Property Law Outline1

PROPERTY LAW OUTLINE

I.

Rights: In personam (in the person) v. in rem (in the thing) A. Contract right = In personam shift to in rem

1.

Ex.: Passing $1 from A to B to C to… vis a vis to get someone else s $1 ! "hat s the price#

rights that are negotia!"e # trans$era!"e. Right

a)
b) c)

Price determined by value of the right to be paid OR how likely is it that promise will be fulfilled AND by cost of getting the promi1 ! se honored "#1 v$ %&c v$ '&c) (lear terms) confidence that right will be enforced) and * +he more that right can be transferred) the more it is viewed as property$ "!d pty$ receivers of cash obtained any kind of way has full right to cash)

d) %.

Jacque v. Steenberg Homes: A$o%t: &RE'PA''. RI()& &* E+C,-.E an/ C&. E01*RCE2E0& &* PR*&EC& PR*P. RI()&' as oppose to preserve val%e 3$4c /iffic%lt to sho" 4 prove loss in val%e ! elim. this re5 m6 A0. If trespass not volitional7 sho%l/ there $e p%nitive /mg. 8Is it a$o%t intent or act%al /mg.#9 Possi$l: a$o%t ppl respecting other s prop. rights an/ rt. to preserve prop. rt. no matter "hat. *R a$o%t sh%nting $ehavior an/ enco%raging ppl to transact 3sometimes it s a cost7 sometimes a $enefit6 &t.: enco%rages a%tonom: an/ for parties to transact. .on t have to sho" act%al harm 'amages: ct. a"ar/ nominal an/ p%nitive /mg. $4c intentional trespass; /oesn t a"ar/ compensator: $4c no act%al /mg. a) ,-$. transfer to u something that/s valuable to u but not so much to me$

Ps see(ing… $ pmt. for trespass on propert: an/ peace of min/ 3enforcing right to <eep prop. free from trespass6 an/ to $e ma/e "hole for loss7 an/ a%tonom: 3respect to in/iv. prop. rt.6 to /o "hat the: "ant "4 prop.7 an/ have protection $: threat for f%t%re trespassing an/ rt. to have /omain over o"n prop. an/ p%nitive /mg. 3to p%nish a/versar:6. 'amages. 0ominal 3in name onl:6 /mg. or/ere/. Ct.: *= to have p%nitive "4o compensator: $4c … Also7 nee/ to $e intentional tort to have p%nitive "4o compensator: /mg. $4c intentional trespass 3volitional act6 is $ehavior that can $e altere/ "4 penali>ation. b) 0aking it not attractive to violate prop$ rt$

).

Hinman v. Pacific Air Transport: A$o%t: Reasoning: in theor:7 % have prop. rt. that goes all the "a: $%t can t enforce if not %sing it 3not %sing air space "hen ?trespasser flies over.6 @/iff t ppl have /iff t tho%gh sim%ltaneo%sl: legitimate val%es. Epstein’s view: ever:one $etter off $: $eing a$le to %se space 3a prop. rt.6 $%t "e re all getting compensate/ &t.: 0o rt. to excl.7 to notif: o"ner of flight of their airspace is too m%ch of hassle. 2ore $roa/ vie" than prop. approach. If P ha/ prove/ s%$st. harm7 might ve $een a"ar/e/ /mg. Better a$ilit: to o$tain inA%nction if can sho" :o% re %sing airspace.

&ALA*RE+I,-ELA-E' -O'EL ,on". going to a""o/ 0mg. $or o!1. 0imin2tion in va"2e an0 proo$ o$ it

*.

Propert. r2"e ! enforcing entitlement "4 right to excl. an/ lia$. /mg.

&.

Lia!i"it. R2"e ! enforcement entitlement "4 o$taining /mg. for act%al harm onl:

1.

Jacobs-Young: )o%se $%ilt. Per =7 m%st %se re//ing pipe. )o%se $%ilt "4 ther t:pe of pipe. P complains to ct. Reasoning: Ct. sa:s m%st tear "all /o"n to replace pipe an/ re@plaster "all. &t.: a"ar/s /imin%tion in val%a$le onl: A0. "ants proof of loss in val%e 4 o$A. /ecrease; 0*& specific perf. II. La/ o$ N2isan3e , inter$eren3e /# 2se4 en1o.ment o$ "an0 v. Invasions o$ Lan0 5 "a/ o$ trespass

A.

N2isan3e: an:thing that anno:s7 /ist%r$ free %se of o"n prop. or ren/ers its or/inar: %se %ncomforta$le. An:thing that interferes "4 rights of citi>en in person7 prop7 enoAo:ment or comfort. Con/ition = n%isance "hen enAo:ment of prop. clearl: materiall: lessene/ an/ ph:s. comfort of person in homes is materiall: interfere/. ,P2!"i3 N2isan3e: Effects gen. p%$lic of some ppl. &E'&: .eterm. $: %n4reasona$leness of it in relation to partic. place 3e.g.: septic "ater might contaminate "ell "ater6 ,Private N2isan3e: s%$stantial an/ material interference "4 priv. %se B enAo:ment of one s lan/. Con/%ct that s 316 intentional7 3C6 %nreasona$le7 3D6 neglig.7 3E6 rec<less7 or 3F6 res%lts in a$normall: /ang. con/it. in a place. &E'&: exmin. *f priv. %se7 enAo:ment see<ing protec. an/ nat%re of interf. 1. 'hifte/ from harm ca%se/ to reasona$leness of prop. %se %. Hendric s v. Sta!na er: P s%e/ . for n%isance $4c ref%se/ permit for septic tan< /%e to . s "ater "ell. 1uestion: Gas . s act of installing "ell shortl: $E P so%ght permit for septic tan<7 intentional or %nreas.# @&respass /oesn t re5%ire interference t $e %nreas. $%t n%isance /oes. @If . ha/ options in placing "ell7 then parties ca%sing p$lm for ea other. Re3ipro3it. o$ n2isan3es. @. <ne" P "ante/ to install septic tan< an/ $eat him to p%nch. a) -nreasona$le: "hen actor <no"s that con/%ct ca%ses s%$st. or %nreas. nterf. R. HCF b) Unreas. 0eterm. !. !a"an3ing o/ner interest. When harm o2t/eighs so3ia" va"2e o$ a3tivit.. 2olding: $4c "ater "ell not %nreasona$le %se of lan/7 . not responsi$le for effect on P s prop. Notes: timing v. comm%n. stan/ar/s. Reasona$le act in terms of neigh$orliness. A""o3ate0 entit"ement: "inner is "ho s 1st

I.

&oase theorem 5 if transx costs lo" eno%gh 3or I transx cost "orl/67 societ: "ill get most effic. n%m. of "ells an/ septic tan<s in most effic. spots. B%t7 not al"a:s the case.

a. Pa: attention to high transx costs in 1st instance7 in case % ma<e "rong /ecision7 might get most effic. %se
thr% $argaining. $. Reciprocit: c. Gill $e fairness impact 3pic<ing "inners an/ losers6 $%t no position on fairness In a race to common pri>e7 ppl "ill $e so /esperate to "in7 "ill ma<e /ecisions that is helpf%l to "inning7 $%t overall %nhelpf%l. Pro$lem: overinvesting; misinvest 3/oping6 i. 'ol%tion: create r%les against %n/esire/ $ehavior; or e5%al /istri$. of "in E63"2sion v. 7overnan3e Gill enforce r%le "4 entitlement an/ excl. regime i. Excl%sion: (ov t "ill assign an/ enforce. &o sh%nt ppl in negotiation "4 1 another7 m%st %se excl. R%le. ii. (overnance: &o ctrl. actions that gov t "ant an/ /on t "ant7 esta$l. r%les to govern $ehavior. $. Gh: negotiation might not $e s%ccessf%l: i. A pt: ma: not $e "illing to negotiate. It s not al"a:s ineffic. for o%tcome to $e no7 I "on t negotiate. 0ot al"a:s a$o%t more $. 1. Winner # losers: fairness concern C. Entitlement ma: not move to most effic. %se /%e to fairness an/ transx concerns. D. En$or3ement r2"e: pt:. might $e %sing complicate/ strateg: to get to J:esK &his ma<es for ineffic. transx cost. Irrational $ehavior ma<es $or too 3ost". trans6 3osts 8 !arg. !rea(0o/n. Wi"" not res2"t in most e$$i3. tra0e. E. Incentive 4 coor/ination p$lm: ever:$o/: on 1 si/e m%st agree/ "4 other other si/e. "a er v. Howard #t$. Hunt: lan/o"ner is %pset $4c h%nt cl%$ h%nts on the lan/; intr%sion7 noise7 trampling7 ph:sical harm to Ps7 excrement from /ogs. Intentiona" a3t. .s offer to pa: for intr%sion $%t Ps see< e5%ita$le reme/: ! inA%nction. *"ner shot /ogs for attac<ing chic<ens. i. Lia!i"it. r2"e treatment ! transfer entitlement $: allo"ing invasion an/ transfer /imin%tion in val%e "hen transx costs high. a. a.

II.

III.

IL.

1. &t.: ct. /oesn t appl: Cala$resi lia$. r%le treatment $4c Ps see<ing reme/: that s prop. in
nat%re 4e5%ita$le reme/: = I0M-0C&I*07 not tra/it. /mg. reme/: 3prop. reme0.6. (ives inA%nction Open to in12n3tion !#3 <eep pa:ing for intr%sion each time is "astef%l for societ: ! same ans"er $%t investing m%ltiple times for it; over"helming to ct. /<t to litigating for trespass over an/ over. O2trage 3onstraint: r%le against shooting /ogs "ill onl: "or< to /eter most o%trageo%s settings7 an/ enforcement mechanism onl: "or< in ver: xtreme settings. C. 0* I0M-0C&I*0: ever:one $ecomes repeat trespasser7 so can9t app". &oasean theor. to transfer entitlement 3I ll pa: % not to h%nt6 $4c h%nters might not follo" = la"7 %nfairness7 coor/ination an/ transx cost p$lm 3other ppl might start h%nt cl%$ A%st to get $ from o"ners to <eep from h%nting6 NIf parties %nli<el: to reach agreem. BE ct7 %nli<el: to reach 1 after"ar/. B4C

 Emotional reasons for anti@settlement:
o o o o o 2ore "e ta<e position7 the more "e thin< it s correct: $enefit = foc%ses thin<ing7 cost = foc%ses thin<ing Presence of negative emotion $ree/s more negative emotion Parties "ant to $e hear/ an/ insist on their ?/a: in ct.

 Rational reasons for anti@settlement:
*nce /ecision s ma/e7 ct. = D/ pt: that s entere/ negotiation ,oo< at ho" A4m proof /eft. is…can :o% enforce A4m against them# If it s har/ to collect on A4m7 Pl "ill sometimes accept less than A4m o *nce r%le is anno%nce/ $: ct.7 iss%e has alrea/: $een /eci/e/ o Lerifie/ info xfer s:stem 3#oase6: 2ost info x@chng. happens in ct. $4c of enforcem. mechanism $ehin/ r%les :: -ost times4 "a/.ers /i"" "oo( at va"2e o$ 6a3tion 3ost (that 3an !e impose0 on other pt..) ;+. &osean9s va"2e o$ asset#s itse"$ *UIL'IN7 EN&ROA&<-ENT+ a. :I$ trans6 3osts 8 high= parties might a/here to prop. r%les in encroachment cases even "here it s alrea/: happene/ an/ inA%nction "on t $e mo/ifie/ A0verse possession: ::No one /ashes a renta" 3ar: ppl %nli<el: to invest in assets if it "as ass%me/ that o"ner /oesn t have title 4 entitlement to the asset. Ex ante 4 $E han/7 in real time7 incentives for societ: to $e goo/s c%sto/ians of assets chng. /ramaticall: if a person can t have title to it even it asset "o%l/ go to higher7 $etter %se. Also7 real o"ner "ill not %se. ::Resi02a" 3"aimant: <no"s she "ill get the asset7 so more li<el: to invest in it. $. Pi!e v. Pedric : P is %pset $4c . $%ilt $l/g. an/ it encroache/ on P s prop. line7 /%e to mista<en s%rve:. B%il/ers offere/ to chisel "all $ac< $%t "o%l/ have to trespass to /o this. P reAecte/ offer. ,eaving 1 option: tear /o"n "all = tear /o"n $l/g. i. &t.: $l/g. "ill have to $e torn /o"n. Ler: expensive. 3Ps possi$l: tr:ing to chrg. $ to /rop s%it6 ii. Notes: even innocent encroachment can $e vie"e/ to $e intentional7 if7 once /iscovere/7 it is allo"e/ to persist 4 to $e $%ilt %pon 1. Argument. propert: is propert:. 'tepping over line. InA%nctionO C. Argument: sta:ing once /iscovere/ is intentional7 so inA%nction 3possi$. p%nitive /mg. li<e in 3teenberg 2omes6 c. %o!den Press v. &$!ands: CK encroachment. 0o inA%nction. P <ne" of encroachment $%t /i/n t o$Aect. Intention of $rining s%it later7 not a$o%t protecting prop. rights 3having prop. respecte/6. ,oo<ing for other val%e7 i.e. respect7 $. i. 'ociet: "o%l/ inc%r less "aste if P spo<e %p sooner an/ ma<e Aoint /ecision an/ /eterm. "hat investment to ma<e. B-&7 "e "ant enco%rage a little peace7 an/ respect to one another $E A%mping to s%e right a"a:. ii. ')*-,. I0M-0C&I*0 BE (RA0&E.# 1. Ct. concerne/ "hether trespass "as in goo/ faith. If in $a/ faith7 no $alancing of e5%ities. Ba/ faith eno%gh to trigger prop. r%le enforcement. I0M-0C&I*0 grante/. If . acte/ in goo/ faith *R "4 intent 3to sta: after /iscovering encroachment7 then "eigh e5%ities. As<: 16 "as trespass small ! /en: inA%nc.7 C6 /i/ it have signif. impact on prop. o"ner ! grant inA%nc.7 D6 is it costl: to move it 3har/ship meas%re67 E6 is P act%all: motivate/ $: recog. @ that after fact @ to get a lot of val%e. Is she tr:ing to extract more val%e than "hat trespass costs her ! /en: inA%nction. I. Restit2tion ;.

1. = common la": $arg. 1or $enefits7 harms 2. &ort common la": non@$arg. 1or harms 3. Restit2tion 3prop. $ase/ $o/: of la"6: f4 0on@$arg. 1or $enefits…
i. Rest. Principles come from e5%it: la" 3%nA%st enrichment6

ii. E"ements for rest. 3m%st involve C parties6:
♦ Enrichmt. *f /eft. ♦ P expense of pl. ♦ -n/er %nA%st circ%m. 2ista<en Improver 3Pile v$ Pedrick4 5olden Press v$ Rylands ! concern "4 $l/g. encroachments harming encr. %pon pt:. L. $alancing e5%ities6 Restit. appr. a0opte0. 1. Ghen encroacher constr. on lan/ $elonging to another ! conferring $enefit on tr%e o"ner $4c fixt%re attaches to D/ pt:. lan/ 2. Producers 'umber ( Supp!$ v. )!ne$ "!dg.: @Action $ro%ght $: Pro/. ,%m$er 3lan/o"ner6 against *lne: for /emolishing $l/g. constr%cte/ $: *lne: 3$l/r6 as mista<en improvement 3$%t in g4f6 on P s lan/. @Post%re: Appl. $: P $4c A4m for onl: $QII7 not $FRII. NNBl/g. enhance/ val%e of lan/ $: $FIII $%t A%r: fo%n/ to restore lan/ to con/it. prior to const. "o%l/ cost = $QII @act of planting trees: someone tho%ght the: o"ne/ the prop. @B<gr: ,an/ $o%ght $: P mgr. from . "4 intention to $%il/ home for mgr. B "ife. *rts planne/ on p%tting $l/g. on ,ot H an/ tol/ $: . sec:@treas%rer lan/ ha/n t $een sol/. After const. of $l/g. "as almost /one7 . learne/ that lot ha/ $een sol/ to P s mgr. 32ontgomer:6 an/ P s mgr. learne/ constr. ha/ $een /one on his lot. Const. against mgr s "ishes an/ plans for lan/ "4 "ife. @. trie/ to reach settlement "4 P to no avail. &hen $ro<e off negot. an/ sent cre" to ,ot H to /emolish $l/g. @Ct. fo%n/ he acte/ malicio%sl:. @R%le: "hen one erects $l/g. on D/ pt:. lan/ "4o D/ pt:. <no"l 4 consent7 $l/g. $ecomes fixt%re of lan/ an/ $%il/er has no reme/:. @R%le: onl: "here one ma<es improvements "4 goo/ faith $elief he o"ns lan/ that he has reme/: of see<ing e5%ita$le relief. 36uker v$ 6uker6 @E>2it. Options Ghen Evi/. 'ho"s Act .one in (oo/ 1aith 3cash things o%t…6: a. D sales options an/ 1 removal action…/epen/s on facts 1. Ct. ma: or/er $l/g. to $e remove/ if it can $e "4o signif. inA%r: to it 4 lan/. C. If improvement cant $e remove/: ct. can /eterm. Lal%e $E an/ after improvement an/ allo" improver to recover /ifference. D. If o"ner /oesn t pa: /iff. in val%e post improvement7 improver can pa: val%e of lan/ $E improvements an/ $ecome o"ner of lan/7 improvements. R7eppa v$ 3eymour SIf improver cannot pa: for lan/ 3$E improvement6 an/ o"ner cant pa: for improvements7 it "ill $e sol/ to highest $i//er "4 sale prices /ivi/e/ $4" improve an/ o"ner accor/ingl:. *R7 ct. can give improver A4m for amt. of improvement an/ place lien on lot to sec%re pa:m. 3. (oing onto lan/ an/ /emolishing improvements "4o <no"l 4 consent of lan/o"ner is 0*& an option an/ can $e ma/e to pa: lan/o"ner for s%ch "aste. @M42: JNo se"$,he"p? . m%st pa: P val%e of /"elling. . cannot ma<e claim in e5%it: for reim$. 1or amt. of enhance/ val%e of lot. )e acte/ "4 <no"l. of "hom the lot $elonge/ to an/ has come into ct. "4 %nclean han/s. )e "as not /%e val$DII%e of /"elling from P "4o ct. or/er sho"ing he constr. it in goo/ faith. P s fail%re to settle claim on . s terms /o not ren/er P s han/s as %nclean. @M4m amen/e/ to allo" P recover $F < an/ $DII in exemp. .mg. In a//it. &o $QII. g4f improver to $4f /estro:e/: /%e to him exercising self@help7 E e5%it: options no longer availa$le. @.issent: se"$,he"p 8 o(@ sho%l/ not recover compens. /mg. for removal of ho%se7 onl: for /mg. s%ffere/ to its lot 3Ama(e /ho"e9 theor.6 Pt:. ma<ing improvements in goo/ faith can recover in /efense of s%it for removing improvement. 6ong v$ (ude$ An/7 . in action for trespass to tr: title can reco%p on e5%ita$le gro%n/s7 in/epen/ent of the stat%tes… Agrees to p%nitive /mg. $4c it still %n/erre"ar/s. Improver /oes not lost e5%ita$le rights $: removing the improvements If improver ha/ to tear /o"n /"elling in or/er to remover7 he can /o so s%$A. to pa:ing for an: /mg. to lot. Bottom line: he /estro:e/ prop. that o"ner an/ P "o%l/ not $e entitle/ to s%ch prop. %ntil the: pai/ . the val%e of the improvements7 "hich the: /i/ not offer to /o at an: time. 0o a%th. &hat /isting. moving improvement intact from tearing it /o"n for removal7 so long as lan/ isn t /amage/. J0o one sho%l/ $e ma/e richer to /mg. an/ "rong of another.K 0otes: Pi!e approa3h: ?2 !2i"0 on m. "an04 I o/n it9 an0 i$ .o2 0estr. What I o/n4 .o2 o/e me $or 0estro.ing it 7 la" of trespass "o%l/ $e applie/…inA%nction iss%e/ or/ering encroacher to tear it /o"n *R /eclaring that $l/g. $elongs to lot o"ner as fixt%re of it. ,atter = "in/fall7 $%t $etter from social "elfare vie". Either "a:7 encroacher is penali>e/ for /estort:eing %sef%l facts an/ circ%mventing legal s:stem. 'ometimes7 irrational $ehavior s%ch as /estro:ing o"n things = rational strateg:. Isn t $F < A4m too p%nitive# Co%l/ ca%se over@/eterrence ! no one exercises elf@help $%t r%ns to ct. Ex ante p%nitive /eterrence is necessar:7 $%t $F <…# (oo/ faith improver: a/opting restit. Princ7 ct. can exercise 1 of D options: 1. let lan/o"ner <eep improvement an/ pa: encroacher its val%e= e5%ita$le restit. A"ar/ 2. xfer lot to encroacher for pa:m. of fair mar<et val%e 3motivate/ $: consi/. *f %nA%st enrichment6 3. sell to D/ pt:. an/ apportion procee/s $4" o"ner an/ encroacher 3restit. Princ. An/ %nA%st enrichm.6 4. Contrast "4 5oodpress case "here ver: small encr. an/ /i/n t marginali>e o"ner s prop. rights; here7 intr%sion is signif. 3$l/g.6

A.

B.

*rigins of Restit%tion ! %nA%st enrichm. /%e to receiving %n $argaine/ for $enefits. Base/ on princip. &hat someone "ho loses prop. /%e to mista<e7 is entitle/ to val%e of prop. 3$4c transfer is %nA%st6; reflects o"ner a%tonom: 38ac9ues) :aker6. Roote/ in %nA%st enrichm. &heor:. D. Criticisms of -nA%st Enrichment theor:: rests solel: on principles of moralit:7 not $ona fi/e legal fo%n/ation. .oes not em$o/: %nitar: principles7 $%t $ase/ on set of circ%mstances giving rise to a right calle/ ?restit%tion . (ives A%/ges too m%ch /iscretion in creating reme/ies. Change game for other si/e if game for :o% /oesn t "or<: 1. impose costs on :o%r opponent 2. signal that :o% "ill not engage in rational pla: 7ame theor. Trans6 3osts +etting 2p entit"ements &<. % , Origina" A3>2isition I. Ghat is meant $: possession change /epen/ing on context. Poss. appears to $e $ase/ on ctrl. or "hat s perceive/ as ctrl.; /iff. $4" effective 4 pro/%ctive ctrl. Ghat creates social val%e# Ghat creates "aste# 'ociet: m%st have vie" on "hether having more foxes is $etter to /eterm. "at t:pe of possession m%st $e ha/# II. Birst Possession

C.

A.

Pierson v. Post ! ♦ ,itigation cost seems to $e more val%a$le than cash val%e of fox. Case is val%a$le le to societ: $4c it creates r%le. Positive externalities almost al"a:s res%lt from an: act. ♦ Perhaps more important to "in that "hat is "on. 1. *(gr.: spotting7 chasing7 closing in on fox. 2. R2"e: m%st $e certain ctrl. an/ /epriv. *f li$ert: of animal to ta<e possession "4 intent not to a$an/on. i. RULE Co%l/ $e shifte/ /o"n scale 3i.e. <illing7 not A%st mortall: "o%n/ing6 ! one "ho goes f%rther has possession $4c it s larger investment 3"a!or theor. 5 $2rther 0o/n s3a"e 8 more /or(6 ii. What9s easiest to en$or3e: on "hole soil the fox is = "ho o"ns it iii. No 3ompeting o/ner 0oesn9t mean possession .ie"0s o/nership. If it s possessor v. no one…sho%l/ go to possessor. B-&7 this /oesn t appl: to ocean "ater. iv. Possession an0 3tr". co%l/ reflect "hat comm%n. expects or signaling to comm%n. Ghat to expect 3capt%ring 4 act%al ctrl. = o"ner6 3. 'issent: closing 3After mortall: "o%n/ing B no intent to a$an/on6 in gives one title to possess animal 4. <o"0ing: "o%n/ing = eno%gh to get o"nership $4c no contest a$o%t "hat occ%rre/ after "o%n/ing7 same person /i/ <illing. i. Arg2ment: mortal "o%n/ing seems eno%gh $4c other si/e onl: got as far as closing in. %*en v. &ic* " it/s custom 3O it/s the rule) ! 1. Premise: social val%e ! <ill "hales. )arpooning "hale = <ill "hale. )arpoon $elonging to spec. co. o"ns "hale. 2. *(gr: instea/ of sen/ing "or/ to to"n7 fin/er a%ctions "hale off. ,i$elant s%ing for val%e of "hale 3its oil6. 3. Est. R2"e: mortal "o%n/ing "4o intent to a$an/on. 'o7 o"ner = li$ellant 3harpoone/ it6. 4. R2"e: c%stom $ecomes the r%le7 so long as certain con/itions met 3i.e. c%stom has to $e follo"e/ $: mem$ers of tra/e7 an/ follo"e/ for consi/era$le amt. of time7 an/ m%st not $e contrar: to $roa/er maritime la"7 an/ lt/. &o small T of ppl it impacts. i. Applie/ $: ct. $4c ct. concerne/ a$o%t protecting investment. *"nership sho%l/ follo" investment an/ la$or into ac5%iring prop. ! re"ar/ investment 3Pierson v$ Post6 ii. Cost of applic. to 1 grp. of ppl.: protects est. lea/ers of norm comm%n. an/ not competitors7 o%tsi/ers 3those not consi/. Part of grp.6 iii. &2stom on". governs 2nti" appropriation est. *nce appropriate/7 or/inar: r%les of prop. appl:. iv. What a!o2t intent to a!an0onC Can arg%e that leaving "hale to float aro%n/ an/ possi$le not sho" %p = e5%ivalent to intent to a$an/on. +eeb!e v. Hic eringi!! 1. Action on the case 3for interference67 not for trespass even tho%gh interfering "4 another s chance to get /%c<s $: g%nfire7 %nli<e in Pierson v$ Post i. 0* &RE'PA''@ 0ot on prop. "hen firing g%n an/ scaring off /%c<s. ii. 0* P*''E''I*0 @ 0o capt%re or mortal "o%n/ing involve/. P onl: set %p trap 3hone:pot6 to attract /%c<s. 2. R2"e: interfering "4 neigh$or s livelihoo/ @ hol/ . lia$le. 0o one $enefite/ from act of interfering7 competition. i. 'i$$eren3e !#/ goo0 D$airE 3ompetition (generates more goo0s4 servi3es4 3hoi3e $or so3iet.) an0 !a0 D2n$airE Dgoo0 evi0. To ma(e something more pro023tiveE 3ompetition (.ie"0s negative s2m game 5 net 0e3r. overa"" va"2e D023( meat avai"a!i"it.E $or a"" a3tors invo"ve0). ♦ 1e"er net /%c<s can $e ca%ght $: an: h%nter. 3. Can also $e characteri>e/ as $a/ for societ: $4c net /%c< capt%re = /ecr. 'hoot 1 = scare a"a: mone:. 4. ,itigation cost seems to $e more val%a$le than cash val%e of fox. Case is val%a$le le to societ: $4c it creates r%le. Positive externalities

II.

Birst Possession

B.

C.

R41D41I innovation.hoover.org U classroom U st%/ent s%pport U I. 1irst Possession 1. ;eeble 3h%nting case6 @ ct. recogni>es some interest 4 right 3not prop.6 to one s livelihoo/ 4 Ao$… a. &a<e a"a:: t:pes of competitive 3goo/7 $a/6 $ehavior. 'hooing a"a: /%c<s = $a/ for societ: = $a/ compet. i. (oo/ ! ma<e societ: $etter off ii. Ba/ ! ma<e societ: "orse off; scaring st%/ents a"a: from la" school 3li<e scaring a"a: /%c<s6 ma<es societ: "orse off. ;+ C. Pierson v$ Post < racing for fo-es is good compet$ a. (arrington case ! via theft7 scaring /%c<s a"a: from neigh$or7 $%t p%rpose: to capt%re /%c<s :o%rself = goo/ compet. B. 1irst Possession has Costs as "ell as $enefits 3Eggerson6 1. Open A33ess: constr%e/ as open to all 3e.g. air7 "ater6. B-&7 (ro"th 3greener:6 in a comm%nit: @ 0ot neces. open access to non@comm%nal mem$ers $%t not to an: h%man $eing that comes along7 or open to o%tsi/ers for lo"@intensit: %se. a. P!"m: "4 regime "here there s 1st poss. Rights "4 some form of open access4 commons. i. '%ppl: si/e iss%e: %n/erinvestment7 over%se ! no one is investing in protecting reso%rce7 onl: in extracting a. e.g. %sing reso%rce $E a$le to maximi>e it; o%tla" elephant h%nting in s%$@'aharan Africa6 ii. .eman/ si/e iss%e: 1. overinvestment7 C. overcons%mption 3"aste reso%rces6 a. E.g. fishing cases = overinvestment regime 3$igger = faster $oats; "inner ta<e all 4 h%ge investment to $eing 1st7 in items to extract reso%rces6. If limit season7 exacer$ate p$lm 3racing against 1 another an/ the season6 iii. totall: /epleting reso%rce iv. hor/ing more than neces. creates $arrier to entr: C. &ommons: common among grp that o"ns prop7 $%t not to non@o"ners a. 0edieval :ritain has real estate "can be used for crops OR gra7ing cattle). Can t excl. cattle from crop gro%n/s7 $%t can $enefit from cattle man%re. i. Prop. so"9n to 3att"e p!"m: arrange prop$ rights to reconcile mi-ed use. treat land as common when gra7ing season "don/t fence off)so cattle will randomly distrib$ (osts and benefits$ :=+) .%ring gro"ing season7 treat lan/ as s%$A. to priv. o"nership. +p"it 2p pie3es o$ prop. sma"" eno2gh so 0istri!. o$ man2re is ran0om. @,t/. &rans. Costs can $e helpf%l. 3'mith6 imitations to sol n: /ivi/ing prop. res%lts in some parts of lan/ $eing a$%se/ 4 /estro:e/ "hile that "hich is priv. o"ne/ "ill $e preserve/. D. Anti3ommons: transaction costs $4c so man: entitlements an/ m2st transa3t /# so man. pp" so m%ch7 over ever:thing 32eller6 a. Too man$ pp! ab!e to sa$ ,no’- veto a use $ie!ds too !itt!e use $. ,mpty kiosks used to sell in post>communist Russia instead of getting (?O to use storefront$ :?c so many permissions needed to use storefront7 investment not /orth !ene$it. c. IP: p%rp. is getting more st%ff faster $%t is it prop. or A%st getting priv. monopol:… i. Are patents reall: a$o%t getting more inventions# Perhaps IP is a!o2t p2tting inventions to 2se. a. P!"m. Is 3oor0ination among sta(eho"0ers !#3 it is nee0e0 !. 3omp"em. Users o$ asset to p2t it to 2se. Prop. rights an0 rt. To e63". 3an he"p 2sers 3oor0. /# ea3h other. I$ that /or(s4 it !rings ne/ !sns mo0e" to mar(ets4 /hi3h is anti,monopo".. ii. P!"m /# prop. rights in IP: too man: transaction costs if $ac<ing IP "4 prop. rights :iel/s hol/o%ts 3extract too m%ch7 $rea</o"ns6 $: IP o"ners an/ hol/%ps 3stop things from getting /one6. Prop. rights in IP (to23hstone o$ patenta!i"it. is nove"t. an0 genes are nothing ne/ !2t iso". ;ersions o$ 3ertain genes that 3o. 2se to ma(e 3ommer3ia" pro023ts): <ills "heels of commerce RI2 settle/ for 1IIx "hat initiall: offere/ to them B-& settles for less than FIV of "hat it s "orth ::the more 0iverse the p"a.ers4 the more the F o$ p"a.ers@ same /ith reso2r3es. The more 0iversit.4 the "ess transa3tion 3ost there are. G2estion isn9t a!o2t patent $ai"2res !2t $ai"2re in mar(et $or a3a0emi3 6,3hng (/#o patents or /# patents). -ore patents 8 more 0iversit.. -ore patents 8 more tra0ing partners. +e""er o$ srv3. ma(es transa3tion 3osts $or 2ser ver. a$$or0a!"e. Prop. o/ners !ear enormo2s 3ost an0 ra0i3a"". 2n0er en$or3e prop. rights !#3 transa3tion 3osts o$ en$or3ement are e6traor0inar.. <e""er9s anti3ommonms p!"m: /ea/ "rong ! not a$o%t ho" man: ppl can sa: ?no to re5%est for permission to %se. It is a$o%t o"ner7 nat%re of permission7 an/ nat%re of %n/erl:ing asset that matters. B%rea%crat an/ prosp. %ser cannot negotiate over %se 2n"ess prop. asset is invo"ve0. If is an asset involve/7 $ri$e or pmt. $ecomes enforcea$le =O P$lm. Is not of prop7 $%t of something else. P$lm. *f rent /issipation 4 race to"ar/ common pri>e 3/epletion 4 "aste of reso%rce6 Leverage !2.o2t: $%: co. %sing leverage 3their o"n stoc<6. As< for loan 3to $%: stoc< an/ sec%re prop7 rt. In asset "4 loan6 to $%: o%t co. stoc< an/ give stoc< an/ time of getting loan. &:pe of $%:o%t har/ to /o.

E.

*iote3h E6.: someone invente/ $acteria that eats oil. Can things relate/ to light7 living things $e patente/ 3ac5%ire prop. rights6. '. Ct. sai/ it s patenta$le. Res%lt: massive incr. in small7 me/. Biotech companies an/ incr. in ne" /r%gs B /evices commerciali>e/. GE )ALE PR*P. RI()&' = 2A''ILE I0CR. I0 C*22ERCIA,IWAI&*07 C*2PE&. +o$t/are E6.: 1RXC Benson ! 1RRE Alappat: no ne" patents. (oogle $ecame h%ge compet. &o 2icrosoft after 1RRE. Patents 0on9t 3a2se monopo"ies. *ene$its o$ Birst Possession! a. a$le to solve p$lm. x /%e to inf%se of investment7 reso%rces B-&7 Ghat a$o%t all the other nee/s7 p$lm. &hat nee/ investments

$. (ives $right line to est. o"nership 3$%t see Pierson v$ Post 3"as chasing7 catching or in@$4" clear…6 c. Eas: to I. 3once iss%e of 1st poss. )as $een resolve/ thr% litigation6
/. ,oc<ean ,a$or &heor: $enefit 3I "ent an/ I got…6

C.

,ads v$ :ra7elton: salvage case; s%n<en $oat. Bra>elton researches7 fin/s7 locates7 p%ts mar<s an/ floats $%o: on tree7 then leaves. Ea/s comes along an/ act%all: $egins salvage. 1. Bra>elton sa:s it is his prop an/ as<s for /mg. an/ inA%nction to restrict Ea/s from contin%ing salvage.

C. @ssue: is fin/ing7 mar<ing an/ having salvage fitte/ o%t eno%gh for Bra>elton to have 1st poss. *f prop.# D. 2olding: no7 prop. is not Bra>elton s $4c 3li<e Pierson v$ Post: loo<ing for foxes7 anno%nces he sees one an/ closing
in6 he a$an/one/ the salvage4lea/ vis a vis "asting reso%rce an/ not allo"ing another to ta<e a/v. of it7 even tho%gh he ha/ provi/e/ notice an/ prove/ effort.

E. Rule: it is not eno%gh to simpl: fin/7 mar< :o%r prop.; a3t2a" 0ep"o.ment o$ reso2r3e is nee0e0. Ct. /oesn t
care a$o%t t:pe of %se emplo:e/7 so "ong as reso2r3es is not in non,2se # a!an0one0# /aster (r2"e o$ e63"2sion)

F. Rationale. Ea/s fo%n/ no one s propert:; no one o"ne/ it a. Asset short of total a$an/onment: prop. is in salvage stat%s an/ salvor can recover it an/ get minorit: share
val%e of asset 3"hale case ! /i/n t nee/ permis. to locate harpoone/ "hale an/ t%rn in registr: for re"ar/6

Q. :ottom line: ct. tereste/ in protecting har/ "or< that "ill go to goo/ en/

D.

<ome R2n *ase!a""s: "ho ca%ght the $ase$all# Ghile catch is occ%rring7 cro"n is Aostling7 <noc<ing $all to gro%n/ an/ another snags it 3claims possession6

1. Popov v. )a:ashiY"ho ca%ght an/ claime/ poss. *f the $ase$all# a. (t$. $: ta<ing these steps7 :o% get right to ta<e next step4s "hich is chance at getting the $all7 not prop. rt. to
$ase$all. 0ot sa:ing :o% get $all once :o% to%ch it. If after :o% /on t catch it 4 have it7 :o% /on t have right to it. i. In this case7 Pl s shot to close glove on $all "as not %nfettere/7 interfere/ an/ Pl. ha/ pre@possessor: interest. B-&

ii. .f. Gas not 1 of mo$ that interfere/ "4 Pl. pre@possessor: interest; he "as not part of some D/ pt:. that
viol. Pl s interest.

$. @nterests involved. preserving peace 3li<e in Pierson v$ Post6; promoting investment in attaining asset7
exercising /%e /iligence %?1'?1&

I.

Over2se an0 2n0erinvestment: pop%lar sol%tion = prop. rights

A. B.

Benefits: less %se7 less race to the finish p$lms. Pro!"ems: ho" to allocate tra/a$le IPZs.

1. Advantage of .st possession ! all have shot at $eing 1st B-& comes into pla: after someone alrea/: "as 1st. a. Bairness point: monopo". "o3(,in4 so3ia" ine>2a"it. "o3(,in4 nee0 some sense o$ "egitima3. so no
$. 0emo3rati3 !2. in (en$or3ement p!"m) (6iecap6 ,oc<ing in 5%otas 8in the race9 3ho" man: :o% got is ho" man: :o% "ill contin%e to get6 ma: $e eas: $%t ma:$e not fair 3sharp e/ge/6 $4c :o% pic< "inners an/ losers eas: $%t ma:$e not fair 8$4c race has alrea/: $een r%n9. i. Benefit on effic. si/e I' cost on fair si/e ii. Impact on socioeconomic classes: ppl "ho are sociall: po"erf%l remain $4c no" also economicall: po"erf%l an/ vice a versa. iii. 1%n/amentall: anticompetitive: grp "4 most lo$sters contin%es to get most lo$sters an/ no" have cartel on the common poole/ reso%rce

II.

Benefit of Allocating Prop. Rights: private rents vs. social rents 3?that s mere rent@see<ing 3onl: helps :o%rself an/ no one else66

A.

Rent .issipation: "hen see<ing private rent /issipates social rent 4 $enefit 3?engage/ in merel: rent see<ing $ehavior 6

1. ,$g$ race for common price. Each one spen/s R to get 1I7 so social $enefit "as /issipate/ $: each in/iv s rent@
see<ing

a. 3olution. coor/inating "4 one another7 all chip in7 an/ share ret%rns A,, to ens%re that $enefit excee/s
expense

B.

,an/ (ranting Prop. Rights 3Anderson) 2ill6: seeme/ fair $4c each got same amt. as other an/ a/ministrativel:7 sociall: simple. p$lm. than in alternative 3of sta<ing o%t lan/ claim an/ getting it6 "hen gov t ma<es things availa$le ! res%lts in overspen/ing to get total Provi/ing "hat each "ants "ill res%lt in /iff t lan/ sta<ing 3person /ho /i"" o/n asset m2st 0o the /or( to $in0 an0 gain the asset YIEL'+ !ess rent dissipation)

1. Cost of this process: rent /issipation $4c allocating prop. rights in fix $%n/les ! on avg. ! more rent /issipation

a. resi/%al claimant ! person that has claim on "hatever s left
i. states that allo" resi/%al claimant to claim have less rent /issip. p$lms. ii. Patent reso"ves this p!"m.

a.

&on3ern /# prop. right: impacts others. Big iss%e = hol/%p p$lm.

C.

.*0 & I''-E PA&E0&' *0 PREEE+I'&I0( I&E2' &* PRELE0& A''E& 'PECI1ICI&[ PB,2. A0. *PP*R&-0I'2 PB,2. a. 1e/eral ct. has excl. A4/ over all 0ative rights.

III. AA8ohnson v$ 0/@ntoshY 3reg%lates reg. rights $4" 0ative Am. tri$es an/ ever:one else6 A.
C. 1acts: &"o teams an/ each have claim to lan/. . s chain of title: claims to have $o%ght lan/ from -' (ov t "ho sei>e/ it from tri$e. 0o i/ea ho" m%ch investment ea. 'i/e ha/ ma/e or "hich plans to p%t lan/ to $etter %se. e. prin3ip"e (nemo 0ot prin3.) to 'e3ision: ?:o% cannot give "hat :o% /o not have . 2eans can t sell to TC "hat :o% ve alrea/: sol/ to T1. 'ale to TC is p%tative an/ /efective sale. Accor/ to this7 Mohnson sho%l/ ve "on $4c he $o%ght it 1st from In/ian tri$e. except thr% gov t ! can t sell the asset or tra/e it o%t7 B-& $enefit is that it can t $e transferre/ against occ%pant s "ill7 or coerce/ to transf. entitlement.

1. P s Chain of title: P claims to have claim form someone "ho p%rch. from Ill. tri$e sale

B.

1. Nontrans$era!"e entit"ement 3core feat%re of prop7 not al"a:s $enefit6: Right of occ%panc: can t $e transferre/

C.

