbarrow is personal property.
D) The dirt in the wheelbarrow is real property.
E) The dirt in the wheelbarrow is considered abandoned.

Question 48

Willie gave his girlfriend Madonna a gold necklace for her birthday. The next day Madonna broke up with Willie and started dating his best friend Waylon. Willie is heartbroken and furious. He becomes so upset that he commits suicide. Can Willie's estate get the necklace back from Madonna?

A) Willie's estate can recover the necklace because a donor is entitled to revoke or withdraw a gift within a reasonable period of time.
B) Willie's estate can recover the necklace because Madonna paid no consideration for the gift.
C) Willie's estate cannot recover the necklace because he intended to make the gift, delivered it, and Madonna accepted.
D) Willie's estate can recover the necklace because it was wrongful of Madonna to cheat on him.
E) Madonna may keep the necklace but must compensate Willie's estate for the fair market value of the necklace.

Question 49

Brothers Wayne and Garth twins in their mid-40s, but they still live with their parents. Finally on their 45th birthdays, they are told by their parents that they must move out within 60 days.

A) Because they have remained on the property for over 20 years as adults, they may remain because of their adverse possession.
B) Because they have remained on the property for over 20 years as adults, they may remain because they have an easement by prescription.
C) Because they have remained on the property for over 20 years as adults, and have been open and notorious, they may remain on the property based on eminent domain.
D) Because their parents have permitted them to stay in the house for over 20 years, they must move out.
E) Because they are next of kin, they may stay in the house as potential possessors.

Question 50

Which of the following is a mutual benefit bailment?

A) Renting a car
B) Lending your car to a friend without receiving consideration
C) Borrowing a car from a friend without paying consideration
D) Buying a car
E) Riding a bus

Question 51

The legal foundation for federal taxation is found in _____.

A) yearly power grants from each of the individual states.
B) the Declaration of Independence.
C) Article 1, Section 8 of the United States Constitution.
D) the Congressional Budget and Impoundment Control Act which created the Congressional Budget Office.
E) the Transportation Equity Act.

Question 52

Which of the following can ONLY apply to real property?

A) Confusion
B) Gifts
C) Accession
D) Bailments
E) Easements

Question 53

Which of the following is a permissible eminent domain action under the takings clause of the Fifth Amendment to the Constitution?

A) A pharmaceutical company takes over a residential neighborhood to expend its corporate headquarters.
B) A state agency pays a homeowner $200 as compensation for building a highway through his home.
C) The state's governor forecloses on a farmer's land to build a personal free-range chicken farm.
D) A private non-profit organization brings a foreclosure action against a decrepit tenement in order to build a public park.
E) The municipal government pays fair market value for the right to string power lines across a homeowner's property, then sells the right to the state's only electric company.

Question 54

A(n) _____ means that an adjoining landowner cannot do anything that would cause your land to cave in or collapse, such as digging a ditch that would cause the land on your side to collapse.

A) easement by prescription
B) negative easement
C) mutual benefit bailment
D) eminent domain
E) accession

Question 55

If Landon, who is 80 years old, writes a trust that states that his property is to go to "my great-great-great grandchild upon my death," and at the time of creating the trust his only child is one year old:

A) the trust is valid, but the property must wait until the great-great-great grandchild is born to be transferred.
B) the trust is invalid due to the rule against eventualities.
C) the trust is valid due to the rule of progression.
D) the trust is invalid due to the rule against perpetuities.
E) the trust is valid, but the property must wait until Landon's child dies to be transferred.

Question 56

Seth takes his laundry to Denise's Dry Cleaners (DDC). When Seth gets his clothes back he notices that two of his shirts, perfect when brought in, are now ripped. Which of the following is correct?

A) This was a mutual benefit bailment and DDC owed a duty of reasonable care.
B) This was a bailment for the sole benefit of the bailee and DDC owed a duty of slight care.
C) This was a bailment for the sole benefit of the bailor and DDC owed a duty of great care.
D) This was not a bailment.
E) This was an unintentional bailment, so DDC does not owe a duty of care.

Question 57

A(n) _____ lien arises when someone contributes materials and/or services to real estate, usually a building, and is not paid.

A) general
B) chattel
C) surety
D) mechanic's
E) assayer's

Question 58

You and your roommate are driving through a nice neighborhood when you see some furniture piled on the curb to be picked up by the trash collectors the next morning. As you pick up a chair, the homeowner opens a window and yells, "Get away from my stuff."

A) You may claim the chair as lost property.
B) You may claim the chair as mislaid property.
C) You may claim the chair as abandoned property.
D) The homeowner retains ownership until it is picked up the next morning, so you must leave it.
E) The homeowner retains ownership of the property until you buy it from him.

Question 59

Ruth is visiting her granddaughter Marcy and decides to give Marcy her very expensive cameo brooch. The brooch, an heirloom, has been in the family for over 100 years and is the only item in a safe in Ruth's home. Ruth offers the brooch to Marcy who accepts. Ruth then gives Marcy the only key to the safe. According to the information given in this case, which of the following statements is true regarding the gift?

A) This is not a valid gift because there has been no delivery.
B) This is a valid gift because there has been an actual delivery.
C) This is a testamentary gift and Marcy can claim the gift only after Ruth's death.
D) This is a valid gift because there has been a constructive delivery.
E) This is not a valid gift because Ruth must provide a document for chain of custody.

