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What is property?
a. Real propertyReal estate and land
b. Personal propertyEverything else
c. Should be alienable or transferrable from one to another
Property A Defintion
d. A bundle of rights
i. You can sell, use or destroy that which is your property
ii. However, all of the rights of property do not necessarily go
together.
e. Examples of having some rights but not others
i. You can give sex away and not sell it
ii. You can give children away
f. Things you can use but not sell
i. The street
g. Things you cant use or sell and you can keep other people from using
i. Endangered species
h. Property includes all rights that have value
There are several different definitions of property:
A JOB AS PROPERTY
To have a property interest in a benefit, a person clearly must have more
than an abstract need or desire for it. He must have more than a unilateral
expectation of it. He must, instead, have a legitimate claim of entitlement
to it. (Roth)
Board of Regents of State Colleges v Roth
i. Roth sued Board stating the his job was his property. Sued
based on 14th amendment violation that he did not have life,
liberty and the pursuit of property
ii. Justice Stewart stated that one must have entitlement to
property for it to be property
iii. The dissenting Judge Marshall stated that everyone is entitled
to a government job.
A DEGREE OR CAREER AS PROPERTY
Property is everything that has an exchangeable value or which goes to
make up wealth or estate
In re Marriage of Graham
The husband obtained his MBA during the course of a short
marriage. They got divorced, and now the wife wants to be
Elkus v Elkus
The statutory definition of marital property does not mandate that it be an
asset with an exchangeable value or be saleable, assignable or transferable.
The property can be tangible or intangible. An opera career is property
Commonwealth v. Lund
i. Computer time is not property
BODY PARTS AS PROPERTY(p772-77)
Moore v. Regents of California
Cannot claim a right of conversion of his cells. Only property can be
converted and his cells are not property. Cells cannot be property, nor
could the patented work that was done on them after they were extracted.
Legislature should decide this case because there is a moral and
philosophical dilemma and not a clear issue of law.
HOW IS PROPERTY ACQUIRED
A) Property rights by creation
1.
3 kinds of intellectual property
a. Patents
b. Copyrights
c. Trademarks
CREATION
Vanna White v Samsung: Publicity Rights are property to be controlled
by the person
She created her property rights and they were upheld to be
hers (her likeness).
In order to establish a claim for a right of publicity, can
allege:
o Ds use of Ps ID
o Appropriation of name or likeness which are used to
Ds advantage
o Lack of consent
Arguments for publicity rights
o Encourages creation
o Morally rights
BY PURCHASE(p485-490)
Property bought by misrepresentation of facts constitutes fraud
Stambovsky v. AckleyBuyer bought house without prior knowledge of
house being haunted
Caveat emptor applies only to the physical condition of property, and not
reputation. Caveat emptor is the buyer beware rule of law. It says that a
prudent person would establish an escrow account while assuring himself
that there were no problems with the product, which was a house in this
case. Under NY law, there is no duty for the vendor to disclose info about
a premises unless there is active concealment, or a fiduciary duty between
the parties.
2.
3.
4.
5.
PARTITION (p346-348)
If cotenants cannot agree on how to use the property, a partition is forced. Can divide
physically or selling it.
1) Partition in kind: Physical division of property by court.
2) Partition by sale: Have the property sold to the highest bidder and terminate
concurrent ownership.
Partitions in kind are favored by courts:
1. Because it is an extreme exercise of power to force a sale
2. Because it is easier for tenants on their own to reach sale agreements rather than
partition agreements. If they have to ask the court, is an indicator they cannot
reach a sale agreement.
Delfino v. Vealencis
Delfino and Vealencis are tenants in common. Delfino wants to build a residential
subdivision on the 20 acres, but Vealencis lives on the property and operates a small trash
container business in a small portion of the property. Court ordered a partition in kind.
LANDLORDS AND TENANTS
LEASES (p423-431)
1. Term of yearsLease that lasts for some fixed period of time. No notice needed
(Note: does not have to be for a year)
2. Periodic TenancyFor a fixed period of time, but continuing on for successive
periods (month to month, year to year). Notice of one period or one to two
months.