Ct. *%tcome: traces f%rther $ac< than 1XXD an/ 1XRF sales. Colonies ce/e/ to -' (ov t these tracts of lan/ grante/ from Cro"n. 'tates that "hat tri$es got "as right of occ%panc:7 not o"nership. Colonies got lan/ 3%n<no"n asset6 $: 1st possession 3?/iscovering it6. B%t7 inha$itants live/ on same lan/ $E the ?/iscover: . "eren t %sing lan/. 'overeign /iscover: r%le 8of E%ropean la"9: right to $e sovereign over it $%t operate/ to leave intact relationship on gro%n/. &ho%gh =ing /iscovere/ lan/7 occ%panc: right of occ%pants remaine/.

1. M%stice claims that natives possession "as not proper $4c the: /i/n t anchor7 mar< off to sho" o"nership over B
C.

D.

Confirme/ that fe/eral $%rea%crac: /etermines occ%panc: rights7 not states or in/ivi/%als. ::I$ a/ar0e0 $orma" prop rights !. Native Ameri3ans4 reper32ssions to a"" non,native Ameri3ans is the. /o2"0 not o/n their "an0H &REATION @N3 v$ Assoc$ PressB

1. )x: to $eat mainstream AP7 $e flash: 3%se sensationalism in aspects of ne"s6. A lot of compet. An/ techni5%es to
C. $eat one another o%t. )as $a/ rep%tational effects. Ct.: I0' "as "rong an/ there "as no prop. right $4c it is %n@cop:righta$le an/ p%$lici>e/ in p%$lic /omain. *ne p%t in la$or an/ cost an/ other misapprop. la$or. a. 0o prop. r%le: Can t excl. Ever:one from replicating p%$lishe/ materials.

$. Relationship $4" parties: $ehavior is misapprop. 3tort theor: 3governing relationship $4" the thing67 not prop.
$ase/ 3governing relationship $4" spec. parties6. i. &an9t app". prop. "a/ !#3 o$ pre3e0entia" e$$e3t: i$ a ne/s 3opies another9s ne/s4 it is vio". O$ prop. right= *UT sti"" 2n$airness invo"ve0 a. I$ .o2 0i0n9t so/ the oats4 sho2"0n9t !e a!"e to reap the 3rops ii. Isn t essence of competition /oing the same thing $etter than opponent#

a.

Benefits of competition: It pro/%cers into mar<et7 :iel/s more choices7 /rives prices /o"n. :ut) some forms of competing NO+ O;*a""o/ing >2i3( 3op.ing is stea"ing !ig 3h2n( o$ va"2e o$ !eing 1st to report ne/s (time e"ement is so2r3e o$ 2n$airness).

c. Lie" Emplo:e/ $: ct.: If B s pro/%ctivit: is interfering "ith A achieving something pro/%ctive7 this is a p$lm…
Appl:ing to Pierson v$ Post: person "ho locates /i/ most "o< $%t person "ho shot it claims it 31st possession6.

Lo3(ean: Chich pty$ is deserving of maint$ Prop$ rights ? claiming 1st possessionD 2%st have theor: of "hat s goo/ an/ $a/.

D. Ta(e a/a.: if not s%re "hat /ecision to ma<e an/ /ecision "ill have $ig prece/ential effect7 /on t /o itO ,et legisl7
exec. Branch ma<e ne" la"s.

II.

0idler v$ Eord 0otor (o$ 3right of p%$licit: case6

A. B.

Ba3ts: sai/ ?no to singing in commercial7 $%t co. %se/ so%n/@ali<e so%n/ing A%st li<e 2i/ler in commercial.

&o2rt <o"0ing: ppl "ill hear commercial7 an/ thin< it is 2i/ler. &he: %nla"f%ll: approp. her I.. 1. P s voice so %ni5%el: tie/ to P that if conf%sing her voice "ill lea/ to conf%sing "ho she is. B%il/ing singing talent 4cele$rit: is her o"n la$or.

C. ,a$or vie" /e$ate involve/ in terms of prop.: [*- *G0 [*- L'. GE *G0 [*-: /i/n t so"…./on t get to reap. a. Theor. o$ 0essert 0e!ate: Gho /i/ more "or< an/ /eserves more 3chases fox or catches fox6: P maint.
Asset7 ma/e %ni5%e. 'pecial L' cele$rit: is chosen $: p%$lic 3an/ their investment6

D. Prop. v. 1st Am. arg%ment: Rights7 violation of rights7 an/ co%ntervailing rights: "e re ma<ing :o% famo%s so it is
o%r prop.; 1st. Am. interest ! $4c someone has social c%rrenc:7 societ: has rt. to /ic%ss 4 %se :o%. Proce/%ral Post%re: P appeale/ a A%/gment of -' .istrict Co%rt granting s%mmar: A%/gment in favor of . in P s action for appropriation of her /istinctive voice for %se in an a/vertisement. 1acts: . a/vertise/ cars "ith a series of tv commercials. .ifferent pop%lar songs of the XIs "ere %se/7 an/ the agenc: trie/ to get the original singers to sing them. Ghere it faile/ to get the original singer7 the agenc: %se/ ?so%n/@ali<es. . re5%este/ that P sing the song7 an/ P ref%se/. . hire/ a so%n/ ali<e7 instr%cting her to imitate P to the $est of her a$ilit:. After the commercial aire/7 P an/ the so%n/ ali<e "ere tol/ $: n%mero%s people that it so%n/e/ exactl: li<e P. P s name an/ li<eness "ere not %se/ in the commercial7 an/ . ha/ o$taine/ permission from the cop:right hol/er to %se the song. .istrict Co%rt sai/ there "as no legal principle preventing imitation of P s voice an/ grante/ s%mmar: A%/gment in favor of .. P appeale/. Appellate co%rt hel/ that P s %ni5%e an/ recogni>a$le voice "as a part of her i/entit:7 an/ th%s protecte/ from appropriation. Claims of the Parties: P p%rs%e/ a common la" claim against . for %sing her /istinctive voice in an a/vertisement7 "hich she ha/ not a%thori>e/. Iss%es an/ Resol%tions: Is a voice a /istinctive an/ personal feat%re of a person7 "hich a person has the right to control from appropriation "itho%t his or her permission# U [es. Rationale: P /i/ not see< /amages for %se of the song7 "hich "o%l/ have $een pre@empte/ $: cop:right la". A voice is %ncop:righta$le7 :et is a %ni5%e feat%re that /isting%ishes a person7 especiall: a singer7 A%st as a face or a name. 1or a person "hose voice is "i/el: <no"n7 it is %nla"f%l to imitate that person s voice to sell a pro/%ct if the person has not a%thori>e/ it. R%les: A pop%lar singer s voice is part of her i/entit: an/ ma: not $e imitate/ "itho%t her consent. Case Integration: A voice is a part of a person s i/entit:7 an/ th%s controlla$le against %na%thori>e/ %se $: that person s right of p%$licit:. C6 .isr%ption an/ /ist%r$ance to the artist if their voice is imitate/ "itho%t permission co%l/ $e grave7 an/ th%s sho%l/ fall closer to the si/e of personal propert: in the spectr%m. E6 &he recognition of 2i/ler s voice in connection "ith her song "as the motivation $ehin/ the commercial an/ the merchan/ise sales. . /i/ not have the right to %se P s voice7 since it is the /istinctive feat%re of the artist an/ is protecte/ against %na%thori>e/ %se to sell pro/%cts. X6 A voice cannot $e cop:righte/. &he %se of a similar so%n/ing voice7 $%t a /ifferent song co%l/ $e the same thing7 $eca%se the iss%e "as not the song7 $%t the voice singing it. R4CI4I1

I.

NO;ELTY (IP La/)

A.

Re5%ires creation of something ne" have Jin/epen/ent origination

1. In 3op.right7 :o% m%st Joriginate creative expressionK 3it came from :o%….not neces. :o% "ere the first6 an/ a. If A came %p "4 orig. FIIII "or/ poem an/ B came %p "4 i/entical one ! each of A B B "o%l/ o"n cop:right.
$. L' In patent la"7 :o% m%st $e ne" an/ non@o$vio%s over prior art. &o infringe someone else patent7 it /oesn t matter "here :o% get info to infringe; onl: "hether :o% /o "hat s claime/ L' in cop:right la" 3lia$ilit: if cop:ing6

B.

Trenton /ndustries < suit for infringement "prop$ like rt$) and 9uasi>; for unFust enrichment "use of patent w?o compensation) "; like or prop$ like rt$) 1. Claim is one7 long sentence in or/er to ma<e s%$A. matter as clear as possi$le. a. N2itigate rent /issipation thr% self claiming. In patent s:stem7 sho%l/ $e less ; /issipation if allo"ing patent re5%ester to self claim.N onl: inner core &)ERE1*RE patent is inva"i0. 3"hat is the claim 3fig%re o%t "hat it means6 an/ inner an/ o%ter $o%n/aries6

C. &t.: /i/n t explain "hat the <e: inventive element of novelt: is. It is isn t re5%ire/ to i/entif: o%ter $o%n/s $%t a. I$ it 3apt2res prior art inva"i04 i$ it 0oesn9t not inva"i0.

$. Nove"t. r2"e: If patent gives clear $o%n/ar: on "hat infringe an/ "hat /oesn t7 it incentives people to
innovate7 not A%st ma<ing mo/ifications $4c mo/s /oesn t a// an:thing ne"7 an/ "o%l/ hol/ ppl %p "ho have investments an/ <eep them from p%tting prop. to goo/ %se.

i.

&o2rts 3on3erne0 a!o2t pp" 3reating a monopo". over an. "itt"e improvement over pree6isting propert.; an/ prevention o$ 0o/nstream innovation. ii. 'on9t /ant patents prevention /hat pp" are 0oing an0 /hat pp" are a!o2t to 0o@ /i"" $ore3"ose investments an0 2ser 3on$i0en3e.

iii. Non,o!vio2s re>9m: $ig factor in "hether patent "as legitimate in 1st place c. Nove"t. stan0ar0: "hat is ne" t /eft. isn t necessaril: "hat s ne" to the "orl/. 'ome circ%its re5%ire that it
$e ne" info to ever:one7 some A%st re5%ire to sho" that it is ne" to /eft. 3too< it from pl.6

D. Can arg%e %n/er = theor:: express = 3$lac< an/ "hite =67 implie/ in fact 3it "as %n/erstoo/ that it is ho" it
"or<e/6; implie/ in la" = 3it is not fair that B sho%l/ conger $enefit to A an/ not $e compensate/ for the $enefit6.

E. 'e$t 3"aim # in$o !ase0 arg2ment: he came across novelt: "hile in ch%rch. 0ot onl: ho" to assem$le a high
F. chair B-& A,'* that its a/vantageo%s ho" to assem$le high chair that "a:. @Galue of info is not whether someone knows the info) but who knows it and in what way 2isapprop. M4/: m%st $e ne" *R m%st $e ne" from pl. to /ef.

a. '%ppose it s in A4/ that s foc%se/ on "hat is ?ne" to /eft 1rom the time of %se %ntil time patent "as iss%e/
3p%$lic iss%e from P&*67 info $ecomes p%$lic to all. .amages "ill $e lt/. to /etermin. Ghether /ef. misapprop. 'omeone tra/e secret reme/: sho%l/ $e lt/. onl: to pt. "here I $enefite/. &he extent to "hich I $enefit is extent to "here I got from illegit. so%rce or /evelop it m:self. Chen would this info have been knowable to deft$

i.

*est 0e$t. arg2ment: $%t for m: infringement7 I "o%l/ have ma/e the >illion /ollars on prop. an:"a:.

$. I#0 that /on9t a""o/ misapprop. C*As 3"on t let emplo:er restrict free movement of la$or6: gar/en leaf
A4/.: i "ill pa: :o% 3in the gar/en6 $%t /on t :o% /are come into the office; in or/er ot loc< /o"n $o/: from competing against :o%.

II.

A&&E++ION

A. B.

C*0CEP& *1 (ILI0( PR*P. &* *G0ER *1 2*'& PR*2I0E0& I&E27 "hich is attache/ to less prom. thing 'o3trines: accession /octrins; a/ cole%m r%le; accretion /octrine; 3orp. opp. 0o3trine (a33ession 0o3trine): if :o fin/ val%a$le opp. for $sns in co%rse of "or<ing for them7 :o% o"e it ot $sns7 not :o%rself6; a. *"nership of $igger item exten/s to smaller item. $. Increase reasoning 3Accession6: o"n the mother7 then :o% o"n cat.

i.

*ene$its: Protect the asset $: <eeping them together. Asset "ill onl: $e "orth something if it s <ept aro%n/ the mom.

Conf%sion an/ A&&E++ION govern the ac5%isition of7 or loss of title to7 personal propert: $: virt%e of its $eing $len/e/ "ith7 altere/ $:7 improve/ $:7 or commingle/ "ith the propert: of others. In conf%sion7 the personal propert: of several /ifferent o"ners is commingle/ so that it cannot $e separate/ an/ ret%rne/ to its rightf%l o"ners7 $%t the propert: retains its original characteristics. An: f%ngi$le 3interchangea$le6 goo/s can $e the s%$Aect of conf%sion. In accession7 the personal propert: of one o"ner is ph:sicall: integrate/ "ith the propert: of another so that it $ecomes a constit%ent part of it7 losing an: separate i/entit:. Accession can ma<e the personal propert: of one o"ner $ecome a s%$stantiall: more val%a$le chattel as a res%lt of the "or< of another person. &his transformation occ%rs "hen the personal propert: $ecomes an entirel: ne" chattel7 s%ch as "hen grapes are ma/e into "ine or tim$er is ma/e into f%rnit%re. '%$Aect to the /octrine of accession7 personal propert: can $ecome real propert: thro%gh its transformation into a fixt%re. A fixt%re is a mova$le item that "as originall: personalt: 3personal propert:6 $%t "hich has $ecome attache/ to7 an/ associate/ "ith7 the lan/ an/ is7 therefore7 consi/ere/ a part of the real propert:. A. 0eat*erbee v. %reen1 1. 1acts: .. is the o"ner of lan/ %pon "hich stoo/ a tree that P. c%t /o"n an/ fashione/ into several expensive "oo/en hoops. P. c%t /o"n the tree in goo/ faith on the mista<en $elief that he ha/ receive/ permission from a person a%thori>e/ to grant it. ..7 ho"ever7 /i/ not a%thori>e the ta<ing of the tree an/ so replevie/ the hoops7 "hich "ere h%n/re/s of times more val%a$le /%e to the la$or than the trees $efore the: "ere c%t. P. s%e/ to get the hoops $ac<7 $%t trial co%rt fo%n/ for ..7 an/ ref%se/ testimon: that "o%l/ esta$lish the val%e of the hoops $eing m%ch greater than the trees. C. Iss%e: If a person7 acting in goo/ faith7 ta<es the propert: of another an/ transforms it into something immensel: more val%a$le7 /oes he o$tain goo/ title to the res%ltant pro/%ct even tho%gh it "as ma/e "ith the materials $elonging to the o"ner# D. )ol/ing: [es. Ghen a person7 acting in goo/ faith7 ta<es the propert: of another an/ a//s s%$stantial val%e to it7 he o$tains goo/ title to the improve/ o$Aect7 $%t nevertheless is lia$le to the original o"ner for the val%e of the original materials.

E.

F.

Reasoning: &he co%rt reasone/ that the polic: of the r%le is to affor/ proper compensation for loss to the original o"ner7 "itho%t %n/%l: penali>ing the possessor7 an/ "itho%t conferring a giant "in/fall on the original o"ner. Galue added ? degree of transformation. inflection pt. in the c%rve. An:thing less than FIV of val%e = $a/ case for accession. If amt. contri$. excee/s FI7 $etter can/i/ate of accession.F :o% are7 the

a. 2%lti factor test: some A some B or A an/ B or A or B. the more over FI perce :o% aree7 the $etter chance
:o% have to trigger factor C. i. )o" m%ch /o :o% have to change it to ma<e it something else. Co%rt sa:s: as long as there is some transformation7 it "o%l/ $e a cna/iate for accession treatment.

Q. Necessity problem. no longer possi$le to separate thera" material from final pro/%ct. )ar/ to p%ll apart relative
val%es. Also7 it is no logner it $%t has $ecome soething else. &here is no" a something else "hich is not A%st the it.

a. Bon/ $4" o"ner an/ improver 3tree an/ $arrel6. 'o it eas: to sepate oenr of tree from $arrel. X. 5f ?bf point: ho" m%ch $f is re5%ire/ to ta<e imprver o%t of accession anal:sis. If :o% have some $f7 /o :o% fial to
gf factor so :o% lose accession

B.

Edwards v. Sims. an/ a$oveYeverthing is fig%re/ o%t %nless some conflicting title is fo%n/.

1. -a1orit.: sen/ s%rve:or to /eterm. "hether part of cave is on pl s prop. $4c if :o% o"n lan/ an/ ever:thing $elo" C. 'issent: more concerne/ "4 "ho is /oing "hat "4 the asset 3possession /octrine6. Gho is ma<ing $etter %se of
the asset 3li<e in ,ads an/ airplane overflight case: "ho is ma<ing %se of 4possessing space an/ "ho is interfering "4 possession6

a. I$ there /as 0iamon0s 2n0er neigh!or9s "an04 an0 3t. sai0 /homever 0igs it 2p 1st then gets it
(possession theor.). En3o2raging ra3e to 0ig 2n0er other pp"9s "an0

$. a3ts: \ o"ns lan/ that is /irectl: a$ove a s%$@terrainian cave. ] is a A%/ge "ho or/ere/ the cave entere/ to
/etermine the facts of another case 3E/"ar/s v. ,ee67 as to "hether the cave travels %n/er ,ee^s lan/ as "ell7 an/ therefore \ "o%l/ $e trespassing on ,ee^s propert: "hile exploiting the cave. \ see<s a "rit of prohi$ition to prevent ] from enforcing his or/er. Iss2e(s): Is the ] procee/ing erroneo%sl: "ithin its A%ris/iction in entering an/ enforcing the or/er /irecting the s%rve: of the cave %n/er \^s lan/ in or/er to resolve the iss%es in E/"ar/s v. ,ee# <o"0ing(s): A co%rt of e5%it: has the transcen/ent po"er to inva/e the propert: of a private citi>en for the p%rpose of ascertaining the facts of a separate matter $efore the co%rt. Reasoning: &he right to enAo:ment an/ possession of propert: is limite/ in so far as the state has a right to infringe %pon those rights "hen it $elieves that those rights are $eing %se/ to the /etriment of other private citi>ens. Co%rt cite/ a similar /ecision involving the /etermination of trespass in a s%$@terrainian mine. 'issent(s): [o% onl: have rights to %n/ergro%n/ propert: "hich :o% can exploit7 an/ since the cave opening "as on E/"ar/^s lan/7 there "as no "a: that 'ims co%l/ exploit the cave7 an/ so he sho%l/ have no rights. &his is $ase/ on the social utility theory. R4C141I

 &"o effects of rational $ehavior an/ se"$,interest monopo".: higher price an/ lo"er 5%antit: than "hat "o%l/
perfectl: competitive mar<et :iel/ o 1airness concern: Concern is over 5%antit: effect /%e to ?gains from tra/e 3"hen /eal is /one7 each pt:. is $etter off6  'ell si/e $etter off: pro/%cer s%rpl%s  B%: si/e $etter off: cons%mer s%rpl%s o Effic. p$lm 4 concerns "4 monopolies: "a: in "hich societ: is $etter off from tra/es that ta<e place has effect that each person is $etter off less than sho%l/ $e in competitive mar<et. It s not a$o%t price pt7 $%t 5%antit: effect.  Efficienc: hit is not a$o%t transfer. It is a$o%t creating of /ea/ "eight loss 3com$o of pro/%cer an/ cons%mer s%rpl%ses6  In monopol: setting7 part $ 3prev. o"n $: cons%mer6 is s"itche/ to $e o"n $: pro/%cer an/ monopolist gets B from c%stomer. C%stomer is $etter off $: less than "o%l/ have $een "hile monopolist is $etter off more than "o%l/ have $een. • 1airness p$lm effect If seller can engage in pri3e 0is3rimination 3chrg. /iff^t ppl /iff t prices $ase/ on "illingness an/ a$ilit: to pa:6. ?C an/ ?E /oes not get ?lost $%t converte/ over to pro/%cer. o In perfect price /iscrim7 pro/%cer "ill perfectl: recover /ea/ "eight loss as pro/%cer s%rpl%s. o .o price /iscr. thr% po"er of price an/ monitoring an/ = enforcement 3e.g. @ sale of tic<ets for leis%re passengers v. $%siness passengers 3"ill pa: more6  Enco%rage/ if a$le to provi/e more 5%antit: to cons%mers ! :iel/s to monopol: In accessions /octrine cases7 o"ner of ra" material gets cashe/ o%t val%e of material $%t not for val%e the: co%l/ ve receive/ for "oo/ 3something more than ra" val%e6 $4c: o Its har/ to fig%re o%t ho" m%ch more val%e the: co%l/ ve gotten ha/ the: emplo:e/ materials for some other p%rpose.





o

Alternative sol n: replenish s%ppl: of "oo/ 3to $%il/ it into mon%mental art6 or cash e5%ivalent to $%: "oo/.

III. A##&ET/)2 A. 2ebras a v. /owa1
1. Bo%n/ar: $4" states is in mi//le of channel7 "erver it happens to $e.
i. i. Parts of river chng. rapi/l: an/ parts chng. slo"l: .octrine of increase7 accretion an/ accession are all ?accession approaches

2. R2"e Dto /eci/e "ho gets propert:9: common la" of prop. /isp%tes@@@ ii. a33retion: gra/%al shift of lan/ from one place to another. ♦ ,egal o%tcome 4 /etermin. *f $o%n/ar: = mi//le of river. As river slo"l: shifts7 so /oes $o%n/ar:.

♦ Benefits of accretion r%le: eas: to a/minister to /etermine $o%n/ar:; %tilitarian effect: as $o%n/ar: slo"l: shifts7 $oth si/es still have access to river an/ %se the lan/ the: o"n "4o having to cross river; 4 go f%rther /o"n river$an<. If $o%n/ar: is same ! access to river /istri$. &o same parties as $E. ♦ -se accretion approach 3remain same6 $%t have s%//en shift sit%ation: res%lts in giant "inner an/ giant loser $4c large ch%n<s of lan/ $ecomes part of another s territor: an/ ca%se /isr%ption. ♦ B-&7 "4 small shifts: shift "ill not $e all in 1 /irection. iii. Av2"sion: sharp creation of ne" channel s%//enl:. ♦ Res%lts in loss of $ig ch%n< of lan/ res%lts in o%tcome that ol/ channel "as perm. $o%n/ar:. ♦ 2onitoring is occ%rring. Benefit is $ig ch%n< of lan/ $o%n/ar: is /etermin. RA&I* of cost over $enefit is more profita$le in av%lsion7 than in accretion setting. 3"orth co%nting $ig st%ff7 not small st%ff.6 B. BIJTURE+ (a33ession 0o3trine): 1. If one $%:s ho%se an/ there s laptop comp%ter is in it ! "ill $e treate/ as pers. prop. 3/oesn t transfer "4 sale67 $%t fixt%res sta: "4 ho%se. 2. Strain v. %reen-i. Iss%e: "hether items sellers remove/ "ere fixt%res or pers. prop. ii. Ct. /etermines: "hether it "as a $i6t2re is 0etermine0 !.: ♦ if item is connecte/ to ho%se an/ can t $e remove/ "4 ca%sing /mg. to ho%se ⇒ co%l/ = to get res%lt /iff t than "hat ct. /eci/e/. Ct. r%le onl: applies if /eal is silent on "hat is $eing transf. "4 sale ⇒ /efa%lt r%le 3high /egree of confi/ence nee/e/6 L' man/ator: r%le 3 ⇒ 0e$a2"t r2"es: if parties are silent..it resolves sit%ation. (oo/ $4c this t:pe of r%le gives an ans"er "hen parties haven t given one for themselves. 1. %ap fi!!ing defau!t ru!e: pic< one most "o%l/ pic< for themselves as it is str%ct%re/ in a "a: to give o%tcome most "o%l/ "ant. It s not man/ator:7 $%t %tili>e/ "hen /eal is silent on certain iss%e. a. Reason to %se partic. t:pe of /efa%lt r%le: Re023es trans6 3ost C. In$o $or3ing r2"e: r%le enco%rage parties to spea< %p if o%tcome is not "hat part: "ants….can fig%re o%t easil: "hat part: /oes 4 /oesn t "ant a. E.g. :o% "ill onl: get s%ch an/ s%ch 3.mg….6 %nless :o% spea< %p 32adley: if :o% /on t /eliver7 I "ill lose….6 ⇒ -an0ator. r2"es (m2st or .o2 ma. not): ma<es s%re something /oes or /oes not happen. (oo/ if "e are confi/ent that "hat "e re re5%iring or prohi$iting is correct o%tcome. 3. La/ o$ $i6t2res: seen as gap filing ($4 it is "hat most ppl "ant6 *R info forcing 3the more :o% "ant7 the more :o% have to as< an/ inspect6 i. App"i3ation: As< "hat reasona$le $%:er an/ reasona$le seller expect. -se some o$A. st/: ,oo< at c%stom7 s%$A. intent of parties an/ o$A. in/icia of their intent 3loo< at experts "ho see ppl li<e them in lots of settings6 C. I+ A&&E++ION ANOT<ER ;ER+ION OB 1+T PO++E++ION# 1st to get ctrl of one thing $: having ctrl over some other thing. B%t not 1st possession $4c :o% "eren t 1st person "ho ha/ it… #an $ou defeat t*e owner of record even t*oug* *e *as a va!id deed to t*at propert$3 III. A0verse Possession  .iffic%lt to resolve "hen /ealing "4 intangi$le prop. 3c<s7 stoc< certs7 interest6 A. 'essee of Ewing v. "urnett1

a. b. c.

-a1orit. R2"e $or A0verse Possession Ba3ts: 2an sells lan/ t"ice7 one o"ner possesses the lan/ a/versel: an/ ta<es s%es other o"ner to clear title. P ha/ ol/er title; . live/ across the street7 pai/ taxes on lot7 $ro%ght actions against trespassers7 gave rights to /ig gravel; P state/ that some/a: he "ante/ to reclaim lot R2"es:

i.

E"ements o$ A0verse Possession7 m%st possess for +OL perio07 possession that is:

1. 2. 3.

A3t2a": act%all: possession an/ asserting /ominion over the lan/ E63"2sive: excl%/es the tr%e o"ner Open an0 Notorio2s: giving notice to o%tsi/e "orl/ an/ o$vio%s :o% are claiming possession

d.

e.

A0verse: %n/er a claim of right 3i.e. no permission from o"ner6 ii. Unne3essar. E"ements 1. 0o nee/ for fence7 $%il/ing or other improvement C. Resi/ence is %nnecessar: D. -se it for occ%pational p%rposes or c%ltivation App#<o"0ing: 'ince . act%all:7 excl%sivel: 3&* /i/n t visit lan/67 *pen an/ notorio%s 3p2!"i3 a3ts o$ o/nership s2$$i3e: all the people in the area tho%ght it "as his67 contin%o%s for the "hole stat of lims6 an/ a/verse %n/er a claim of right since he "asn t technicall: the &*7 so . no" $ecomes &*. i. Ct. "ants to state that /f. /i/n t <no" he "as APing. If he /i/ <no" he "as APing 3intent 4 mental state eval.67 sho%l/ r%le ta<e this factor into acct. ii. AP tr%mps recor/ing act. If AP can ma<e o%t her case7 she "ill "in7 %nli<e sit%ation "4 recor/ing act 3"here (1 $%:er is $etter off an/ B1 $%:er ma: $e "orse off6 &on3"2sion: .f. o"ns lan/. =no"s he o"ns $4c ct. or/ere/ it. Cn/ $%:er "o%l/ "ant to see not onl: title /oc7 $%t ct. A4m stating he o"ns it.

4. 5.

&ontin2o2s: consistent occ%pation thro%gho%t stat%te of limitations

A0verse possession is a metho/ of /efeating the o"ner of recor/ "hen claim of title or recor/ing is not an iss%e. It resolves competing claims $: an ol/ concept of possession rather than notice of title. f. If &* gives permission 4 license to %se it ! it is 0*& AP I$ someone is possi!". a0verse". possessing m. st2$$4 give them permission to 2se it (32ts o$$ AP 3"aim !. ma(ing it non,a0verse)4 given permission an0 "mt !. a00ing Krevo3a!"e? to permission or !ring 3"aim $or trespass. A. Ct. favors goof gate<eepers 4 c%sto/ians7 "ho "ill coor/inate %se of lan/. i. If person is infirm7 li<e in 6essee of ,wing7 he is incapa$le of reg%lating lan/ %se7 person is c%t slac< in $eing goo/ gate<eeper. B. 6abor 6ocke theory: "hoever slept on rights /oesn t /eserve it 3even if &*6; an/ "ho p%rs%es the lan/ gets is.

g.

C. D.
E.

Personhood: if :o% re snoo>ing on it7 :o% are not investe/ or connecte/ to it an/ ')*-,. 0*& get it. =tilitarian argument: "hen /f. gets lan/7 ever:one onl: has to /eal "4 /f. 3C%ts off /ealing "4 others6 = transx cost saving /evice Recor/ing acts /esigne/ to /eal "4 seller selling same thing to more than 1 in/iv. If $%:er p%rch. in (17 "ill have goo/ chance of o"ning it. B%t7 ma: $e "orse off if :o% <no" it s hot… a. Important consi/eration to 1st possession7 an/ (1 p%rchasers *R B1 p%rchaser 3have notice of B1 claim6 #arpenter v. &uperto > corn fiel/@@  ha/ <no"l. lan/ "asn t hers "hen expan/e/ her la"n 3 intent $a3tor matters6 a. 2aine R%le@ B1 an/ <no"l. re5 /: m%st a/versel: possess "4 intention of /isplacing o"ner of title. i. @ pro$lem is that it a"ar/s $a/ faith ii. $len/s hostilit: re5%irement iii. $eing there $: mista<e is not s%fficient iv. can t have goo/ faith b. if :o% <no" it s not :o%rs ! :o% cannot get it

F.

c. /. G. a.

APer invests in it even tho%gh she <no"s it is not hers$ @f she had engaged in high intensity use) ct$ would maybe not have called her out if she had put it to ama7ing use$ i. -otive s/a.s 0e3ision !#3 there9s no evi0. o$ high va"2e 2se. Ct. is not clear on "hat is B1 an/ if she engage/ in it.

Howard v. +unto 1acts: 'everal o"ners of propert: in a s%mmer resort /estination /iscovere/ that the lan/ the: occ%pie/ /i/ not match their /ee/s 3see /iagram6. )o"ar/ o"ne/ the /ee/ to the propert: occ%pie/ $: 2o:er an/ 2o:er hel/ the /ee/ to the propert: o"ne/ $: =%nto. )o"ar/ an/ 2o:er tra/e/ /ee/s giving 2o:er the correct /ee/ an/ )o"ar/ the /ee/ to the lan/ occ%pie/ $: =%nto. @)o"ar/ $ro%ght s%it to 5%iet title an/ to assert his o"nership of the real estate occ%pie/ $: =%nto. =%nto conten/e/ that altho%gh he ha/ $een in possession of the lan/ less than one :ear7 he an/ his s%ccessors ha/ $een living on the propert: for longer than the 1I :ear stat%tor: perio/ an/ he therefore ac5%ire/ the lan/ thro%gh a/verse possession $: tac<ing.

&he trial co%rt entere/ A%/gment for )o"ar/7 hol/ing that the act%al transfer of possession is ins%fficient to esta$lish privit: "hen the /ee/ /oes not /escri$e an: of the lan/ occ%pie/. =%nto appeale/.

$.

c. /.

Iss%es i. Is tac<ing of possession $: s%$se5%ent occ%pants permitte/ if the lan/ is occ%pie/ %n/er a mista<e of fact# ii. 2a: a part: prevail on a claim of a/verse possession if ph:sical %se of the propert: "as limite/ to s%mmer occ%panc: R%le: tac<ing "here 3piece together c%m%lative time6 in privit:

)ol/ing an/ R%le i. [es. &ac<ing of possession $: s%$se5%ent occ%pants is permitte/ if the lan/ is occ%pie/ %n/er a mista<e of fact provi/e/ the occ%pants are in privit:. ii. [es. A part: ma: prevail on a claim of a/verse possession if ph:sical %se of the propert: "as limite/ to s%mmer occ%panc:. e. Rationale: A p%rchaser of lan/ ma: tac< the a/verse %se of his pre/ecessor in interest "hen the lan/ "as inten/e/ to $e incl%/e/ in the /ee/ $et"een them $%t "as mista<enl: omitte/ from the /escription. &he re5%irement of privit: is merel: A%/icial recognition of the nee/ for some reasona$le connection $et"een s%ccessive occ%pants of real propert: so as to raise their claim of right a$ove the stat%s of a "rong/oer or trespasser. @In this case7 s%ccessive p%rchasers receive/ recor/ title to lan/ %n/er the mista<en $elief that the: "ere ac5%iring the a/Aacent tract. &here is a s%$stantial /ifference $et"een a s5%atter or trespasser an/ a goo/ faith p%rchaser "ho7 along "ith several neigh$ors an/ as the res%lt of an inacc%rate s%rve:7 mista<enl: occ%pies the propert: a/Aacent to that /escri$e/ in his /ee/. f. P%$lic Polic:: Earl: certaint: as to the location of lan/ o"nership is $eneficial. &he technical re5%irements of privit: sho%l/ not $e %se/ to %pset the long perio/ of occ%panc: of a goo/ faith p%rchaser "ho receive/ an erroneo%s /ee/ /escription. In this case there is s%fficient privit: to allo" tac<ing. g. Contin%it: of Possession: &he re5%isite possession to maintain a claim for a/verse possession re5%ires s%ch possession an/ /ominion as or/inaril: mar<s the con/%ct of o"ners in general in hol/ing7 managing an/ caring for propert: of li<e nat%re an/ con/ition. &his propert: is a s%mmer vacation home an/ there "as contin%o%s possession even tho%gh the propert: "as %se/ onl: in the s%mmer months. M%/gment reverse/.

h.

0otes on Polic: 2atter: .isorgani>e7 serial invation of prop. "on t raise AP pro$lems if %sers aren t in privit:. *nl: ongoing presence "ill create p$lm. if coor/inate/ privit: $4" person A occ%p:ing an/ = ing "4 B ! also occ%p:ing. &a<ing is *= so long as pt:. is in privit:.

NNIs lac< of contin%it: of possession fatal to AP claim# )0 parties DinterestsE are onl: going to $e there p4t also. ,ens thr% "hich "e anal:>e contin%it: of %se is vacation7 p4t %sers. D/ parties are less li<el: to $e connecting to it o%t of season.

H.

Songb$rd v. Estate of %rossman4444

a. $. c.

/.

Timing iss2e: A/verse poss. $egins at pt. of conversion. 'o7 pl. /oesn t <no" that rights "ere infringe/ %ntil later. (etting "in/o" open at earlier time incr. chance that it "ill $e sh%t $: time of la"s%it. *%tcome = AP. Converter <no"s $%t P /oesn t <no" that AP has starte/. ?*pen an/ notorio%s is occ%rring in non@explicit circ%mstance. P can t $ring action on cop:right $%t on tapes on "hich songs "ere recor/e/.. i. 'tat%te /oesn t allo"….3loo< this %p6 ii. Cop:right la" sa:s no protection. Cannot achieve thr% state la" "here fe/. la" has preempte/ protection. (an/t lawsuit like this even be brought# .on t <no" "hat their state of min/ "as "hen the: sol/ to someone else. (. 3/i/n t <no" he as<e/ for it 4 ma/e a call6 4B1## i. 8arvis v$ 5illespie

Replevin: for personal propert: EAectment: for real propert:. Recor/ing is cr%cial: an o"ner nee/s to recor/ o"nerhisp "ith a co%nt: office7 other"ise "ill r%n into pro$lems. In the /ee/ s:stem7 sometimes o"nership... Polic:: 1. A/verse Possession is a penalt: exacte/ on existing o"ner for not monitoring lan/ an/ failing to %se it. /etrimental reliance of a/verse possessor C. non penalt:: /esigne/ to re"ar/ people "ho are %tili>ing lan/ that ma: not other"ise $e /evelope/. &he a/verse possessor is not an o"ner of recor/ $%t can claim possession s%$Aect to the follo"ing con/itions: 1. )as a stat%te of limitations past# a. if the stat%te has not r%n7 the o"ner can evict :o% an/ :o% "ill not have a claim for a/verse possession $. the length of the stat%te of limitations varies $: state c. If "ithin the stat%te of limitations7 reme/ies of the o"ner incl%/e eviction an/ a$ilit: to s%e for rent /. shorter stat%te of limitations if acting %n/er color of title 3 a goo/ faith $elief that :o% have title to the propert:6 P,-' C. E0CR*AC)@ Excl%sive7 0otorio%s7 Claim of Right7 Act%al Possession7 Contin%o%s7 )ostile a. Excl%sive: 1. -se m%st not $e share/ "ith the o"ner or other a/verse possessors $. 0otorio%s an/ *pen 1. 2%st $e clear an/ %ne5%ivocal so the o"ner is on notice C. If it s a minor encroachment7 o"ner m%st have act%al <no"le/ge @ 0anillo v$ 5orski> the concrete steps that "ent onto another s propert: A%st a little c. Is :o%r possession $: claim of right# 1. Io"a R%le@ (oo/ faith an/ "itho%t <no"le/ge of infringement: if possessor <no"s he has no title7 can t a/verse possess. D. 0e" R%le 3Connectic%t6 @ 0anillo v$ 5orski) Peters > Parties intention is irrelevant@ avoi/s mens rea in5%ir:7 foc%ses on open an/ notorio%s @ .i/ possessor act reasona$l:# /. .o :o% have act%al possession# 1. ,an/ m%st $e %se/ for its t:pical p%rpose C. -s%all: a A%r: iss%e D. 8arvis v$ 5illespie e. Is the %se of the lan/ contin%o%s# 1. -s%all: a A%r: iss%e C. 8arvis v$ 5illespie D. *<a: if %se is fragmente/ or occasional so long as that is consistent "ith the lan/ s t:pical %se. f. Is the possession of the lan/ hostile# 1. :o% can t a/versel: possess if %se of the lan/ "as permitte/ $: the o"ner C. 8arvis) Peters D. &his excl%/es tenants from a/versel: possessing If a person can t get title thro%gh a/verse possession7 /o :o% have reco%rse to the innocent improver /octrine# @ get cost of the improvements from the o"ner 3e5%it: reme/:6 @ get the o"ner to sell the lan/ min%s the val%e of the improvements #an someone adverse!$ possess persona! propert$3 5uggenheim @'tat%te of limitations options: 1. at time if theft from original o"ner C. at the time of the p%rchase from the thief to the original o"ner D. at the time that the original o"ner /iscovers the loss E. at the time that the ol/ o"ner /eman/s it $ac< an/ the ne" o"ner ref%ses @ the co%rt in 5uggenheim /eci/es this option @ /i/n t "ant 0[ to $e a haven for stolen art @ places ris< of investigating title on the ne" o"ner "ho is the least cost avoi/er @ ma<es a/verse possession /iffic%lt

A.

Ro"e o$ Kgoo0 $aith?: #arpenter v. &uperto 3minorit. r2"e o$ e6p"i3it goo0 $aith re>2irement6 2arginall: improves it7 3$a/ faith7 al"a:s <ne" it "asn t hers an/ s%es to ta<e possession via Z%iet title action 3/eclaration $: ct. of "ho o"ns "hat6

1. Ba3ts: A/verse possessor <no"ingl: exten/e/ :ar/ into neigh$or s cornfiel/7 %ses it as her o"n for CI_:rs. C. R2"es:

a. -inorit. R2"e: fe" states re5%ire (1 in A/verse Possessors to gain title. 2ost states /on t care a$o%t goo/
$. c. faith or $a/ faith. 3some even re5%ire $a/ faith6 *$Aective facts %s%all: m%ch more compelling than s%$Aective intent for a/verse possession Ghen <no"le/ge of lac< of title is accompanie/ $: <no"le/ge of no $asis for claiming an interest in the propert:7 a goo/ faith claim of right cannot $e esta$lishe/. )o"ever co%rts sometimes loo< more favora$l: on Jgoo/ faithK actors in close cases.

D. App#<o"0ing: Goman f%lfills all elements of a/verse possession7 $%t her state 3IA6 re5%ires (oo/ 1aith in a/verse
possessors so she is /enie/. R4CX41I &ON;ER+ION ;. REPLE;IN &onversion ! action accr%es "hen thing is ta<en L' rep"evin: accr%es "hen action is file/. &o get aro%n/ '*,7 $ro%ght replevin C*As 3stolen art cases6 1. .eman/ for conversion: /mg. or replevin 3give it $ac<6 C. Replevin

+EGUENTIAL PO++E++ION

1. Armor$ v. 5e!amirie 5 3himne. s/eep (a3tion $or 3onversion) a. Eacts: chimne: s"eep 316 fin/ Ae"el an/ ta<es to Ae"eler for appraisal; apprentice at Ae"elr: stores ta<es
Ae"elr: 3C6. Is the 1st g%: reall: a 1# Is apprentice reall: a C or simpl: follo"ing $oss s /irection. i. .on t <no" relationship of parties

$. (t 2olding: /eci/es to ma<e Ae"elr: store pa: high val%e 3/on t "ant to %n/erprice the thing $4c this
incentivi>es theft6

c. E1 v$ (1: Rule. 1st 1 has highest title except for &*. In B v. &4 B /ins. i. Policy benefit. conversion H "bad < imposing will on others)$ Acting conversively against E is
unfair$

ii. @f interest is protecting interest of +O.
1. o$A. sho%l/ $e given to fin/er $4c this incr. chance &* "ill get prop. $ac<; loo< at those "ho might ve $een in ho%se o$A. sho%l/ $e given to C $4c &* li<el: to fin/ Ae"elr: in Ae"elr: store

C.

iii. Ct. /oesn t as< 5%estions re: &* $4c 1 3non@coerce/ 1st possessor6 "ill have rights against all $%t
&*.