Question 60

If your home is being foreclosed on, you may retain ownership of the property if you pay the full amount of the debt before the sale. This is called a:

A) right of revision.
B) right of recovery.
C) right to cure deficiency.
D) right of redemption.
E) right to debt forgiveness.

Question 61

When the owner of an old airplane engine has it restored and has an airplane built around it, the owner of the engine now owns the entire airplane through the doctrine of _____, which refers to something "added."

A) accession
B) collateral
C) eminent domain
D) negative easement
E) easement by prescription

Question 62

Wally Wanderer finds an abandoned ranch in Wyoming and begins living there for many years. When the record owner finds out 23 years later, what is Wally's best legal argument that the land is his?

Question 63

What is meant by a life estate in land and why might one give someone else a life estate rather than a fee simple ownership.

Question 64

In 2008, Donald gives Tony a life estate in a home that Donald owns, specifying that upon the end of the life estate, the property is to go to Tony's son, Mike. Tony dies in 2012.

A) If Donald is still alive he may revoke the transfer to Mike and keep the property.
B) Mike gets a reversion interest in 2012.
C) Mike gets a remainder interest in 2012.
D) In 2012, Mike and Donald become joint tenants until Donald's death when Mike becomes the sole owner.
E) The property is held in trust until Mike comes of age.

Question 65

Explain the rule of first possession.

Question 66

What is the difference between attachment and perfection of a lien regarding Article 9 secured transactions?

Question 67

The eminent domain clause is contained in:

A) Article I of the Constitution.
B) the Fifth Amendment to the Constitution.
C) state property codes.
D) state constitutions, but not the federal Constitution.
E) the Declaration of Independence.

Question 68

You're lying in bed when a piece of a meteorite enters the Earth's atmosphere and flies through the window of your apartment, landing at your feet.

A) Your apartment complex has a right to claim the property because it landed on their land.
B) You may keep the property because of the rule of first possession.
C) You and your apartment complex must share the property as equal co-owners.
D) The government can exercise its right of eminent domain and claim the property for the good of the public.
E) The property must be turned over to police and cannot be claimed until 60 days have passed.

Question 69

Danny has five pit bull dogs. They bark constantly and terrify the neighbor, Terry. When Terry tries to sell his house, no one will even look at it for fear of the dogs. If Terry takes Danny to court, what should he claim that Danny has established?

A) A public nuisance
B) A private nuisance
C) An adverse possession
D) An eminent domain
E) An accession

Question 70

Which of the following types of easement is also called easement by necessity?

A) Negative easement.
B) Easement by prescription.
C) Easement by reservation.
D) Natural easement.
E) Functional easement.

Question 71

How would one determine whether found property is lost or mislaid? What are the rights of the finder of lost and mislaid property?

Question 72

Zoning boards may create zoning laws for all of the following, EXCEPT:

A) to separate commercial districts from residential districts.
B) to specify the number of buildings that can be built on land.
C) to enforce ethnic or gender diversity.
D) to impose specific color requirements.
E) to specify a specific design for all buildings in an area.

Question 73

Which of the following is NOT a requirement for a successful application of adverse possession?

A) The possessor must occupy the land openly and notoriously.
B) The possessor must occupy the land continuously.
C) The possessor must physically occupy the land.
D) The possessor must occupy the land wrongfully.
E) The possessor must occupy the land with the owner's permission.

Question 74

A valuable object given by a debtor to a creditor to secure a loan is referred to as the _____.

A) collateral
B) attachment
C) lien
D) easement
E) reversion

Question 75

Stephen, a private individual, intends to bring a public nuisance claim against a textiles plant because its runoff is destroying the natural habitat of the local river's beaver population. Which of the following will permit Stephen to bring a valid claim?

A) Stephen is the leading aquatic biodiversity scientist in the state.
B) Stephen traps the beavers for a living.
C) The state owns the textile plant.
D) The runoff has also caused substantial damage to Stephen's property.
E) The governor owns the textiles plant.

Question 76

Which of the following is NOT a security interest in land?

A) A land sales contract
B) A mortgage
C) A deed of trust
D) A negative easement
E) A title

Question 77

Which of the following is a valid bailment?

A) Babysitting your sister's child for the weekend
B) House-sitting for a friend over the weekend
C) Feeding your neighbor's dog (who lives in the yard in a doghouse) by tossing food over the fence
D) Borrowing your friend's car for a day
E) Accidentally dropping your car keys in a restaurant

Question 78

The general way of perfecting a security interest under Article 9 is to file a(n):

A) artisan's lien.
B) financing statement.
C) deed of trust.
D) warranty deed.
E) creditor's instrument.

Question 79

Ivana's car was stolen. The car needed some repairs and the thief, Donald, had the engine replaced as well as the muffler. Donald was apprehended and the car was returned to Ivana. Which of the following is true?

A) Ivana owns the car but Donald owns the engine and muffler.
B) Ivana owns the car but must pay Donald for the engine and muffler.
C) Donald becomes the owner of the car due to accession.
D) Ivana owns the car and owes Donald nothing.
E) Donald may sue for ownership of the car if he can show that his additions are worth more than the car.

Question 80

Rachel owns a beach home and wants to build a deck. Zoning restrictions limit decks to 120 square feet, but Rachel wants to build one that is 144 square feet.

A) If she builds it, then she can't be asked to tear it down once it's completed.
B) She should ask for a nonconforming exemption.
C) She should ask for a variance.
D) She must shift to some other location, because once zoning ordinances are in place, they allow for no changes, variations, or exceptions.
E) Her only recourse is to lobby her local zoning board to force them to change the restriction.