3. Tenancy at willNo fixed period. Lasts until landlord or tenant gives notice.
4. Tenancy at sufferanceWhen a tenant wrongfully holds over.
Berg v. Wiley
Landlord re-took possession of a diner he leased out to a restaurant. Berg was wrongfully
evicted. Wiley says lease was breached because of continued remodelling.
1) Landlord can retake possession of property if:
a. Landlord can legally re-take possession through breach of lease, etc.
b. Landlord re-takes peacefully.
Berg set the rule that you must go to court to re-take possession peaceably and cannot just
re-take. This is good for tenants.
SUBLEASES AND ASSIGNMENTS (p468-470)
L T T1
Assignment: If T1 takes all of Ts time.
Sublease: If T conveys less than the full amount of the term.
If assignemnt, L can sue T and T1. If it is a sublease, L can sue just T.
Theory of suing: L can go after anyone they are in privity of contract or estate with (if
they have a contract and privity of estate happens if one is handling land over to another).
In an assignment, L is in privity of estate with T1 because the property goes back to L
after the term of the lease.
Ernst v. Conditt
L (Ernst) T (Rogers) T1 (Conditt)
K for sublease/assignment from Rogers to Conditt. Conditt does not fulfill lease and he
wants to K to be called a sublease so L can only go after T. Court says this is an
assignment and L can after either, but L goes only after T1. Court wants to go with the
intentions of the party, which is assignment.
ABANDONMENT (p441-446)
If a tenants abandons the premises, the landlord may:
1) Terminate the lease automatically
2) Release the premises right away and sue for damages
3) Wait until the end of the lease and sue for the entire amount of rent owed.
Courts increasingly place a DUTY TO MITIGATE on landlords
Sommer v. Kridel
Lesse backed out of 2 year lease 2 weeks after lease signed. He waited for over a year
and sued for rent and did not try to re-let the premises. Court says he has duty to
mitigate.
Against mitigation: People would breach lease all the time and there would be extra
costs to being a landlord
For mitigation: Efficient use of housing stock to prevent vacancy.
IMPLIED WARRANTY OF HABITABILITY (p452-460)
If there is a breach of the warranty, the remedies are:
Tenant can leave the premises and stop paying (Rescind Contract)
Withhold rent
Repair and deduct
Sue for specific performance (injunction)
Sue for damages
Green v. Superior Court
Green withheld rent because he had a shitty apartment (collapsed ceiling, roaches, bad
plumbing, etc.). Court ruled that there was an implied warranty and he could withhold
rent until such time it is fixed.
If there is a leaky roof, you cannot get damages for the whole time is if left unfixed. You
may only get damages for the portion that is unliveable (# of rainy days, or % of apt.
unliveable)
CREATION (p170-74)
1) Easement appurtenantBenefits a particular piece of land. The persons property
that gets the benefit is the Dominant parcel, and the land the easement runs through is the
servient parcel.
2) Easement in grossBenefits a person. Ex. Power company running lines. Benefits
the power co. All the parcels the lines run through are servient parcels.
Easement appurtenant stays with the dominant parcel when it is sold. Easement in gross
stays with the person who originally owns the easement.
Common way to create an easement is by selling it.
Urbaitis v. Commonwealth Edison
Issue:
Whether Edison had an easement or a fee simple title to property in question.
This is an easement in gross. Court rules there was a fee simple. If just an easement was
shown, the it could be proven that it was abandoned and Urbaitis would get the land.
EASEMENTS AND LICENSES (p174-176)
Licenses are revocable whereas easements are not.
A license is not revocable if there is reliance (estoppel)
Holbrook v. Taylor
Case where there was a license to use a road going through a neighbors property. P then
built a house, in reliance on using the road to get to the house. Once they built the house,
and used the road for construction purposes (getting trucks in there, etc), the license was
revoked by D.
Issue: Where siginificant reliance is placed on an easement, is the servient parcel
estopped from barring access?
An easement is not revocable, but a license is.
Where there is sginificant reliance on the license, the licensor is estopped from revoking
the license. The license then becomes an easement.