C. #!ar v. 6a!one$ ! P fin/ logs in .E $a: an/ ties %p. . claims he fin/ them later $%t P claims it $elonge/ to
him.

a. :oth are Einders "E1 and E )$ Appl:ing Armor$ r2"e: both can make identical Einders argument4 would
both win$ Need another rule$

$. Rule: 11 tie/ them %p an/ /i/n t a$an/on logs. 11 ha/ initall possession so has right over an:one else
except &*. Birst $in0er has higher tit"e than a"" s2!se>. $in0ers.

i. Both are non@coercers. Became 1st 1 $: ta<ing possession 1st7 so sho%l/ get o"nership. 1airness
ii. If ct. "ere to simpl: split val%e among all fin/ers7 ever:one "o%l/ claim to $e a fin/er…Also7 "hat "o%l/ :o% /o "4 thing itself. )o" "o%l/ :o% get val%e of it# Also7 &* "o%l/ $e on notice that 11 fo%n/ it an/ "o%l/ claim it.

iii. 1st Possessors ! sen/ signal to rest of "orl/ as gate<eepers A0. manage the reso%rce $4c the:
have interest in it.

D. Anderson v. %ou!dberg ! case of converters 3(1 v$ ( 6; P s%es for conversion of logs 3c%t /o"n in ?m: area 6
i. Wh. is 3t. pi3(ing a /inner o2t o$ t/o !a0 "itigants (31 an0 3%)C ARa3ing to !e "ast9. At the en04 I 3ome an0 ta(e the prop. ii. Ana"ogo2s to i""ega" s: 3t. sti"" pi3(s a /inner

$. Eacts: P claims to have c%t logs in area 1 an/ hails to area C. 0ot clear he ha/ right to c%t logs from area
1. . claims logs "ere ta<en from his area. 0either "as &* of lan/.

c. 2olding: C1 gets to <eep prop. $4c he ha/ possession an/ gets relative title. TO9s 3"aim tr2mps
an.one e"se9s tit"e.

E. 7is*er v. Stewart < P finds swarm of bees in tree o n D/s land$ D cuts it down off his own land and takes honey$ a. (t$. $4c trees 3an/ hone in it6 are part of propert:7 prop. o"ner has $etter title to tree an/ o"ns hone: !
a33ession.

$. Notes: P ! /iscoverer ! co%l/ not get hone: "4 trespassing. c. Ad co!um is main ru!e; ratione soli 3applie/ to mova$le o$A. @"il/ animals6 in Englan/. i. 6and si7es in =3 are rather uniform) small. B%t in Englan/7 T of estates "hich are prett: $ig. &hat
is "h: the: applies ratione soli r%le @ if :o% o"n lan/7 :o% get foxes that r%n onto it. Better chance that some animals "ill r%n onto :o%r lan/ ! "ill allo" private h%nting $4c it "ill $e on :o%r lan/ for eno%gh time to catch it.

ii. Attachment of obF$ of value to specific location. 1. )one: is separate from $ees; "here it is ma/e
is "here it sta:s. C. Asset re5%ires investment to $e %se/ "ell. 3.iff t from foxes an/ /eer6

/. 2ote8 5hen v$ 5ee: "haling case "here local c%stom "as consi/. $: ct. )ere7 ct. isn t concerne/ "4 local
c%stom; onl: "4 "ho o"ne/ lan/ an/ tree an/ hone: in tree.

F. %oddard v. 0inc*e!!: a. Eacts. )oaglan/ see it on (o//ar/ s lan/ "ho aren t there. &enant lets them enter lan/ an/ ta<e it.
(o//ar/ claims it is his $4c he o"ne/ the lan/ an/ /%e to:

i.

accession he o"ns "hat s on it *R

ii. per racione soli "it moves aro%n/ an/ en/e/ here6 or iii. ad coleum 3mineral %n/er the gro%n/6 or iv.
$. it s fi-ture 3affixe/ to lan/6

)oaglan/ gets it if arg%e/ as:

i. 1st possession 3Pierson v$ Post < h%nting7 narro"ing it7 shooting7 <illing7 gra$$ing fox) ii. .iscover: 31st poss.6
c. (o//ar/ "ins so ct. chooses assession or assession li<e /octrine.

i. Benefits of this o%tcome: m%st /mg. (o//ar/ s prop. to remove meteorite from gro%n/. A/v. of
r%le to give it to (o//ar/: other pt:. "on t li<el: reim$%rse val%e of /mg. /one to lan/ in co%rse of removal to lan/o"ner. NNProte3ting va"2e o$ "argest asset to /hi3h one is a33e0ing sma""er asset. It is important that meteorite is !2rie0 in the "an0. *ene$its 3ontingent on $a3ts=

/. 6abor theory: Ghomever p%ts effort into real prop. an/ coverts to pers. prop. to $e %se/ sho%l/ get prop.

O!1e3t $o2n0 in Priv. <ome 9. Hanna* v. Pee!

a. Eacts. . famil: gets ho%se $%t never ta<e possession 4 move in. Arm: se5%esters ho%se /%ring "ar.
Ghile statione/ there7 P fin/s $roach a$ove "in/o" sill. &r%sn it into police7 "ho ret%rn it to o"ner of prop. *"ner sells anf Peel 316 s%es for val%r. i. $. c. Either C or 1.

0ot a fixt%re… -.'. cases: /isting. $4" mislai/ an/ lost prop. 3"ant to tilt la" in favor of lan/o"ner6

/. 3outh 3taffordshire case: fo%n/ prop. goes for master

e.

Rule. *$Aects fo%n/ insi/e private home are %s%all: a"ar/e/ to o"ner of the home.

f. O/ner is not in possession: )annah v. Peel: ,-ception to Iprivate home ruleJ b?c owner was not in
possession$ If o"ner of ho%se has not move/ into ho%se7 it has $een hel/ that o/ner o$ ho2se is not in 3onstr23tive possession o$ arti3"es therein o$ /hi3h he is 2na/are. 3'ol/ier fo%n/ $rooch in ho%se o"ne/ $: ` $%t re5%isitione/ $: the militar:. a reports fin/ing7 $%t ` "ants the $rooch.6 g. Polic: Consi/erations: i. Ret%rn of (oo/s to the &r%e *"ner ii. )o" $est to /o this in )annah# B: giving the $rooch to the ,IZ7 $eca%se the &.*. "ill retrace his steps. iii. Carr:ing o%t the expectations of the parties iv. Preventing trespass v. -phol/ing p%$lic or/er h. 1in/er is on premises for a limite/ p%rpose: i. Rule. If the fin/er is on the premises for a limite/ p%rpose7 it ma: $e sai/ that the o"ner gave permission to enter onl: for the limite/ p%rpose7 %n/er the /irection of the o"ner7 an/ the o"ner is entitle/ to o$Aects fo%n/. 7. 'o%th 'taffor/shire Gater Co. v. 'harman: 3a "as emplo:e/ $: the ` to clean o%t a pool of "ater on their lan/ an/ he fo%n/ t"o rings em$e//e/ in the m%/ on the lan/. ` s%e/ a for the rings6. H. I. *$Aect 1o%n/ in P%$lic Place: 9. a. R%le: ,ost propert: goes to the fin/er rather than the o"ner of the premises. Bri/ges v. )a"<es"orth 3from )annah7 "here patron fin/s p%rse an/ gives to o"ner of premises "ho a/vertises for the &.*.7 "ho never comes. Patron s%es o"ner for p%rse an/ "ins.6 P%$lic v. Private /istinction: here p%$lic place7 in )annah private ho%se. 1I. $. R%le: 2islai/ propert: goes to the o"ner of the premises. &A=I0( B*.[ PAR&' .. 6oore v. &egents of :niv. of #a!i a. Parties: P, is patient "ho is see<ing relief; .1^s are /octors an/ to regents of -niversit:.

$.
c$

/. e.

f. g. h. i.

A.

&OA#reme0. so2ght: P see<s /amages for nota$l: conversion of his cells. Doesn/t seem like loppy Kduty of care/ pblm or K@ hurt you/ duty of loyalty pblm$ i. /nformed consent vio!ation: has o$lig. to /iscl. "hat his cell "ill $e %se/ for incl. an: financial $enefit Pro3e02ra" <6: Co%rt of appeal fin/ing @ P, /i/ s%stain a proper ca%se of action. Ba3ts: P, "as treate/ $: .1^s7 "ho notifie/ him he ha/ life@threatening le%<emia7 an/ that he^/ nee/ his spleen remove/. -pon /oing this7 .1^s /i/ tell P, the: "o%l/ %se his tiss%e for cell research7 !2t the. 0i0nLt te"" him ho/ m23h the tiss2e resear3h /o2"0 reap $or '$Ls4 or even that the. /ere 3ommer3ia"". intereste0 in it. )%n/re/s of tho%san/s of /ollars ha/ $een pai/ to people %n/er s%ch circ%mstances in HIs; potential from P,^s cell line pro/%cts is expecte/ to r%n into the $illions of /ollars. Iss2e(s): -n/er prop. la"7 /oes P, state a C*A against his ph:sician an/ other .1^s for %sing his cells in potentiall: l%crative me/ical research "4o permission# <o"0ing: b&he complaint states a ca%se of action for $reach of ph:sician^s /iscl. o$ligs7 $%t not for conversion....b &o2rtLs Rationa"e#Reasoning: Breach of ph:sician fi/%ciar: /%t: are slam /%n<. As to 3onversion7 C*A %n/er P,^s "o%l/ stretch fa$ric of tort la" %n/er theor: of conversion. Ct. $elieves there is no C*A %n/er this theor:. 1or conversion7 P, nee/e/ to est. there "as an act%al interference "4 his o"nership right or to his right of possession. 'ince P, /i/ not expect to retain possession of his cells7 in or/er for this C*A to fl: he "o%l/ have nee/e/ to prove that he ha/ at ver: least an o"nership interest in them. )o"ever7 CA stat%tor: la" limits contin%ing interest in cell tiss%e once /onate/7 an/ the research "as -niversit:^s7 not P,^s. Personal li<eness is one thing7 $%t there is no conversion C*A on this $asis in propert: la"7 as there are not in tort la" either 3Prosser cite/6. A//itionall:7 research here is for part of cell str%ct%re "hich is in ever:

<. l.

h%man $eing7 an/ is exact same in all h%man $eings. 1%rther7 if ever: pt. ha/ contin%ing interest in their cell%lar propert:7 /oors to potential litigation co%l/ $e opene/ "i/e7 /%e to certain level of impractica$ilit: to P,^s arg%ment. Also7 CA )ealth la" sa:s nothing of the contin%ing interest one ma: have in their cell tiss%e. Note: Balancing test of polic: o%t"eighs the other si/e of exten/ing the tort. )%man research co%l/ $e hin/ere/ significantl:. R2"e: &o est. a conversion7 P m%st esta$lish act%al interference "4 his o"nership or rt of possession. Ghere P neither has title to propert: allege/ to have $een converte/7 nor possession thereof7 he cannot maintain C*A for conversion.

m. Ana".sis: &he co%rt %ses three principles:
1. An a/%lt has right to control his o"n $o/:. C. Consent is onl: effective if it is informe/ consent. D. &he /octor m%st tell :o% a$. ever:thing that is material to :o%r /ecision to give consent. n. B2n0amenta" p!"m in 6oore: &ransf of o"nership $%t sho%l/ sa: :o% cannot transf o"nership7 either =7 $ or $: gift. Perhaps P is a monopolist $: restricting /o"nstream %se 3'a: for someone "ho nee/s the hair: cells to s%rvive.6 'ol%tion: &o enf. on s prop right "4 lia$ilit: r%le. Entitles :o% to is $ if someone ta<es it $%t not to restrict %se. @&a<ing something for p%$lic %se v. compensation… NN a .r.7 in getting :o%r informe/ consent7 m%st tell :o% a$o%t all of his interests that ma: affect his A4m7 or else he ma: $e lia$le for performing me/ical proce/%res "4o informe/ consent. NN&here is a competing interest in "ithhol/ing information if giving information "o%l/ ma<e patient ma<e a $a/ choice. )o"ever7 ct feels this applies onl: in cases "here /octor is acting solel: in patient s $est interests. Ct fin/s this is not case here. &hin< a$o%t: :o% get some form of interest 4 prop. right in $o/: parts ! /%e process @ gov t can t ta<e it "4o compensation. Propert: lite: /oenst give right to excl. NNA/verse possession an/ accession: o%rs "hen connecte/ to %s or assoc. "4 %s $%t after it is remove/; has pt. a$an/one/ propert: rt. in $o/: part. Ghat <in/ of a$an/onment is it# NNCan :o% transf. it# .o :o% nee/ to have certain t:pe of proce/%re an/4or legal /oc.# ,IABI,I&[ R-,E ! I o"n the $arrel stave an/ I "ill pa: :o% for the "oo/… R4CH41I :nited States v. #orrow a. In5%ir: notice ! o$lig. to act some 5%estions to ma<e (1 sale $. 04A stat%te ma<es it a cost to the o"ner of c%lt%ral paternit: an/ $enefit to societ: at lrg.

i. E.g. ! elephant tri$e in s%$@saharan Africa "hich allo"s shooting allo"s /iverse her/s an/ ppl protect
them. Ghere shooting is prohi$ite/7 there s no protection for them 4 a$%se. In this case7 prop$ rights helps$ *. ANTI,&O--O'IBI&ATION AN' INALIENA*ILITY RULE+ A. the i/ea that :o% co%l/ have asset an/ entitlement 3not to $e misrepresente/6 an/ la" /oesn t allo" :o% to separate :o%rself from the rt. i. 'ample R%le :o% ma: not sell entitlement $%t can give a"a: an/ vice versa. 3t:pes of inaliena$ilit:6 ii. market inalienability ! cannot sell L' inalienability! cannot sell or give 3e.g. something "4 prop. interest 3$4c cant ta<e "4o /%e process6 $%t inaliena$le = me/ical license6 a. 'ell $%t can t give a"a: ! gives ppl confi/. there^s realit:

a. E.g. in 0oore case: $ra202"ent trans$. # sham or $ra20 trans.: %sef%l to give a"a: st%ff to
$. a. others "4 relationships rt. $E claiming $an<r%ptc:. B%t if pa: for it7 the val%e is in $an<r%ptc: case [iel/s Recor/ing point7 invest an/ gate<eeper pt7 <eep trac< of "ho has val%e pt Ra/in: empiricall: it is $etter if ppl are not allo"e/ to mar<et certain pers. items 3infecte/ $loo/ arg%ment6

$. Can t sell 3better for society to outlaw certain markets6! /on t "ant ppl selling their name 4 organs i. Anti,mer3anti"e arg2ment: Cost of personal transx. 3co@mo/ification6 extraor/inar:
B. compare/ to $enefits. …Creation of hierarch: so can avoi/ negotiating ever:thing. <ave prop. to $2rther personhoo0 interest. i. prop. "ill get things %se/ "ell 3economic %tilitarian reason6 as "ell as personhoo/ reason 3free choice; protect against /oing something "e / %s%. fin/ s%spect or /istastef%l6 3organ selling7 slaver:7 prostit%tion6 a. $etishism &* things a$o%t I. 3personhoo0 things theor.6 I' more important compare/ &* $2ngi!"e things 3mere val%e things6 &* prop. that s so important7 it is non,mar(eta!"e pro/. ii. if prop Is "rong "a: to go7 nee/ $%rea%cratic /irection NNsomething co%l/ $e f%ngi$le prop. in han/s of man%fact%rer an/ personhoo/ prop. in han/ of cons%mer

C. .emset> Paper: see prop. rights emergenc: in 1st nation tri$es "hen $enefits of recogni>ing prop. rights excee/ costs. *ver%se 3&rage/: of commons6 an/ %n/er%se 3%n/erinvestment in geneticall: /iverse floc<4her/6 of prop. Ghen /eman/ for an item $ecomes great7 $enefits "ill exist to protect them. i. Propert: rights internali>e externalities. Costs of prop. rigts 3cost of tra/e6 are not trivial. 'o7 :o% /on t see prop. right emergence in other 04A tri$es $4c it "as impossi$le to fence off $%ffalo. ii. Paper /oesn t /isc%ss ho" one ac5%ires prop. ! thr% poli. Process. An/7 ho" it achieves internali>ation effect ! see &&1 piece. a. CII1 piece: /on t pa: attention to internali>ing externalities 3"e have positive externalities ! free gar/en ! "4o prop. mechanism nee/e/ to s%pp. it.6 b. (oordination: can $e passive 3Ever:one sho"s %p at gran/ ctrl at 1C pm6 an/ active 3$oss r%ns co.6 a. If :o% not in that comm%nit:7 :o% re not getting coor/inate/. Go%l/n t exist if ever:one "as in the norm. b. Propert. 0oes this: I am c%sto/ian of asset an/ "ant to <no" ho" to $est %se this asset 3:o% $ have7 me $ "ant…let s /eal6. Allo"s ppl to coor/. Conversation a$o%t assets. Coor/ination is less than ctrl. ! "4 former :o% /on t /eci/e "hat happens to asset7 "4 latter ! one "ho /eci/es is one "ho has most $arg. po"er 1M#N 5 %n0 ha"$ I. &ts. stepping in to stop pa.ing o$$ parti3. 3onstit2ents

i. 7ovt a3tors to some e6tent a3t in o/n se"$ interest 3tr:ing to ma<e their Ao$s more effective…
not reall: corr%ption6 1. M%/ges act in o"n self interest an/ p%$lic pa:s price for that. If that s the case7 "h: sho%l/ co%rts $e chec< against other $ranches of gov t Priv. prop. proponents $elieve there sho%l/ $e p%$lic prop. /isagreement over rt. mix

II.

ENBOR&E-ENT: RI7<T TO EJ&LU'E a.

$. Criminali>ation of prop. %s%. tie/ to person 3more protecting prop. o"ner than prop. itself6 i. P$lm: spen/ too m%ch reso%rces to enforce crim. la" "here there s no ph:sical7 personal ris< 3Enron7
2a/off7 insi/er tra/ing7 "ire fra%/6 1. *nl: "ea<l: protect prop. crimes li<e trespass $4c "e are confi/ent it is alrea/: protecte/ thr% civil reme/ies7 self help c. Belive that prop. is a$o%t notice to ever:one: is $enefit of in rem rights. In favor of %sing crim. s:stem. III. Olovo) 5asparik ! a. In all cases7 person ha/ :et to act%all: ta<e an:thing a"a: from store. 'o7 is it a crime# $. <o"0ing: :es7 see p. DRH7 note Q: ct. /isc%sses a$o%t movement of act%al o$A. intent alone is not eno%gh to $e chrg. "4 larcen:. Also re5%ire actor to to%ch 4 move o$A. i. Ghat a$o%t movement of o$A. signals that effect# &rim. ans/er: It involves not onl: intent $%t also asserting ctrl. over o$A. 3mens rea _ actus reus6. It incr. o%r confi/ence in intent evi/. $4c given option to chng their min/. Prop. ans/er: In/iv. carr:ing o$A. = signaling 4 notice to ever:one some possession7 ctrl. NE&E++ITY 'O&TRINE IL. 3tate v$ 3hak: prop. o"ners7 fee simple7 strong prop. rt.7 no complications a$o%t title. Involves act%al trespass on real prop. a. &t.: ai/ "or<er acting p%rs%ant to fe/. stat%te. i. Allo"ing non@profit ai/ "or<ers protections of fe/. officers too m%ch. ii. Ct. p%ts in confl. h%man an/ prop. rights. In confl. $4c of position of rt. to excl. against strong /istri$. /istance in "ealthY(0isparit. in /ea"th 0riving opinion). It s the right to excl. a"a: from things that someone act%all: nee/s. 1. Gh: is the prop. sol n to p$lm. that lan/o"ner loses his rights# Effect is /esta$ili>ing. $. <o"0ing: rt. to excl. "as not enforce/ in this case. Either Categ. $alancing: ai/ "or<er 3or $roa/er6 tr:ing to give ai/ to migrant "or<er living on farmer s lan/7 then "or<er can t $e excl.7 *R A/ hoc $alancing: in ct. "is/om it is "orth it7 then no right to excl. i. Benefit of a0 ho3 !a"an3ing: a/A%sts to changing circ%mstances7 $%t p$lm is it s at "him of ct.7 no $right line $o%n/aries as to o"ner s prop. rights. ii. Benefits of 3ategor. !a"an3ing: gives notice: the more :o% force ct. to anno%nce categor:7 the more there s notice to ever:one else the t:pes of times "here right to excl. "on t $e enforce/. c. Penalt: one pa:s isn t eno%gh to /eter trespass. *ne $enefit of /efining it as trespass helps set $argaining aro%n/ it: allo"s lan/o"ner to facilitate self@help 3planning7 $argaining6 /. Ct. co%l/ ve %se/ other legal roots to get to the o%tcome: PER-I++ION. B%t7 ct. "ante/ to sa: ?this is a propert: exception 3categorical or a/ hoc $alancing6. i. rights of other in/ivs. incl. accepting visitors as long as it /oesn t interf. "4 rights of prop. o"ners. ;. /nte! a. No en$or3ement o$ rt. to e63". What are the !ene$its an0 3osts to this approa3hC

Private lan/o"ners often %n/er enforce prop. rights: right to enforce /oesn t = enforcement

$. &his is trespass to pers. prop. Is it harmf%l# Ct. sa:s: ?no harm to Intel. &herefore7 no trespass to chattel7
even tho%gh the: nee/ more $an/"i/th7 etc to han/le traffic. i. If Intel lost pro/%ctivit: time $4c emplo:ees rea/ing the emails7 is it n%isance to chattel# 'ho%l/ a stat%te $e passe/ prohi$iting n%isance to comp%ter chattels# Ghat /oes ?rt. to excl. mean here# If ct. onl: gives prop. o"ner inA%nction 3/on t trespass to chattel6 as relief an/ no h%ge /amages7 then concern of excl%sion goes a"a:. i. &here no trespass chattel here $4c matter of %sing s:stem is not viol. of co. r%les. 1or it to $e person7 emails have to $e extension of actor. Not eno2gh o$ ph.s. invasion4 no harm. 1. Enfoce corp. speech privac: strong

c.

1M#O#1M +ELB <ELP

I.

"$rd v. 0i!e$

a. 1acts: .1 ta<es assignment from $rother7 an/ on F@1@X1 opene/ 1amil: Affair Resta%rant. $. Q@XD B X@XD: .1 claims P, is in violation of lease for ma<ing changes to $%il/ing str%ct%re "4o permission7 $: c. Q@CR@XD: .ate/ letter from .1 or/ering P, to repair H items an/ compl: "4 2innesota .ept. of )ealth7 or .1 /. e. f. g.
"o%l/ reta<e premises on X@1D@XD7 as lease provi/es 3eviction6. P, contin%e/ to operator resta%rant "4o ma<ing repairs. P,7 .1 ha/ sev l pett: s5%a$$les X@1D@XD: At close of $sns7 P, p%t sign in "in/o" bClose/ for Remo/elingb. Earlier that /a: .1 attempte/ to change loc<s an/ "as or/ere/ a"a: $: P,. X@1Q@XD: .1 enters premises "4o P,^s <no"le/ge an/ change loc<s at a/vice of attorne:. P, ret%rns an/ is %na$le to enter an/ as res%lt $ring la"s%it. H@1@XD: .1 re@lets to another tenant @ originall: part: to s%it @ $%t /ismisse/ at close of P,^s case. Iss2e: -n/er 20 propert: la"7 "as the ,, entitle/ to self help7 i.e.7 co%l/ he reta<e premises "4o A%/icial process7 or "as ,, "rong in loc<ing o%t P,# i. 'ociet: has to finance to a/minister process of eviction. Arg%ing in favor of self@help $4c 1I /a: process /oesn t "or<7 ct. ma: for$i/ $4c :o% have to %se reso%rces legisl. has provi/e/ for. <o"0ing: [es7 %n/er ne" r%le7 .1 sho%l/ ve so%ght A%/icial help in $arring P, from premises. 'ho%l/ not $e em$racing la"lessness rather than self=help "hen there isn t alternative process in place. Reasoning: C, r%le: ,, ma: rightf%ll: %se self@help to reta<e possession if C con/itions are met. 16 ,, is legall: entitle/ to possession 3i.e. tenant hol/s over or tenant $reaches lease containing re@entr: cla%se6; C6 ,,^s means of reentr: are peacea$le. ,o"er co%rt hel/ ,, reentr: "asn t peacea$le @ pic<e/ a loc<7 %n/er circ%mstances li<el: to provo<e $reach of peace. ,, ha/ stat%te to provi/e reme/: in D @ 1I /a:s. 2o/ern tren/ /eparts completel: from C, r%le7 stating that self@help is never availa$le to /ispossess tenant in possession7 an/ has not a$an/one/ premises. Even %n/er C, r%le7 A42 "o%l/ have $een affirme/ for Berg. 7iven hat LLLs on". means to 0ispossess tenant are via 120i3ia" 3hanne"s4 'B /o2"0 have s2re". "ost. )ence7 $4c ,, faile/ to resort to A%/icial reme/ies7 his loc<o%t of tenant "as "rongf%l as a matter of la". ,o"er co%rt a"ar/e/ P, $D17III in lost profits an/ $D7FEI for loss of chattels res%lting from the "rongf%l loc<o%t. &he A%r: fo%n/ that P, ha/ neither a$an/one/ nor s%rren/ere/ the propert:. .1 appealing7 see<s o%tright reversal of the /amages a"ar/ for "rongf%l eviction7 claiming ins%fficient evi/ence for A%r:^s concl%sion an/ that co%rt erre/ in fin/ing "rongf%l eviction as a matter of la". &his co%rt affirms. Iss%e. Cas there intent to a$an/on $: resta%ranter# 0o $4c she change/ loc<s an/ "o%l/n t have /one this ha/ she inten/e/ to a$an/on space. QDot an/ o"ner loc<s o%t rest. *perator. ,oc<o%t is not o< $4c P /i/n t a$an/on. C "ee<s is not eno%gh to claim a$an/onment. Cop came "4 lan/lor/ "hen chng. locs. ,an/lor/ ma<ing s%re $reach of peace /i/n t happen. the %nsanitar: con/itions of <itchen.

h. i.

•

Possi!"e e$$e3ts: 'elf@help no longer allo"e/7 &enants rights to possession strengthene/ an/ cla%ses regar/ing reta<ing of propert: for $reach no" re5%ire A%/icial intervention. • R2"e: ,,^s are no longer allo"e/ to reta<e the premises "itho%t A%/icial process. 0i!!iams v. 7ord 6otor #redit #o. In transa3tions4 never separate asset $rom /hat9s re>90 to maint. asset

•

• •

Chy is it ok to allow self>help in this setting than not allow in restaurant caseD Chat is benefit of self>help system vs$ no self>helpD (ost of repo is going to get passed on to consumer as opposed to using self>help$ Un0er U&&4 it /i"" !e 3heaper to get pp" to get 3ars than hire "a/.ers to "itigate in or0er to get 3ar !a3(.

a. Bor0 repossesse/ P, car at E:DIam after ex@h%s$an/ 5%it ma<ing pa:ments on it 3he also signe/
$.

c. /. e.

repossession agreement6. C*A: Bro%ght for conversion Bor09s 0e$ense: %n/er terms of repossession agreem7 car no longer $elonge/ to P,; it $elonge/ to %s. <o"0ing: Repossession hel/ peacea$le. &ho%gh Wi""iams proteste/7 repo@men "ere polite an/ no violence threatene/. 'issent points o%t that Wi""iams /i/ ever:thing she co%l/ to stop them short of ph:sical violence. Ct seems o<a: "ith self help for repossession of personal propert:.

E<#EPT/)2S T) &/%HT T) E<#':5E NE&E++ITY • :: Right to 2se someone e"se9s st2$$ that is en$or3ea!"e: (ot right to s%e o"ner if I /on t get access "hen I have necessit:. P!oof v. Putnam

I.

•

a. $.

What is 0riving o2t3ome is vie/ that /e9re a"" !etter o$$ in /or"0 in /hi3h o2r prop. rights are a"" s2!1. to invasion option *UT on". in 3ases o$ tr2e emergen3. (tr2e ne3essit. 3ases: I nee0 AJ9 no/). o In ER 3ases4 assets are /orth more /hen the.9re in peri" AN' there9s no time to negot. $or prote3tion. o LIA*ILITY RULE: -a1orit. vie/: La/ steps in an0 $or3es 0ea" Ka .es? in 3ertain 3ir32mst. !2t it 3ashes it o2t. Where trans6 3osts are so high 3ompare0 to 0estro.e0 prop. an0#or "i$e4 it ma(es sense to $or3e 6$er. Ba3t &o escape storm7 P, tie/ his $oat to .1 /oc<. .1 %ntie/ P, it. P, an/ famil: "ere inA%re/ an/ $oat /estro:e/. R2"e o$ La/. 0ecessit: "ill A%stif: entries %pon lan/ an/ interferences "ith personal propert: that "o%l/ other"ise have $een trespass. Ba3ts. .efen/ant o"ne/ a /oc<. .efen/ant s servant "as in charge of the /oc< "hen Plaintiff an/ his famil: "ere sailing. A storm arose an/ Plaintiff "as force/ to tie his $oat to .efen/ant s /oc<. .efen/ant s servant %ntie/ Plaintiff s $oat. Plaintiff an/ his famil: "ere inA%re/ an/ the $oat "as /estro:e/. Plaintiff s%e/ in trespass7 claiming that it "as .efen/ant s servant s /%t: to allo" Plaintiff to tie his $oat to .efen/ant s /oc<. &he trial co%rt r%le/ for Plaintiff. .efen/ant appeale/.

Iss2e. Is .efen/ant permitte/ to %ntie Plaintiff s $oat "hen Plaintiff tie/ his $oat to .efen/ant s /oc< o%t of necessit:# <e"0. 0o. M%/gment affirme/ an/ ca%se reman/e/. N 0ecessit: "ill A%stif: entries %pon lan/ an/ interferences "ith personal propert: that "o%l/ other"ise have $een trespass. &he co%rt gave a fe" ill%strations to ill%strate the /octrine of necessit:: N A traveler on a high"a:7 "ho fin/s it o$str%cte/ from a s%//en an/ temporar: ca%se7 ma: pass %pon the a/Aoining lan/ "itho%t $ecoming a trespasser7 $eca%se of necessit:. Entr: %pon lan/ to save goo/s7 "hich are in /anger of $eing lost or /estro:e/7 is not a trespass. N 0ecessit: applies "ith special force to the preservation of h%man life. *ne assa%lte/ an/ in peril of his life ma: r%n thro%gh the lan/ of another to escape from his assailant. *ne ma: sacrifice the personal propert: of another to save his life or the lives of his fello"s. N In this case7 Plaintiff entere/ the lan/ of .efen/ant in effort to escape the storm an/ avoi/ inA%r:. .efen/ant claims that Plaintiff co%l/ have tie/ his $oat to nat%ral o$Aects "ith e5%al safet:. )o"ever7 the facts sho" that Plaintiff tie/ his $oat to .efen/ant s /oc< to save the $oat an/ the people in it. &he re5%irements of the claim for necessit: are complete. [et7 the r%le of necessit: cannot $e hel/ applica$le irrespective of circ%mstances. &he 5%estion of circ%mstances an/ nat%ral o$Aects is left for a/A%/ication. 'is32ssion. &his case is a commonl: cite/ example of private necessit:. Plaintiff has the privilege of private necessit:. )e tie/ his $oat to .efen/ant s /oc< to avoi/ inA%r: to himself7 his famil:7 an/ his propert:. Plaintiff is privilege/ to enter .efen/ant s lan/ %n/er the /octrine of private necessit:. To23hstone o$ "ia!. r2"e: property right enforced by liab$ r%le: entitlement is o"ne/ $: :o%7 $%t I can %se it as long as I compensate :o% for it. I "ill not have to pay more than o$A. meas%re of harm. &herefore7 prop. o"ner /oes have goo/ chance of getting compens. for economic harm7 $%t not for /ignit: harm 3it $others me "hen ppl %se m: st%ff "4o consent6. ;+ Prop. right !a3(e0 2p !. prop. r2"e: "o%l/ get enhance/ /amages7 self@help allo"ance7 etc.

II.

6c#onico v. Sing!eton

• • •

Li(e *ee hive 3ase 5 I+ EJ&EPTION TO U+ RULE. &an move onto someone9s "an0 to h2t. Li(e /nte! 5 trespass /#o harm4 so no &OA. <ere4 same thing. o No 0o2!t that h2nter ha0 !een to"0 to get o$$ "an0. RULE: Noti3e to the /or"0: K0on9t trespassP

&U+TO-:: right to h%nt on %nenclose/ lan/ = c%stom. In mo/ern setting7 more li<e /efa%lt7 $c o"ners can post no trespass signs. Balancing test7 armies nee/ to practice "eapons so "e "ant to allo" h%nting… still tr%e# Change "ith changing c%stoms# PU*LI& A&&O--O'ATION HA&6S ASS)#. 0- 5/S#&/6/2AT/)2 (5esi!ets) 5 ho" harmf%l is this ?/iscrim.

•

• • • o

A33ess 5 Can :o% sho" grp has tro%$le getting access 'ignitar. hit 5 +o3ia" messaging # 0is3rimination hit @ can :o% sho" that in societ: effect is this is s%$or/inate/ class &ivi" Rights A3t e=ceptions: 'oesn9t 0is32ss 3ommon 3arriers !#3 a"rea0. 3overe0.

 Ghat a$o%t retail esta$lishments# 'tores /i/n t min/ ta<ing $ from $lac<s ! profit motiveO &herefore7 not in
stat%te. :ston v. &esorts /nt’! Hote! a. $. 1acts: .1 excl%/e/ P, from $lac<Aac< ta$les in casino $4c P, is expert car/ co%nter. Iss%e: Can .1 excl%/e P, from its casino A%st $4c he is an expert car/ co%nter )ol/ing: 0o7 $4c "hen propert: o"ners open their premises to general p%$lic in p%rs%it of propert: interests7 the: have no right to excl%/e people %nreasona$l:. &he: /o have right an/ /%t: to excl%/e those "ho /isr%pt ?reg%lar an/ essential operations of premises. P, in this case /oes not fit that categor: $4c he "as not /isr%ptive in casino an/ no "a: interfere/ "4 reg%lar f%nctioning of casino. &herefore7 P, possesses ?%s%al right of reasona$le access to .1 s casino. 0otes: it is accor/ing to commission s r%les. 'ome casinos <ic< o%t car/ co%nters7 some /on t. once there is r%le against all car/ co%nters in all casinos7 the: ve "on $attle $%t lost "ar.

c.

•

S*e!!e$ v. +raemer

a. Ba3ts. Petitioners 'helle:7 "ho "ere $lac<7 $o%ght home in neigh$orhoo/ in "hich DI4DR parcel o"ners ha/ signe/
restrictive covenant "hich state/ that no home "as to $e sol/ to an: $lac< persons7 "hich le/ to s%it $: neigh$orhoo/ to %n/o sale of propert: to 3helley. Propert: o"ners in neigh$orhoo/ in 't. ,o%is entere/ into restrictive covenant "hich state/ that for fift: :ears no propert: in neigh$orhoo/ co%l/ $e sol/ or rente/ to an: $lac<s or Asians. Petitioners "ere not a"are of restrictive covenant at time of p%rchase. Respon/ents7 "ho "ere other o"ners in neigh$orhoo/7 s%e/ in state ct. on $asis of the restrictive covenant "4 intention of having Co%rt /ivest Petitioners of ne"l: ac5%ire/ propert: an/ revert title. &he Circ%it Co%rt /ecline/ to enforce the agreement on the $asis that not all of the propert: o"ners ha/ signe/ the original covenant. &he case "as then appeale/ to the 2isso%ri '%preme Co%rt "hich rev erse/ the Circ%it Co%rt s /ecision an/ hel/ that the provisions of the covenant "ere enforcea$le against Petitioner. Petitioners then appeale/ to the -.'. '%preme Co%rt. Iss2e. .oes the action of the state co%rt in enforcing the restrictive covenant /eprive Petitioner of rights g%arantee/ $: the 1o%rteenth Amen/ment an/ acts of Congress# <e"0. [es. 1irst7 Co%rt note/ prior /ecisions an/ fo%n/ that restrictive agreements7 stan/ing alone7 co%l/ not $e regar/e/ as violation of 1Eth Amen/ment rights. &he Co%rt fo%n/ that the re5%irement for state action "as not met in a p%rel: private an/ vol%ntar: covenant. )o"ever7 the Co%rt fo%n/ that in this case there "as state action $: virt%e of the '%preme Co%rt of 2isso%ri s /ecision to enforce the restrictive covenant. &he Co%rt fo%n/ that state action incl%/es actions $: legislative $o/ies an/ also co%rts an/ A%/icial officials. &he Co%rt hel/ that in granting A%/icial sanction to an agreement "hich7 $: its terms7 "o%l/ /eprive the Petitioners of e5%al protections g%arantee/ $: the 1o%rteenth Amen/ment is an action "hich cannot stan/. &herefore7 the Co%rt hel/ that the '%preme Co%rt of 2isso%ri ha/ to $e reverse/. Beca%se the Co%rt /eci/e/ the case on the 5%estion of e5%al protection it "as %nnecessar: to consi/er the Petitioner s arg%ments regar/ing /%e process an/ "hether the Petitioners ha/ $een /enie/ privileges an/ imm%nities accor/e/ to citi>ens of the -nite/ 'tates. &o2rtLs Rationa"e#Reasoning: &hese are not the tra/itional cit:7 state or to"n co%ncils passing la"s to a /iscriminator: effect7 $%t neigh$orhoo/ covenants to the same effect. &hese are private in/ivi/%als7 an/ the first consi/eration is "hether that fact removes these cases from 1Eth Amen/ment concern. 'ince the Civil Rights Cases7 the Co%rt has hel/ the 1Eth Amen/ment /oes not protect people from private actions7 as onl: the states can. B%t here there is more7 as the covenants "ere %phel/ $: the state co%rts7 an/ not $: vol%ntar: a/herence7 so there is an actiona$le ca%se $: petitioners after all. B%t for the state co%rt actions7 petitioners "o%l/ have $een a$le to live in their homes an/ occ%p: their properties "4o restraint. R2"e: Ghen an action^s effect $: the 'tate is to /en: rights s%$Aect to the protections of the 1Eth Amen/ment7 it is the o$ligation of this Co%rt to enforce Constit%tional amen/ments. 'i0 3o2rt avoi0 iss2esC: /i/ it si/estep an: 5%estions that it initiall: appeare/ that it "o%l/ have to ans"er# 0*&E': if :o% passe/ >oning la" "here comm%nit: /eci/e/ to vote for itself 3Excl. ppl "ho /on t loo< li<e %s67 that "o%l/ not stan/. Gh: allo" ppl to /o in = "hat not allo"e/ to /o in civic la"… @Broa/ nex%s of = an/ prop. rights ma/e it loo< li<e state action.

@o/ner a2tonom.: a%tonom: seems to $e atten%ate/ if "e /on t enforce right to excl. in this case7 even tho%gh there s high /egree of evi/. it s non@existent. @If enforcing right to excl7 this "o%l/ $e an o%ster. It s a$ri/gement of a%tonom: of ne" o"ner 4 c%rrent resi/ent. 1RQH 1)A has exceptionsY o ,eaves room for one@on@one /iscrimination…$4c "e "ant to protect propert: rights an/ transx costs of enforcement are too high. Can t police ppl $a/ actions to"ar/ others $4c cost of state involvement in ever: /eal7 c%m%lativel:7 is too high. o 2rs. 2%rph: exception: inherite/ ho%se an/ famil: /ie/. *nl: "a: to maint. ho%se is to rent o%t some rooms. Bl/g. "4 %p to E %nits an/ o"ner lives in one of %nits ! excl. is *=.  &o prevent "hite flight7 'tarrett Cit: has strict 5%otas. Is it /iscrimination to maint. integration legal# Ct. sa:s :es7 %n/er 1)A7 even tho%gh p%rpose is to maintain /iverse7 non@tip neigh$orhoo/. Attorne$ %enera! v. 5esi!ets: P s7 non@marrie/ co%ple7 s%e/ . s "ho ref%se/ to rent propert: to P s as non@marrie/ co%ple $4c it "o%l/7 accor/ing to . s7 violate their religio%s $eliefs; P s file/ s%it for ho%sing /iscrimination $ase/ on marital stat%s. 1. <o"0ing: Co%rt fo%n/ that to /iscriminate $ase/ on marital stat%s is violation of 1)A a. . s claim7 ho"ever7 that to prevent them from /iscriminating $ase/ on marital stat%s Js%$stantiall: $%r/ensK their free exercise of religion. $. Ghen a//ressing 5%estions regar/ing free exercise of religion7 co%rt recogni>es that Jcon/%ct motivate/ $: sincerel: hel/ religio%s $eliefs "ill $e recogni>e/ as exercise of religion.K i. Even if con/%ct in /isp%te is not Jcommonl: vie"e/K as religio%s rit%al4exercise7 co%rt "ill accept it as s%ch if the claimants tr%l: regar/ con/%ct as exercise of religion. C. If application of stat%te s%$stantiall: $%r/ens claimant s free exercise of religion7 it is %nconstit%tional to appl: it to them. c. If stat%te affirmativel: o$liges claimant to enter into = that goes against "hat he4she claims is his4her religio%s $eliefs7 stat%te as applie/ to the claimants /enies them their constit%tionall: man/ate/ right to the free exercise of religion. D. Even if Constit%tional rights of claimants "o%l/ $e violate/ $: application of the stat%te to them7 claimants ma: still $e force/ to conform if state has compelling reason for /oing so. /. 0amel:7 state m%st sho" that it has compelling interest in eliminating marital stat%s /iscrimination. e. &he Desilets co%rt sa:s this is not a compelling interest; the right of the claimant s to freel: practice their religion as the: see fit o%t"eighs state interest in preventing /iscrimination $ase/ on marital stat%s. i. If practice of /iscriminating against %nmarrie/ co%ples "as more "i/esprea/ in ho%sing mar<et7 state s interest in preventing this t:pe of /iscrimination "o%l/ pro$a$l: $e great eno%gh to A%stif: c%rtailing of claimant s right to freel: exercise religion. ii. *r7 if . s in Desilets ref%se/ to rent to P s $4c P s "ere $lac< an/ . s religion specificall: ta%ght that African@Americans an/ "hites sho%l/ not intermingle7 state s interest in preventing /iscrimination $ase/ on race "o%l/ s%rel: o%t"eigh . s interest in $eing allo"e/ to freel: exercise their religion. NNCt. is s%$liminall: sen/ing message that /iscrim. $ase/ on marriage is not as $a/ as /iscrim. $ase/ on other s%$Aective factors s%ch as race7 gen/er7 etc. 1I41141I • 'ociet: ma<es sacrifices in getting things right for getting things /one. • 'ociet: $enefits in getting things "ho are not o"ne/ $: possessor to one "ho /oes $4c it s $etter loo<e/ after $4c one "ho o"ns something on loan /oesn t have reso%rces to loo< after item. • 'elf@help anal:sis: 0i!!iams v. 7ord: o If reas. exp. *f viol. ! then no rt. to repo  o 'eems to create perverse incentive to incite viol. in or/er to cease repo •

(oo/ thing A$o%t getting mortgage homes $ac< in han/s of o"ner "ho "ill invest "ill allo" to create mar<et li5%i/it: an/ stim%late investment.

•

@ntel case 3trespass to chattel6: isn t case more li<e trespass to lan/ ! est. 0o3trine , than trespass to chattels. o Can c:$erspace $e consi/ere/ ?the lan/



s%$A. to p%$lic o"nership7 not private….3ommons prop.

Other Po/ers o$ +overeign O/ner I. Po"er to act as gate<eeper an/ po"ers of incl. an/ excl. A. Po"er to give permission to someone to access propert: ! "i3ense (/i"" !e treate0 "i(e 4 NOT prop. interest) a6 Gaiver of rt. to excl. an/ promise not to excl.; arise from = . C. Revo3a!i"it. means that revoc. "ill give C*A for $reach onl: 3license as = vie"6. a6 'ome licenses enf. "4 'P ! $%t have to ma<e arg%ment for it. 'till can t ma<e arg%ment for in rem rights against D/ parties. D. Permission slip from o"ner to another allo"ing latter to gain access to asset on certain terms E. ,icenses /on t conve: in rem prop. rights4goo/ against the "orl/; rather7 provi/e/ in personam pers. rights. F. ,icense is Revoca$le7 temp.; e.g. ! allo" pl%m$er to enter apartment to fix lea<: fa%cet a6 2ore sec%re perm. Gaivers = Jprop. rightsK Q. Being =s7 licenses ma: $e oral *R "ritten an/ are revoca$le. a6 As "4 all =s7 parties can attach con/it. &o it 3ma<e it irrevoc. for p/. of time6 X. mone: flo"s in 1 /irection; permission to enter for partic. p/. of time L$ 6arrone v. was*. Joc e$ #!ub Ba3ts: P $o%ght tic<et to horse races at . s trac<. B%t7 . forci$l: prevente/ P from entering gate. 0ext /a:7 P "as thro"n o%t after he alrea/: p%t t<t into $ox. Claims 'P for assa%lt. Pro3e02ra" Post2re: P s%ing for trespass for preventing entr: into trac<. 8Implies that P ha/ propert: right %pon $%:ing tic<et.9 Iss2e: .oes $%:ing tic<et for event est. right of propert: in event# <o"0ing: 0o. &ic<et $in/s seller in =7 $%t /oes not create propert: interest in the hol/er. *ottom "ine: &ic<et c right in rem 4 to partic. goo/ against the "orl/. Rather7 = 4 license from o"ner of a thing. Reasoning: 8)olmes9 reasone/ that tic<et "as simpl: = of license7 "hich "as s%$Aect to revoc. &h%s7 P /i/ not have action in trespass7 onl: = action for $reach. &ic<ets to horse races are not conve:ance of propert: interest in lan/. &o est. irrevoca$le right of entr:7 P m%st have ha/ interest in propert: 4 some goo/s on it. 8,icense _ an interest might $e irrevoca$le.9 Notes: 1. In Hurst v. Picture T*eaters> 'td.7 english co%rt fo%n/ for P "ho "as eAecte/ from theater after pa:ing for tic<et. )el/ that tic<et "as = to vie" "hole sho"7 so license = irrevoca$le $4c it "as co%ple/ "4 contract%al interest to vie" "hole sho". (eneral r%le is that licensee /oes not have rights to protection against interference $: D/ part:. R. Ana"og.: ,icense to h%nt /eer 3temp. revoca$le license to prop.6 L' license to h%nt an/ ta<e a"a: /eer 3license "4 prop. interest in /eer6. a6 Liol. of = right is s%pp. $: consi/eration. If no consi/7 then license ma: $e revoca$le.

316 If there is pmt. 1or theater t<t 33onsi0. given or some other
interet 8to h%nt /eer = rt. to trespass on lan/967 then not neces. revoca$le. Breach is in personam. If can get ct. to iss%e 'P or/er7 still pro$. not in rem.

1I. Hurst v. Picture T*eatres
Approach to ans"er iss%e… @Ghat s right in =# @Ghat s reme/:# @Ghat are implic. "hich flo" from reme/:# Ba3ts: P pai/ for seat in cinema an/ sat /o"n; others "ho /i/n t pa: sat aro%n/ him. Cinema eAecte/ him "4o reason. Li3ense : Gas it for a specific seat or an: seat# Ghat are reme/ies if license = is $reache/# *ottom Line: P ha/ a license "4 a grant. P ha/ contract%al license "4 cinema to enter premises. )e also ha/ a grant to see the pict%re. Possi!"e 0mg.: expectation /mg. B 'P if it availa$le 4 practical $: t<t /ate 4 other sho"ing. Iss2e: "hether = ma/e "4 P for val%e of t<t is implicitl: irrevoca$le $E concl. of pict%re. @@If o"ner $reaching license 4 t<t = L' violating inA%nction iss%e/ $: ct. *R eAecting $%:er $: o"n rt. 3$%:er has in rem rt. against o"ner6 L' $: ct. or/er4 allo"ance. ,,*2.er9s rt. to e6er3ise se"$,he"p reme0.. Li(e". same i$ have opp. $or +P.

<o"0ing: P "ins $4c his seat to see "hole movie "as grant co%ple/ "4 license. *vert%rne/ 'eadbitter. a. ,icense "4 agreem. not to revo<e 3= in "hich one pa:s to see sho" %ntil termin.6 :iel/s enforcea$le right 4 grant 'issent: tic<et "as = separate from license. P onl: entitle/ to /amages $4c once as<e/ to leave7 if he /oesn t @ he s a trespasser s%$A. to forcef%l eAectment. An: license is revoca$le. .oes P get ref%n/ or rt. to 'P# If 'P is availa$le7 self@help $: theater o"ner 0*& approp. 4 li<e assa%lt 4 viol. of ct. or/er if inA%nction "as entere/. i. first have rt. for $reach. if or/er i/ entere/ an/ o"ner /iso$e:s7 then its contempt iss%e. B%t7 not necessaril: viol. in rem rt. as against the "orl/ $4c there s $reach of = case against theater o"ner. Notes: "a: to ma<e viol. of t<t license $e viol. of prop. rt. rather than A%st $reach: the more connecte/ to act%al R.E.7 the $etter the arg%ment that it s more than = to see sho"7 i$e$ tkt$ Ms. Li3ense agreements 1. = for .ig. Rights 2gmt.: /egree of ctrl provi/ers can achieve thr% = restrict. B technologies termin. %se after partic. p/. of time 4 T of %ses a.

C. 'oft"are license treate/ as = 3,asterbrook6
D. Pro#d v. ?eidenberg a6 Accepts license terms of soft"are seller %pon learning them an/ procee/ing "4 %se; 0*& %pon mere p%rch. of pro/.

Ba3ts: ProC. sol/ tel. /irectories on C. 3compile/ D< /irectories67 "hich ha/ shrin<"rap license on non@commercial version of soft"are that ma/e $%:er agree not to resell info. . $o%ght cheaper7 cons%mer version that ha/ license sa:ing s" cannot $e %se/ for an: other p%rp. other than personal ones ! ma(ing arg2ment. .ignore/ this an/ resol/ info. ' arg2ment: ma<ing prop. interest arg%ment. *nl: text "ritten on o%tsi/e of p<g co%nts as = offere/ $: seller in placing pro/. on shelf B $%:er "hen p%rchasing it. 8"ants not onl: no = formation $%t also irrevoca$le license 3contin%ing %ing s4" for commercial p%rpose6. Response to no $ormation arg2ment: there "as acceptance thr% /ee/ if not thr% "or/; $ehavior 8of $%:ing an/ opening p<g.. an/ %tili>ing soft"are9 conve:s acceptance Post2re: trial ct. agree/ "4 . 4 infringer. P appeale/. Iss2e: are shrin<"rap licenses enforcea$le %pon soft"are $%:ers# R2"e: shrin<"rap licenses A%st as enforcea$le as other =s. Ana".sis: ct. sa:s licenses are covere/ $: -CC an/ C, ! same as or/in. =s. An/ fin/s that cons%mer assents to license "hen $%:ing soft"are7 of "hich some terms ma/e $e insi/e p<g. = $4" P an/ . "asn t forme/ "hen . pai/ for C.7 $%t "hen he rea/7 accepte/ enclose/ license terms. 8)e ha/ opp. to reAect terms %pon rea/ing $%t /i/ not ! meaning he accepte/ the terms. &on3"2sion: appl. ct. reverses. Prosp. 'mg: expectation /mg. &o get aro%n/ receiving A%st t<t price: loo< at "hat is val%e of = an/ "hat s goo/ meas%re of "hat % expecte/ 8"hat :o% pai/ or mar<et price…9. Can possi$l: get 'pec. Perf. for sale of lan/ $%t not %se of lan/. E.g. = to sta: at hotel an/ the: over$oo<e/. 0ot li<el: P can get 'P $4c D/ pt:. "o%l/ have to relin5%ish = rt. for P to get 'P.

B.

Po"er to xfer temp. c%sto/: of pers. prop. from o"ner 3$ailor6 to another 3$ailee65 !ai"ment

1. -s%. $: express 4 implie/ = B "here there s special p%rpose in min/7 after "hich is
accompl.7 it s reverte/ to $ailor. a6 Blen/ing in rem 3prop.6 an/ in personam 3=6 princ. $6 2ost aspects of relationship governe/ $: = $%t in xfer7 some of $ailor s prop. rights go to $ailee7 i.e. right to excl. others from prop C. E.g. clothes to /r: cleaners; car to valet. D. ;o"2ntar. !ai"ment @ contract%al relationship $4" $ailor an/ $ailee. if there "as $ailment then pres%mption of neglig. if $ailee loses 4 /amages 4 lets $e stolen the item.

B-&7 if converte/ 4 mis/elivere/7 iss%e is '4, 3tort6. a6 P might not $e a$le to prove neglig. B-& this is a loss7 not a mis/eliver:. A!!en v. H$att &egenc$ Ba3ts: involves vol%ntar: $ailment $4c there s = in form of tic<et. P s h%s$an/ par<e/ her car in par<ing garage of . s hotel. 8Gasn t sta:ing at hotel. Iss2e: Is operator of commercial garage lia$le for theft of car /%ring a$sence of o"ner $ase/ on$ailee@$ailor relationship# Possi!"e Prop. arg2ment: leaving car "4 garage operator create/ $ailment. If :o% re $ailee7 /%t: is create/ A0. there s pres%mption of neglig. <o/ to te"" /hether there9s !ai"ment or mere "i3ene <o"0ing: Affirme/ in favor of P. Rationa"e: the realities of par<@an/@loc< operators are to provi/e atten/ants "4 protection. In practicalit:7 operator !e3omes gate(eeper an/ ass%mes control an/ c%sto/: over vehicles par<e/ $: limiting access an/ re5%iring tic<et %pon exit. Area "as enclose/7 there "ere g%ar/s7 an/ one exit "here tic<et nee/e/ to $e presente/ to atten/ant. a. <o/ to te"" /hether there9s !ai"ment or mere "i3ense: @s there. possession and?or intentD 'it%ation presents tra/it. concept of !ai"ment $or hire. 2ore than mere license 8hiring o$ spa3e to par( 2na33ompanie0 !. e6pe3tation o$ prote3tion or other o!"igations 2pon operator 3$%r/en of proof on .69. Involve/ c%sto/: 4 poss. 4 ctrl. of <e:s therefore poss. 4 ctrl. of car. 'issent: In or/er for $ailment relationship to exit7 there m%st $e f%ll transfer7 either act%al or constr%ctive7 of propert: to $ailee so as to excl%/e it from possession of o"ner an/ all others7 A0. to give $ailee7 for partic. time7 sole c%sto/: an/ control of prop. !. )ere P retaine/ possession of <e:s7 he par<e/ the car himself. Bailment "o%l/ ve $een create/ "here operator <no"ingl: an/ vol%ntaril: ass%me/ control7 possession7 or c%sto/: of car. &ic<et clearl: state/ that hotel ha/ no intentions of ta<ing f%ll c%sto/: of cars of those "ho %se garage. &ic<et states ?par< at o"ner s o"n ris< 'issent main pt. if it "as valet ! . provi/es $ailment; if open lot ! no $ailment.

E. *ai"ee9s '2ties: /%t: varies case $: case. Borro"er "ill $e expecte/ for ta<e higher
/egree of care than /epositar:. 'imilarl:7 $ailee for re"ar/ 3$ailee hopes to /erive $enefit in some form even if no tangi$le c%rrent $enefit67 expecte/ to ta<e higher /egree of care than grat%ito%s $ailee.

a6 Ghere $ailment for sole enefit of $ailor: la" re5%ires onl: slight /iligence
from $ailee; ans"era$le onl: for gross neglect.

$6 Ghen $ailment for sole $enefit of $ailee: la" re5%ires great /iligence an/
hol/ him responsi$le for slight neglect.

c6 Ghen $ailment is for Aoint $enefit: la" re5%ires or/inar: /iliegnec an/ hol/
$ailee ans"era$le for or/inar: neglect.

F. -o0ern Approa3h to *ai"ee 02ties: exercise of reasona$le care accor/. to
circ%mstances

a6 Even grat%ito%s $ailee that <eeps goo/s "4o re"ar/ an/ m%st ret%rn on
/eman/ still o"es /%t: to ta<e reas. care of goo/s. If goo/s are lost 4 /amage/7 an/ $ailee faile/ to ta<e s%fficient care7 on%s of proof lies on $ailee to esta$lish that he too< appropriate /egree of care7 or that his fail%re /i/ not contri$%te to loss. $6 .iff t /%t: of care attach to tr%e 4 vol%n. $ailees L' constr%ctive 4 invol%n. $ailees

Q. Invo"2ntar. *ai"ee: "hat s /%t: of care A person "ho has $een p%t7 thro%gh no act
or fa%lt of his o"n7 in sit%ation as that in "hich .s 3in #owen v. Presspric*6 "ere p%t %pon /eliver: to them of "rong $on/. Bailment create/ "ithin context of invol%ntar: $ailment is calle/ constructive bailment.

a6 As long as lac< of volition 3act of "illingness7 /ecision7 choice6 contin%es7

invol%n. $ailee is not %n/er /%t: of care for or to g%ar/ s%$A. of $ailment. A0.7 cannot $e hel/ for "hat "o%l/ $e gross neglig. in case of invol%n. $ailment7 $%t if invol%n. $ailee exercise /ominion over s%$A. ! he $ecomes lia$le as if he "ere vol%ntar: $ailee

X. #owen v. Presswic* @rai"roa0 !on0 0e"iver. to /rong person
P arg2es: As $ailee o"e/ /%t: 3',6 to ens%re that $on/ t<t isn t mis/elivere/. If he mis/elivere/…viol. /%t: regar/less of neglig. *ai"ment:create/ thr% =. Iss2e: can $ailment $e create/ "here there is no = 3meeting of min/s6 $4" $ailor an/ $ailee# Ghat /%t: of care attaches to one that ac5%ires temp c%sto/: of o$A. $: mista<e# <o"0ing: ct. hel/ that tho%gh initiall: an invol%ntar: $ailee7 . too< /ecisive action in attempting to ret%rn $on/ to messenger ! th%s ass%me/ level of responsi$ilit: of vol%ntar: $ailee. . s attempt to /ivest self of "rong $on/ to "rong messenger amt. to conversion7 at minim%m $reach of implie/ agreem. to ret%rn $on/ onl: to Ps. :Not a !ai"ment !#3 no !#/ P an0 ' to re39v spe3i$i3 3erti$i3ates s"ippe0 thr2 0oor 5 formalistic. &o2nter: $oth companies reg%larl: x@chng. certs. "4 another. )ave implicit agreem. to hol/ on to items recv / for other an/ to retain it. . hel/ onto certs. B%t7 this /oesn t constit%te possession $4c . imme/. ret%rne/ items to r%nner. If :o% /on t possess7 :o%r /%t: is same as stranger s.

a6 Tota" stranger ! no /%t: L' *ai"ee an0 mi0e"iver. ! ',. *nl: $ailee has
ctrl. of C/ /eliver:7 so sho%l/ have $%r/en to /eliver: correctl:. If no ',7 incentive to not $e caref%l. Bailee co%l/ conspire to mis/eliver to frien/ o moral p$lm. 'issenting Opinion 3$ecomes controlling opinion6 ! Bailment onl: arises thro%gh express or implie/ =7 an/ . never consente/ to accept the $on/ as a /eposit7 the: /i/n t claim title to it7 an/ not s%$A. to tr%st 4 o$lig. as $ailees. Altho%gh invol%n. $ailees come into poss. of another s prop. "4o consent7 the: /on t inc%r respon. to &* to exercise reas. care. *nl: "here the: commit Jovert actK of interf. "4 prop. an/ implie/ = of $ailment = create/. H. T*e win fie!d --reAects Fus tertii /efense in context of $ailment Ba3ts: &here "as a fog7 the Cinkfield colli/e/ "4 0e-ican. *ne ship lia$le. Postmaster as !ai"ee ma(ing 3"aim against )0 pt.. $or 0estro.ing prop. Post2re: Cinkfield fo%n/ negligent7 an/ no" the 0e-ican tr:ing to get /amages. Amo%nt of /amages is alrea/: fixe/. Postmasters "hose mail "as lost on 0e-ican claim /amages also. Post office s%es for lost letters that no one claime/ Rationa"e: P.*. = $ailee an/ is lia$le for goo/s7 so entitle/ to /amages. &he: "ere $ailees an/ ha/ possession an/ "rong/oer 3Cinkfield6 is lia$le to "homever ha/ poss. of prop. 'ame appr. as applie/ in chimne:s"eep trover fin/er s caseYas $4" fin/er v. converter $4c /on t <no" "ho &* is. @@Bailee s possession treate/ as s%rrogate for o"nership. R2"e: If :o% ta<e 3in this case7 /estro:6 someone else propert:7 :o% are "rong@/oer. M%st sho"ing that propert: "as o"ne/ $: D/ part: /oesn^t a$solve from lia$ilit:. B4" $ailee 8careta<er9 an/ stranger7 possession 3$: post office6 gives title. Careta<er can s%e for /mg. as if prop. is o"n7 $4c mailers 3$ailers6 "ill s%e postmaster. .s have no stan/ing to in5%ire a$o%t nat%re 4 limitations of rights of people "hose propert: /estro:e/ Note: sho%l/ $ailee get to <eep the "in/fall $4c no sho"ing that the: have to pa: o%t to an: $ailor at time of A4m. All $ailers "o%l/ get most li<el: is ref%n/ for stamp7 lol.

C.

Po/er to a!an0on 3thro" a"a: 4 relin5%ish all claim 4title6 # 0estro. prop. 3/emolish7 $%rn or other"ise elim. most of val%e6 a6 ,imits place/ on a$an/onment ca%ses interference "4 o"ner a%tonom:

C. Personhoo/ concerns arise "hen it comes to a$an/onment 3i.e. cant imagine
/estro:ing val%a$le art6. 'cience 4 $est state of <no"l. motivates /estr. for greater improvement $%t this <no"l. ma: $e "rong. a6 'imilar to $ailment ! part "4 possession $%t have intent of getting ?it $ac<;

here7 part "4 poss. to no partic. person an/ /on t "ant $ac<

D. RULE: Rea" prop. 3annot !e a!an0one0. -n%s%al $4c if trespasser comes onto
lan/7 asserts poss. ctrl an/ exercise o"nership rights over itYhe can get lan/ thr% a/verse possession. B-&7 a$an/onment 3even thr% a/verse possession6 involves another ta<ing o"ner s place; not A%st a$an/onment prop. to no one. a6 An:thing that o"ner /eci/e/ to thro" a"a: as far as pers. prop. is $4c it s negative val%e assetYcost of maint. excee/s possi$le income to $e ma/e. E. Pocono Spring #ivic Assoc. v. 6ac+enAie

Ba3ts: .s trie/ to a$an/on their lot to P an/ get o%t of pa:ig assoc. fees as per covenant "hen /iscov. lan/ "asn t s%ita$le for p%rpose the: p%rch. 3se"age s:stem6 an/ so%ght to sell. &rie/ to sell vacant lot7 $%t /iscovere/ soil ma/e it 5%ite %seless. .f then so%ght to a$an/on propert:7 as evi/ence/ $: offers to sell it to civic association@P7 give it for free to them $: ref%sing to pa: taxes on it7 etc. Ps claim pmt of association fees. . &rie/ to a$an/on $: not pa:ing prop. tax $%t no one $o%ght it at tax sale. . sent signe/7 notari>e/ stmt maile/ to all intereste/ parties expressing "ish to $%: it. . also ref%se/ to accept mail re: it. ' arg2ment: A$an/onment /efense means the: /on t have to pa: even tho%gh p /ecline/ it "hen o"ners trie/ to a$an/on to them. Iss2e: /oes /efense of a$an/onment ren/er covenant "4 orig. o"ner voi/# R2"e an0 App"i3ation: A!an0onment re5%ires vol%n. relin5%ishment of all right7 title7 claim7 an/ poss. "4 intent to terminate o"nership $%t "4o vesting in an: person "4o intention ofreclaiming. *"ner "4 perfect title 3/ee/ hasn t $een xfer6 is ass%me/ to $e in o"nership. @what if value you can get from another for it e-ceeds your costs of maint$ possession. P arg2ment: P thin<s it s "orth less than its act%al assesse/ val%e ,Bring action against assoc7 ho%sing a%th. an/ get assessment re/%ce/. &hen sell to another "ho val%es empt: space. )ere7 "ant to a$an/on /%e to trans. costs Rationa"e: ct. loo<e/ at vario%s acts ta<en $: . to ri/ themselves of lan/ after $%:ing. ,oo<e/ at arg%ment that their actions co%ple/ "4 fact the: ve never visite/ it s%ggest inent manifesting a$an/onment. 'tate la" /ictates .s never relin. &itle7 rights claim an/ poession of lot7 an/ remain &* in fee simple. Perfect title ! in PA7 cannot $e a$an/one/. <o"0ing: 0o7 %pon a$an/onment still ha/ perfect title to lan/. A$sent proof to contrar:7 possession pres%me/ to $e in art: "ho has recor/ title. .fs fail a$an/onment test /espite intention to a$an/on; intent is $%t 1 re5 m. 2%st pa: taxes on lot $4c of environmental iss%es an/ $4c not pa:ing $ecomes lia$. on societ:. Note: -nli<e pers. prop.7 lan/ /oesn t A%st go a"a:; nee/s a gate<eeper ! in favor of preventing a$an/onment. *nl: option is to fin/ A4m proff person 4 $an<r%pt corp to give it to F. E$erman ;. 6ercanti!e Trust

Ba3ts: Ps see< inA%nction to prevent /emolition of ho%se. .ece/ent expresse/ "ish to have ho%se ra>e/ %pon her /eath an/ sell propx. "4 procee/s going into estate. Prop. is in %$/iv. Create/ $: tr%st in/ent%re for high class priv. resi/ence. .s are exec%tor of her "ill. @.ece/ent s "ish %n/er 5%estion $4c she ma/e re5. pre@/eath an/ "asn t informe/ or she ha/ alternate intent $ehin/ "ish to /estr. ho%se. Ps arg2ment: ra>ing it is viol. of their prop. rights7 viol .of priv. agreem. an/ priv. n%isance. Iss2e: "hether provision in /ece/ent "ill /irecting it to $e ra>e/ "4 profits xfer to estate violates p%$lic polic: R2"e: &a<ing of propert: $: inheritance 4"ill = not an a$sol%te right; state ma: foreclose right an/ ma: sa: "hat $ecomes of propert:7 "hen /eath forecloses /ecease/ s right to control it. A testator ma: not impose con/itions that are %ncertain7 %nla"f%l7 or oppose/ to p%$lic polic:. <o"0ing: provision is voi/ $ase/ on p%$. polic: an/ as "4o $enefit. Cts can stop /estr%ction of prop. if contrar: to p%$. polic:. Intent o$ o/ners 3an !e o2t/eighe04 espe3ia"". i$ not aro2n0 to protest. .ea/ o"ners "ishes li<el: "on t $e enforce/ if the.9re 3apri3io2s. Rationale: "here ra>ing it "o%l/ re/%ce val%e of prop. from EI < to %n/er 1 <7 /epreciate a/Aoining prop. val%es $: 1I < an/ $4c ho%se "as cit: lan/mar<7 its a$sence "o%l/ li<el: $e /etrimental to health7 safet:7 $ea%t: of neigh$orhoo/. .estr%ction of ho%se harms neigh$ors7 /etrimentall: affects comm%nit:7 ca%ses monetar: loss in excess of $DR= to

estate7 is "4o $enefit to /ecease/. &here are no $enefits to $alance against inA%r:. &o allo" con/ition of Gill "o%l/ $e in viol. of p%$. polic:. .iseent: ct. cannot <no" /ecease/ intent an/ sho%l/n t /eclare her con/ition capricio%s. &he cit: 8an/ its interest9 are not part: to s%it. 1%rther7 lea/ing case /ealining "4 iss%e sa: that cts m%st give effect to intentino of testator as expresse/ in "eill so long as it /oesn t contravene est. r%le of la". Q. A!an0onment o$ persona" propert.

a6 -inera" rights %$A. &o a$an/onment "hen o"ners haven t /ones an:thing
to exploit them for p/. of time; easements s%$A. to a$an/onment also X. 'auderbaug* v. 0i!!iams

a6 *(gr.: 'ellers have to get $%:ers appr. $: )*A $%t )*A /oesn t approve7 so
seller /oesn t have permission to sell. 316 &here "as con/it. Prece/ent in sale of lan/ an/ co%l/n t $e sol/ to an:one not in )*A.

$6 Iss2e: "hat is 4 a$o%t %nreas. restraint on alienation# Ps !e"ieve restraint
on a"ienation is pro!"emati3 !#3 "a3(s arti32"ate0 stan0ar0s 3s%ch as .

316

'is3rimination or restrain on a"ienation /#o stan0ar0s "o%l/ $e illegitimate. Income level7 past pa: hx are legit. stan/ar/s that )*A can ma<e /etermin. B:."h

3a6 Qone o$ stan0ar0s nee0e0@ here4 no st0. !. /hi3h
<OA 3an $air". 0e3i0e /hether to a0mit prosp. mem!er: allo"s for some /egree of scr%tin:. 0ee/e/ as polic: matter $4c prov. high /egree of confi/. that there s e5%ivalent competition in mar<et.

c6 <o"0ing: /eeme/ %nreas. $4c too restrictive7 too /iscretionar: 3no g/ln to
/eterm. "ho sho%l/ $e in assn6; not revie"a$le7 no s%nset prov.

.. Po"er to xfer prop. $: sa"e # gi$t
1. /rons v. Sma!!piece

a6 Iss2e: "hether it "as a vali/ gift $6 <o"0ing: 0o7 not gift $4c no title 4 /ee/ given or chng. of poss. 316 Re>2irement $or va"i0 gi$t: intentional xfer of possession "4
/egree of specificit: an/ to "hom _ /eliver: 3evi/. $enefit an/ notice to D/ parties /onor an/ /onee6

c6 Notes: $4c father still caring for horses instea/ of son ! /on t have evi/. of
possession. In sale setting7 there s consi/. "hich proves xfer of prop. accepting $enefit is proof of acceptance. C. 7oster v. &eiss

a6 Ba3ts: . is h%s$an/ of /ecease/ "oman "ho^s estate an/ "ill are $eing
settle/ $: P. Right $efore s%$mitting to operation7 "oman "rote ltr to h%s$an/ stating location of several stashes of mone: an/ pass$oo<s7 an/ /esire for him to have them in event of /eath. 0ote "as contrar: to her "ill. . rea/ note7 fo%n/ mone:7 an/ too< possession. Goman fell into coma7 an/ never recovere/ BE /eath. Ct. fo%n/ for P.7 Co%rt of Appeals reverse/. 6tr$ is very removed from time and place that she wrote it outBthis is state

statute/s reas$ for formalities. Iss2e: Gere circ%mstances s%fficient to create vali/ gift7 even tho%gh there "as no proper /eliver: 3. ha/ to fin/ $ himself6# <o"0ing: 0o. .eliver: of gift ca%sa mortis m%st $e act%al7 %ne5%ivocal7 an/ complete an/ ma/e "hile /onor is alive for it to $e a vali/ gift. Reasoning: 2aAorit: reasone/ that "oman /i/ not act%all: /eliver mone: to .7 $%t rather ha/ to fin/ it $ase/ on Instr%ctions in ltr. Also7 strict re5 m for ceremonial7 formal /eliver: is onl: thing that separates a gift ca%sa mortis from testamentar: "ill. &o elim. /eliver: re5 m "o%l/ $e to negate essence of "ill stat%tes. 'issent: .issent reasone/ that gift ca%sa mortis "as7 $: nat%re7 emergenc: meas%re $4c normal ro%tes of testament "ere not availa$le %n/er circ%mstances. Altho%gh re5 m for /eliver: in gift ca%sa mortis can t $e /ispense/ "ith totall:7 it "o%l/ $e sill: to re5%ire . to gather %p monies an/ $ring them to her7 solel: so she co%l/ ceremonio%sl: give them $ac< to .. Notes: D. If /onee previo%sl: ac5%ire/ possession of prop. "4 /onor^s consent7 /onor oral manifestation of /onative intent7 "itho%t more7 is s%ffic. E. 1ail%re to revo<e gift ca%sa mortis "4in reasona$le time post@recover: of /onor elim. right of revoc.

$6 *(gr.: 1ormal "ill leaving $1 to h%s$an/. (ives ltr. /isc%ssing formal pots of
mone: to h%s$an/. 316 Ghen loo<ing after estate7 have /%t: to ma<e /ecisions in $est interest of /ece/ent. 2%st p%t $ac< evs. Into estate an/ procee/ "4 /istri$. accor/ to /ece/ent intent.

c6 ' arg2ment: /on t have to p%t it $ac< into estate $4c it "as gifte/ to me. /6 Chat rule govern money disbursement after spouse deathD Spousa! forced
s*are allows spouse to get share regardless of decedent intent$ in some estates) disbursement governed only by decedent/s will "#1 given in will G3 decedent ltr to spouse)

II.
A.

Estates # B2t2re Interests G4 lan/7 %s%. /eal "4 fee simple a$sol%te A0. lease.

B.

&o 0eve"op $ami". /ea"th 6$er (trans. 3tr". an0 preserve /ea"th) scheme ! est. tr%st "4 tr%stee an/ /ecision@ma<ing criteria.

C.

&o 3tr". asset 2se 3rather than ppl6 ! est. easement or covenant or )*A 8to allo" ver: /etaile/ ctrl.4%se9; r%le against perpet%ities pla:s role

.. &o manage man. parties aro2n0 3omp"i3. asset ! create mgmt. an/ ctrl. /oc. 3lease7
con/o4partnership agreem.7 article of incorp.6 in a//it. to grant cla%ses E. &r%st ! for famil: "ealth mgmt. @ instr%ments %se same voca$ as "ills.

NN,oo< on portal for ans"ers to 5%estions follo"ing rea/ing; REA,,[ -0.ER'&A0. Z-E'&I*0' 3p. FQ16 A0. A0'GER' 1*R E+A2NN @,a$el to p%t on partic. constr%ct @'<im rea/ing7 loo< at 5%estions an/ flip $ac< to rea/ing7 attempt to ans"er7 then c< ans"ers 1I41H41I 2[ 0*&E'Y  .ivisions $%ilt into title of propert: o 2%ltiple o"ners can /ivi/e $%r/ens an/ $enefits of o"nership /iff t "a:s

o

*"nership can $e split across time

 Ghenever an asset is share/ among m%lt. o"ners collection action pro$lem pblm$ of commons on smaller scale  'tarte/ o%t in me0ieva" Eng"an04 $e20a"isti3 so3iet.. Aim /as to se32re servi3es7 partic. militar:7 in x@chng.
for freehol/ interest. G4 time7 mone: replace/ services7 allo"ing for ne/ aim: "an0 ma0e more a"iena!"e o Rights x@chng. $4" gramtor an/ grantee less formal than to/a:. 1REE)*,. I0&ER'&' I0 ,A0. 3excl. leases6

I.

'ivisions !. Time

A.

res%lting pieces m%st conform to possi$ilities classifie/ as estates in "an0

1.
B.

estate 5 t:pe of prop. rt. that meas%res one s interest in lan/ $: /%ration

a6
Bee +imp"e

can $e present possessor. or $2t2re interest

C.
II.

stat2te >2ia emptores (K!e3a2se p2r3hasers?) ! ma/e Jfee simpleK f%ll: aliena$le $: permitting s%$stit. of grantor for grantee as lor/ s ne" tenant Estates in Lan0

1REE)*,. I0&ERE'&' 1. fee simple a$sol%te ,esser rights "4 possi$. 1%t%re interest: C. life estate D. /efeasi$le fees

0*01REE)*,. I0&ERE'&' 1. lease

No"ners of freehol/ interest an/ leasehol/ers sometimes calle/ JtenantsK

A.

Whi3h $2t2re interests 3an $o""o/ present possessor. onesR

III.

PRE+ENT PO++E++ORY INTERE+T+ ($ee tai" an0 "easeho"0 e63".)

AACho has right to possession nowD AA 2ote: grantor can onl: grant "hat the: have or less 1. $ee simp"e (B+) a. (enerall:: i. .-RA&I*0 ! potentiall: infinite /%ration; resem$les a$sol%te o"nership ii. ,A0(-A(E ! Jto A an/ his heirsK iii. &RA0'1ER ! can transfer $: /ee/ or "ill iv. A// l.: &annot spe3i$. /hi3h 0es3en0ants "an0 /i"" go to7 e.g. cannot sa: Jto A an/ her heirs on her father/s sideK !. Bee simp"e a!so"2te i. .-RA&I*0 ! potentiall: infinite /%ration ii. ,A0(-A(E ! J to A an/ his heirsK 3B%t heirs /on t have an: present interest; A can sell 1' 4 give it a"a:7 or /evise $: "ill6 iii. &RA0'1ER ! freel: transfera$le an/ inherita$le 1. If intestate  heirs 3not %ntil /eath of o"ner6 a. Iss%e ! chil/ren7 gran/chil/ren7 an/ all f%rther /escen/ants $. &:picall:7 spo%se  d an/ chil/ren  e5%al shares of other d c. If no chil/ren  parents get 1 share /. If no chil/ren7 spo%se7 or parents  collateral ! a%nts7 co%sins7 nephe"s e. E'C)EA& ! if no heirs  state C. If testate 3"ill6  lan/ is /evise/ to /evisees iv. A// l:

1. 0* limitations on inherita$ilit: C. CA00*& $e /iveste/ 3. 'e$easi!"e $ee i. Bee simp"e 0etermina!"e 30*& pres%mptivel: favore/6 1. .-RA&I*0 ! a%tomaticall: en/s "hen some specifie/ event occ%rs an/ reverts $ac< to * C. ,A0(-A(E ! "or/s of limitation a. Jto A so long as lan/ is %se/ for school p%rposesK $. Jto A %ntil . . .K c. Jto A "hile . . .K /. Jto A %nless . . .K e. Jto A /%ring . . .K f. cf. Jto A solel: for p%rpose of . . .K  this is 1'AO D. &RA0'1ER ! can $e transferre/7 inherite/ as long as state/ event has not occ%r; limiting con/ition follo"s 1'. E. 1-&-RE I0&ERE'& ! grantor has possi!i"it. o$ reverter 3a%tomaticall: $ecomes possessor: "hen con/ition occ%rs6 F. +oL starts r%nning as soon as con/ition occ%rs ii. Bee simp"e s2!1. to 3on0ition s2!se>2ent 3pres%mptivel: favore/6 1. .-RA&I*0 ! /oes not en/ a%tomaticall: $%t ma: $e /iveste/ $: grantor "hen state/ con/ition occ%rs C. ,A0(-A(E ! "or/s of con/ition ! a C*22A setting off the con/itionO a. Jto A7 $%t if . . . 7 the grantor has a right to reenterK $. Jto A7 %pon the con/ition that if . . . the grantor has a right to reenterK c. Jto A provi/e/7 ho"ever7 that if . . . grantor retains right of entr:K /. A009": i$ "ang. is am!ig2o2s7 1''C' is preferre/ $4c forfeit%re /oes not occ%r a%tomaticall: i. E.g. Jto A so long as li5%or is not sol/7 an/ if it is7 * has right to reenterK  1''C' D. &RA0'1ER ! ma: $e transferre/7 inherite/ %ntil grantor exercises right of entr: E. 1-&-RE I0&ERE'& ! grantor has right o$ reentr. F. +oL $egins "hen grantor attempts to exercise rt an/ is re$%ffe/ 3altho%gh most states consi/er it starts r%nning "hen con/itions occ%rs6 iii. Bee simp"e s2!1e3t to e6e32tor. "imitation 1. .-RA&I*0 ! a%tomaticall: /iveste/ $: a Dr/ person "hen state/ con/ition occ%rs C. ,A0(-A(E a. Jto A7 $%t if . . .7 then to +K 3+ has exec%tor: f%t%re interest6 $. Jto A7 so long as . . .7 an/ if it is not7 then to +K D. 1-&-RE I0&ERE'& a. (rantor has possi$ilit: of reverter or right of entr: %. Term o$ .ears a. Jto A for RR :earsK $. 1-&-RE I0&ERE'& ! * has reversion ). Tr2sts a. &r%stee hol/s legal fee simple; legal title $. Acts as manager of propert: c. )as po"er to sell7 lease7 mortgage7 remove minerals7 etc. /. .%t:: 1i/%ciar:; /%t: of lo:alt: e. P%rpose: 2aximi>e flexi$ilit: A0. transfer "ealth to f%t%re generations SSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSS I;. BUTURE INTERE+T+ NNRemem$er: an: f%t%re interest thats transfera$le is reacha$le $: cre/itorsNN ::B2t2re interests are presentl: existing rights7 B-& /o not entitle o"ner to present possession Po"i3. ! /ea/ han/ hol/ of propert:; "ant to promote alienation an/ avoi/ enc%m$rances from generation to generation; avoi/ concentrate/ lan/ o"nership an/ t:ing@%p of pro/%ctive lan/ 1. Reversion ("i$e estate) a. 1*,,*G': from conve:ance of veste/ estate of lesser 5%ant%m than grantor has $. CREA&E. I0: grantor; A-&*2A&ICA,,[ at /eath of tenant c. &RA0'1ER: f%ll: transfera$le inter vivos7 to /evisees an/ to heirs /. E.g. * has fee simple. (rants Jto A for lifeK  A has life estate7 * has reversion @ "ill $ecome possessor: "hen A /ies e. :E.g. * Jto A for life7 remain/er to B if B s%rvives AK  * has reversion $4c B ma: /ie $efore A. If A /ies $efore B7 * s reversion is /iveste/N %. Possi!i"it. o$ reverter (B+')

a. 1*,,*G': fee simple /etermina$le 3"hen grantor has fee simple  = 5%ant%m6 $. CREA&E. I0: grantor; A-&*2A&ICA,,[ "hen con/ition occ%rs
c.