PRESCRIPTIVE EASEMENTS
Prescription: Basically like adverse possession
Elements:
1. Actual
2. Open and Notorious
3. ExclusiveDifficult to enforce with easements
4. AdverseWithout permission
5. Continuous
6. Statutory period
If you give someone permission to cross your land (like erecting a sign), then they
cannot claim a prescriptive easement because it defeats adverse.
Courts relax the actual reqt: You actually had to be present on the land with adverse
possession. The path can shift, however, with prescriptive easements, the path can shift.
Courts relax exclusive reqt for PE. The public can share the easement.
Concerned Citizens v. Holden Beach Enterprises
Citizens kept using roadway as access to beach for many years. D erected barriers, etc.,
but they kept breaking through them. Court rules that the citizens use was adverse and
satisfies all the necessary elements of a prescriptive easement. Even though the roadway
kept shifting, court still said there was an easement.
IMPLIED EASEMENTS
Implied eastments:
1) Implied from prior use (Rusakoff)
2) Implied by necessity (Schwab)
Real Covenant:
1. Intend promise to be enforced by successors
2. Promise must touch and concern the land
3. Privity of estate
Equitable servitude:
1. Intent
2. touch and conern
3. Notice on the part of the successor of the agreement. Was the successor
notified or should he have known about the covenant.
Privity of estate in covenants:
1. Horizontal privity
2. Vertical privity
A ---|
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C
B
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D
For A and B to have horizontal privity, they must have a mutual interest in a parcel of
land. Neighbors do not have any mutual interest
Vertical Privity: Btwn A&C and B&D. A and C have vertical privity as long as C has the
same estate and land as A. They are not in vertical if they have different estates (Fee
simple v. Leasehold).
Every promise has a burden and a benefit:
Restricted person has a burden, and person placing restriction has a benefit.
For a burden to run to a successor must have vertical and horizontal
For a benefit to run to a successor, you only need vertical
Runyon v. Paley
Gaskins ----- Brugh
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Williams
Paley
Restriction to not build condos on land. Runyons are just neighbors so they cannot
enforce, but Williams can enfore and not allow Paley to build condos because she
inherited the land from her mother (Gaskins)
Williams must show:
IntentCan show this
Touch and concernObvious. Restriction of what you can build on the land
Privity of estate: Yes. Vertical privity from Gaskins. She inherited it in fee simple.
Vertical privity btwn Brughs and Paleys. Both had fee simple
absolute.
Horizontal privity between Gaskins and Brughs. They are grantor
and grantee.
IMPLIED COVENANT FROM COMMON SCHEME (p253-258)
Where a common grantor develops plots for sale, the grantees, acquire the right to
enforce the covnants by implication. This restriction placed by the grantor runs with the
land. Even if it is not in the deed, it is implicit if it is in everyone elses.
Equitable servitude:
Intentintend that all parcels be restricted, even though it wasnt in deed.
Touch and concern
NoticePerson purchasing property has to know or reasonably should know about the
restrictions.
Mid-State Equipment v. Bell
Eubanks own property and decide to break up into plots with restrictions of single family
homes. They keep a small plot for themselves. They then sell their piece to the Hicks.
Nothing in deed to Hicks about restriction. Then, Hicks sell to Mid-State who wants to
use it for commercial use.
IntentDid Eubanks intend for restriction to run to their parcel? Yes. They numbered
it as such. Also, Eubanks wanted a residential development.
Touch and Concern: Yes. Restriction concerns the land.
NoticeCourt says they have constructive notice. If you go look at the land, it is
obvious that it is a residential neighborhood. But, restrictions not in deed.
TERMINATION (p.279-283)
Ways to termintate covenants:
1. All parcels come under common ownership
2. Release
3. Some covenants have restricted duration (most terminate this way)
4. Abandonment
5. Statute of limitations to bring suit against someone for violating a covenant may
expire.
6. EstoppelIf plaintiff and defendant are both violating covenant. So, P is
estopped.
7. Changed conditions
El Di v. Town of Bethany Beach
Holiday House Restaurant tried to get a liquor license. The people from the town tried to
enforce origianl covenants that these licenses were not allowed. Court rules that a change
of conditions allows them to get the license.