/. E.g. * Jto A so long as lan/ is %se/ for . . .K  * has fee simple an/ conve:s fee simple7 $%t retains possi$ilit: of D. Right o$ entr. (B++%$A.&+)
a. reverter if con/ition comes to pass; A has 1'. 1*,,*G': fee simple s%$Aect to con/ition s%$se5%ent CREA&E. I0: grantor; 2-'& exercise right &RA0'1ER: inherita$le an/ /evisa$le; inter vivos transfer /epen/s on A4/ E.g. * Jto A7 $%t if . . . * retains right to reenterK  * has right of entr: E.g. * Jto A on con/ition that if . . . * shall have right to reenterK N. Remain0er a. 1*,,*G': life estate an/ term of :ears $. CREA&E. I0: Dr/ part: grantee 3waits patiently for preceding estate to e-pire6 i. Remain/er in fee simple7 life estate7 or term of :ears c. G)E0: at nat2ra" termination of prece/ing estate /. E.g. * Jto A for life7 an/ on A s /eath7 to B an/ her heirsK  B has remain/er in 1'. Becomes possessor: %pon nat l en/ of previo%s estate 3B CA00*& /ivest previo%s estate6 e. E.g. * Jto A for 1I :ears7 then to B an/ his heirsK f. E.g. * Jto A for life7 then to B for ten :ears7 then to C for life7 then to .K  B has remain/er for terms of :ears7 C has remain/er in life estate7 . has remain/er in 1' g. &[PE' i. Leste/ 3* /oes 0*& have reversion6 3favore/ $: la"6 1. ascertaine/ person A0. C. not s%$Aect to EJPRE++ con/ition prece/ent a. e.g. Jto B if B reaches age DIK $. e.g. Jto B if B s%rvives c. NNexpiration of prece/ing estate is 0*& a con/ition prece/entNN D. &RA0'1ER ! aliena$le inter vivos7 /evisa$le $: "ill7 inherita$le $: heirs E. E.g. Jto A for life7 then to B in fee simpleK F. &[PE' a. In/efeasi$l: veste/ remain/er ! hol/er is CER&AI0 to ac5%ire possessor: estate an/ entitle/ to retain it PER2A0E0&,[ i. E.g. Jto A for life7 then to B an/ her heirsK  B4B s heirs have in/efeasi$l: veste/ remain/er ii. &RA0'1ER: f%ll: transfera$le $. Leste/ remain/er s%$A. to open: veste/ in class of persons one of is 5%alif:. to ta<e possession; more ma: s%$se5. $ecome part of class i. E.g. Jto A for life7 then to A s chil/ren.K If A has no chil/ren  contingent remain/er. If A /oes have a chil/7 B7 B has veste/ remain/er s%$A. to open ii. A// l: class ma: $e close/ 4 open. I.e. if class is JA s chil/renK an/ A is /ea/7 class is close/ iii. &RA0'1ER: f%ll: transfera$le c. Leste/ remain/er s%$A. to /ivestment ! either veste/ s%$A. to $eing /iveste/ $: con/ition s%$se5. *R s%$A. to /ivestment $: inherent limitation of estate in remain/er i. Con/it. s%$se5. ! Jto A for life7 then to B7 $%t if B /oesn t s%rvive A7 to CK  con/ition s%$se5. is B /:ing7 leaving A  B has veste/ remain/er s%$A. to /ivestment; C has shifting exec. interest that "ill /ivest B interest if con/it. occ%rs ii. Inherent limitation ! Jto A for life7 then to B for life7 then to C an/ his heirsK  inherent limitation =remain/er for life fails if B /ies $4f A /ies  B has veste/ remain/er for life s%$A. to /ivestment; C has in/efeasi$l: veste/ remain/er in 1' $4c C4C s heirs certain to ac5. estate B hol/ in/efinitel: ii. Contingent 3* has a reversion %ntil contingenc: occ%rs6 1. %nascertaine/ person at time of conve:ance *R a. e.g. Kto A for life7 then to B s heirsK  if B is alive7 the ta<ers are %nascertaine/ an/ remain/er is contingent C. s%$A. to EJPRE++ 3on0ition pre3e0ent set forth in conve:ance instr%m. 3other than nat%ral termination of prece/ing estate6 a. e.g. Kto A for life7 then to B if B marries CK $. e.g. Jto A for life7 then to B if )ilar: $ecomes presi/entK D. &RA0'1ER ! maAorit: of A4/ s hol/ that it is aliena$le inter vivos; is /evisa$le $: "ill "hen s%rvivorship is not con/ition prece/ent N. RAP

&RA0'1ER: f%ll: transfera$le inter vivos7 to /evisees an/ to heirs

$. c. /. e.

F. E.g. Jto A for life7 then to B an/ heirs if B s%rvives A7 an/ if B /oesn t s%rvive A7 to B s chil/ren
an/ their heirsK a.  A has life estate $.  B has conting. remain/er in 1' $4c $ecome possessor: at na l termin. of prior estate an/ s%$A. to express con/it. prece/. 3if B s%rvive A6 c.  B s chil/ren have conting. remain/er in 1' $4c it is s%$A. to express con/ition prece/. 3an/ if B /oes not s%rvive A6 Q. E.g. Jto A for life7 remain/er to those of B s chil/ren "ho s%rvive AK  B s chil/ren have conting. remain/er $4c remain/er contingent on s%rviving A iii. NN.isting%ishing $4" veste0 remain/er s%$A. to /ivestment $: con/ition subse9uent an/ a 3ontingent remain/er s%$A. to a con/ition precedent 1. If con/it. in3orporate0 into the /escription of remain/er  remain/er = C*0&I0(E0& 3con/ition pre3e0.6 a. E.g. Jto A for life7 then to B if B s%rvives A7 $%t if B /oesn t7 to CK  Jif B s%rvives AK = express con/it. prece/. C. If con/it. comes a$ter lang. giving veste/ interest  remain/er is LE'&E. 3con/it. s2!se>.6 a. E.g. Jto A for life7 then to B7 $%t if B /oesn t s%rvive A7 to CK  Jthen to BK gives B veste/ remain/er; cla%se after he ?7 is /ivesting cla%se O. E6e32tor. Interest a. 1*,,*G': 1''E, ! m%st /ivest or c%t short prior estate i. In or/er to $ecome possessor:7 person m%st: 1. /ivest 4 c%t short interest of another transferee 3shift exec. interest6 *R C. /ivest transferor in f%t%re 3springing exec%tor: interest6 $. CREA&E. I0: Dr/ part: grantee A-&*2A&ICA,,[ %pon happening of state/ event 3. RAP /. E.g. * Jto A an/ heirs7 $%t if B goes to la" school7 to B an/ heirsK  A has 1''E, an/ B has exec. interest e. E.g. * Jto A an/ heirs7 $%t if A /ies "4o iss%e s%rviving him7 to BK i. &his is $4c B @0*& grantor $%t some other pt: an/ $4c A has 1'7 not life estate f. E.g. * Jto m: /a%ghter A "hen she gra/%atesK  * retains 1' an/ A has exec%tor: interest g. E.g. Jto A an/ heirs if A 5%its smo<ingK  A s exec. interest "ill /ivest * of 1' if she 5%its h. E.g. Jto A for life7 an/ on A /eath7 to B an/ heirs7 $%t if B /oes not s%rvive A7 to C an/ heirs.  A has life estate; B has veste/ remain/er in fee s%$A. to /ivestment $: exec. limitation; C has /ivesting exec. interest i. E.g. Jto A so long as . . .7 then to BK  B has exec. interest G2estions 5 OS1 As to F%: a/verse possessor thin<s he s getting title $%t onl: gets title for c%rrent possessor an/ event%all: gets /ispossesse/ $4c he onl: has remain/er. Possi$le that a/verse possessor "ill onl: get temp. estate. III. -aintaining the s.stem

a. 0i!!iams v. Estate of 0i!!iams @ 3onservation o$ estates in ho"ographi3 ("onghan0) /i""@ 0oes not
nee0 a"" $orma"ities:

i. *(gr.: Create/ "ill for D /a%ghters to retain interest in home; %n/er s%pp. of /ece/ent an/ "ife $E
his /eath.

ii. 7rant 3"a2se: ?have an/ hol/ /%ring life interest in prop.7 limitation: as long as remain single. iii. Iss2e: "hat interest /oes tr%st create in D /a%ghters# %rantor *as imp!ied reversion in grantor
and *is *eir! when condit$ on daughters are met) remainder of estate reverts to grantor4 conversation pblm$ H who gets rest of E3$

iv. Arg2ment: text of "ill provi/es for reversion $ac< to estate $%t /a%ghter has interest in farm an/ I
sho%l/ $e /ivisi$le amongst all parties.

v. .oes it ta<e something o%t of estate or /oes it lv it to go thr% tr%st an/ estate to heirs at la"#
1. &a<e conservation o%t of estate ! not f%ll 1'. (iving /efeasile 1' to /a%ghters "o%l/ get reverte/ once /a%ghters get marrie/. 1' reverts to grantor an/ "o%l/ go to his heirs 3all R6.

$. 6anguage. Phrases %se/ /oes; n t mean %ser <no"s ho" to %se it. i. N2mero2s 3"a2ses in a3tions: even "4 high /egree of confi/ence7 if there s no match to est. forms7
voca$7 men% search for intent 1. Pi3( nearest4 e6isting pro!"em on estate o/nership men2

c. ". #it$ of +!amat* 7a!!s

i. Ba3ts: In 1RCF7 a corporation7 no" /issolve/7 grante/ a parcel of lan/ to =lamath 1alls bso long asb it
"as %se/ for a li$rar:7 an/ to vest in the la"f%l heirs of the t"o sharehol/ers of the corporation if the cit: ever stoppe/ %sing the lan/ for li$rar: p%rposes. In 1RQR7 the cit: stoppe/ %sing the lan/ as a li$rar:7 an/ $ro%ght this action to 5%iet title to the lan/. Iss2e: Is the attempt to create an exec%tor: interest after the fee simple /etermina$le vali/# If not7 then /o the ]s ta<e %n/er inheritance of the possi$ilit: of reverter# <o"0ing: 0o. b0o interest is goo/ %nless it m%st vest7 if at all7 not later than C1 :ears after some life in $eing at the creation of the interest.b (ra:7 &he R%le Against Perpet%ities. [es. An attempt $: a grantor to transfer his possi$ilit: of reverter /oes not /estro: it. Reasoning: &he co%rt reasone/ that the grant of lan/ for the li$rar: co%l/ have exten/e/ in/efinitel:7 th%s the exec%tor: interest "as in violation of the r%le against perpet%ities $eca%se it /i/n^t have to vest "ithin C1 :ears $eca%se the con/ition that "o%l/ /efease the grant co%l/ have not ever happene/. B: operation of the r%le against perpet%ities7 the cit: receive/ a fee simple /etermina$le7 an/ the corporation retaine/ the possi$ilit: of reverter7 "hich "as grante/ over to the heirs of the sharehol/ers $eca%se it "as neither s%$Aect to the r%le against perpet%ities 3altho%gh it ma: $e s%$Aect to some stat%tor: limitations67 nor "as it /estro:a$le $eca%se the lang%age of the grant "as s%ch that it "as clear that the /etermina$le fee "as to en/ regar/less of "hether the exec%tor: interest "o%l/ $e enforce/

ii. Less than B+ /# en0: Kso "ong as? 8 $2t2re interest
iii. iv. v.

B+ s2!1. to e6e32tor. "imitation

.efeais$le transfer of ma<ing into cit: Remain/er 4 gap If fille/ "4 possi$l:. Reverter 3goes to corp.6 If heir is not /one7 m%st go to =<art. Ghcch one#

•
•

+tan0ar0iTation: n%mero%s cla%ses: separate $ins. Interest m%st go into one. (oo/ against "hole; /ecreases info costs o M of bins can chng < shouldn/t to oramtion cossontinue conersat) .ivisi$le $:: o per capita 3V each6 or /ivisi$le $: root 3per scirpes6 Jo*nson v. 0*iton

•

o

I;.

a. Ba3ts: gran//a/ conve:e/ prop. to gran//a%ghter7 $%t in a "a: that /i/n t fall in a tra/it. estate. $. R2"e: person cannot create ne" t:pe of inheritance $: "ill c. Iss2e: "hen testator p%ts "or/s of limitation that restrict /escent of prop. "ill limitations $e vali/# i. Gants to stop "ealth from po%ring o%t into gran//a%ghter s h%s$an/ s famil:Yco%l/ $e rea/ one of
t"o "a:s:

1.

Royal possi$l: 3reate0 ne/ t.pe o$ $ee tai" 3o%tsi/e of existing set of forms6 ! a$olishe/

$: state r%ns afo%l of n%mero%s cla%ses invali/ C. At C,7 intestate s%ccession goes /o"n $%t not %p ! it "o%l/ go to heirs on father s si/e. B%t $: 2ass. la" of intestate s%ccession7 inheritance co%l/ go %p as "ell 3going over to mom s si/e6. Inheritance "o%l/n t follo" 2ass. la" 3possi$le n%mer%s cla%ses p$lm.6 <.po: Co%l/ create life estate in 'ara "4 remain/er in heirs 3on father s si/e6. In this case7 'ara co%l/n t sell title. Go%l/n t "or< $4c 'ara can t sell it. <.po: B#+ 0etermina!"e: J&o 'ara7 so long as she /oes not /ie intestate.K Go%l/ revert to Royal < too $roa/ of grp than "hat royal "ants. <.po: B#+ s2!1. to e6e3. "imitation: Kto 'ara7 $%t if she /ies intestate7 then to heirs on father s si/e.K Ghomever $%:s from her "ill $e concerne/ that if she /ies intestate7 "ill shift to heirs on father s si/e. J&o 'ara7 in .4'7 $%t if she o"ns prop. %pon /eath7 /ies intestate an/ has no heirs7 then to heirs on father s si/eK ! cla%se onl: triggere/ if she /oesn t sell it; /oesn t appl: if she /oes sell. Can sell7 give 3inter vivos67 thr% "ill.

/. <o"0ing: no7 cla%se in "ill conve:s legal title. Gor/s limiting conve:ance to heirs on father s si/e are "or/s
of limitation; restricts intestate /escent of prop.

i. *ne cannot create ne" <in/ of inheritance7 s%ch as testator attempts to /o. Gor/s of limitation "ill $e
stric<en7 an/ gran//a%ghter /eeme/ to have 1' a$sol%te

e. 'is32ssion. Ghen one tries to conve: prop. in "a: that /oesn t conform to 1 of tra/it. estates7 limitations in
conve:ance "ill $e invali/. &o prevent restraints on alienation .

i. .on t allo" this $4c the: ma<e prop. %nmar<eta$le; perpet%ate concentration of "ealth 3cant cons%me
procee/s an/ p%t $ac< into econom:6; /isco%rage improvements4investment; prevent cre/itors from reaching prop.

L.

%arner v. %erris*

a. *(gr.: "ritten /oc exists creating lease "4 rent of $1II4month 3$elo" mar<et price ! $enefits tenant6 an/
termin. Provision allo"ing tenant to termin. "henever. Exec. of estate v. tenant.

$. Ba3ts: lan/lor/ /ies; exec. of estate steps in an/ "ants to termin. lease so can re/eplo: asset at higher
val%e for $enefit of estate. i. Claims it s silent as to term. Arg%es that it s at "ill $4c no /efinite term.

ii. &enant arg%es he al"a:s pai/ rent

tenanc: for life. 2umerus c!auses p!"m: no "i$e tenan3. in "eases@ "ease 3an on". !e at /i""4 perio0i34 or term o$ .rs. so4 is it rea"". a "easeC

iii. Both parties "ant this to $e lease relationship as oppose to estate. iv. ,an/lor/ "ants it to $e at "ill on lessor si/e if it s at "ill on lessee si/e. v. perio/ic tenanc: can arg%e that implie/ p/. of tenanc: = p/. of pmt. P$lm "4 arg%ment: "or<s
against tenant7 "hich isn t aligne/ "4 intent.

vi. life estate

then "h: is there monthl: rent 3/esign feat%re of lease6# Person "4 life est. "o%l/ $e responsi$le for taxes7 prop. %p<eep. .oesn t seem li<e life estate

c. <o"0ing: it s a life tenanc: lease termina$le at tenant "ill; /oesn t fit into numerus clauses /. Rationa"e: at C,7 rt. for lan/lor/ to termin. lease "o%l/ have $een implie/. ,iver: of seisin still re5 / for life
tenanc: $4c creates fee interest. If no liver:7 then it s tenanc: at "ill lan/lor/ co%l/ also termin. at "ill. ReAecte/ C, r%le > life tenanc: termina$le at till of tenant create/ ! "hat s "ritten in lease.

e. 2ote: this is o%tlier opinion; ct. "o%l/ /eterm. that it s perio/ic lease *R lease termina$le at $oth parties
"ill

PER+ONAL PROPERTY

I. II.

Estate s:stem applies to e5%ita$le interests of P4P hel/ in tr%st

A. A. B. C.

&r%st sho%l/ $e %se/ /ivi/e o"nership of P4P )as perisha$le nat%re ! f%t%re interests %s%. not at iss%e 1. R%le @Jf%t%re interest cannot $e create/ in cons%ma$le chattelK C. 'ol%tion: ma<e specific grants of P4P Easements an/ Jr%n "4K restriction not availa$le 0otice p$lm: ho" /o /%t:hol/ers <no" contents of right ! no registries li<e "4 R4P

,imitations:

III. -e0iation &on$"its over Time
::the more something it9s p2she0 o$$ into $2t2re 5 the "ess it9s /orth to0a. an0 vi3e versa:: @ )igh /isco%nt rate @ rate so $ig that val%e of f%t%re $ is vie"e/ as almost "orthless @ A. Waste 3change7 not neces. /ecrease6 ! f@o@r@m@a@l@i@s@t@i@c a@p@p@r@o@a@c@h a. Important in co@o"nership an/ time /ivi/e/ o"nership sit%ations C. "ro aw v. 7airc*ie!d @ ho"0ers in remain0er (si!"ings (i0s) o!1. to raTing o$ mansions , $avoring 3onservation as oppose0 to "i$e estate ho"0er (testator9s son) $4c "hat o"ner "ishes to /o isn t "hat remain/ermen "ish to /o 5 3omp"ete". 0e$eats pt. o$ inheriting estate. a. 1acts: Bro<a" $%ilt h%ge mansion "4 1 resi/ence for ea. of E <i/s. 'ince /eath7 apartments ! h%ge /eman/ for @ $%ilt aro%n/ it "4 onl: H 4 F1 $loc<s <ept for 1' homes. P 3efficienc: arg%ment6 claim "as losing $XI< 4 :r in $ills on home instea/ of $DI< profit $: $l/g. apartments. Remain/ermen 3"aste arg%ment6 arg%e tearing home /o"n = /aste@ /on t "ant apt. $l/g. o$str%cting their light an/ privac:. i. )o%se can still $e %se/ as ho%se; neigh$orhoo/ hasn t change/ m%ch $. Iss%e: Can present interest hol/er in prop. /emolish an/ re$%il/ apt. $l/g !a gainst f%t%re interest hol/er s interests "hen it s more efficient to /o so# c. )ol/ing: 0o7 o"ner cannot /emolish it an/ re$%il/ as this is against "ill s "ishes7 as s%ch constit%tes "aste. i$ 6ook to testator/s purp$ and determ$ if circumst$ chng$ so much that his purp$ cannot be achieved$ @f not) cannot argue chng$ cirumst$ argument so waste /. R%les: an: act of life tenant ca%sing perm. InA. = "aste. ,ife tenant ma: act for p%rp. of gen l %se an/ enAo:ment of estate as he receive/ it. &he enAo:ment m%st $e in reas. manner that "ill pass to remain/ermen %nimpaire/ in its nat%re7 character an/ improvements. e. Reasoning: ct. emplo:s text%all: strict rea/ing of "ill7 "herein /ece/ent left "hole Jresi/enceK to P. An apt. complex co%l/ not $e calle/ Jresi/enceK %pon transferrance to remain/ermen. i. P is tenant7 not *. &enant cannot ma<e o"enership /ecisions i.e. $l/g. apt. $l/g = exercise of /ominion an/ "o%l/ chng. nat%re of estate. Also7 receipt of home as is is more $eneficial to their interests 3"eighs them6

B.

C.

&his constit%tes act of "aste $4c Jresi/enceK is 0*& isolate/ an/ alone7 an/ %n/esira$le as resi/ence. ;a"2atoin o$ Interests 1. To 0eterm. va"2e o$ respe3tive interests (present an0 $2t2re) in prop.: ta<e "orth of $1II< /ivi/e/ $4" life estate an/ remain/er t%rns on life expectanc: of person "4 life estate. &hen s%$tract remain/er for val%e /ivi/e/ $: :rs. *f life expectanc: Restraints on A"ienation 1. one of po"ers of sovereignt: = o"ner rt. to transf. a. Cts. /on t li<e to restrain o"ner s po"er to alienate. $. An: attempt to restrain alienation hel/ voi/ as p%$. Polic: B. 6ountain brow !odge v. Toscano i. Unreas. restraint on a"ienation: "i(e Poconos 3ase @ 2nreas. restraint on a"ienation !#3 ha0 to apprv !2.er !2t ha0 no 0e3ision,ma(ing !en3hmar(s 5 too 2nrestraine0@ prote3te0 3"ass 0is3rim. is 2nreasona!"e restraint on a"ienation $. O2tright !an on a"ienation e6ists # non,iss2e. c. ?-se cla%se at iss%e: if lo/ge Jfails to $e %se/K $%t onl: stmt of "ho can %se not "hat s permitte/ isn t %se/ for *//fello" p%rposes 3cla%se triggere/6 rights revert. 14' s%$A. C' 1oc%ses on %ser as oppose/ to t:pe of %se = restraint on alienation. Restraint on use is permitted $4c 0*& rest. on alienation. i. Positive ta<e: $e more specific a$o%t %se ii. Realist ta<e: loo< at overall impact ! a$o%t the same7 so "here s the /mg. iii. 7rantee: Cla%se %nenforcea$le $4c if the: "ish to sell p%rp. not $eing f%lfille/ = $an on alienation. iv. 7rantor: it s enforcea$le as 1' s%$A. to C'. /. <o"0ing: cla%se is enforcea$le even tho f%nctional $an7 $4c /onors allo"e/ to restrict %se e.g. /onations to organi>ations7 ch%rches. i. If co%l/ $e s%$A. to C' or 1'. ct. ma<es 1' s%$A. to C' ! to avoi/ invol%ntar: forfeit%re7 a. Both can $e exting. if person /oesn t claim it. If 1'. an/ /on t claim reverter7 then possessor co%l/ A4P. If 14' s%$A. to C' an/ /on t claim right of entr:7 possessor can s%e in e5%it: on laches /octrine Iss2e(s): -n/er propert: la" 3of e5%it:67 /oes the lang%age of a /ee/ /escri$e the creation of a fee simple "hen it rea/s7 b'ai/ propert: is restricte/ for the %se B $enefit of the secon/ part:7 onl:; an/ in the event the same fails to $e %se/ $: the secon/ part: or in the event of a sale or transfer $: the secon/ part: of all or an: part of sai/ lot7 the same is to revert to the first parties herein7 their s%ccessors7 heirs or assigns.b# <o"0ing: [es. &he grantor cannot place a restraint on alienation $eca%se it is an essential stic< in the $%n/le7 ho"ever a restriction on the %se of the lan/ is 0*& a restraint on alienation even if that is its effect; ,o/ge HC ma: sell their lan/ to "homever the: li<e7 $%t onl: the: can %se it; /istinction $: the "a:7 is restriction on lan/ %se an/ alienation. &o2rtLs Rationa"e#Reasoning: A cla%se "hich prohi$its appellant from selling or transferring the lan/ %n/er penalt: of forfeit%re is an a$sol%te restraint against alienation an/ is voi/ 3common la"6. 'o7 co%rt first loo<s to the lang%age of the /ee/ to ascertain if there is a voi/ cla%se. &he: /etermine the lang%age of the common la" /oes not permit alienation7 $%t as long as there is lang%age in a /ee/ "hich exercises the po"er to /eman/ ho" the lan/ is %se/7 that part of the /ee/ is o<a:. 'o7 /i/ the %se con/ition create a /efeasi$le fee as respon/ents maintain or is it also a restraint against alienation7 "hich is "hat appellant alleges. &his is a fraternal lo/ge7 of "hich the /ece/ent "as an active mem$er %ntil his /eath. &he term b%seb as to applie/ to real propert: co%l/ mean a bright "hich a person has to %se or enAo: the propert: of another accor/ing to his necessities.b &he co%rt p%ts these tho%ghts together an/ /eci/es the /ee/ sa:s it is to $e %se/ for fraternal p%rposes onl:7 that the lan/ "as conve:e/ %pon this con/ition. &h%s7 the )a$en/%m cla%se portion "hich referre/ to the lan/ %se7 "hen constr%e/ as a "hole an/ in light of the s%rro%n/ing circ%mstances7 create/ a fee s%$Aect to a con/ition s%$se5%ent "ith title to revert $ac< to the grantors7 their s%ccessors or assigns if the lan/ ceases to $e %se/ for lo/ge p%rposes. 'o7 in or/er to avoi/ even more conf%sion7 the co%rt re"rote part of the cla%se to rea/ bs%$Aect to the con/ition that sai/ propert: is restricte/ for the %se an/ $enefit of the secon/ part: onl:;...b the penalt: is the lan/ reverts $ac< to &oscano heirs. R2"e: &he o$Aect in constr%ing a /ee/ is to ascertain the intention of the grantor from the "or/s "hich have $een emplo:e/ an/ from s%rro%n/ing circ%mstances. 'i3ta: Appellant /oes arg%e the restriction co%l/ $e merel: %pon "ho %ses it7 an/ not ho". B%t CA co%rts have %phel/ the vali/it: of restrictions on lan/ %se in /ee/s7 even tho%gh the: hamper aliena$ilit:. )o"ever7 if carrie/ o%t to its concl%sion7 the restrictions on ho" the lan/ is %se/ ma: in/ee/ $ecome a restriction on "ho %ses the lan/. 'issents: &he entire )a$en/%m cla%se "hich p%rports to restrict the fee simple conve:e/ is invali/ as a restraint %pon alienation 3transferring title6. If "e are to have realism in the la"7 the effect of lang%age m%st $e A%/ge/ accor/ingl: to "hat it /oes. I "o%l/ hol/ the propert: free from restrictions.

1I41R41I *ne can sell life estate7 $%t practicall: tric<: ! $%:ers "o%l/ $e "orrie/ val%e "o%l/ $e m%ch less than 14' an/ there is %ncertaint: RULE A7AIN+T PERPITUITIE+ :: NOW RULE+ EJI+T+ AN' <OW TO WOR IT # 'ETER-. W<AT9+ ;ALI'. :: NOW W<AT <APPEN+ IB RULE I+ IN;ALI'. 5 -U+T <A;E +O-E B#+ AT &ON&L. :: +TATE+ <A;E A'OPTE' +A;IN7 EJ&EPTION+ 5 have sense o$ /hat this is

•

I.

Kno interest /i"" !e goo0 2nti" it m2st vest4 i$ at a""4 not "ater a$ter %1 .rs. a$ter some "i$e in !eing at 3reation o$ the interest.

i. -an. states have gotten ri0 o$@ states that maintain RAP have re$orms against it: ?"ait an/
see appr. 3C1 :r. p/.6 "hether it /i/ vest; ?"ait an/ see $%t not life in $eing _ C17 $%t for RI :rs.; others invali/ate if interest in /isp%te 4 impact restrain alienation for too long

II.

+ee porta" $or ans/ers an0 notes to p!"m. 5 p. S1U 5 LOO

AT T<E+E A7AINHH

a. 1. 1'. an/ son A has exec. interest $%t vio. RAP $4c college can stop %sing for instr. &hat s longer than life in
$. $eing p/. '* cla%se is str%c< o%t sol%tion: leave * "4 possi$. of reverter * has 14''C' an/ his rt. in reentr: is interest in grantor ! life in $eing. 0o RAP. restriction %se is in cla%se that s%rvives RAP so restriction s%rvives. ,eaves grantor "4 reverte/. If one has no /. restr. has 14'. Iss%e $4" 1. An/ D. = 4 ;+ @ A has life estate. B s gran/<i/s have conting. remain/ers an/ reversion in *. 2eas%ring lives = chil/ren. *=. chil/ren7 then the: co%l/ gra/%ate from h.s. more than C1 :rs. after interest create/. Ghole interest co%l/ fail. &ransferring thr% "ill7 so interest not create/ %ntil /eath. At that time7 "hen * s /ea/7 can t have an: more <i/s. 'till have p$lm of gran/<i/ not gra/%ating h.s. past C1 :rs. 'o7 still violates RAP.

c. A has 1'' exec. lmtation. B has exec. interest $4c viol. RAP. 'o7 leavs 14' in A. .iff t from 1. $4c in 1. Cla%se

e. Liolates RAP @ search for meas%ring lives. Ghat if * has another chil/ "ho s :et %n$orn. Chil/ co%l/ have
f.

g. 1or conting. remain/er7 it means I. of ta<er B satisfaction of all con/itions prece/ent. h. 1or exec%tor: interest7 it means ta<ing of possession 3i.e. /i/ contingent event occ%r6 i. 1or remain/er s%$A. to open4partial /ivestment 3li<e class gift67 it means closing of class

1. B2t2re interest in grantor a"/a.s satis$ies r2"e !#3 grantor is a"ive in !eing. (. ::meas2ring "ives , 3an !e someone o2tsi0e@ 0on9t have to have spe3i$i3 3onne3tion to prop.:: l. If chil/ $orn 3alive6 after testator /ies /eeme/ as ?in $eing P conception /. S$mp*on$ Space v. Pergo!a Prop.

a. 1acts: P is 01P "hich enter into = "4 $l/g. o"ner. . is assignee s transferee 3to "ho he conve: all rights from
1st trans6 . has option to $%: $ac< $l/g. in more than C1 :rs. after option create/. Pro$lem: option co%l/ vest more than C1 :rs. later potential RAP p$lm.

i. P see<ing /ecl. A4m against . for exercising option that viol. RAP. ii. *ption state/: "a) at any time after 8uly 1) 1%N%) so long as* closing is to occur during any of
calendar years 1%LN) 1%%!) 1%%L) O &&!$

$. R%le: he stat%tor: RAP meas%res excl%sivel: $: passage of time7 "hile C, r%le eval%ates reasona$leness of
restraint $ase/ on /%ration7 p%rpose… 0[ stat%te 3an/ C,6 s%spen/s alienation r%le an/ /eems voi/ an: estate in "hich conve:ing instr%m. s%spen/s a$sol%te po"er for longer than lives in $eing at creation of estate _ C1 :rs.

c. Application: last :r. of option = CIIE7 "hich is CE :rs after option create/. /. . arg%es @ stat%tor: prohi$. against remote vesting /oesn t appl: to comm. options; option here cannot $e
exercise/ $e:on/ stat%tor: p/; an/ ct. sho%l/ a/opt J"ait an/ seeK appr. to RAP.

e. Are options to p%rch. comm. prop. exempt form prohi$. against remote vesting in 0[ s RAP# f. )ol/ing: Liolates RAP7 $4c stat%te covers options $%t %niform r%le /oes not. 0o meas%ring lives %nless
referring to live ppl. )ere7 no life in $eing7 onl: C1 :rs. It co%l/ have veste/ o%tsi/e r%le so not neces. Jm%st have veste/K violates RAP.

i. .isting%ishes rt. of 1st ref%sal from comm. options: these rights /on t interfere "4 aliena$ilit: $4c if
the: /on t call it7 transfer isn t prevente/. ,ease "4 opt. to $%: :iel/s lessee to have access an/ incentive to invest in prop. = social $enefit so o%tsi/e of RAP.

g. Co%rt^s Rationale4Reasoning: '%$A. option =s to RAP is not goo/ i/ea. B%sinesses /o not <no" C1 :ear p/ for
"hich to "ait for prop. to vest in another.

0o saving stat%te7b $4c %nless there is contrar: info7 if there is no intent to shorten option7 then option is vie"e/ la" to $e for /%ration mentione/ in agreement7b "hich is for CE :ears7 an/ over the limit in the r%le. 'o7 saving stat%te is inapplica$le. &O,OWNER+<IP AN' -E'IATIN7 &ONBLI&T+ *#W &O,OWNER+

I.

&on$"i3t among 3o,o/ners: nee0 governan3e s3hemes=

A. B. II.

= or set of norms of proper %se to reg%late %se an/ care of prop.

*ff the rac< sol n protect co@o"ners in exit sit%ations: 16 affor/ co@o"ners exist from relationship thr% action $: partition; C6 more /etaile/ governance r%les &on32rrent an0 -arita" Estates 1. *iggest 0i$$. !#/ Tin& an0 IT: s2rvivorship ! none in &inC7 %nli<e in M& 3all of %s have an interest7 "hen one /ies o%r interst goes a"a: an/ remaining interest is /istri$. among co@tenants. ,ast co@tenant ma<es /ecisions a$o%t prop.6 a. Z%estions concerning partitioning or acco%nting /oesn t matter if M& or &inC; onl: 5%estions concerning s%rvivorship matter C. M& or &inC: "e have a commons 3/isagreements "ill arise $%t cts. "ill %s%. not get involve/ m%st "or< it o%t thr% =s7 etc *R get o%t6; "e /on t have in/iv. prop. rights "4 respect to each other B-& a. "e can ea. excl. strangers or choose not7 ma<e profit on prop. an/ sell i. cts. might allo"e/ C*A for "aste from one co@tenant against another $%t less li<el: if parties are in the tenanc: relationship than if allo"ing C*A for "aste to protect f%t%re tenants $. M& can t leave interest in rorp. As part of inheritance ). Prop. 3an !e 0ivi0e0 # share0 among m2"tip"e4 sim2"taneo2s o/nersR a. )ori>ontal /ivision over timeo $. Lertical /ivision at an: given moment E. estates in lan/ /efine/ in temporal /%ration 31'7 ,E7 remain/er 4 exec. interests6 can $e /ivi/e/ among conc%rrent o"ners F. Entit: theor:: partnerships an/ corp. 3as 1 o"ner6 as entities hol/ title to prop. a. E.g. If A7 B an/ C "ant to share o"nership to /"elling 3o2"0 !e 3on32rrent $. o/ners OR $orm partnership # 3orp. /hi3h /o2"0 ho"0 tit"e c. have greater c%stomi>a$ilit: than conc%rrent o"nership S. -ain $orms o$ 3o,o/nership: tenan3. in 3ommon4 1oint tenan3. a. &enanc: in common: i. each tenant has separate interest 3in/ep. /escen/i$le7 conve:a$le7 /evisa$le6; interest can $e attache/ $: cre/itors of each tenant a. 'ince in/ep. /escen/i$le no right of s%rvivorship 3share of each tenant passes in /eath as part of his4her estate6 ii. Each tenant has %n/ivi/e/ interest ea. hs right to possess "hole prop. a. 0o re5 m that each co@tenant hol/ e5%al share 3co%l/ $e A= QI7 B=DI7 C=1I6 1. respective share of rents or profits /eterm. $: respective o"nership V iii. to ?A an/ ?B $. Moint tenanc: (more restri3tive than Tin&@ N Unities) 3onl: approp. for committe/ relationship or famil: $sns6: i. 'ame as tenanc: in common except for treatment of s%rvivorship s%rviving Aoint tenant a%tom. Ac5%ires interest "hen other tenant /ies. ii. Re5%ires for J%nitiesK at time of creation: a. &ime: each interest m%st $e ac5%ire/ 4 vest at same time $. &itle: each m%st get title thr% same intstr%m 3/ee/7 "ill6 or via Aoint A4P 1. 0ot $: intestate s%ccession or oper. of la" c. Interest: each m%st have same interest in prop. e.g. 1'7 ,E7 lease /. Possession: each m%st have right to possess the "hole e. I1 A0[ *1 1'& D -0I&IE' I' .E'&R*[E. M*I0& &E0A0C[ 'ELERE. tenanc: in common create/ f. Can $e transf. o%t to stra"man 3an/ severing a %nit:6 an/ have the other transf. it $ac< 0o notice re5 m to /o thisO iii. Each Aoint tenant has %nilateral po"er to transf. ma: have effect of severing iv. *e ep"i3it: 2%st call each other M&; explicit a$o%t rt. of s%rvivorship an/ fact "e re not &inC a. &o A an/ B Aointl: fail%re to flag "ill sh%nt to"ar/ &inC c. &enanc: $: entiret: i. in minorit: of states; onl: for marrie/ co%ples ii. same as Aoint tenanc:: right of s%rvivorship; %n/ivi/e/ an/ separate interest; right of poss. of the "hole B-& 3annot trans$. share /#o 3onsent o$ other iii. Oth K2nit.?: neither 3an sever tenan3. on his o/n "4o getting /ivorce /. At transfer 3?* conve:s to A an/ B 6 of /evisement in "ill tenan3. in 3ommon is pres2me0 e. NNs%rvivorship feat%re in Aoint tenanc: 4 tenanc: $: entiret: allo"s remaining o"ner to avoi/ pro$ate an/ can sell prop. imme/iatel:NN

U.

C.

f. NNAoint tenanc: an/ tenanc: in common allo"s protection of Aointl: o"ne/ assetsNN g. 'ome cts. pres%me Aoint tenanc: "hen am$ig%o%s transf. to marrie/ co%ple &omm2nit. Propert. a. 'ome states have Jcomm. prop.K for marrie/ co%ple all prop. ac5%ire/ /%ring marriage a%tom. $ecomes comm. prop. i. Prop. ac5%ire/ $efore marriage can $ecome part of comm. prop. thr% commingling "4 it $. Partition ! most important legal reme/: for conc%rrent o"ners an: cotenant has rt. to terminate co@ tenanc: at an: time i. 'trong for co@tenant7 not so m%ch "4 f%t%re interest; opposite "hen it s C*A for "aste a. an: cotenant can s%e for partition for an: reason 4 none ii. limitation: tenanc: $: entiret: m%st convert prop. into tenanc: in common or Aoint tenanc: $: m%t%al agreme. *R sever %nit: of marriage to get partition 5e!fino v. ;ea!encis a. La/ $avors partitions in (in04 esp /hen 1 person "iving on "an04 !2t pre$er sa"e in emergen3. i. &est for *r/ering Partition $: 'ale: 316 attri$. of lan/ ma<e partition in <in/ impractical 4 ine5%ita$lae A0. 3C6 interests of o"ners $etter promote/ thr% partition $: sale $. B<gr: &hese are Tin&. P "ants to partition $: sale 3split %p profits $: V6 an/ t%rn "hole thing into res. /evelopm. . "ants PI= 3$: V6 $4c lives on lan/ an/ earns living 3gar$age ha%ling $i>Y"ants to remain on prop. an/ oper. $sns7 0*& sell it. . prevails c. R%le 4 C Part &est: i. Is it pra3ti3a" to partition in (in0 (0o eva".): even tho there are some roa/ iss%es here7 it s not impractical. -s%. if too man: competing o"nership interests; here A%st C OR

ii. interest o$ o/ners !etter serve0 !. sa"e (defau!t) (ta"e sa@es Dr: even tho P s /evelopm. Gont $e

/.

as s%ccessf%l as gar$age $i> 3an/ "ill have appr. an/ economic4price impact on /evelopm.67 ct. consi/ers B*&) parties interests a. B%t . or/ere/ to pa: Jo"elt:K ! if there s im$alance in val%e after partition in <in/ ! to compensate for other prop. $: r%nning trash $i> on her 1 acre )ol/ing: prop. ma: practica$l: $e ph:s. /ivi/e/ an/ interests of all $etter promote/ if PI= or/ere/

B.

&ontri!2tion an0 A33o2nting

1. ,a" allo"s lt/. Reg. of inp%ts an/ o%tp%ts $4" co@o"ners.. li<elihoo/ of ct. involvem. ,o" if contin%ing
B.

C.

relationship $%t incr. "hen 1 pt:. see<s partition or has o2ste0 the other $rom poss. %i!!mor v. %i!!mor a. I$ 3on,tenant o2sts another 3otenant the. have to pa. rent o2ste0 1 !#3 ' 2se o$ prop. e>2a"s e63". o$ 3o,tenant $. B<gr: involves gra>ing lan/ an/ &inC. P ha/ FIV interest an/ . ha/ CFV. . o%ste/ P $4c %se/ "hole prop 3res%lting in overgra>e/ lan/67 excl. P %se of lan/ from gra>ing @ completel: o$str%cte/ P %sa$ilit:. c. O2ster 8 open 0eman0 $or 2se an0 3o,tenant re$2sa" o$ sai0 2se /. R%le: cotenant ma: s%e for share of rents an/ progits from common prop. if o%ste/ from 4prevente/ poss. i. Excl. %se of commonl: hel/ prop. 0oes not 3onst. o2ster B-& cotenant "ho o%sts or neces. excl. fello" cotenant viol. cotenant s rights or he s ph:s. excl. a. Ler: express re$%ttal $. If co@tenant %ses lan/7 o%ster cannot stan/ ii. Even if o%ster /amages are too high a. Excl. %se: re5%ires act of excl. or %se that neces. prevents another cotenant from exercising rights iii. 0o acct. for $oth %ses -0,E'' there s an o%tstear a. Rent can $e offset $: repairs4 /amages7 li<e o"elt:. $. 2angement "4in co@tenanc: $%ti 1. &otenant 3an s2e $or 3ontri!. $or ne3es. e6pen0it2res to preserve prop (pa.m. o$ prop ta6 # mortgage):0ot li<el: a"ar/e/ for repairs 4 maint. an/ almost never for improvements7 if relationship ongoing7 $%t not so m%ch if o%ster alrea/: occ%rre/. C. . claime/ offset for repairs /one on common prop ! claims P "ill $enefit from it7 B-& "hen cotenant ma<es repair4improves "4o consent of cotenant not entitle/ to contri$ -0,E'' cotenant permitte/ it *R . acte/ in (1 $elief he "as sole o"ner *R repairs /ere essentia" to preserve# prote3t 3ommon prop. e. )ol/ing: "hen cotenant o%t of poss. 2a<es clear /eam/ to %se lan/ that s in excl. poss. of other cotenant an/ other ref%ses to accom. tenant can claim relief. +everan3e a. M*I0& either M&. 'ever Aoint tenanc:7 /estro:ing rt. of s%rvivorship an/ converting it into tenanc: in common. After conversion interest can pass thr% "ills. &M interests $. Can conve: to oneself to sever Aoint tenanc:. c$ Harms v. Sprague i. Tit"e 2nit. I+ NOT severe0 i$ one IT mortgages his interest in prop. (K"ien theor. o$ mortgages?) AN' "ien 0oesn9t s2rvive 0eath o$ IT

ii. B<gr: P an/ . are in Foint tenancy$ Bro /ie/ an/ exec. 3'prag%e6 ref%se to give title to lan/ to P since
/ea/ $ro mortgage/ prop. An/ len/er claime/ title to $ro s interest in lan/ as coll. for mortgage. P s%es for 9uiet title$ iii. R%le: In M&7 if cotnant /ies7 prop. interest /issolves an/ a%tomaticall: split %p $4" remaining cotenants 3)arms6. a. 'prga%e "as to get ever:thing in $ro s "ill an/ ha/ receive/ loan on mortg lan/ iv. &rial hol/ing: fo%n/ "hen $rother too< o%t mortgage7 M& severe/. 2ortg. s%rvive/ /eath of $ro. v. R%le: A M& is a%tomaticall: severe/ %n/er certain con/itions. All partners m%st have these in common: time7 title7 interest an/ possession. If one is $ro<en7 prop. converts to tenanc: in common a. tenancy in common can $e given a"a: in a "ill7 a M& cannot. vi. 1inal: Ill. '%p. Ct loo<e/ to prev. case la" an/ fo%n/ that mortgage /oes not sever M&7 %nless loan goes into /efa%lt an/ propert: is sei>e/ $: $E /eath. A M& m%st maint. unity of title. )ere7 $rother never lost title to his interest in prop. a. If he ha/ /efa%lte/ prior to /:ing7 then 'immons "o%l/ve ac5%ire/ interest in title. $. 2ortgage /i/ not s%rvive $4c in M&7 %pon /eath that person^s interest /issolves. 0othing is transferre/ to other partners. &hat interest "as not transferre/ to )arms7 it A%st /isappeare/. '* collateral mortgage "as $ase/ on /oesn^t exist. 1. +o"9n /o2"09ve !een to ma(e a"" IT sign o$$ on mortgage 0o3s C. 'isa0v: )%rts len/ers "ho /on t c<; A0v. to len/ers to c< "hich protects len/ers an/ other tenants c. .on t ta<e propert: hel/ in M& as collateral on loan $4c collateral onl: exists "hile person is alive an/ if the: /ie7 :o% can^t recoverO 2a<e them file a paper conve:ing their interest from M& to tenancy in common. &hen interest s%rvives their /eath an/ :o% can recover. Gh: parties "ill re5%est $ase$all si/e ar$itration is that it "ill ma<e them more reasona$le to a/v. arg%ments on val%e @ In t:pical a/versarial procee/ing7 ct. face/ "4 parties ma<ing evi/. a$o%t val%ation rather extreme. *%trage constraint ! "orrie/ a$o%t $eing perceive/ as o%trageo%s; so "ants to $e to"ar/ the mi//le. 'a:s to A%/ge that cant reach o"n /ecision on val%e an/ that m%st pic< val%e offere/ $: one si/e or other. If :o% <no" A%/ge has to pic< :o%r T or opponent s T7 A%/ge "ill pic< one that s less extreme. &herefore7 each co%nsel "ill have incentive to get it right7 as oppose/ to getting it right in normal litigation.

III. -ore on -arita" Interests
1.

C.

D.

D.

'ome marital prop. hel/ in 1' in a//. &o a$ove options a. ,i<e co@tenanc:7 "ill $e han/s off "4 martial prop. leave it to spo%ses7 not prop. la" &ommon prop. appr. I#'7 li<e partnership… a. Ever:thing that ac5%ire/ /%ring marriage is o"ne/ $: the marriage an/ consent of $oth spo%ses is re5 / in an: prop. trasnf. $. -pon /eath7 each gets FIV; same thing for /ivorce _ e5%ita$le consi/eration c. &racing Pro$lem: assets exist $E marriage an/ things can $e "ille/ 4 gifte/ $E marriage an/ ac5%ire/ /%ring marriage 3an !e 3omming"e0 /# marriage 3omm. prop. &L I#0 separate tit"e (/hoever o/ns prop. manages it) a. .eath: intestate 3s%rviving spo%se ta<es most4all of /ecease/ prop.6 L' testate 3can /istri$. prop. thr% "ill B-& there s mechanism to protect s%rviving spo%se i. 'po%sal force/ share ! other partner in marriage can force share /%e to stat%s as spo%se ! regar/less of "ill ii. .ivorce: follo"e/ title r%le in /ivision of prop. 3If ) "ent to )7 etc6 a. M&7 tenanc: in entiret: ! FI 4 FIV; shift in alimon: pa:m. $. After XIs states a/opte/ ?no $a2"t 0ivor3e appr ct. have a lot of /iscr. in /ivision of prop. 1. Alimon: pa:m. calle/ maint. pa:m. )’"rien v. )’"rien a. 1acts: P an/ . marrie/. 2ove/ to 2exico so P co%l/ go to me/ school f@t. . ta%ght school an/ contri$%te/ her earnings to Aoint expenses. &he: move/ $ac< to -' so P co%l/ finish school. &"o months after P receive/ license7 he file/ for /ivorce. +po2se so2ght to have pro$. "i3ense 0e3"are0 as marita" prop.4 th2s s2!1. to e>2ita!"e 0istri!. $. R%le: interest in prof. or prof. career potential is marital prop. ma: $e represente/ $: /irect 4 in/irect contri$. of non@life hol/ing spo%se c. Iss%e. Is professional license of 1 part: s%$A. to e5%ita$le /istri$. in a /ivorce# /. )el/. 2arital propert: s%$A. to e5%ita$le /istri$; its prop. ac5%ire/ $: either spo%se /%ring marriage regar/less of form in "hich title is hel/. i. 0[ recogni>es that spo%ses have e5%ita$le claim to things of val%e arising o%t of marital relationship an/ classifies them as s%$A. to /istri$. $: foc%sing on marital stat%e of parties at time of ac5%isition. Interest in professional or professional career potential is marital propert:7 "hich ma: $e represente/ $: /irect or in/irect contri$%tions of non@title hol/ing spo%se.

ii. 1e" %n/erta<ings /%ring marriage $etter 5%alif: as Aoint effort than contri$. to"ar/ spo%se s ac5%isitions iii. Contri$%tions represent investments in partnership B license is pro/%ct of parties Aoint efforts7 so sho%l/
$e consi/ere/ marital propert:. Conc%rrence. A professional in trng "ho is not committe/ to career choice "hen /istri$%tive a"ar/ is ma/e ma: $e loc<e/ into partic. <in/ of practice simpl: $4c monetar: o$ligs impose/ $: /istri$. a"ar/ ma/e $: ct. iv. The e>2ita!"e 0istri!2tions o$ the "a/ /ere inten0e0 to provi0e $"e6i!i"it. so that e>2it. 3o2"0 !e 0one. e. Rationa"e: if a spo%se /i/n t $elieve he "o%l/ s%ccee/ in profession7 she sho%l/ expect he "o%l/ pa: her $ac< loan for f%n/ing me/. school ! li<e $on/ 4 lotter: ! t.pi3a" 0e!t arrangement /# pa.!a3( o!"ig 3%psi/e is cappe/ $%t so is /o"nsi/e6. If she tho%ght he "o%l/ score $ig7 she "o%l/ score e5%ivalent "in as "ell !e>2it. re"ationship 3shares ! if one ri/es %p so /oes the other; if one loses o%t so /oes the other. i. This is "i(e e>2it. re"ationship (has to give her pie3e o$ a3tion). ii. Real asset here is h%man prop. ! not in rem 6arvin v. 6arvin 5 3ase@ nothing prop. a!o2t this a. 1acts: P an . live/ together for X :rs "4o marriage7 "4 all prop. ac5%ire/ /%ring time ta<en in . s name. P avers she an/ . entere/ into oral = "here parties "o%l/ com$ine efforts an/ earnings an/ share e5%all: all prop. acc%m. as res%lt of efforts. P agree/ to give %p l%crative career as singer 4 entertainer an/ ass%me role of homema<e7 "4 . agreeing to prov. for all of P financial s%pp. . compelle/ P to lv his ho%se in 1RXI an/ contin%e/ to prov. s%pp. %ntil 1RX1. &hen7 ref%se/ to prov. f%rther s%pport. P $ro%ght s%it to enforce oral =7 claiming she entitle to half prop. an/ s%pp. pa:m. i. ,i<e 5arner v$ 5arrish: leasehol/ interest $%t /i/n t match leasehol/ stat%s; /i/n t fit into prop. $%c<ets $. Brief 1act '%mmar:. Plaintiff an/ /efen/ant live/ in a nonmarital relationship7 "ith an oral agreement to share e5%all: all propert: acc%m%late/. -pon /issol%tion of their relationship7 plaintiff $ro%ght s%it to enforce the oral agreement. c. R%le of ,a". California ct fo%n/ that partners in nonmarital relationships ma: $ring claims for prop. /ivision $ase/ on $oth express an/ implie/ =s. /. Bottom line: ct. erre/ in granting . s A4m on plea/ings $4c P s complaint states C*A for $reach of express =7 an/ can $e amen/e/ to state C*A in/epen/ent of allegations of express =. i. . first an/ foremost claims that allege/ = sho%l/ not $e enforce/ $4c it violates p%$ polic: /%e to its close relationship to immoral character of relationship $4" P an/ .. )o"ever7 < $4" nonmarital partners is %nenforcea$le onl: to extent it explicitl: rests on consi/eration of meretricio%s sex%al services. Cts sho%l/ loo< to consi/eration %n/erl:ing s%ch agreements to /etermine their enforcement. Also claims that = viol. p%$. polic: $4c impair/ comm%nit: prop. rights of his la"f%l "ife. a. 0o reason that enf. of = $4" P an/ . against prop. a"ar/e/ to . $: /ivorce "ill impair an: rt. of la"f%l "ife ! '*7 not against p%$. polic: ii. . also conten/s enf. is $anne/ $: civil coe re5%iring all =s for marriage settlements to $e in "riting. B%t7 marriage settlement = agreem. in contempl. of marriage an/ present = /oesn t fall "4 in this /efinition 3li<e 5arner v$ 5arrish6 e. Rationale: Prece/ent has hel/ that 1amil: ,a" Act s%ggests that propert: acc%m. $: nonmarital partners in act%al famil: relationship sho%l/ $e /ivi/e/ e5%all:. Altho%gh co%rts have generall: not recogni>e/ the fact7 C, principles hol/ that implie/ contacts can arise from con/%ct of parties. Cts have allo"e/ partners to retain proportionate share of f%n/s 4 propert: contri$%te/ to relationship7 $%t have /isallo"e/ s%ch interest $ase/ on contri$%tion of services. Beca%se the 1amil: ,a" Act is inten/e/ to eliminate fa%lt as a $asis for /ivi/ing marital propert:7 implie/ contract%al claims sho%l/ $e allo"e/ in nonmarital relationships. f. 'is32ssion. &he Co%rt examine/ ho" the /istri$%tion of propert: ac5%ire/ in a non@marital relationship sho%l/ $e governe/. &he co%rt allo"e/ not onl: plaintiff s claim that an express contract existe/ an/ sho%l/ $e enforce/7 $%t also fo%n/ that implie/ contracts ma: $e fo%n/ in s%ch sit%ations. of prof. license. )ere7 most of marriage "as /evote/ to P getting license. . pla:e/ maAor role in that.

F.

IV. TRAN+BER OB INTERE+T+ A. Un0er "ease 3li<e $ailment that inv. &ransf of prop $%t "4o f%ll o"nership6 B. C.

poss. o$ prop. shi$ts $rom "essor to "essee a3ts as gate(eeper 02ring "ease an0 3an e6er3ise in rem right o$ e63". 1. ,i<e $ailee7 lessee can $ring C*A li<e trespass or conversion against D/ pt: that interf "4 prop /%ring lease term &ransfers of lan/lor/ s reversion of tenant s leasehol/ interest to some D/ pt: /%ring lease term R2"e: "hen lan/lor/ transf reversion7 transferee ta<es tenant s interest 6u!!endore T*eatres v. %rowt* &ea!t$ 5LLLs promise to ret2rn se3. 0eposit 0oes not r2n /# the "an0 (ma1orit. vie/) UNLE++ restri3te0 to !ene$it o$ prop. <ere it 0i0n9t4 so s233essor LL not o!"ige0 to re$2n0 it= 1. 'istin3tion !#/ re"ationships that are prop. "i(e V "i(e (one 3an !e en$or3e0 against /or"0 /hi"e other 3an !e en$or3e0 against pt. /ho signe0 ): on one han/ there s things D/ parties /on t have interest an/ on other han/ there s things D/ parties have interest in 3i.e. sec. /eposit6 a. G)[ GE )ALE R-0 G4 ,A0. .I'&I0C&I*0: Ppl /o /ra" /istinctions; once "e notice /ifference $4" /ocs that are enforce against "orl/ 3prop. rights6 an/ against onl: pt: "ho signe/ 3= li<e6 "ant to ma<e prop. li<e

C.

/oc. as compreh. as possi$le… even i$ .o2 po2r it a"" in4 /e9re not going to en$or3e it a"" !#3 has persona" promises imp"ie0 an0 3"og 2p prop. mar(ets $. Promise to pa: for lan/: &o%ches an/ Concerns &E'& c. if :o% "ant to to enf. = have to go $ac< to person "ho "as privit: to = )*G C&4.E&ER2. I1 &)ERE ' .I'&I0C&I*0: a. KTo23h an0 &on3ern? Dthe "an0E TE+T 5 .oes it enhance val%e or confer $enefit on lan/. *ther"ise @ it s collateral an/ personal o$lig. of orig lessor# In or0er to !e r2nning 3ovenant4 promise to pa. W m2st restri3t 2se o$ $2n0s to !ene$it o$ prop i. 0o s%ch restriction in covenant ! ,, not o$lige/ to spen/ $ on prop or to transf it to s%ccessors cit: has no o$lig. to ret%rn sec. /eposit. )ere7 /oesn t $enefit prop $4c concerns ret%rn of $ to tenant not as investment in prop. $. To 0etermine /hether "ease r2ns /# "an0: as< 16 "hether parties inten/e/ covenant to r%n7 an/ C6 "hether covenant to%ches an/ concerns it 3enhances its val%e an/ confers $enefit %pon it6 c. P2rp o$ se3. 0eposit here: to protect ,, against /amages that occ%r that he ha/ not ctrl over; to sec%re monthl: pmt.; to sec%re tenant promise to pa: monthl: pmt.; sec%res prop. /. &t. treats it as ver. 2a"4 not prop. "i(e s treat se3. 0eposit as

D. E.

Parties to these

A++I7N-ENT AN' +U*LEA+E

1. Trans$ers o$ Tenant Interests: T/o T.pesR a. +2!"ease ! lan/lor/ starts "4 1' an/ carves o%t lease for prime tenant; then prime tenant carves o%t
s%$lease for s%$tenant from prime lease7 an/ so on; each time interest carve/ is re/%ce/ from the "hole i. I$ pro!"ems arise4 each tenant /eal "4 lan/lor/ /irectl: a$ove "ho /eal onl: "4 tenant $elo" $. Assignment Kno 3arving o2t? @ operates li<e alienation; lan/lor/ starts "4 1' an/ carves lease for prime tenant7 then prime tenant alienates thr% transf lease to 1st assigne/; 1st to Cn/ an/ so on. i. I$ pro!"ems arise: onl: C parties /eal "4 prop: the orig. lan/lor/ an/ latest assignee; assignee steps into shoes of prime tenant an/ enters into /irect relations "4 lan/lor/ C. T/o so2r3es o$ "an0"or0,tenant o!"igationR 5As to s2!"ease@@ a. Privit. o$ estate 5 &o appl: 16 parties to $e $o%n/ m%st have interests "here one is /irectl: carve/ o%t of interest of the other; C6 one of parties m%st $e in act%al poss. of prop. If present7 parties $o%n/ $: priv. of estate I0 A..I&I*0 &* privit: of =. $. Privit. o$ 5 o$lig. 1rom $in/ing $ilat. = i.e. "ritten lease. Can I. parties $o%n/ $: privit: of = comes from signees to lease =. i. *ne pt: in privit: "4 either lan/lor/ or tenant /irectl: a$ove or $elo" them. 5As to assignment@@ a. Ghen prime tenant assigns to Cn/ assignee privit: of = $4" lan/lor/ an/ prime tenant remains $%t no privit: of = $4" lan/lor/ an/ assignee B-& assignee7 having steppe/ into shoes of prime tenant7 hol/s prime leasehol/ interest carve/ o%t of lan/lor/ s interest an/ $4c assignee is in poss. assignee an/ orig. lan/lor/ are in priv. of estate $. &o /eterm. "hat each part: s o$ligations are: m%st /eterm. "ho s in privit: of easte an/4or =. &o /o this7 loo< to lease that /efinres orig. leasehol/ interest an/ impose on those parties covenants that r%n "4 lan/ *R to%ch an/ concern it. 2%llen/ore c. NNUn0er an assignment prime tenant acts as s%ret: for perf. of o$ligations $: assignee. If the: /on t meet them7 prime tenant is on the hoo< per privit. o$ . /. ::Un0er s2!"ease prime tenant on the hoo< per privit. o$ AN' privit. o$ estate 5As to assignment@@ a. Ass2mption ! occ%rs if 1st assignee expressl: agrees as part of assignment to $e $o%n/ $: terms of orig. lease agrees to $e $o%n/ $: privat: of = an/ estate A0. prime tenant still $o%n/ $: privit: of =. $. Novation 5 "here parties agree to erase privit: of = lia$. from prime tenant. In case of an assignment from prime tenant to assignee7 former is off the hoo< for ever:thing. Besi/es that7 prime tenant no longer in priv. of estate %pon assignment… C. Ia!er v. -i""er ! intent o$ parties sho2"0 g2i0e 0eterm. i$ esate or assignment Intent of parties sho%l/ g%i/e /etermination of "hether it s a s%$lease or assignment7 not C, r%le7 "hich sa:s it s onl: a s%$lease if tenant retains rt. of reversion. Application: ,ease ha/ cla%se that it "o%l/ terminate if $%il/ing "as /estro:e/ $: fire. 1ire happene/. 8Is there still lease#9 Iss2e is /hether there is privit. o$ 4 /hi3h on". e6ists i$ it /as an assignment. &he covenant 3that it terminates if fire6 /oes 0*& r%n "4 the lan/7 so onl: vali/ if there s privit: of estate. )ere it is an assignment7 $4c it s calle/ that7 an/ it "as clearl: intent of the parties: (e. varia!"e 8 pa.ments going straight $rom s2!tenant to LL4 not $rom s2!tentant to tenant: ongoing pmt 0s0e@ in "e0r0 it s""$ a. 1acts: 2iller $ro%ght s%it to o$tain cancellation of promissor: note ma/e $: 2iller to Ma$er ; Ma$er claime/ he s%$let prop7 that it $%rne/ /o"n an/ that 2iller no longer lia$le for rent '%$lease@$: tenant or lessee to D/ pt: of part or all of lease/ premises for shorter $. Assignment @ assignment of all of tenant s remaining rights in prop %n/er lease. c. Iss%e: "as it a s%$lease or an assignment

/. R%le 3maAorit:6: if instr%ment transfers lessee s estate for remain/er of lease term

D.

it is an baA ma<ing D/ pt: /irectl: lia$le to lan/lor/; if the instr%ment transfers lessee s estate for an.thing less than remain/er of term it is sublease. i. B: assigning prop to Dr/ part:7 original tenant loses all interest in propert:. 'o7 has no reversionar: interest7 cannot enforce right of re@entr:7 an/ cannot $e hel/ lia$le for ne" tenant s fail%re to pa: rent. ii. B-&7 s%$lease = ne" tenanc:7 "here original lessee is $oth tenant 3o"ing lia$ilit: to original lan/lor/67 an/ lan/lor/ 3to Dr/ part: lessee6. e. NN"hat are perio/ pa:m. /eferre/ consi/. for assignment If :e7 :o% "o%l/ have to pa: them. If something else7 then % /on t. Criticisms of R%le: i. *riginal lessee co%l/ $e s%$A. to /o%$le lia$. if s%$lessee fails to pa: rent7 etc. ii. B exec%tes "hat is inten/e/ to $e profita$le s%$lease to C 3leaving B "4 profit67 :et if transfer is for entire remain/er of B s term7 C "ill $ecome /irectl: lia$le to A7 an/ an:thing B collects from C /%ring term "ill have to $e repai/ to C. f. 2assach%setts R%le: if original lessee retains right of re@entr: for non@pa:ment of g. rent this can create a reversionar: interest7 there$: creating s%$lease instea/ of an assignment. i. 2A r%le pres%mes right of re@entr: sho"s intention of parties to create s%$leaseO en0a"" v. Ernest ! ho"0ing that 3ommer3ia" LL ma. on". /#ho"0 3onsent 2n0er si"ent 3onsent 3"a2se i$ he ha0 3ommer3ia"". reas. o!1. to trans$eree or propose0 2se. &t. vie/e0 "ease as 3onve.an3e4 an0 re"ie0 on prop. "a/ r2"e restri3ting restrains on a"ienation. &t. a"so vie/e0 "ease as an0 rea0 in imp"ie0 3ovenant o$ 7B an0 $air 0ea"ing /hi3h 3ompe""e0 3ommer3ia"". reas. !asis o$ 0en.ing 3onsent.

E.

a. In commercial leases: if there s cla%se that re5%ires ,, s approval $efore alienation7 there s implie/ /%t: that $. Iss%e: "here lease has approval clause7 can ,, ref%se tenant s re5%est to assign for no reason#
c. consent is onl: "ithhel/ for commerciall: reas. reasons. App". !a"an3ing test $or reasona!"eness

Ct. /oesn t accept arg that ,, sho%l/ $e a$le to excl. "homever the: "ant ! rt. /il%te/ $: preexisting /%t: to mitigate. /. )ol/ing: either ,, or & can Jcapt%re the $on%sK *ther"ise too m%ch of restraint on alienation e. ,, "ants to have R' ctrl. over lease. Ghere is /irect7 common interest prop. f. Explanation: A%st $4c ,, co%l/ ve ma/e $igger profit I' 0*& commerciall: reas. reason $4c it %n/ermines "hat ,, an/ orig. & contracte/ for. i. Exec%tor: =: "here a pt: s o$lig. is still o"e/. ii. A%tomatic sta: stops an:thing from elavinta estete; "hat remains can $e ivi/e/ $: pal iii. [o% "ant to <no" "ho tenant is. ! 3tr" 3"a2se: ,, "ho gets to helee iv. B: giving =%al relationship implies (1 an/ fair /elsing. If ar$itrar: an/ no con/eration7 iit o%lr $: loseral errer. Implies (1 an/ fair /ealing g. (enerall:7 approva! c!auses are va"i0 !#3 the. are meant to prote3t "essor. i. B4c of preservation of lan/lor/ s right to select a tenant. a. Co%nter: minorit: r%le preserves ,, san/lor/ s right to personal selection; onl: limits ,, from reAecting tenant $ase/ on %nreasona$le gro%n/s. $. Ct. is o< that apprv. Cla%se "o%l/ ve prevente/ him from charging more for rent. ii. Cla%se "as $argaine/ for an/ co%rts sho%l/ not interfere "4 parties $argaine/ for agreements. a. Co%nter: approval cla%se onl: sa:s ,,4lessor m%st give "ritten consent to propose/ assignment; /oes not sa: ,, ma: ref%se for an: reason iii. 'tare /ecisis: co%rts sho%l/ not /epart from the maAorit: r%le. a. Co%nter: maA. r%le 0*& %niversall: accepte/. h. An: incr. in propert: val%e7 i.e. reason s%$lessor in ;endall "ants to assign his interest to Dr/ part:7 J$elongsK to original lessor. i. Co%nter: allo"s lessor to o$tain more than $argaine/ for in original lease =. i. R'& 3C.6 of Prop. follo"s min. r%le: ,, cannot "4hol/ consent %nreasona$l:7 %nless s%ch provision is present in lease agreement an0 "as freel: $argaine/ for. A. If ,essor is also7 $: "a: of = la"7 %n/er /%t: a (1 /%t: to onl: ref%se approval for reasona$le reason. <. ,essor can consi/er fitness of propose/ assignee $ase/ on: $inan3ia" resp4 s2ita!i"it. o$ prop $or assignee9s prop. 2se4 an0 "ega"it. o$ propose0 "ease. .en:ing propose/ assigne/ on $asis of s%$A. factors is not ?commerciall: reas 'A2P,E Z-E'&I*0': st%ff "e ve not covere/; appl: 1st poss7 accession7 other approaches7 etc 3riparian s:stem: "hose lan/ to%ches "ater gets it6 'ee ,ease p$lm. notations on p. XQE

o
o

Effective 0otice t%rns on ho" notice provision is /rafte/ ! notice is important Cla%se F: force maAe%r cla%se; ,, relin5%ishes respon. 1or not provi/ing %tilities

o
o o

Cla%se Q: If he sells it to another ,,7 "ant ne" ,, to ret%rn sec%rit: /eposit A0. compl: "4 ,, s respon. 0ullendore Cla%se H: "hether lessor can /en: assignment 4 s%$letting on reas. $asis or not... Cla%se R: "h: lessor is not re5 / to give notice to lessee Cla%se 1I: ,, tr:ing to avoi/ $eing responsi$le for constr%ctive eviction ;endall Cla%se 1C: recreational facilities: ,, can $%il/ an/ chrg for them. An: limit on this# Cla%se 1E: att:. fees: /iss%a/es lessee from going to ct. "o%l/ perhaps re5%est s:mmetr:. Cla%se 1R: hol/over rent charge A0. att:. fees is too expensive; pro$. %nenforcea$le an/ in viol. of state la" Cla%se CC: rene"al is $: time presc. B: lessor. 0ee/ to <no" "hen to give notice… 7O T<RU T<E LEA+E4 BIN' I++UE+4 A+ <OW &AN I BIJ T<E- # A'' &LAU+E@ IB I &AN ONLY 7ET 1 &<N74 IT WOUL' *E=.W<AT9+ T<E LL9+ REP A'': A0 ARBI&RA&I*0 C,A-'E I1 - CA0; 2-&-A, REA'*0AB,E C,A-'E; GI,, EAC) AC& I0 (**. 1AI&) A0. I0 C*22ERCIA, REA'. 2A00ER; ,, GI,, )ALE .-&[ &* 2I&I(A&E; '*2E RE'&RAI0& *0 ,, ' ABI,I&[ &* RE'&RAI0 [*-R ABI,I&[ *0 A''I(02E0& 4 '-B,EA'E

o
o o o o o

o

11#%#1M

A.

&OOPERATI;E+4 &ON'O+4 AN' &O--ON,INTERE+T &O--UNITIE+

m%lt. persons enAo: possessor: rights a. /iffer from leases $4c those "ho o$tain in/iv. possessor: rights have o"nership interests li<e in 1'7 $%t "4 leases7 ,, is manager "4 onl: mar<et constraints $%t "4 common@interest cprop. %nit o"ners manage common areas collectivel: $. PPl engage in grp o"nership oppose/ to rent $4c of: ta6 in3entives (Hansmann)@ emot. atta3hment@ more 3om$orta!"e investing &OOP. &ON'O 2*R&(A(E: Blan<et mortgage for entire $l/g. Each in/iv. -nit o"ner has o"n mortgage; less effic. transaction cost ea. &ime %nit changes han/s ,EA'E: Proprietar: lease entitling o"ner to perpert%al occ%panc:. '&*C=: )as shares that can $e sol/ at mar<et price so has excl. freel: transfera$le prop. rt. D. Ine$$i3ient 0e3isions 5 $4c interest of all mem$ers aren t the same7 o%tcomes /on t al"a:s maximi>e aggregate s%rpl%s for occ%pants. a. ,, has interest in ma<ing efficient /ecisions in or/er to maximi>e aggregate rents charge/. E. transa3tion 3osts ! s%$st. transaction costs assoc. "4 collective /ecision ma<ing s%ch as time a. o332pants o$ 3ommon@interest prop. have a/vantage over non@occ%pant investor@o"ners $4c the: can provi/e effective oversight an/ ma<e collective /ecisions more easil:. F. KOrganationTa" innovation theor.? ! con/os minimi>e/ common prop. element of o"nership an/ allo" each occ%pant to get sep. financing7 re/%ce/ occ%pants from having to serve as sep. s%reties for one another. )o"ever7 in a coop7 one lrg mortgage elim. &ransaction cost of renegotiating fnianciang each time %nit is ac5%ire/ $: another o"ner. B. 7O;ERNAN&E GUE+TION+ 1. In m%lti@%nit facilities ,, r%les A0. can ma<e /ecisions %nilaterall: B-& is constraine/ $: lease cla%ses an/ mar<et forces C. T/o Prin3ip"es -e3hanisms to +o"ve Ongoing 7overnan3e Pro!"ems in &ommon,Inter. Prop.: a. Contract%al ! r%les an/ regs r%n "4 o"nership interst. $. Est. of (overning Bo/: ! est. r%les an/ regs. an/ enforce them D. 2a*rstedt v. 'a eside ;i!!age ! 3ts. /i"" 2s2. 2pho"0 restri3tions in 0e3". o$ 3ommon interest 3omm2nities that 0esigne0 to !ene$it 3omm2n. as /ho"e4 to preserve sta!i"it. 2n"ess 2nreasona!"e. -3:ut) if :o% re a con/o7 it s %nreasona$le to have to /efen/ all :o%r r%les…6 a. Iss%e: Pet restriction an/ stat%te 3implie/ as vali/6 stating preserving peace is important. $. P has $%r/en of sho"ing stat%te is %nreasona$le; can sho" if i. Ar$itrar:

1. "eases , *l/est most common form of entit: prop. C. 3ommon interest 3omm2nities , 3oops4 3on0os4 an0 3ommon,interest 3omm2nities are A,, entit: prop.:

ii. B%r/en on %se of lan/ o%t"eighing $enefit c. 1acts: 0ahrste/t $o%ght con/o in ,a<esi/e Lillage. It clearl: state/ in )* agreement 3a<a declaration6 there /. ,a": reasona!"eness TE+T: -se restrictions "ill $e enforce/ %nless %nreasona$le e. Ct.: %n/er Cali la"7 3ts re>90 to en$or3e P3ovenants4 3on0it an0 restri3tionsP (&&VRs) in dec!aration
2n"ess unreasonab!e. i. $%r/ens on %se of lan/ that o%t"eighs $enefit.b Ghat s reeas. &o entire con/o assoc7 not neces. an in/iv. *"ner ii. 'ocial goo/ in enforcing CCBRs iii. CCBRs can $e mo/ifie/ $: vote of )* assoc. ! no nee/ to involve ct. Co%rts have fo%n/ that r%les create/ $: managing $oar/s after people move into comm%nit: sho%l/ $e hel/ to higher st/ of breasona$lenessb than r%les in orig. covenant. )ere Jno petsK r%les "as in orig. covenant. Cts. sa:: all r%les passe/ after 1st person move/ in are hel/ to same st/ for all. i. *ther"ise7 /iff. resi/ents "o%l/ $e hel/ to /iff. stan/ar/s $ase/ on "hen the: move/ inO 0* common interest comm%nit:. ):po: if 0ahrste/t ha/ $een living there7 an/ managing $/ change/ r%les ! co%l/ arg%e non,3on$orming 2se B-&7 0ahrste/t <ne" that Aoining common interest comm%nit: co%l/ res%lt in ne" r%les $eing create/7 so no reason to ass%me there^/ never $e a no@pets r%le. 2otes: "al<ing a"a: from o"ne/ con/o is more expensive than "al<ing a"a: from rental "here max loss is remain/er pmts. 1or lease term@@@@changing of /iff. rt:pes %les correspon/ "4 /iff. re5 m for changing them e.g. simple maAorit:7 etc. "as pre@existing restriction against pets. 'he is tol/ she can t <eep her act. P s%e/ to enAoin restriction. iii. Liolates PP

f.

g. h. i.

Tr2sts: (oal: 'plitting e5%ita$le interests from title interests. • )ighl: flexi$le instr%m.: originall: %se/ to transfer an/ preserve famil: "ealth. 0o" %se/ for all <in/s of goals: $sns7 pensions7 etc. Comes from Common ,a". ) A3tors (not ne3essari". separate peop"e)

• •

the rac< fi/%ciar: /%ties. Can :o% contract aro%n/. :#estui que Trust: person for "hom tr%st "as set %p.

1. +ett"er (Person /ho has propert. an0 3reates tr2st) a. &ransfers the corp%s4res to Tr2stee C. Tr2stee: 2anager of tr%st. )as f%ll legal o"nership except $eneficial o"nership; /%ties to Benefic D. *ene$i3iar.: e5%ita$le title goes to $eneficiar:. Can go to ct an/ force tr%stee to perform certain /%ties. *ff

• •
•

&o o%tsi/e "orl/ tr%stee appears to $e o"ner 3for p%rposes of trespass etc6. Propert: in a tr%st = the tr2st or tr2st res. &r%sts involves three people 8/on t act%all: have to $e /istinct people9: o +ett"or: creates the tr%st. o Tr2stee: receives propert:7 responsi$le for its management; s%$Aect to range of fi/%ciar: /%ties "hich constrain it to manage in the $est interests of the fi/%ciar:. o *ene$i3iar.: person for "hose $enefit the tr%stee manages the propert:. C, forms of o"nership still pla: a role: legal title to tr%st is %s%all: an %n/ivi/e/ fee simple or a$sol%te o"nership. Beneficial interests can $e carve/ over generations an/ $eneficiaries.

•

+pen0thri$t Tr2sts • Are tr%sts /istinctive form of propert: or t:pe of thir/ part: $eneficiar: contract# • 'pen/thrift tr%sts ! in certain A%ris/ictions7 the assets of the tr%st cannot $e reache/ $: the in/ivi/%al cre/itors of the $eneficiaries. i. &ric<les $ o%t ma<ing it har/ for cre/itors to get. Creates eno%gh of hassle to /ecr. chance of $ getting collecte/ $: cre/itor $4c "o%l/ have to come aro%n/ ever: Q mos. to claim it "roadwa$ 2ationa! "an v. Adams a. Iss%e: Can fo%n/er of tr%st sec%re its income to $eneficiar: $: provi/ing that it can t $e alienate/ 4 ta<en $: cre/itors# )el/: [es. In this case7 income of tr%st f%n/ create/ for $enefit of . cannot $e attache/ in la" 4e5%it: $E its pai/ to him. 1acts: 3,PARA+, 05R$ ERO0 :,N,E$ OE +R=3+$ . A/ams is in /e$t to P; P is tr:ing to o$tain pmt. from income of tr%st f%n/ that A/ams receive/ thro%gh $rother s "ill. &r%st "as $XF<7 to $e manage/ $: exec%tors an/ s%rvivors "4 semi@ann%al

income pmts. to A/ams. Gill specifie/ these tr%st pa:ments "ere not to $e collecte/ $: cre/itors. After /eath7 $XF< "as to go to his "ife so long as she remain single7 an/ then to $e split among Charles chil/ren7 his "ives7 etc Reasoning: Testator9s intent is 3"ear ! /i/ not "ish this amt to $e reache/ $: . s cre/itors; onl: "ante/ small amt. to $e in his han/s at an: one time $4c he "ill han/le it $a/l: &herefore7 "ill not compel this to $e pai/ to P %nless %nla"f%l. • A"iena!i"it.: not effic. to p%t restraint to inalienation $%t tr%stee can ens%re that tr%st asset gets emplo:e/ to highest an/ $est %se. • English r%le 8not accepte/9: Ghen income of tr%st estate is given to an:one 8except marrie/ "oman9 for life7 e5%ita$le estate for life is aliena$le $: an/ lia$le in e5%it: to /e$ts of $eneficiar:. • Ge have recogni>e/ principl $E: Ghere intent of grantor is to give e5%ita$le life tenant onl: 9ualified estate in the income ! not a$sol%te. • )ere7 "here tenant 8A/ams4.9 /i/ not receive a$sol%te right to income "hich "o%l/ accr%e %pon tr%st f%n/; $%t onl: receives semiann%al income of f%n/7 "hich $ecomes a$sol%te prop %pon pmt. • &his /oes not viol. an: PP principle ! arg%ment that this appearance of "ealth "ill mislea/ cre/itors into giving him cre/it7 an/ then the: cannot reach it is not compelling. Cre/itors have access to recor/s re: form of "ealth an/ can fig%re it o%t. • &he r%le of PP that s%$Aects /e$tor s prop to the pa:ment of /e$ts /oes not carr: over to s%$A the propert: of grantor to /e$ts of his $enef. • &herefore7 fo%n/er of tr%st can /irectl: provi/e that prop shall go $eneficiar: "4 restriction that it shall not $e aliena$le $: anticipation an/ cre/itors sho%l/ not have right to attach it in a/vance. b. Bi023iar. 02ties: /%t: of care 3/o goo/ Ao$6; /%t: of lo:alt: 3help the mission7 not :o%rself6 &ot* o v. &eis 5 Painting get so"0 to ga""er.4 /hi3h in t2rn se""s to p2!"i3. roth(o9s (i0s 2"timate". get it. Ghere there is self@/ealing7 Jno f%rther in5%ir:K r%le applies an/ /on t have to sho" conse5. of it. Pres%mption is fi/%ciar: /%t: "as $reache/. Proce/%ral Post%re: Exec%tors are appealing /ecision7 "hich affirme/ or/er of '%rrogate that the: $e remove/ as exec%tors. *rig. petition to remove them $ro%ght $: =ate Roth<o7 /a%ghter of /ecease/7 an/ g%ar/ian of her $rother; also Aoine/ $: 0[' A(7 representative of $eneficiaries of Roth<o 1o%n/ation. 1acts: Roth<o7 famo%s painter7 /ie/ leaving XRH paintings. )is D execs "ere Reis7 'tamos7 ,evine. Githin "ee<s7 the execs ha/ /ispose/ of all paintings in s%spicio%s manners: sol/ 1II to 2arl$oro%gh A( 82A(97 consigne/ rest to $e sol/ $: 2arl$oro%gh (aller: 820[9 for EI@FIV commission 8altho%gh testator ha/ earlier inter vivos contract "420[ to sell "or< at 1IV commission9. • '%rrogate fo%n/ Reis in his /irector position ha/ clear confl "4 exec. position; that 'tamos also ha/ conflict as he "o%l/ gain favor from 20[ that "as %sef%l to him as artist; an/ ,evine /i/ not exercise or/inar: pr%/ence since he "as a"are of conflicts an/ /i/ nothing. '%rrogate remove/ all D as execs an/ instate/ complicate/ fines s:stems.  Eno%gh of /%t: of care p$lm an/ /%t: of lo:alt: p$lm that it s a pro$lem. -s%. one has to s5%arel: fin/ either /%t: of lo:alt: pgrm *R strictl: fin/ /%t: of care p$lm. Reasoning:

•

•

• • •

•

Execs insist "rong legal st/ DKno $2rther in>2ir.? /here there is 3on$"i3tE "as applie/7 this st/ is not applica$le "here exec A%st has in/iv interest. Co%rt /i/ not rel: on Jno f%rther in5%ir:K st/ alone; the: consi/ere/ fairness an/ facts an/ fo%n/ 8"ith goo/ $asis9 that agreem. $4" 2A( an/ 2L[ an/ estate "ere not in $est interests of estate. .efinite conflicts of interest for Reis even $e:on/ his position at 20[ ! stat%s7 financial a/vantage; an/ for 3tamos ! for ex.7 2arl$oro%gh p%rchase/ one of paintings for high price "hile these negotiations "ere pen/ing. 'evine is "ega"". a33o2nta!"e as e6e3 /ho (no/s 3oe6e3 is !rea3hing tr2st an0 0oing nothing a!o2t it. <e 3annot ignore an0 a!so"ve himse"$ o$ "ia!i"it.. 1ines4lia$ilit:: o A%thori>ing appre3iation 0amages 8"hen tr%stee has /%t: to retain9 v. 0ate o$ sa"e 0amages 8"hen tr%stee has a%thori>ation to sell9 creates correct incentives for tr%stees. o Execs claim that execs a%th to sell are not lia$le for incr in val%e if their $reach "as simpl: selling at too lo" price. <o/ever i$ there is mis$easan3e !e.on0 se""ing at too "o/ pri3e4 this 0oes not app". 5 an0 here serio2s 3on$"i3t o$ interest /as $2rther mis$easan3e. o Appreciation /amages correct here: paintings cannot $e ret%rne/ so estate sho%l/ receive val%e at time of /ecree=appreciation /amages. Aren t p%nitive7 A%st Jma<e "holeK /amages. &hange0 3ir32mstan3es Circ%mstances s%rro%n/ing a tr%st ma: change in "a:s that "ere not foreseea$le at the time tr%st "as forme/. &his is a partic%larl: fre5%ent pro$lem in charita$le tr%sts context.

c. •

.octrine of c: pres ! settlor has expresse/ a specific charita$le intent that /%e to change/ circ%mstances is impossi$le to f%lfill; $%t settlor has expresse/ relate/ intent that co%l/ $e f%lfille/ "ith a A%/icial mo/ification of interests create/. 0i!ber v. )wens ESup. #t. of 2J> .FDFG B<gr: ver: ela$orate "ill; some $ $%t goes in man: /iff. places. Princeton name/ as $enef. 3higher %p the chain6 an/ for cla%se to <ic< in ! "ill sa:s the: can %se $ for 1 spec. p%rp.  M%/ge "ants to f%n/ one part all the "a: as oppose/ to f%n/ing /iff. parts $4c not eno%gh $

•

Iss%e: If specific re5%est of testator is irrational an/ /evoi/ of scientific val%e7 can ct %se 0o3trine o$ 3. pres to fin/ that testator ha/ general charita$le intent an/ interest sho%l/ $e /istri$%te/ accor/ingl:. Proce/%ral Post%re: Appeal $: Gil$er 8acting exec%tor of "ill9 from fin/ing that testator ha/ gen. charita$le intent7 an/ or/er that exec pa: tr%st to Princeton to %se income for scientific7 philos. research. 1acts: Gill create/ tr%st at Princeton to $e <no"n as JExten@Bamfor/ Research 1%n/7 income of "hich "as to $e %se/ to Jcontin%e an/ carr: for"ar/ to completion an/ to p%$lish for pop%lar %n/erstan/ing res%lts of researches containe/ in J Bamfor/ s specific man%script7 JRan/om 'cientific 0otes see<ing the Essentials in Place an/ 'pace.K Ct fo%n/ notes to $e irrational7 %nintelligi$le7 an/ /evoi/ of scientific val%e an/ express p%rpose of provision "as impossi$le to reach for this reason. &hro%gho%t Bamfor/ s "ill 8an/ in the intro/%ction to his J0otesK9 are constant remin/ers of importance he place/ on giving his propert: to charita$le %ses; he "as more concerne/ "ith this than specific recipient 8he ha/ a list of recipients an/ if one reAecte/7 the next "o%l/ get7 etc.9 Reasoning: 1. 7enera" intent %. +pe3i$i3 p2rpose targete0 W $or: 1) impossi!"e to $2"$i"" goa"4 %) voi0 as against PP4 or )) 3hange0 3ir32mst. that m. ren0er it imposs. to $2"$i"" a. <ere4 3o2"0n9t a3hieve most o$ goa"s4 no 3"ose re"atives4 an0 so poor". $2n0e04 that 3t. 0e3i0e0 !est is to give t 3harit.. • Testator 3"ear". ha0 genera" 3harita!"e intent7 not something specific: he /evote/ his prop to charita$le ca%ses. 2%ch lang%age re: gen. goo/ of man<in/7 sho"ing this "as his intent4goal. • .esign of tr%st create/ in Exten@Bamfor/ Research 1%n/ is aime/ at a/vancement of e/%c. an/ learning ! therefore seen as charita$le tr%st. o )ere it is not testator s intent for this to go onl: to p%$lication of his JRan/om 'cientific 0otesK as he $elieve/ these notes provi/e/ the core of f%rther research that he val%e/.  Part of c: pres /oes not constrain it all • 'istin3. !#/ 3harita!"e tr2st an0 priv. tr2sts: charita$le tr%sts are those for a/vancement of research or <no"l; also charita$le if s%$A prop is /evote/ to p%rpose $eneficial to comm%nit:. • Also pointing to"ar/s this interpretation: Bamfor/ s "ealth "as inherite/ an/ he state/ in notes he felt those "ith inherite/ "ealth have /%t: to commit it to goo/ %se. o It s relevant that he $elieve/ this "as for %ltimate goo/ of man<in/.