CONDOMINIUM CC&Rs
Nahrstedt v. Lakeside Condo Assn.
Condo owner owned cats and was restricted to have them under the CC&Rs. She said
this restriction was unreasonable.
Intent satisfied: The subdivision original developers intended for there to be no animals
to run with the land to all subsequent owners.
T&C: Yes
Notice: CC&Rs included in the deed and in the LA County Recorders Office. Now,
everyone is on contructive notice of the restrictions.
California added a 4th restriction to condos for an equitable servitude (reasonableness).
One court ruled that the restrictions in the actual CC&Rs do not have to be reasonable,
but anything created after by the board must be reasonable.
Nahrstedt was challenging the reasonableness standard. She said the pets did not create
any noise or smell or prevent anyone from enjoying their condo. Does the reasonablness
standard apply to her pets, or to the actual restriction. Supreme Court says you have to
look at reasonableness in total. The court says that if it was only reasonable as applied to
each individual case, then there would be way too much litigation.
Court holds that the restriction is still in tact and should hold. Who knows, maybe the
no-pets policy induced people to buy.
TRESPASS
(p27-29)
Invasion of someone elses personal or real property.
the street and doesnt want this change. P argues that the change inside the building by
adding the coffee counter is not material or substantial change to the business. In
addition, changing the sign to say Dunkin Donuts is not material because the sign will
stay the same size and dimensions. Court agrees.
ZONING VARIANCES (p609-611)
1) denial would result in "unnecessary hardship" to the owner;
a. Hardship cannot be self-imposed
b. Hardship may not be found unless there is no economically viable use of
the property, or no ROI
c. Many states say that the property must be different in some unique way to
surrounding property such as a narrow plot, or odd shape or elevation
2) the need for the variance is caused by a problem unique to the owners lot (not
one shared by many lots in the area)
3) the variance would not be inconsistent with the overall purpose of the ordinance,
or inconsistent with the general welfare of the area.
Zoning Boards often grant variances if there is no dramatic change in the tructure and if
no one objects.
Zoning gets pushed more towards a standard than a rule to allow more flexibility.
Lang v. Zoning Board of Adjustments and Calabrese
Calabrese wants to build a pool on his lot. But, since his lot is irregularly-shaped, he
does not meet the standard that in ground pools must be set back 20 from each sideline.
In addition, a pool cannot be more than 10% of your backyard, and in his case it occupies
14%. His lot size was determined before the zoning ordinances went into effect. Zoning
Board granted the variance for him to build his pool, but made him put up a fence and a
shrub. Court agrees with zoning board and allows him to build pool because not allowing
him to do so would cause undue hardship Court says that his lot is irregular in shape
and size and not allowing him to build a pool is a hardship
SPOT ZONING/REZONING(p612-613)
A local legislative body can rezone a single or small number of parcels in an area.
Rezoning rarely done unless it serves a public purpose like creating jobs.
The change must also be in conformance with the comprehensive plan. (Fasano)
Legislative versus JudicialSome say legis and others say judicial.
Fasano v. Board of Commissioners and AGS Development
AGS needs to get a rezoning of a single family residential to a Planned Residential zone
so that they can build a mobile home park. The Board of County Commissioners (the
legislative body) approved the change. Supreme Court affirms decision. Judicial
decision.
Must show that:
In 1988, an ammendment to the FHA including handicapped people, made this difficult
because handicapped people typically live in group homes.
City of Edmonds v. Oxford House
Facts: Oxford House is a rehab center that wants to have a group home. But, there is a
local ordinance limiting the number of unrelated family members that can live in a
household to five. The Edmonds Community Development Code (ECDC) is this
ordinance enacted by the city.
Oxford House asks city council to make an accomodation. They claim this restriction is
unreasonableEdmonds claims that this is a reasoanble restriction regarding the max
number of arguments.
In FHA, handicapped is defined, and current alcoholism and drug addiction are not
handicaps, so it is inferred that recovering alcoholics are handicapped.
The language of the statute which states that any reasonable restriction on the number of
people living in a household is OK. Court rules that the FHA standard does not apply to
the statute in this case because more than five people who are related can live in a house.