• • • •

-ltimate aim of testator "as not irrational4a$s%r/ ! it /oes not fail on this acco%nt. Altho%gh co%rt4people thin< it %n"ise7 /oes not affect charita$ilit: of the tr%st. &. pres 3an !e invo(e0 here to e$$e3t2ate more genera" 2se o$ propert. $or 3harita!"e 2se. &. pres8 as near#so near4 Kthe 0o3trine o$ nearness or appro6imation.? Where 3harita!"e intent 3annot !e $2"$i""e04 e>2it. 3an !e 2se0 to app". to simi"ar 3harita!"e p2rp in the more gen. 3harita!"e intent4 on theor. that testator /o2"0 have 0one so. Cts have $een "illing to %se c: pres to alter ol/ tr%sts that /iscriminate.

C. 1acts. ). &enhet 3Pl6 B R. Mohnson o"ne/ lan/ as M&s. Mohnson lease/ prop. to Bos"ell 3.ef6 "4o Pl s <no"le/ge or
consent7 an/ %p an/ /ie/ Dmonths after exec%tion of lease.

D. 'ee<ing: right of s%rvivorship7 /eman/ .ef vacate prop7 an/ $ro%ght C*A to have lease /eclare/ invali/ E. ,a". M& 0*& severe/ $: lease to D. pt:7 an/ sole o"nership of prop "ill vest in co@tenant %pon /eath of other
tenant ! Mohnson @ %nenc%m$ere/ $: lease. a.

F. Bottom ,ine. A lease ma/e to D/ part: CA00*& sever a M& $.

E %nities nee/e/ to create M&: %nit: of interest7 %nit: of time7 %nit: of title7 an/ %nit: of possession. If one of these is /estro:e/7 M& t%rns into &inC A0. right of s%rvivorship terminate/. *ne of the tenants ma: /estro: M& $: conve:ing his interest to D. pt: B-& lease /oes not necessaril: severance of M&. In or/er to sever it7 it m%st $e clearl: an/ %nam$ig%o%sl: est. that either M& "ante/ to terminate it.

Q.

Applic: &o terminate M&7 Pl an/ Mohnson 3o2"0 have 3onverte0 it to Tin& !. /ritten m2t2a" ( or 1oint". 3onve.e0 propert. to )0 person an/ /ivi/e/ procee/s. *ne of them 3o2"0 have 3onve.e0 entire interest4 /hi3h /o2"0 have 3"ear". in0i3ate0intent to terminate. Rationale: B4c there are alternative %nam$ig%o%s means of altering estate7 lease here /i/ not sever M&. &h%s7 sole o"nership of propert: vests in Pl $4C of her right of s%rvivorship. In a Aoint tenanc:7 A,, interest of /ecease/ en/s at /eath7 so lease of M& prop en/s "hen he /ies. a. .%ring M& s life7 he ma: grant rights in propert: "4o severing tenanc:7 $%t "hen he /ies7 his interest /ies "ith him7 so an: enc%m$rances he place/ on propert: $ecomes %nenforcea$le against s%rviving M&. &he lease in this case in no longer vali/. $. A lease conve:s onl: partial interest in prop7 so it /oes not /estro: %nit: of interest in M&. Ghen he /ies7 his a$ilit: to conve: interest /ies "4 him7 so even if time remains on lease7 its /eeme/ invali/.

i.

1141F41I I. &REATION OB EA+E-ENT+ 1. Regar0 as prop rights 5 3reate0 on". !. grant via 0e"iver. o$ 0ee0 C. $4c easement = interst in lan/7 it m%st $e in "riting per '*1 a. Imp"ie0 E63eption to +OB: i. $4c Griting re5 m often ignore/7 cts have /octrines for easements 4 easement rts "hen there s 0* "riting D. &ransf of Easement: C t:pes: Can $e from A to B *R $: reserve. $: grantor A in grant to B. E. of lo"er val%e than poss interests

B.
1.

Easement !. imp"i3ation ! li<e = implie/ in fact Ex.: &rasnf 1 of C parcels to another * an/ appears there "as easement on a parcel; !N trans$ 8 >2asi easement (!#3 on". 1 O an0 3an9t ho"0 easement against se"$)

Easement !. ne3essit. occ%rs "hen easement over 1 parcel is Jstrictl: neces.K for enAo:m of the other; re5%ires: 1. At some pt $oth parcels ha/ same * C. 0o prior %se of easement $E split re5 /

C.

a. i. a.

Ex.: lan/loc<e/ parcels: 'ch"a$ v. &immons ! 0* easement if fail to est entitlement $: implic or neces.

*(gr: P $ring C*A7 arg%e implie/ easement !#3 o$ ne3es. since lan/ other"ise lan/loc<e/. P o"ns lan/loc<e/ lan/ an/ "ants easement to %se roa/ going thr% .s prop an/ rt to exten/ roa/ to reach P prop. P themselves create/ lan/loc<e/ parcels "hen the: conve:e/ a"a: their h": access 1. Not goo0 3ase $or easement !. imp"i3. 3"here 1 parcel $enef. other6 $4c no priv. roa/ an/ no <no"n other access to ho%se $. P arg%es the: ha/ easement !. imp"i3. (li<e c%stom7 intent of parties7 polic: against prop /is%se67 then arg%e easement !. ne3es 3li<e priv emin /omain6 1. Ct. reAects easement $: neces arg%m $4c P sol/ part of their parcel ca%sing them to $e lan/loc<e/ 30o former %nit: of o"nersh6 A0. $4c there s a p%$lic h":7 there s no neces. 3technicall: 0*& lan/loc<e/6 a. 2%st $e real necessit:; not eno%gh to $e convenient c. &t.: NO easement !#3 petitioners $ai"e0 to esta! entit"ement to easement !. imp"i3 or ne3essit. either /%e to actions $: fe/eral govt or $: geo $arriers. /. Rationa"e: 0o easement $4c elem 3former %nit: of o"nership; visi$ilit: at time of severance 3no67 an/ reas. neces. at time of severance6 for easement !. ne3es. not present: 1. (rantor in $etter position $E /eal to /eterm. %se of ea. parcel. Effic. arg%m. arg%es for penalt: /efa%lt r%le: one /oesn t get info %nless as< grantor $. 0ecessit:. $: eimplic. an/ neces7 /octrines 3%se to avoi/ lan/loc<6 onl: %se/ "hen there s common grantor $4c nee/ this to ma<e common transaction Easement !. Pres3ription similar to a/v poss ! re5 r 'o, to expire7 "4 act%al %se that s open an/ hostile7 contin%o%s an/ %ninterr%pte/ 1. Ex.: Garsa" v. Chicago 2etallic on3e easement esta!4 O o$ servient tra3t 3an9t en3roa3h

D.
a.

*(gr: roa/s a/%nct for :rs7 P %se/ some of .s lan/ as commercial /rive"a:. &hen . "ante/ to $%il/ on R2"e: poss. $: actiona$le7 excl%sive7 open an/ notorio%s an/ claim of right Iss2e: "hether there can $e encr. on easements $: prescription

that lan/.

O2t3ome: P got pres3riptive easement 3/%e to a/verse). . /i/n t get rt. to $%il/ an/ ct. or/er removal of $l/g encr. C. +e"$,he"o 3heapest a"tern: give renter permission to accesa area '* he "ont $e a/versel: possessing. a. (ive other pt: permission so /on t have to give f%ll prop rt. via easement $: prescip

$. c. /.

E.

Easement !. Estoppe": arise "hen person spen/s s%$st. $ or la$or in reas. reliance a$ilit: to %se another s lan/ @ est. irrevo3a!"e "i3ense.

1. C.

&E'&: .i/ claimant act in (1# 'ho%l/ servient * $ear conse5. of mis%n/erstan/ing# &reation: a license 3%s% for access p%rp6; licensee expen/it%re of $ 4 la$or in (1 reliance; licensor s <no"l or reas expectation reliance "o%l/ occ%r D. Lost grant 5 easement !. esoppe" (give permission4 2ser re"ies in 0etrim4 an/ * can evo<e/ it. E. Po"i3.: "o%l/ $e %nfair to allo" licensor to revo<e license after licensee s%$st. relie/ to his /etriment; facilitates pro/%ctive lan/ %se B-& a. easement $: estoppel %n/ermine policies serve/ $: 'o1 &hange o$ Easement: as long as nces. An/ to extent neces. to vin/icate means of reas. reliance. If no longer rel:ing = no nee/ for easement. F. Ex: )ol$roo< v. &a:lor ! $4c P s %se of access roa/ across . s prop "as $: permission 3revoca$le license67 P ha/ not ac5%ire/ prescriptive easement. B%t7 $4c spent CF< $l/g ho%se on prop an/ improving access roa/7 . s permission $ecame irrevoca$le license. &h%s7 it "as easement $: estoppel7 0*& prescriptive easement. a. Ba3ts: . gave permission for $l/g of roa/"a:7 relie/ on $: P to invest time B $7 then close/ of P s %se. Estoppel prevents this con/%ct. $. Re>9rK: permission to %se 3not prescriptive6; reliance 3evi/. B: P s investment6; ine5%it: 3if lan/ sol/7 easement "o%l/ r%n "4 lan/ to prevent ine5%it: to P6

$.

II.

&O;ENANT+

A.

&ovenant 5 < $: "hich o"ner agrees to certain restrictions on %se of o"n lan/ for $enef of one4more others; tho%ght og as promise respecting %se of lan/ 1. Prescr. Affirmative $ehavior on part of o"ner C. 2%st $e in "riting A0. %nli<e easements7 cannot $e ac5%ire/ $: prescr.7 implic7 necessit:7 estoppels D. 2a: r%n "4 lan/ if certain con/. 2et In personam: /on t give rise to rts against D/ parties other than s%ccessors to parcels T.pes: E5%ita$le servit%/e: promise concerning %se of lan/ that 16 $enef 4$%r/ens orig. parties an/ s%ccessors A0. C6 is enf. In e5%it: a. Ex.: &%l< v. 2oxha: ! i$ !#/ % Os as to 2se o$ "an0 /i"" r2n /# "an0 (!in0 s2!se> p2r3h) /ho ha0 noti3e o$ 3ovenant /hen p2r3h. prop i. *(gr: P has lan/ in ,eicester '5. an/ sol/ to Elms "4 affirmative covenant ! promise remain a gar/en; promise not to $l/ on gar/en 3neg. covenant67 an/ tenants "ill have rt. to %se gar/en for reas. rent 3affirmative covenant6. Elms sol/ to . "4o covenant $%t . <ne" of it. 2osha: ta<es /ee/ "hich is silent a$. covenant $%t he <ne" a$o%t it an:"a:. +ti"" !o2n0 !#3 o$ noti3e o$ !2r0ene0 "an0 regar/less of price /isco%nt7 if an:. a. D/ pt: "ho has $enef of covenant can s%e conve:or of lan/ to enf. $enef $. Prop4 in rem 4 n%mer%s cla%sis appr: appl: $%c<et r%les to asset7 B-& here something signif a$. these parties…ct. "illing to impose e5%it: 3acting in personam 3avoi/ $%c<ets67 0*& in rem ! prop.6 i. Ex.: have to $%: license/ for "hen chip on mother$oar/; in CP-7 in …. $4c restrictions /on t r%n ii. Ct.: 3hng 3ir32mst e632se reAecte/. *ther"ise7 too eas: to elim. covenant $: selling to someone "4o it an/ $%:ing it $ac< "4o It iii. A/verse poss4 or re5%ires to pa: things %nfraont. C. Real Covenants @@ promise concerning %se of lan/ that 316 $enefits an/ $%r/ens original parties to promise an/ also their s%ccessors7 an/ 3C6 is enforcea$le in action for /amages. a. To23h an0 3on3ern TE+T: Rail"a:s7 se"er lines7 lighting7 golf cl%$ mem$ership an/ other common elements locate/ f%rther a"a: pass Jto%ch an/ concernK test $4c $enefit %se of lot. B%t7 covenants to pa: for items 0*& signif to %se of lot /on t pass test. (oes to f%nction 3important to partic asset67 not form. $. 0epnosit Prop *"ner Assoc v. Emigrant In/%s. 'avings Ban< a. ,i$erali>es ?to%ch an/ concern test ii. Bottom line: have to pa: for common roa/s7 se"er lines7 etc. Assoc. s%es to foreclose on p%rch prop. $4c $%:er not pa:ing h.o. /%es. a. Com. int. comm%nit:. enf. via covenant that r%ns "4 lan/; here covenant is to pa: for facilit:7 etc. $. Ct.: -sing test7 co%rt /etermine covenant "as inten/e/ to r%n "4 lan/7 that it to%che/ or concerne/ lan/ "ith "hich it ran 3$eca%se it "as an affirmative grant of access to common areas $4c there "as f%nctionalit: privit: of estate $4" parties. c. INTENT: 1or covenant to r%n "4 lan/7 orig parties m%st have inten/e/ covenant $enef an/4or $%r/en s%$se5 p%rchasers7 rather than A%st $e personal agreement $4C orig parties. i. Eagle Enterprises v. (ross @@ %sing 0eponsit D@part test 3"hether there^s intent7 "hether there^s priv. of estate7 an/ "hether it to%ches an/ concerns67 ct hel/ /isp%te/ covenant: to accept "ater s%pplie/ $: appellee /i/ not r%n "4 lan/ $4c faile/ prong re5%iring covenant to bto%ch an/ concernb lan/. a. Interpreting this to mean that it m%st s%$stantiall: affect o"nership of lan/o"ners7 ct /eci/e/ that covenant to accept "ater /i/ not s%$stantiall: affect o"nersh interests. &h%s7 covenant /i/ not r%n "4 lan/. Ct also expresse/ reservation "4 affirmative covenants "hich impose/ %n/%e restrictions on alienation or onero%s $%r/ens in perpet%it: 3li<e this one6. /. POLI&Y Rationa"e: $ o$ligs /on t to%ch an/ concern $%r/ene/ prop $4c:

B. C.

1.

D. E.

F. Q.

X. H. R.

(en l /isli<e for affirmative covenants that might $%r/en title so m%ch that no one "o%l/ "ant to p%rch (en l /isli<e for open@en/e/ covenants 3cts loo< for limits on affirmative covenants re5 r s%$se5 o"ners to pa:6 iii. *rig * ma: not appreciation long@term conse5 of promise Noti3e one of re5 m for covenants to r%n at e5%it: is notice Re3ipro3a" Negative Easements # +ervit20e: a. 'an$orn v. 2c,ean: common plan: fin/ing that . has notice "hen p%rch lot in s%$/ivYthat reciprocal negative easement preventing %se that "asn t resi/ential 3incl. $l/g propose/ gas station6. i. To ens2re that 3ovenants r2n to s233essors 8in or/er to ma<e common plan consistent97 can recor/ /eclaration; ref. /eclaration on official cit: map7 an/ p%t in /ee/ to 1st $%:er. of each parcel a. )ere7 .s /i/n t /o 16 or C6. $. B<gr: '%$/ivision consists of resi/ properties. A lot is sol/ "4 restrictions an/ lot * attempts to $%il/ gas station on it. c. #ommon p!an doctrine: gap@filler in case li<e this7 "here pt: hasn t incl covenants in /ee/s /. Iss%e: 'ho%l/ ct. impl: common plan covenants# ,oo< to: existing plan of %se in n hoo/ 3no gas station ! implie/ negative easement6 e. R%le: Reciprocal negative easement is attache/ to all lan/s sol/ in common /evelopment scheme7 an/ even tho restric is o%tsi/e specific chain of title7 s%$se5 $%:ers /eem to have constr%ctive notice /%e to /%t: to c< title of neigh$oring lots i. -s%. applie/ "hen p%rch in s%$/iv. ii. &onstr23tive noti3e: . /i/n t AC&-A,,[ <no"7 $%t sho%l/ ve $een on notice "hen he sa" p%rel: resi/. nat%re of other lots in s%$@/iv a. @n9uiry notice v$ spontaneous order: notice to ma<e in5%ir: $4c no one else has gas station on their lot7 so o$vio%s :o% sho%l/ ve in5%ire/ a$. restr. f. )ol/ing: n hoo/ is resi/ential7 an/ /ee/s sol/ $: /eveloper containe/ resi/. Restrictions = /eveloper ha/ common /evelopment plan. B4c there "as common plan7 remaining lan/ $ecame s%$A to re3ip. negative easement7 so * cannot /o an:thing that is for$i//en to * of lot sol/. &h%s7 easement r%ns "4 lan/ sol/ an/ is enf. on an: * "4 act%al or constr%ctive notice. g. Applic: . ha/ constr%ctive notice of negative easement $4c nat%re of resi/ential n hoo/ sho%l/ have p%t him on notice that reciprocal negative easement ma: have existe/. )e ha/ /%t: to in5%ire a$o%t restrictions on n hoo/. &onservation Easements ! servit20es that restri3t $2t2re 0eve"opment o$ "an0@ e6ist !#3 o$ "egis". a2thoriTing them Termination o$ &ovenants a. Bolotin: 3ommon 2se restr. on prop an0 3hng. 3ir3. 'o3trine i. At en/ of s%$/iv.; "ants to %se as comm. not resi/. ii. If orig. p%rp can still $e reali>e/ &)E0 enf. even if loss in profit. ,ac< of incr. in 2L A,*0E = not eno2gh to /eem covenant %nenf. iii. Iss%e: "hether economic conse5 s%ffice for ct. to fin/ /ee/ restriction %nenf. iv. R%le: If change/ con/it. ren/er enf. *f covenant ine5%ita$le or oppressive &)E0 $%r/en o%t"eighs $enef. = 0* E01. *r7 if o$solete &)E0 0* E01. v. )ere7 covenant allo"ing onl: '1) an/ P "ants to $%il/ office $l/g. . s%es to have covenant enf. vi. &hange0 3ir3. 'o3trine (trans cost savings /evice on front en/; for ina$ilit: to pre/ict; can $ias screen against chng temporaril:): TE+T: see "hether there s an: $enef that s at least s%$st for an: *s that "o%l/ come from enf. covenant…so "ong as there9s some !ene$4 3ovenant remains. I$ 3hng 3ir23. Lv no !ene$ to other Os4 then 3ovenant not en$. ::*nl: >oning chng that "o%l/ ren/er covenant illegal "o%l/ tr%mp covenantNN a. A$ilit: to ma<e more $ c ma<e covenant o$solete; %se an/ enAo:m also co%nt $. Loo( at 0etrim. to s2rr. p"ots an0 !ene$it to P Agreement to Terminate A!an0onment 5 tota" neg"e3t o$ 2se4 re>2ires proo$ that prior vio". have ero0e0 gen9" p"an ma(ing en$. impossi!"e Pecham v. 2ilro:: enf. covernant @ restricting *s from oper. $sns o%t of home7 an/ enAoining .s from operating /a: care. a. B<gr: covenant not to have home $sns $%t . r%ns /a:care; others also viol. covenant $. )ol/ing: covenant %phel/ $4c: i. Not a!an0one0: $4c not eno%gh of /emonstrative act $4c not eno%gh s%$stantial an/ reg. /isregar/ of covenant $: man: others "4o complaint. ii. Not voi0 $or PP: chil/care is favore/ iii. No e>2ita!"e estoppe" 3some stmt or act that/s inconsistent w? position now taken) some reliance by !d pty on stmt or act and inF$ if permitted to repudiate orig$ stmt ? act6: P never sai/ /a:care "as permitte/; his silence /oesn t constit%te appr7 so no reliance… iv. No "at3hes $c it re5 r %nreas. /ela: in filing $: PYnot the case here a. Arg2ment $or "at3hes: one has reason to <no" one has C*A against someone; %nreas. /ela: in $rining it an/ /mg ca%se/ /f $: /ela:..

i. ii.

D.

III.

QONIN7 AN' OT<ER LAN' U+E RE7+. Qoning: reg. of lan/ %ses thr% gen l regime permitting an/ for$i//ing partic. %ses of lan/ in certain locations a. Relativel: ne" govt reg.: America "as agric%lt%ral nationYlan/ %se restr. ,t/. to priv. action i. (ovt role in lan/ %se "as lt/. a. A%th. &o engage in >oning is state po"er $. .%e to In/%s. /evelopm. An/ %r$ani>ation7 living con/it /ecline/ an/ >oning implemente/ i. than easements ii. Can $e c%m%lative *R excl. 3each >one has en%m. perm. -ses6 iii. .eals "ell "4 externalities i.e. transaction costs B-& can $e excl%sionar: c. Lillage of E%cli/ v. Am$er Realt: i. Cit: setting %p or/inance "4 complex >oning a. <ierar3h. o$ # 32m2"ative Toning ! can have %ses assoc. "4 that lvl an/ higher %ses JE%cli/ean >oningK6 L' $. non32m2"ative Toning @ onl: en%m. %ses in given >one6 c. P arg2m: $: re>oning7 cit: is c%tting val%e of o%r lan/ $: re>oning it to noncom. >oning ! this viol. /%e process an/ e5%al protec. Cla%ses /. P f%rther arg%e/ @ even if concept of >oning "as legal7 it still constit%te/ a taking7 an/ E%cli/ "o%l/ have to compensate P for the loss. e. ' arg2m: E%cli/ arg%e/ that >oning is form of n%isance control an/ therefore reasona$le police po"er meas%re. f. <o"0ing: -' '%p. Ct overt%rne/ A4m7 an/ fo%n/ >oning la" constit%tional $4c "as not %nreasona$le extension of local govt s police po"er an/ /i/ not have character of ar$itrar: fiat7 an/ th%s not %nconstit%tional. 1o%n/ * faile/ to prove that lan/ "o%l/ lose val%e7 onl: spec%lation @ not vali/ $asis for claim of takings. 1. Anti>7oning: one si>e fits all p$lm; a/ministering p$lm; corr%ption involve/; /iscrim. excl%sivit:; /iffic. to $argain aro%n/ ! m%st $arg. "4 political process to o$tain /iff. %se C. Pro>>oning: pre/icta$ilit:; help incr 2L of :o%r home $: having similarl:@%se/ lan/ aro%n/ :o%rs; <eep poll%tion a"a: $: having in/%strial@>one/ lan/ f%rther a"a: from resi/ential lan/. g. TE+T: in or/er for A4/ to ta<e lan/ in line "4 due process7 ta<ing m%st meet C tests: 1. m%st $e legit en/ goal7 s%ch as incr of general "elfare 4 p%$lic health a. poll%tion ctrl7 firefighting7 pop /ensit: ctrl7 an/ ens%re that resi/. n hoo/s "ill not /isappear $c lan/ more val%a$le as in/%st space $. m%st also %se means that are 0*& capricio%s or irrational ii. 2o%nt ,a%rel a. Each m%nicipalit: has affirmative /%t: to %se lan/ %se regs. to achive fair share of lo" an/ mi/ income ho%sing. 1. )ere7 in 2t. ,a%rel7 it has to prov. some lo" an/ mi//le income space. *ther"ise7 viol. state constit. /%e process cla%se $. 2%nicipalit: has to sho" vali/ $asis for creating >oning "hich excl. certain classes of ppl from o"nersh. or maintaining this t:pe of >oning. 1. Existence of '%spicio%s an/ favore/ lan/ %se regs. c. &t: /oesn t stri<e /o"n >oning s:stem $%t /oes >oning revie" an/ /eterm. that partic t:pes of things "ill not $e permitte/ an/ partic things "ill $e re5 / 7O;ERN-ENT BOR*EARAN&E

1.

A. B.

I+ IT A 7OO' I'EA (too m23h4 too "itt"e)CC Tra0e o$$ !#/ nee0 $or re"ian3e on govt promise the. /on9t seiTe priv prop , ne3es. $or e3on. 0eve"opmt an0 permitte0 !. 3onst. an0 e6isten3e o$ nee0 $or go3t to have rt. to ta(e prop in "t0 3ir32mstan3es. 1. &on. La/ governs: ta(ings 3"a2se o$ Oth Am. (a""o/s ta(ing o$ priv. prop $or p2!"i3 2se /# 12st 3ompensation) <o/ m23h sho2"0 govt $or!ear $rom inter$. /# in0iv. prop. rightsC 1. +aney. Importance of accommo/ating chng to promote compet7 enco%r /evelopm of technologies *verprotecting partic interests = stifling compet an/ can st%nt economic gro"th C. 3torey: importance of protecting re"ian3e interests to enco%r investors to invest4ris< capital in ne" proA. a. (harles River :ridge v$ Carren ! state grant charter to corp to $%il/ free ferr: near "here a"rea0. given someone 3harter $or to"" !ri0ge. To"" !ri0ge /ants 3harter to !e rea0 as imp"ie0". e63". an0 that "egis". vio". their 3harter. &t r2"e0 that 3harter o$ &har"es River *r. &o. 0i0 not e63"20e state o$ -ass. $rom 3hartering another !ri0ge i. Basic legal pt.: this "as f%n/e/ $: govt grant7 so constr%e narro"l:. I$ .o2 /ant pp" to ma(e heav. investm (pri3e a!ove M) or grant has to $e ret%rnRsho2"0 NOT !e 3onstr2e narro/". an0 /i"" !e a""o/e0 to 3hrg. pri3e a!ove M. ii. ,egisl. charters Cn/ $ri/ge 3"4 intent to chrg. toll temporaril:7 then given to state to operate as free $ri/ge; 1st !ri0ge invstors s2e0 $or vio". o$ imp"ie0 e63"2sivit.6 a. B-& at time the: ma/e /ecision to invest7 agree/ to chrg. for %se for EI :rs. only7 so investors claim the: nee/ to collect more $ to cover cost of investment isn t tr%e

C.

iii. +tate /ants !ri0ge 3rossing to !e BREE *UT i$ .o2 /ant pp" to !2i"0 other !ri0ges in $2t2re4
!#3 it !ene$its p2!"i3 to have $ree !ri0ge an0 am!ig2it. sho2"0 !e reso"ve0 in p2!"i39s $avor 5 3heaper 3rossing. A""o/ing e63". /o2"0 impe0e progress i. &a"ne:: anti,monopo"ist @ 3harter is that sho2"0 !e interp. most narro/". (3ant meas2re e63"2sivit.67 meaning Ch. River Br. 'oesn9t have e63". rights %n/er theor. that p2!"i3 grants sho2"0 !e interp. narro/".; i$ am!ig.R0e3ision sho2"0 !e to !etter the p2!"i3. *2t4 here there9s no no -ONOPOLY ii. .issent: Pro,prote3tion o$ priv prop rights. E63"2sivit. +<OUL' !e rea0 into p2!. grants !#3 2n"i(e priv. 3harter (!an() /hi3h is not e63" (3an meas2re e63"H)4 "4 $ri/ge7 ta<ing xtra preca%tions to protect %sers sho%l/ $e re"ar/e/. If no excl%sivit:7 progress impe/e/ $4c investors "ill not $e a$le to rel: that investments are safe 3anti re"ian3e6. E-INENT 'O-AIN # TA IN7+ 5 govt a""o/e0 to 3ompe" trans$ o$ prop $or p2!"i3 2se4 in 6,3hng $or 12st 3ompensation@ e63eption to r2"es o$ prop o/nership 1. Ta(ings positive !#3 of hol/o%t7 sha<e/o"n pro$lems7 $%t concerns over: cron:ism7 invi/io%s cron:ism against protect classes7 an/ "here /eal is mere pretext a. Iss2e: ho" $roa/l:4 narro"l: sho%l/ grant $e constr%e/# $. E6er3ise o$ E-' m2st 3on$irm to: i. stat2tor. re>s s%ch as poss. /elegate/ a%th. 1rom legisl. to %se it; /elegate/ po"er $roa/ eno%gh to encompass proA.; that E2. is neces. to complete proA; an/ that proper proc. 1ollo"e/ for ma<ing /etermination ii. 3onst. re>s: proA m%st $e p%$lic %se A0. con/emning a%th has offer * A%st compens. a. P2!"i3 2se re>: cts. have hel/ this means Jact%al %se $: p%$licK *UT '. Ct. has rea/ re5 as in Fth Am. ! to mean p%$lic a/vantage or $enefit 3'. Ct vie": can %se E2. for an: proA that has p%$lic interest aspect7 so E2. rarel: invali/ate/ on this $asis6 $. G2i3(,ta(e stat2tes: no Jp%$lic %seK re5; lets govt A%st ta<e lan/ if /eposit $ in * $an< iii. +e!o v. #it$ of 2ew 'ondon 5 P /as <O on /ater$ront@ 3it. tries to 2se E-' to ta(e "an0 $or ne/ 0ev. !#3 P$iTer opening resear3h 3tr ne6t 0oor an0 3it. /ant to 3apita"iTe on investment. Even tho prop NOT K!"ighte0? , 3on0emne0 !#3 "o3ate0 in 0ev. area that vie"e/ as /istresse/ 3/istresse/ areas incl. in cit: econ /ev. plan6 +2!1. va"2e o$ prop at iss2e. a. P arg2es: sho%l/ $e $rightline that econ /evelopmt isn t s%ffic to /eem it p%$lic %se; also r%le that there has to $e Jreas. certaint:K that p%$lic "elfare "ill res%lt $4c cit: plan not for $enef. of specific persons4grps. $. &t: No to Kp2!"i3 2se? re> is satis$ie0 12st !. e3on 0eve"opmt. P2rpose m2st !e $or p2!"i3 !ene$it an/ *< if $enefit some more than others. No to KReas. 3ertaint.? r2"e !#3 impossi!"e to pre0i3t. c. Stevens - I$ 0ea" is p2re prete6t $or !ene$iting pt.. * 5 then pro!. not prete6t@ racism isn t p%$lic %se. If ta<ing from A an/ give to B to get p%$lic %se ! then o<. 1. legisl. sho%l/ /eterm. p%$lic %se an/ A%stific. of ta<ings. C. JP%$lic %seK sho%l/ $e ver: li$erall: constr%e/ as hel/ in :erman 3getting ri/ of $light6) 0idkiff 3/ivi/ing %p6Y0o restraint here. /. enne0. 3on32rren3e: stricter vie". &his ta<ing passes Jrational $asisK &E'& for p%$lic $enef; not simpl: 1 favoring priv. pt: 3Pfi>er6 "4 pretext%al 4 inci/ p%$ $enef. 1. TE+T: heightene0 rationa" !asis to 0eterm. i$ prete6t2a" e. O9&onner 0issent: impossi$le to a/minister Jp%rpose &E'&K $4c an: ta<ing can $e co%che/ as for p%$lic $enef. Recogni>es ) e63". 3ategories o$ p2!"i3 2se: 1. 7ovt ta(es an0 2se !. p2!"i3: par< C. 7ovt ta(e an0 ma(e open to p2!"i3: militar: $ase D. ::Ta(e an0 have !roa0er interp. o$ p2!. 2se i.e. .irect prevention of harm to p%$lic: $light; li<e n%isance $%t $roa/er. f. Thomas 0issent: agrees "4 *connor s D catagories; $%t s<eptical that there sho%l/ $e categ. D; arg%es that maAorit: s appl. of p%$lic %se erases act%al /efinition of it. 1. Ta(ings 3"a2se restri3t govt a!i"it. to ta(e in % /a.s: 1. P%$lic %se an/ C. M%st compens. Is a m%st g. CA'E CA-'E. P-B,IC *-&CR[7 so states passe/ la"s stating E2. cant $e %se/ A%st for econ /ev. ;elo tal<e/ a$o%t pretext in p%$. $enef case 3ne" part of test6 "here 2i/<iff7 Berman /i/ not. c. PA&E0&' A0. &A=I0(': no ta<ings p$lm $4c patents 0*& prop. this is arg%a$le. (2 /oesn t have to pa: for IP licenses $4c $eing r%n $: govt7 therefore a$le to ma<e cars for less an/ sell for less. -nfair competition# C. I2st &ompensation a. R2"e: M%st compensation /efine/ as 12L of prop "hen ta<ing occ%rs. $. <o/ to 3a"32"ate 12st 3ompensation.

$. &t.: 3trict construction appr: No e63". sho2"0 !e rea0 into a

getting no W $or 2se o$ !ri0ge 8 NOT so hot

D.

i.

:.S. v. 6i!!er: -' too< . s lan/ 3/r: $%sh6 ! a/A. to reservoir @ $: E2. to $%il/ R.R. M%st B-; on 0a. o$ ta(ing offere/; no s2!1. va"2e 3a"3. a""o/e0. Lal%e to govt cant $e $%ilt in7 B-& * can get a//e/ val%e of prev. ta<ings on a/A. lan/s. a. Can $%: "hen /r: $%sh lan/ an/ sell it as "aterfront: ppl $%: %p lan/ aro%n/ reservoir. ' Arg2m: ta<ing "hat "o%l/ $e "aterfront lan/ that "e $o%ght7 to p%t R.R. thr% it 1. 7ovt 2se0 >2i3(,ta(e a2th.: r%sh in an/ ta<e :o%r st%ff an/ /eposit 14D of "hat "e appraise it "4 ct. 3cashing % o%t right a"a:6. $. ;ie/ F1 5 avoi0 2n02e ris(4 over3ompens.: gen. r2"e that val%e/ at time of transf. pro$a$le that ta<ing "o%l/ ve occ%rre/. (t$ concerned w? partic$ speculation. Ct. concern "4 choice to ta<e %n/%e ris< that s li<el: to $e ta<en: f%rther /eveloping lan/ that "ill $e ta<en that reall: isn t serving societ: at all ! p%tting in $ that "ill $e "aste/ onl: to get pai/ at f%t%re7 spec. val%e. 'eve"ope0 gets a"" pro$it@ so3iet. gets nothing. c. ;ie/ F% 5 2n0er3ompens.: B-&7 %n/ercompensating $a/ $4c "ill forestall investors from /eveloping $4c can t rel: that lan/ "ill $e safe from ta<ing; an/ "ill "ait for govt to /o planning. /. Ex.: .epen/s on "hether govt /eci/e to ta<e lan/ to $%il/ reservoir 3pa%se6 an/ then /eci/e separatel: to ta<e .s lan/ to $%il/ R.R.7 in "hich case . entitle to val%e a//e/ $: reservoir 3Jassem$l: gainK6 *R "hether /eci/e/ to /o $oth at once7 so . onl: gets val%e of lan/ pre@reservoir. 1. )ere7 /eci/e/ in 1 go7 so . not entitle/ to val%e/ a//e/ $: reservoir. e. Wh. 3t. 0e3i0es that investor m2st ret2rn W /hen 'e$a2"t r2"e is that investor (eeps W: recover: of $ $: govt isn t creating ne" a/minis. process "4 costs $4c alrea/: in front of ct. 3C*A alrea/: $ro%ght6 1. Who gets assem!". gain# Con/emnor $4c the: re creating the val%e. Except if there s ,, ! get all compensation for $l/g7 an/ share o%t lesser val%es to &s. f. &onsi0er /hat9s highest va"2e 2se (not 12st 32rrent 2se) in 0e3i0ing /hat 3ompens to pa.: 1. B4c "ant govt to consi/er "hether %se its proposing is "orth it for societ: ! sho2"0 have e$$i3. in3entive to ta(e C. .on t "ant govt to have incentive to str%ct%re proA to favor certain lan/ over other; cherr:@pic< $ase/ on c%rrent %se D. ,* <no"s govt "ill pa: onl: for c%rr. val%e so I "ill sh%t /o"n farm an/ $%il/ HI@stor: con/o to get pai/ more 3no" I ve got high val%e %se…give me more $6

114CR41I RE7ULATORY TA IN7+ I. Penns$!vania #oa! v. 6a*on8 sho2"0 there !e 3ompens. $or govt reg2"ator. ta(ing or is it simp". e6er3ise o$ po"i3e po/er not re>9r 3ompensC A. PA C,: * can expressl: = a"a: s%$s%rface mining rights.

B.

II.

Ba3ts: ,* transf. rt. to /ig %n/erneath ho%se 4 prop. in sep. /ee/. ,ater7 PA passes ne" stat%te ma<ing it %nla"f%l to mine coal if it "ill threaten /"elling 1. Coal co s rt. to mine for coal "orth is n%ll = &a<ing a. Ghat s the JitK that s $eing ta<en# If it s a ta<ing7 govt act is a Jta<ing.K If not a ta<ing7 govt act is Jexercise of police po"er 8to promote ta<ing9 C. &t.: If "e let govt /o things an/ call it ?police po"er an/ 0*& a ?ta<ing ! ma<es it eas: for govt to arg%e it s ta<ings as police po"er. B-&7 "hen /oes it go too far# D. Iss2e: w*at is t*e ,it’ and *ow muc* of t*e ,it’ is being decr. Din va"2eEC a. P sa:s: it s complete ta<ing. $. .issent agrees "4 state an/ sa:s: restricts onl: ca%ses small percentage of %n%sa$le s%$s%rface lan/ 3small amt. of coal compare/ to remain/er of coal mine/ $: P6. c. -a1orit.: total "ipeo%t; $o32s on initia" 0ee0 to s2!s2r$a3e rightsYthere "as explicit7 p%rposef%l transf. of rights an/ no %nconsciona$ilit:7 /%ress. 'o7 the JitK is not coal that can t $e mine/ $%t 1IIV of explicit transf. of rt. not to $e s%pporte/ that P is $eing prevente/ from exercising. i. E$$e3t o$ "egis". (reg2". ta(ing) /o2"0 2n0o the 0ea" that /as 0one ii. 7oo0 evi0 o$ 3ontra3t2a" /aiver. Ghat gov t /oes is 1IIV /enom. of n%merator /. 'issent: not reall: a ta<ing E. Is this a p2!"i3 n2isan3e that reg2"ata!"e !. po"i3e po/erC &his involves personal = $4" C parties an/ s%pport rights of partic. ,*. a. .issent: Arg2e .o2 3an9t remove something $rom govt po"i3e po/er !. 3hoosing rights over govt reg2". po/er Penns:lvania Coal Compan: "as going to mine some coal o%t from %n/er 2ahon s ho%se7 "hich "o%l/ ca%se the ho%se to sin< into the gro%n/. 2ahon so%ght an inA%nction against the Coal Compan: to <eep them from mining the coal %n/er his ho%se. 2ahon cite/ a Penns:lvania stat%te7 the =ohler Act7 "hich for$i/s mining of coal if it "o%l/ co%l/ a ho%se to sin<. &he trial co%rt r%le/ against an inA%nction7 sa:ing that the Act "as %nconstit%tional. &he state s%preme co%rt7 ho"ever7 fo%n/ that the Act "as an appropriate %se of police po"er an/ gave the plaintiffs the inA%nction the: "ante/. &he Coal Compan: appeale/ to the -nite/ 'tates '%preme Co%rt. Iss2e: .oes the state police po"er stretch so far as to allo" the /estr%ction of Jprevio%sl: existing rights of propert: an/ contractK# R2"e: In general7 Jif reg%lation goes too farK7 it "ill $e consi/ere/ a ta<ing.

III.

Ana".sis: )olmes $asicall: arg%es that ta<ing a"a: the right to mine the coal $: stat%te is more or less li<e ta<ing a"a: the coal7 perio/. )e arg%es that if :o% /i/n t "ant to have :o%r ho%se sin<7 2ahon either sho%l/n t have $%ilt his ho%se over a coal mine or sho%l/ have p%rchase/ the lan/ %n/erneath the coal along "ith the s%rface lan/. (enerall:7 )olmes arg%es that the p%$lic goo/ create/ $: an eminent /omain ta<ing m%st $e paid for7 an/ so a reg%lator: ta<ing m%st $e pai/ for too. In his /issent7 Bran/eis sa:s that an: government reg%lation7 no matter ho" minimal7 "ill /eprive a propert: o"ner of a right7 $%t that /oesn t mean "e re al"a:s going to compensate the o"ner. Bran/eis sa:s the government has the po"er to reg%late the %se of private propert: in the interest of Jp%$lic health7 safet:7 or moralsK "itho%t compensating the o"ner. &on3"2sion: &he /ecree of the state s%preme co%rt is reverse/. Penn centra!: P is o"ner of (ran/ Centrla station ! lan/mar< ! "ants to $%il/ $ig ofc $l/g over it B-& lan/mar< la" prevents. Iss2e: ta<ing# 0* Ba3tors: /iminishment in val%e; investment $ac<e/ expectations 3/oes it interfere6# 0o7 $c privileges present %se over potential %seH nat%re of govt action 3is is ph:s intr%sion or A%st %se restriction# M%st %se restriction7 less of a ta<ing. ion 1. 'imin2tion in va"2eC &t: No4 !#3 3an 3ontin2e 32rrent 2se (as R.R. termina") C. P2!"i3 n2isan3e 32ahon factor C6C Potentia" 2se is against p2!"i3 !ene$it. +tat2te 0oesn9t seem to !e a!o2t preventing overa"" so3ia" harm. D. Bor Re3ipro3a" A0vantage3 If this is for ever:one an/ ever:one $%r/erne/ an/ ever:one $enefite/ ! lass li<e a ta<ing. B-&7 if it $%r/ens minorit: 3small amt. of $l/g. have this stat%s6 ! I& I' a ta<ing. [et7 maAorit: sa:s ?not a ta<ing . 0ot even ta<ing the primar: $enefit: %se as train station. Ba3ts: &he o"ners of (ran/ Central &erminal "ante/ to $%il/ a high@rise office to"er on top of the station. 0e" [or< Cit: s ,an/mar<s Preservation Commission ref%se/ to allo" them to /o so. &he o"ners s%e/ in 0e" [or< '%preme Co%rt7 &rial &erm7 claiming that the application of the ,an/mar<s Preservation ,a" "as an %nconstit%tional %ncompensate/ ta<ing. &he trial co%rt grante/ an inA%nction. &he cit: appeale/ an/ the interme/iate appellate co%rt reverse/. &he Co%rt of Appeals of 0e" [or< affirme/. &he o"ners of (ran/ Central appeale/ to the -nite/ 'tates '%preme Co%rt. Iss2e: .i/ the Commission s application of the ,an/mar<s Preservation ,a" constit%te an %nconstit%tional Jta<ingK that violate/ the station o"ners 1ifth an/ 1o%rteenth Amen/ment rights# R2"e: Reg%lation a%thori>e/ $: stat%te that s%fficientl: fr%strates the rational expectations of investors in lan/ capital can amo%nt to a Jta<ingK even if it serves an important p%$lic p%rpose. Ana".sis: &he maAorit: reAects several contentions of the station o"ners: 1. &he Co%rt "on t consi/er /ifferent parts of a propert: an/ loo< at the ta<ing of one part as the ta<ing of 1IIV of a propert: interest. &he Co%rt "ill loo< at the effect on the parcel of propert: as a whole. 3C.f. Bran/eis s /issent in Pennsylvania (oal6 C. &he Co%rt sa:s that it "on t entertain the i/ea that the onl: "a: to ma<e the application of lan/mar< la"s fair is to ma<e all lan/mar< reg%lations compensa$le ta<ings. *ne reason the: "on t consi/er this is that this "o%l/ invali/ate all lan/mar< preservation la"s all aro%n/ the co%ntr:. D. &he Co%rt fin/s that the reg%lation of the &erminal is not an appropriation of propert: for a p%rel: governmental p%rpose. &he Co%rt th%s /isting%ishes =nited 3tates v$ (ausby. 0ext7 the maAorit: consi/ers "hether Pennsylvania (oal applies. If the government s interference "ith the station o"ners %se of the propert: is s%fficientl: severe7 it ma: $e classifie/ as a compensa$le ta<ing. &he Co%rt notes that the reg%lation /oes not interfere "ith the o"ners present an/ long@time past %se of the propert:7 an/ that the o"ners can still ma<e a profit on the terminal as A%st a plain ol/ terminal an/ not an office $%il/ing. &he maAorit: concl%/es that there "as no Jta<ingK. Rehn5%ist s /issent arg%es that the government too< a"a: a s%$stantial propert: right that the o"ners previo%sl: ha/7 an/ th%s /ecrease/ the val%e of their propert:. It is arg%e/ that this "o%l/ $e o<a: if the government "as preventing a n%isance $: restricting the %se of the propert:7 $%t no s%ch n%isance exists. Alternativel:7 the /issent sa:s that reg%lations in the nat%re of J>oningK are accepta$le $eca%se the: pro/%ce a net gain for societ: over a $roa/ s"ath of affecte/ properties an/ propert: o"ners. Instea/7 the /issent arg%es in this case that there is a $ig net transfer from the station o"ners to the people of the cit: "ho are meant to $enefit. &he /issent sa:s it s not fair to have the entire $%r/en of preserving (ran/ Central fall on its o"ners. &hat cost is the opport%nit: cost of not /eveloping the airspace over the terminal. &he /issent $asicall: sa:s that it "o%l/n t $e expensive for the people "ho "ill $enefit from the reg%lation to pa: the $%r/ene/ propert: o"ner s%ch that the "hole thing is at least a "ash. &on3"2sion: &he Co%rt %phel/ the r%ling of the Co%rt of Appeals of 0e" [or<. B. 'oretto v. Te!eprompter 6an*attan: ph.s. o332p. 8 a Kta(ing? 1. $a3ts: 0[ re5 / ,* s to allo" installation of ca$le on their prop. 'tate comm.. on ca$le &L /eci/e/ ,* s onl: nee/e/ to $e compens. $1 for allo"ing ca$le to r%n in their $l/g. ,* s s%e to have ca$le installation /eclare/ Jta<ingK that 2-'& $e compensate/. C. Iss2e: is Jminor $%t permanent ph:s occ%pationK of prop. a%th. $: govt. a Jta<ingK# D. Ph.s. o332p. 0enies ,* 3omp"ete 2se o$ prop. rt. as to that fraction of prop. Also7 ca%ses loss in a%tonom: to ,*. Eas: to a/minister $right@line r%le $4c it is either ph:s. occ%p. or not. Also7 eas: to prove; no nee/ for caref%l $alancing. E. R2"e: perm. Ph:s. occ%p. *f another s prop. ! a%th. $: govt ! is a J&a<ingK = ph:s. occ%p. *f priv. prop. F. <o/ m23h W /o2"0 LO getC Pres%ma$l: FV of total pai/ for ca$le7 "hich "as case %n/er ol/ regime. Q. Test: no D@factor &E'&; $%t categ. *f activities 3?ph:s. occ%p. Categ6 that are consi/. per@se Jta<ingsK

X.

C.

Ana".sis: maAorit: arg%es for $right@line r%le that strongl: protects prop. rights. .issent: s%ch inflexi$le7 per@se r%les are %nneces. an/ a m%ltifactor $alance &E'& is more approp; fears Jslipper: slopeK of litigation on this iss%e. H. Res2"t: an:thing li<e this is a Jta<ingK ! /oesn t matter that it s small a. ;er. 3onsistent /# "ongstan0ing h6 pra3ti3e o$ treating other 2ti"ities: %tilit: easements ! "hich are similar @ co%l/ not $e trasnf. B: reg%lator: police po"er "4o compensationO Gere treate/ as ta<ings. 'ucas v. Sout* #aro!ina 1. Ba3ts: /evelope/ $%:s %n/ev. prop. at the time7 local la" /oesn t re5 r a permit to /evelop. $o%t prop. hoping to /evelop. 0o"7 can t /evelop $4c legisl. passes stat%te: no ne" /evelopment in this area C. Iss2e: /i/ la" s effect on econ. val%e of P s prop constit%te Jta<ingK re5%iring A%st compensation $4c he no" can t /evelop lan/. a. &iming appear to $e an iss%e. $. Tr. &t. $in0ing: If prop %se/ for orig. intentY/%e to state reg%l. it^s va"2e"essH 'ettle/ iss%e that s"ings case in P s favor $4c falls in c. *UT4 if reg%l. is A%stifie/ to prevent Jserio2s p2!"i3 harm? then it s not a Jta<ingK $%t proper exercise of police po"er. Ghat is Jserio%s p%$lic harmK an/ "ho /eterm. it: state legisl# i. 'o it "on t $e so s%$A.7 there are est. categs. of things that are Jserio%s p%$lic harmK i.e. n%isance. a. TE+T: "hat "o%l/ ve $een foreseea$le at time of p%rch# Is this a categ. of $eneficial %se# (ovt m2st !e a!"e to sho/ in0iv n2isan3e that m2st !e a!ate0@ other/ise too eas. $or govt to simp". 3"aim Astate "a/ n2isan3e9H D. R2"e: if state /eprives ,* of 1IIV of econ. val%e of lan/ for p%$lic p%rp7 then it s a compensa$le ta<ing %nless %se $eing ta<en a"a: "as never part of title to lan/. a. E.g.: it s not a ta<ing to /eprive * of rt to create n%isance on their lan/ $4c that "asn t pat of their prop rt. an:"a: E. Ana".sis: there are C /istince cases of reg%l. &a<ings: a. Ph.s. o332p. o$ priv. prop ('oretto) $. NEW RULEH Tota" e3on. /ipeo2t , 0enia" o$ a"" e3onomi3a"". pro023tive 2se o$ prop ('ucas) &his case falls into ?/enial of all econ. pro/%ctive %se of priv. prop. /%e to ct. Jval%eless 4 "ipeo%tK fin/ing Note: ct. states there are occasions "hen it "ill allo" s%ch reg%l. to not constit%te compensa$le ta<ingY"hen state ta<es a"a: something ,* never ha/ rt. to exercise in 1st place c. It s reas. for ,* s to expect their prop "ill $e restricte/ in some "a:s $4c 3ertain imp"ie0 "imits inhere to tit"e in the "an04 /here govt nee0 not 3ompensate $or ma(ing e=p!icit "imits that /ere there !e$ore !2t /ere imp!icit. F. Even Penn #oa! is 0epart2re !#3 that /as a reg2". ta(ing /here XOY ha0 essentia"". !een 0eeme0 having no via!"e e3on. 2se. Ct. /isc%sses the factors in this an/ Penn central signif. Also /isc%ss categs.: 6oretto H f%ll occ%pation an/ 6ucas = f%ll "ipeo%t. 0otice: state faile/ to appeal ct. fin/ing that reg%l. ma/e P s prop val%eless; "on t happen again. Ct. /isc%sses: ho" to /efine that categ. of expecte/ ret%rn. Ghat %ses can P expect not to have: if it ca%ses n%isances; if it r%ns afo%l of longstan/ing la"…

TE+T NOTE+: 1. )*G to "rite response: iss%e $: iss%e7 pt: $: pt:7 etc. .oesn t matter. Ghatever sho"s :o% re spotting iss%es an/ connecting them to facts in case. C. &here "ill $e a theoretical4 $roa/ polic: 5%estion li<e Z. D on exam. C. :o% can come %p "4 set of r%les /ictating the "a: ppl can %se prop. r%le@ma<ers have confi/ence that "e can govern asset "ell. &o /o this: "e nee/ info a$o%t "hat %ses an/ non@%ses are goo/ an/ confi/. In o%r a$ilit: to police an/ a/minister those r%les. 7overnan3e strateg.: one that has la" ma<ing a lot of those /ecisions. B%t7 e63". strateg.: ver: /iff.; rt. to excl. Is one "e can enforce. Almost all other arrangements "e leave to in/iv. "4 asset to "or< o%t amongst themselves. )aving a press%re release valve "hen :o% thin< those involve/ in prop. "on t $e a$le to negot. sol n. e.g. if I tie %p m: ship on :o%r /oc< an/ it rips %p :o%r /oc< on its mooringYI can $e ph:s. present on :o%r prop an/ /o ph:s. /amage thereon $%t :o%r rt. to excl. is ver: lt/. $4c have high /egree of confi/. this "ill $e right ans"er. E.g. reg%lator: ta<ing: it s goo/ reciprocal a/v. to have cops7 firefighters aro%n/ no matter the /esignation of home: historic or non. 'omeone "ill have to give %p lan/ for the fire station. &his is a force transfer = governan3e mo0e". ). prop. r2"es an0 "ia!. r2"es: latter is one t:pe of governance mechanism an/ former is chief s:non:m for excl. prop. r%le means excl. lia$. r%le = not excl. opposites of each other. &here are lots of sha/es of lia$. r%le: ta<e an/ pa:7 or co%l/ $e ta<e an/ /on t pa:. E.g. fair %se exception in op:right: ta<ing $%t /on t hve to pa:. 0ot onl: is it enforce $: "ra<er lia$. r%le. Amt. of compens. .%e %n/er r%le: n%ll.

E. Penn 3entra" an0 Penn 3oa" 3ase: D main criteria an/ cases ta<e /iff t approaches to those. [o% sho%l/ still tal< a$o%t $oth cases an/ s%mmari>e the general shift that happene/ from 1 to another; /on t A%st /isc%ss one. F. &ase that ta"(e0 a!o2t $en3ing o$$ !ea3h !#3 it /as p2!"i3 !#3 it /as 32stom to treat it as p2!"i3. 0on9t nee0 to (no/ 3riteria 2se0 to 0eterm. i$ something9s a A32stom9. Yo2 sho2"0 have some i0ea ho/ .o29re going to prove 32stom or /hat is meant !. 32stom. D'on9t nee0 to (no/ e6. 'is32sse0 in 3ase.E 0is32ss /hat might !e evi0. o$ 32stom an0 ho/s that9s "i(e". to p"a. o2t in given 3ase. Ghen loo<ing at iss%e of c%stom ! ct. loo<s to maAorit:; not so goo/ for minorit:. Pl%s an/ min%ses: Comm%nities that ten/ to have c%stom are fairl: homogeno%s $%t has a lot of pro$lems for minorit:: e.g. racism. Relationship "4in c%stom comm%nities %s%. sta$le $4c enforcing /eals in norm comm%nit: is $oth effective A0. cheap. Can %s%. /eterm. "hat "ent "rong an/ "ho s to $lame. If :o% /on t follo" the c%stom7 $ing: :o% re o%t of comm%n. ppl fear of $eing ostraci>e/. &his means :o% re loc<e/ in if :o% re in a norm comm%n. Q. mortgage esvers $4c it seems to viol. several of %nities in ?tenanc: . Revie" 2arms v$ 3prague: "ill ct. reall: treat mortgage as severing a ?Aoint tenanc: an/ "h: /o "e care a$o%t this# X. 'oes she"ter r2"e prote3t p2r3hasers /ho p2r3h $rom 7B p2r3haser even i$ "ater p2r3haser has (no/" o$ ear"ier p!"m in transa3tionC [E'O &his is the p%rp of the shelter r%le. 2ission of shelter r%le is protecting /o"nstream $%:ers. If I get clear title %n/er recor/ing act7 shelter r%le allo"s me to transfer to almost an:one else a clean title. Person $ehin/ me sheltere/. If the $%:er has <no"l. of prev. p$lm7 that $%:er can still get clear title. E63eption to she"ter r2"e: if person tr:ing to get shelter from me "as original transferor $4c "orrie/ a$o%t coll%sion. H. In 'oretto4 /e have 3ateg. o$ ta(ing (essentia"". per se) !#3 there9s ph.s. o332p. !2t 3ase notes some ph.s. o332p. are temporar.. Is that an approp. iss2e to spotC [E'O &his "o%l/ $e anal:>e/ li<e this: loo< at facts in 0ahon) Penn (oal) Penn (entral) an/ 6ucas$

PROPERTY LAW OUTLINE (cont’d)
1I4E41I

Illinois Central R.R. Co. v. Illinois
• Facts: Ill. gave ICR land g an! !"a! incl. #$%e C"icag$ &a!e f $n! 'incl. #(b%e ged land in !"e "a b$ ). IRC * $ceeded !$ b(ild &"a f. Fe& +ea # la!e , an$!"e Illin$i# legi#la!( e ca%e !$ *$&e , eali-ed !"a! i# &a# bad deal, and v$!ed !$ ev$.e land g an!. IRC $b/ec!ed. o IRC argued they had K and reliance o interest in keeping land grant. • Bkgr.: ea#$n# f$! $**$#ing ev$c. $f g an!0 1) IRC a#*i ed !$ .ee* in effec! a %$n$*$l+ 1 ed(ce v(lne abili!+ $f inve#!%en!#. 2) * iv. in!e e#!# $f #!a!e !$ c$llec! ecei*! !a2 if c! l. b+ IRC. 3) IRC gave b ibe# !$ * $c( e enac!%en! $f $!"e legi#l. • Holding: 3(*.C!. f$(nd !"a! Ill. "ad ig"! !$ ev$.e land g an!, and !"a! #(b%e ged &a!e # a e "eld in ! (#! b+ #!a!e#, B45 !"a! legi#l. can6! *e %anen!l+ #ell land# "eld in ! (#!7can $nl+ !e%*. lea#e #!and land !$ * iv., a# l$ng a# land (#ed f$ 8*(blic g$$d6. 3!a!e "ad final e#*$n#ibili!+ !$ en#( e land (#ed c$ ec!l+, #$ 3!a!e "ad a(!". !$ ev$.e land g an! an+ !i%e 'public trust doctrine) o C!. "eld Ill. e96d !$ *a+ IRC f$ e2*en#e# inc( ed f$ i%* $ve%en!# %ade !$ land. • Pub. Trust Doct. : 3!a!e cann$! c$%*le!el+ abdica!e c! l $ve land# !"e+6 e "$lding in *(blic ! (#!. o ;<!"e 3!a!e f$ !"e *(blic, and &"ic" can $nl+ be di#c"a ged b+ !"e %g%! and c! l $f * $*. in &"ic" *(blic "a# in!e e#!, cann$! be elin9(i#"ed b+ a 2fe $f * $*e !+.= o 5&$ /(#!ifica!i$n# given f$ Public Trust Doctrine0  3!a!e al&a+# "a# !. !$ !a.e * iv. * $*. via E%in. D$%ain.  3!a!e "a# ig"! !$ ac! in *(blic># in!e e#! *( #(an! !$ 3!a!e# ?$lice ?$&e . o Public Trust Doctrine i# $nl+ a**licable !$ 3!a!e#, a# n$! been (#ed in ca#e# inv$lving land $&ned b+ fed#. •Dissent (Reactive appr.): *(blic ig"!# a en6! a! i##(e "e e. @e6ll "ave !i%e !$ decla e *(blic ig"!# invi$lable if . . di# ega d# !"e%. 5idal Fl$& A $cean V. n$n!idal fl$& A ive # 1 la.e# •43G &eig"# in !" ( C$%%e ce cla(#e *$&e o I%*$#e# naviga!i$n #e vi!(de $n all &a!e # $f 43 !"a! a e navigable and #!a!e# n$ indiv#. can e#! ic! (#e o 5 (%*# #!a!e la& and * iv. ig"!# o B$! #i%*l+ *(blic ig"!, b(! can be eg6d b+ fed# o Rig"! !$ (#e,inb(( o 5"i*(bliv A b i# an neffec!ive ! an#f.b1c aall ni%al# $f !"i# c$( ! o public truse dosctinr cuolse incl. use of commerce- incl. uture orientedstf. Of potential ues. And negative uses. • B dedicateing pst iv. Og podrddoin !o"ongbout public "ere# • $!at aut!. is ct. rel ing on% &rescriptive easemen! A %+ (#e $f * $*. *e %i!# c$n!in(ed $f (#e %+ * $*. 'ustom A n$ (#e

•

Direct monitoring costs of enforcement:

C$& enf. and %$ni!$ ing c$#!.. benefi! $f en$ cing $(!&eig"ing c$#! $f enf$ cing. 3$cie!+ !"en ec$g. ? $*. &"e e !"e+ didn6! b4. D namic ( f"d looking ) "$& a e &e g$ing !$ enf. * $*. and &"a! d$ &e ge! f $% i! *ee *. 342, C. R$#e0 * $ * iv. * $*. $ ien!edD #!ill "a# !"e$ + $f *(blic * $*. +s it true t!at some t!ings "ill be better if all !ave access to it% Ene *bl% F c$nge#!i$n.

State of Oregon ex rel. Thornton v. Hay

Ba3t +2mmar.. *regon so%ght to enAoin .efs7 o"ners of $eachfront to%rist facilit:7 from $l/g. fences on $each areas7 "hich "ere J/r: san/K areas. R2"e o$ La/. R%le of c%stom7 "hich arises $: common consent B %niform practice that it $ecomes la" of the place7 or of s%$A. matter to "hich it relates. &he .efs sho%l/ !e en1oine0 $rom 3onstr23ting $en3es on !ea3hes4 /hi3h are 32stomari". 2se0 !. p2!"i3. Ba3ts. 'tate in this action has so%ght to enAoin .efs from constr%cting fences or $arriers on J/r: san/sK areas of $eachfront7 "hich is a/Aacent to .efs prop. .efs conce/e that all areas of $each that lie sea"ar/ of mean high ti/e line 3K"et san/sK area6 are state recreational area as /efine/ $: stat%te. 'isp2te 3enters on san0. area !#/ e0ge o$ the vegetation "ine ($a""ing genera"". on the si6teen $oot e"evation "ine) an0 the high ti0e "ine. This area is 3a""e0 the K0r. san0s? area o$ the !ea3h$ront. &he .efen/ants assert a right to $%il/ fences or $arriers from the e/ge of the vegetation line to the e/ge of the mean high ti/e line7 "hich "o%l/ effectivel: <eep the p%$lic from entering those fence/ areas. &he lo"er co%rt fo%n/ for the state on the $asis of a prescriptive easement7 an/ permanentl: enAoine/ the .efen/ants from $%il/ing an: str%ct%res on the /r: san/s area of the $eachfront. &he .efen/ants appeale/. Iss%e. 2a: state limit .efs %se of /r: san/s area $eachfront7 "hich a/Aacent to their

propert:#

)el/. [es. .ecree of trial co%rt affirme/. &he co%rt cite/ ample evi/ence of the historical p%$lic %sage of the $eachfront in *regon7 going $ac< man: :ears. &he co%rt recogni>e/ that in 1RQX7 the legislat%re ha/ enacte/ a stat%te "hich state/ the p%$lic polic: of *regon to $e that the p%$lic sho%l/ have the free an/ %ninterr%pte/ %se of the $eaches an/ that the stat%te provi/e/ that the p%$lic ha/ potentiall: create/ easements for access to the state recreation areas an/ that the p%$lic polic: "o%l/ $e to preserve s%ch easements. &he co%rt /i/ fin/7 ho"ever7 that the legislat%re ha/ no po"er to create easements7 an/ that the 5%estion of "hether the state ha/ an: po"er over the %sage of /r: san/s areas to $e a 5%estion of first impression. &he co%rt consi/ers the arg%ments of the parties for an/ against an easement $: prescription an/ /eci/es against s%ch a theor:. &he co%rt note/ that the rights of trespass an/ eAection "ere not commonl: availa$le to propert: o"ners against the p%$lic. &he co%rt fo%n/ the $est $asis for %phol/ing the inA%nction against .efen/ants to $e that the p%$lic ha/ ac5%ire/ the %se of the /r: san/s areas of the $eachfront thro%gh the English common la" /octrine of c%stom. &he Co%rt cite/ 1 Bo%v.,a" .ict.7 Ra"le s &hir/ Revision7 p. XEC7 as /efining c%stom as Js%ch a %sage as $: common consent an/ %niform practice has $ecome the la" of the place7 or of the s%$Aect matter to "hich it relates.K &he Co%rt cite/ seven elements of c%stom: 16 that the %sage $e ancient; C6 that the %sage $e "itho%t interr%ption; D6 that the %sage $e peacef%l an/ free from /isp%te; E6 that the %sage $: reasona$le; F6 that the %sage $e s%$Aect to visi$le $o%n/aries; Q. that the %sage $e o$ligator: 3that the in/ivi/%al lan/o"ners cannot /eci/e "hether to allo" the p%$lic to %se the /r: san/s area a/Aacent to his propert:6; an/ X6 that the %sage not $e contrar: to other la"s or c%stoms. In s%pport of the /octrine of c%stom7 the co%rt fo%n/ that7 altho%gh c%stom ha/ not $een previo%sl: recogni>e/ as a legal theor: in *regon7 the r%le is s%fficientl: applica$le in this case. &he A%stice s:stem of *regon is not consi/ere/ Jancient7K $%t the co%rt cite/ the %sage of the $eachfront areas $: the 0ative Americans at the time the settlers first arrive/7 an/ that the tra/itions of <eeping the $eaches open to the p%$lic ha/ not change/. Conc%rrence. &he conc%rring opinion agree/ "ith the res%lt7 $%t "o%l/ not have applie/ the /octrine of c%stom. .isc%ssion. C%stom is a /octrine that has not $een a/opte/ $: all A%ris/ictions. &he /octrine of c%stom provi/es the co%rt a "a: aro%n/ the elements of prescriptive easements7 "hich ma: not have easil: $een proven in this case.
1.People v. Goetz 1.Goetz is riding on a subway in NY, known to be fairly dangerous, bunch of black kids surrounded hi and one asked for !", and Goetz pulled out his gat and went to town on their asses. #e ade da n sure he got all of the , even the last one who was fleeing, saying $you see to be alright, here%s another& and shoots hi paralyzing hi . #is defense is that he perceived a threat under the circu stances. #e had the gun on hi because he had been ugged before. '.(aw in NY says person ay use force to the e)tent that he reasonably believes to be necessary to defend hi self fro a reasonably perceived threat of har , kidnapping or rape. *.Grand +ury was instructed that reasonability is an ob,ective deter ination of what a reasonable person would perceive and do, rather than what the actual person there would perceive and do. -.Goetz wants the sub,ective approach instead "..P/ approach erely re0uires the actor to believe that force is i ediately necessary for protecting hi self against the use of unlawful force 1sub,ective approach2 3 defendant%s belief ust be sincere, need not be reasonable 4.5nsertion of the word $reasonably& into NY statute that adopted the .P/ indicates that legislature had the intent to depart fro the sub,ective approach of the .P/ and wanted an ob,ective test. './o on (aw 6pproach is the ob,ective approach 3 defendant%s belief ust be both sincere and reasonable 1.ob,ective approach still can take into account defendant%s history to deter ine if, given his circu stances, his belief was reasonable

5.7ntity Property 3 8eparating anage ent of resources fro their en,oy ent 1.Possessory 9ights 1.(eases 1.:sed to anage co ple) groups of assets like condos, alls, etc. '.8pecialization of functions 3 tenant specializes in paying rent, landlord specializes in

aintaining

*..any aspects of both property and contract law involved 1.contract ele ents like pro ises '.property ele ents like right to e)clude third parties -.;nly - types of leases 1.<er of Years 3 /ertain length of lease 1doesn%t have to be a ini u length, but so e states have a)i u s2, then can either do a new lease or either party can walk away '.Periodic <enancy 3 6uto=renewing lease unless one party gives certain a ount of notice to not renew after the current period *.<enancy at >ill 3 7ither party can end the lease at any ti e 1usually need so e a ount of notice2 -.<enancy at 8ufferance 3 weren%t trespassing to get on the property, but now you no longer have the right to stay and can be evicted at will 1note you are still not trespassing2 ".<he 5ndependent /ovenants .odel 1.the obligations of the lessor and lessee are separate and failure of one does not e)cuse the other '.Paradine v. +ane 1.Guy leased land for far ing. 7nglish /ivil >ar started, and the land was occupied and the guy couldn%t far . /lai ed he didn%t have to pay the rent for that period cause he couldn%t use it. '.+ust as (essee is entitled to the profits fro the use of the land, (essee is sub,ect to losses fro the land. >ould be the sa e if there was a bad year for weather and no crops grew 3 landlord still gets his rent, even if the land wasn%t useful to the tenant *./ovenant to pay rent is independent of the covenant to provide possession. :nder 5ndependent /ovenants .odel, the re edy for a tenant whose landlord fails to eet his obligations is to sue, not to withhold rent. (ikewise, the landlord%s re edy for a tenant failing to pay rent is to sue, not to i ediately kick hi out. *.?lackett v. ;lanoff 1.(andlord rented several residential units out to tenants, but also rented a unit out to be used as a bar@lounge. <he bar%s noise constantly disturbed all the residents, and the residents eventually left and stopped paying rent, clai ing $constructive eviction& by the landlord%s failure to provide 0uiet en,oy ent of the property. (andlord clai s he is not responsible for the bar%s actions. './ourt holds for the residents. 6lthough interference by a third party does not relieve the tenants of their obligations per Paradine, interference by the landlord by either action or o ission does 1constructive eviction2. *.(andlord rented a unit in the iddle of residential units to a bar, that would certainly produce noise at night, and then failed to address the residents% co plaints. <hus it%s landlord%s fault. 4.Aependent /ovenants 3 failure of one party%s obligation relieves the other of theirs 1..edico=Aental ?uilding /o. of (os 6ngeles v. #orton and /onverse 1.P rented co ercial space to A, the lease contained provisions that A would be the only phar acy given a lease in the building. P later rented another unit to a doctor, who was in the habit of providing drugs directly to patients, thus effectively being another phar acy. '.<hose covenants which run to the entire consideration of a contract are utual and dependent. *.A%s entire reason for renting fro P was the restrictive covenant stipulating that they would be the only phar acy in the building. -.P thus broke a dependent covenant that thus breached the entire lease '.+avins v. Birst National 9ealty /orp. 1.?ank in A/ owned apart ents that were rented to low=inco e tenants. ;ver 1"CC housing code violations were reported, and the tenants stopped paying rent. '.>arranty of #abitability is i plied in a residential lease, and is a dependent covenant. 5f landlord does not aintain the property to be suitable for hu an habitation, tenants ay break lease. Brom: R%e: M% 8mailto:r%e:A%Pgmail.com9 +ent: Ge/ 1141I4CI1I X:EF A2 To: 2ilgram7 2arlene E. +2!1e3t: Propert:

114R4CI1I Class notes: 16 Page RCI ! title search a6 'tart "ith the (rantee In/ex an/ go $ac<"ar/ ! from "hom /i/ the (rantee receive the title# 3-p the chain6 $6 &hen go for"ar/ "ith the (rantor In/ex ! "ho "ere the vario%s (rantors granting to# 3Bac< the Chain6 i6 2a<e s%re there "eren t an: other conve:ances ii6 2a<e s%re that each time the grantee receives the /ee/ from the grantor that the grantee also recor/s it

316 Gorrie/ a$o%t conve:ance of m%ltiple /ee/s an/ "hich one "as recor/e/ first an/ "hether that is part of :o%r title chain c6 In the present /a:7 <e: "or/ searches can $e /one to verif: a clear title /6 )o" far /oes the title chain go# i6 -s%all: go $ac< a fix n%m$er of :ears accor/ing to the A%ris/iction e6 A/verse possession an/ "il/ /ee/ are pro$lems in title searches C6 Recor/ing Acts a6 Before Recor/ing acts7 there "as nemo act7 first in time an/ first in right7 goo/ faith p%rchaser for val%e $6 Recor/ing acts $asicall: protect goo/ faith p%rchaser for val%e against interests that are prior an/ %nrecor/e/ c6 &:pes of recor/ing acts: i6 Race ! the "inner of the race to recor/ prevails 316 -nfair so small n%m$er of states %se it ii6 0otice ! a s%$se5%ent $ona fi/e p%rchaser "ins %nless he has notice 3act%al7 constr%ctive7 or in5%ir:67 an/ a recor/e/ interest gives constr%ctive or Jrecor/K notice 316 A recor/ing of a interest gives constr%ctive notice 3C6 'omeone "ith act%al notice cannot "in even tho%gh he4she recor/e/ first /6 Race@ notice ! a s%$se5%ent goo/ faith p%rchaser "ins onl: if he has no notice an/ recor/s $efore the prior instr%ment e6 Pro$lems ! poste/ on st%/ent portal f6 Circ%larit: is a pro$lem "ith recor/ing acts D6 )oo/ v. Ge$ster a6 1acts: i6 )oo/ transfers the asset to /ea/ h%s$an/ s $rother an/ then later transfers to her si/e of the famil: $6 Co%rt s anal:sis: i6 Gere )oo/ s nephe" an/ $rother goo/ faith p%rchasers for val%e# 316 )%s$an/ s $rother /efa%lte/ on his committe/ to ma<e ann%al pa:ments 3C6 0ephe" live/ an/ helpe/ "ith the farm c6 =ieff s anal:sis: i6 Gas there $enefit flo"ing from the nephe" to )oo/# 316 &he nephe" might have provi/e/ a material $enefit s%fficing consi/eration E6 2%gaas v. 'mith ! A/verse Possession a6 1acts: i6 2%gaas 3Plaintiff6 $ro%ght an action to 5%iet title to a strip of lan/ he claime/ $: a/verse possession an/ to compel 'mith 3.efen/ant6 to remove an: $%il/ings constr%cte/ there%pon. &he Plaintiff relie/ on a fence $%ilt in1R1I an/ maintaine/ %ntil 1RCH "hich clearl: enclose/ the /isp%te/ lan/ in favor of Plaintiff s parcel. &he fence /isintegrate/ over time an/ the .efen/ant too< title in 1RE1 %n/er a /ee/7 "hich recite/ that his parcel incl%/e/ the /isp%te/ strip of lan/. $6 Co%rt s anal:sis i6 &he a/verse possessor "ins in this case 316 A conve:ance of recor/ title to a $ona fi/e p%rchaser "ill not exting%ish a title ac5%ire/ $: a/verse possession. 3C6 &he a/verse possessor /oes not have to <eep sho"ing his4her possession of the propert: once 'o, has ran 3a6 )o"ever7 this ca%ses a challenge to notice c6 =ieff s Anal:sis i6 AP is not recor/e/ an/ fo%n/ in title searches

ii6 AP starts a ne" f%ll chain of title7 "hich $ecomes an iss%e in nemo /at anal:sis 3AP can $e seen as an exception to the nemo /at principle7 in that it allo"s shifts in title other than $: a chain of vol%ntar: transfers6 316 AP ! the a/verse possessor ma: onl: receive as m%ch as "hat the propert: o"ner has 3a6 I.e. If someone is a/verse against a life tenant7 then the a/verse possessor gets the life estate $%t not the remain/er iii6 Polic: for AP: AP p%ts the asset to goo/ %se or the tr%e lan/o"ner is not /oing an:thing %sef%l on the asset iv6 .oes AP affect information@saving cost# 316 &his might a pro$lem for $%:ers $eca%se AP is not recor/e/ in title recor/s ! high informational cost 3C6 'ince the AP gets title7 the $%:er /oes not /o con/%ct a title search ! informational cost saving F6 Wimmer v. '%n/ell ! Gil/ /ee/ case a6 1acts: i6 2cCanns transfers to Ra$$ an/ Ra$$ transfers to his heirs. ,ater 2cCanns transfers to (age. Ra$$ recor/s the /ee/ first an/ (age recor/s s%$se5%entl:. 0either part: is a"are of the other. $6 Co%rt s anal:sis: i6 &here "ere t"o iss%es: 316 -n/er nemo /at7 the propert: "as alrea/: conve:e/ an/ there "as nothing to conve: s%$se5%entl: 3C6 Even tho%gh P recor/e/ first7 it "as a "il/ /ee/ c6 =ieff s anal:sis: i6 If there "ere m%ltiple "il/ /ee/s7 then one "o%l/ go thro%gh a relative strength of title anal:sis 3goo/ faith p%rchaser for val%e# Gho recor/e/ first#6e ii6 &he maAorit: of co%rts agree that one cannot $enefit from the recor/ing act s exception to nemo /at if one traces one s o"nership to a "il/ /ee/ /6 &his is "hat I thin< this case means i6 -s%all: nemo /at applies7 in "hich :o% cannot conve: "hat :o% /on t have. )o"ever %n/er the recor/ing acts7 if :o% recor/ first7 then :o% receive the title. Essentiall: the recor/ing acts /efeats nemo /at7 except "hen the recor/ing is a "il/ /ee/. ii6 Ghen there is a "il/ /ee/ involve/ there is no goo/ faith p%rchaser7 nemo /at applies Q6 0%isance a6 A/ams v. Clevelan/@Cliffs Iron Compan: i6 1acts: 316 Ps $ro%ght s%it see<ing /amages in $oth trespass an/ n%isance for /%st7 noise7 an/ vi$rations coming from . s iron ore plant. . s mine is in operation contin%o%sl:7 never ceasing. M%r: instr%ctions in trial co%rt instr%cte/ them on $oth trespass an/ n%isance7 an/ A%r: fo%n/ /amages in trespass. It /i/ not reach a concl%sion as to n%isance. ii6 Co%rt s anal:sis 316 iii6 =ieff s anal:sis 316 &respass ! right to excl%/e others 3a6 &he inA%r: is visi$le; personal inA%r:; /irect inA%r: 3$6 Reserve/ for harm that is s%$stantial eno%gh that it has the effect of /epriving the o"ner s possession of the lan/ 3c6 'trict lia$ilit: 3/6 Reme/: @ inA%nction 3C6 0%isance ! right to 5%iet enAo:ment of the lan/ 3a6 InA%r: is invisi$le to the na<e/ e:e 3i.e. smo<e7 o/or6; in/irect inA%r:

3$6 A lot more $alancing of interests 3c6 &he reme/: is more li<elihoo/ /amages X6 Easements a6 Base$all P%$lishing Co. v. Br%ton i6 1acts: 316 &he Plaintiff ran a $%siness7 "hich place/ $ill$oar/s on the si/es of $%il/ings. &he .efen/ant agree/ to let Plaintiff place a $ill$oar/7 $%t then too< the $ill$oar/ /o"n. ii6 Co%rt s anal:sis: 316 Iss%e: "as the contract for a lease7 license7 or easement# 3a6 ,icense ! simpl: %se 3$6 ,ease ! amo%nting to possession from extensive %se 3occ%panc:6 3C6 .epen/ing on "hether the contract "as for the %se of the "all or possession of the "all 3a6 Accor/ing to the co%rt7 the "all "as still in possession of the o"ner 3i6 &herefore7 the contract "as for a license 3D6 -s%all: a license is revoca$le7 $%t in this case the contract /oesn t seem to $e revoca$le 3a6 Is there an easement# 3i6 &here seems to $e an interest in lan/ conve:e/ 1. Conve:ance of interest in lan/ has to compl: "ith stat%te of fra%/s ! is there a $asic "riting# 3$6 ,icense v. Easement 3i6 ,icense /oesn t conve: propert:; excl%sive rights 3E6 Co%rt provi/es specific performance as the reme/: 3a6 Arg%ment against specific performance in this case: 3i6 Bill$oar/ space is to allo" a/vertising 3ii6 &here are plent: of s%ch spaces to allo" a/vertising 3iii6 &he . co%l/ have simpl: pai/ the /amages to allo" a/vertising on another $ill$oar/ except this one 3$6 )o"ever7 the more propert:@li<e  easement 3i6 ,ess propert:@li<e  license iii6 =ieff s anal:sis: $6 1ontain$lea% )otel Corp. v. 1ort:@five &"ent:@1ive Inc i6 1acts: 316 &he constr%ction of a ne" a//ition to a hotel "ill $loc< s%nlight from another hotel s pool. ii6 Co%rt s anal:sis: 316 A lan/o"ner /oes not have a legal right to the free flo" of light an/ air across the a/Aoining lan/ of his neigh$or. 3C6 Co%l/ this case a$o%t n%isance# 3a6 &he Co%rt states -' A%ris/ictions has not $e "illing to /eem $loc<ing s%nlight as n%isance %nless there is a foc%se/ %se of s%nlight 3i.e. solar panels6 3i6 &his might ca%se people to race to $%il/ solar panels an/ attempt to sell the easement to $%il/ers iii6 =ieff s anal:sis: 316 0egative easement $: contract or prescription 3a6 Ge are more "orrie/ a$o%t negative easement $: prescription 3i6 &here is $arel: notice of the tr%e o"ner 3$6 Ge are less "orrie/ a$o%t positive easement $: prescription 3i6 It is li<e AP ! /emonstrative 3ii6 &here is more notice of the tr%e o"ner 3C6 Ghat are sol%tions to easement conflicts#

3a6 $$$@ $%: the easement