EXCLUSIONARY ZONING (p588-590)
The use of zoning laws to exclude certain types of persons and uses, particularly racial
and ethnic minorities and low-income persons
A town may restrict the type of residential dwellings (not allow apartments or mobile
home parks, etc.). This keeps out poor people (and some blacks are poor, so some argue
it keeps them out too).
NAACP v. Mt. Laurel cases
The most important such cases are the two Mt. Laurel cases, in which the New Jersey
Supreme Court held that a town must allow its "fair share" of the regions demand for
low and middle-income housing. According to the Mt. Laurel principle, not only may
zoning not be used to keep out the poor, but affirmative measures must be taken by a
town to cause such housing to be built (e.g., density bonuses given to developers who
build some low income housing; cooperation with developers seeking federallysubsidized housing; allowing of mobile homes, etc.) Also, builders must be allowed to
seek site-specific relief (in which the court orders the builders parcel to be rezoned to
allow the particular project, if the court finds for the developer).
THE TAKINGS CLAUSE
PUBLIC USE REQUIREMENTS (p692-694)
Interpreted to mean that when the government wants to take property:
Must be taken for a public use
Must pay compensation to the owner.
he must be compensated. If the state can show it is a nuisance, or interferes with other
property law, then he would have to compensated. Held: There is no taking if it is
deemed that the use of the property is unlawful or would be a nuisance.
DEVELOPMENT EXACTIONS (p686-689)
Demands the cities make with which property owners must comply in order to obtain a
building permit (if you build a development, must build a park, etc.)
Contract/Conditional Zoning--- A developer would propose to build something, and it
would be approved with conditions
Nolan
To not be a taking, the government must show the condition has something to do with
solving a problem created by the proposed building (must be a nexus). In this case, a
taking is found because allowing an easement to the beach just because you build a
bigger house is not proportional. Might be like extortion
Dolan
Wants to build a bigger store on her property. The city is concerned that there would be
more runoff from her property into the creek behind her property. Court imposes
conditions there must be a green area between her building and the creek, and a bicycle
path. The green area would be dedicated to the city. Court rules no rough proportionality
because a bike path cannot be determined to lessen traffic and the fact that there is a need
for a green area, does not mean it has to be transferred to the city.
Rough Proportionality Standard
In some states, there is a loose connection between the property and the required
dedication to the city. Other states require an exacting correspondence, and the
conditions must be directly proportional to the specifically created need. And still some
states require a reasonable relationship. This court says that there must be a rough
proportionality between the condition and the created need.
WHAT IS PRIVATE PROPERTY?
Phillips v. Washington Legal Foundation
Creation of IOLTA accounts, which hold funds for clients of lawyers. The interest off
these accounts was used by the state to fund public legal services. Two situations why
these funds are held: 1) sometimes lawyers are paid this way. 2) when payment is made
between parties, sometimes it is don e through lawyers. Court holds that interest on these
accounts is private property. Ultimately held not to be a taking, however, under Penn
Central. Court runs through standards.
TIMING
Palazzolo v. Rhode Island
P wants to build on his land, which becomes protected because the land is on wetlands.
1962-63proposes to fill all
1966proposes to fill part
1971Statute
1978P is now owner (although before it was owned by HIS company)
1983proposal to fill all
1985proposal to fill part
The complaint is about the statute denying him the chance to build, but in 1983 and 85,
the town said NO, you cannot build. They still may have given him permission in 1985,
so that is when his claim is ripe.
Ripe-- Has this person asked for enough. Does the court have a sense of the outer limit
of what he wants to do. In 1985, the town argues his takings claim was not ripe because
he could have asked to build something smaller and so on and so on.
TimingCan a property owner claim a regulatory taking on a statute that already existed
when he bought the property?
Some may argue that he had notice of the regulation and paid little for the property. The
counter to this though is then a taking would not be allowed to be claimed every time a
property changed hands (someone dies, or he gifts property to another, etc.).
Additionally, people who have the financial wherewithal to hold on to property have an
advantage because the statute may change, or a variance may be granted, etc.