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Home » Business Law » Page 1493

Business Law

Q: If the landlord and the tenant agree on a specific duration of the lease and fix the date on which the tenancy will end, it is a: A. periodic tenancy. B. tenancy at will. C. tenancy for a term. D. tenancy at sufferance.

Q: The URLTA: A. prohibits discrimination against tenants on the basis of color, religion, race, and national origin. B. prohibits the inclusion of exculpatory clauses in standard lease agreements that the landlords expect tenants to sign. C. prohibits the creation of tenancy at sufferance. D. prohibits the inclusion of clauses by which the tenant supposedly agrees to pay the landlord's attorney's fees in an action to enforce the lease.

Q: A periodic tenancy is also known as a(n): A. freehold estate. B. easement. C. a tenancy from year to year. D. a tenancy for years.

Q: A _____ occurs when property is leased for an indefinite period of time and either party may choose to conclude the tenancy at any time. A. tenancy at will B. tenancy at sufferance C. periodic tenancy D. tenancy for a term

Q: Where damage to leased property arises through no fault of the tenant, that tenant still has a duty to take interim steps in order to prevent further damage from the elements.

Q: If David sublets his apartment to Annie, he is no longer liable to the landlord for the commitments he made in the lease.

Q: A valid surrender discharges the tenant from further liability under the lease.

Q: Which of the following statements is true about a lease? A. It was traditionally viewed as the lease of property for residential or commercial purposes. B. Federal legislatures have enacted statutes that regulate leased property and the landlord-tenant relationship. C. It conveys to the tenant the exclusive right to possess property for a period of time. D. Doctrines such as unconscionability are not applicable to leases.

Q: If a landlord and a tenant agree that the tenant will pay rent at regular intervals such as on a month-to-month basis, the agreement is a ___. A. tenancy at will B. tenancy at sufferance C. periodic tenancy D. tenancy for a term

Q: Security deposits protect the landlord's right to receive rent as well as her right to reversion of the property in good condition.

Q: In a majority of cases, the implied warranty of habitability applies to residential property and to property leased for commercial uses.

Q: Constructive eviction enables a tenant to terminate the lease on a property because she has effectively been evicted as a result of the poor condition or the objectionable circumstances there.

Q: Under the traditional rule, landlords are granted immunity from tort actions if the defects arise during the term of the lease.

Q: Landlords attempt to limit their liability through exculpatory clauses.

Q: A landlord is not liable for criminal acts committed by third persons against the landlord's tenants.

Q: A tenant is responsible for the care and upkeep of leased property, and is required to make major repairs if the damage was caused by his/her own negligence.

Q: A tenant who remains in possession of the property after the expiration of a lease cannot be made part of a new tenancy.

Q: Federal laws often regulate lease terms.

Q: The doctrine of unconscionability does not apply to leases.

Q: A lease is a contract by which the owner of property gives the exclusive right to possess the leased property to another person for a specific amount of time.

Q: A periodic tenancy cannot be terminated without either party giving advance notice to the other.

Q: Inverse condemnation occurs: A. when one property owner acquires title to neighboring property by occupying the property for a certain number of years. B. when a tenant acquires ownership of fixtures by occupying the property and using the fixtures. C. when the government takes land from the private property owners without having paid for it. D. when the government institutes a formal legal action to exercise eminent domain power.

Q: Describe how a person acquires title by adverse possession and give an example.

Q: Describe the purpose of the Fair Housing Act.

Q: Linda deeded her house for consideration to her friend, Oliver, by quitclaim deed. One year after the transfer, Oliver discovered that 50 year's earlier, Linda's great grandfather, then the owner of the property, had transferred part of the property to a local church. The church is now asserting ownership of the property and wants to build a parking lot on the lot. What action, if any, can Oliver bring against Linda to recover damages for breach of warranty of title in this case?

Q: Major Developer built a subdivision in which it offered a number of houses for sale. The Smiths bought one of these houses. During the first rain, water entered under the crawl space of the house. Water then accumulated to a depth of 17 inches in a room where the furnace and water heater were located. This frequently caused the water heater to perform inefficiently. With each rainfall, water continued to collect. The house became damp and developed a serious mildew problem. What remedies do the Smiths have?

Q: Define the legal meaning of "nuisance" and explain the two types of nuisances recognized by the law, using a scenario to illustrate each type.

Q: After a valid deed is delivered from grantor to grantee: A. title is still not effectively conveyed till witnessed by two people. B. the grantee should immediately record the deed. C. the grantee should post a "legal notice" in the newspaper. D. the grantee should get the deed deposited securely in a public office.

Q: Millie executed a deed and put it under her mattress along with a note directing that the deed is to be delivered to her cousin Don, upon her death. What will be the result of such an act? A. The deed effectively passes title to Don upon Millie's death. B. The deed is not effective to pass title after Millie's death as it is not delivered. C. The deed is not effective to pass title because Millie did not record it. D. The deed becomes effective and passes title to Don the day he gets it.

Q: An implied warranty of habitability: A. guarantees that a house is free of hidden defects that would render it unsafe for human habitation. B. applies to any ordinary seller of a house, and not just builders, builder-vendors, and developers. C. when breached, subjects the defendant to liability measured only by the cost of repairs. D. does not extend to a subsequent purchaser.

Q: Adele and Roy established a trailer park and restaurant on their property to supplement their income. Acme Oil operated a refinery 1,000 feet from Adele and Roy's property. The refinery regularly emits nauseating gases and odors in large quantities, which invade neighboring property and make people sick. Acme disregarded Adele and Roy's pleas to abate emitting the noxious odors. What can Adele and Roy do? A. Adele and Roy can bring an action for private nuisance for damages and to enjoin Acme from emitting the odors. B. Adele and Roy cannot sue for public nuisance because private parties can never sue for abatement of public nuisance. C. Adele and Roy do not have a cause of action. D. Adele and Roy can sue for public nuisance as Acme is committing an illegal act.

Q: The Title III of the ADA of 1990: A. classifies only nonbusiness enterprises as places of public accommodation. B. requires places of public accommodation, private clubs, and religious organizations to comply with the statute. C. classifies numerous businesses and nonbusiness enterprises as places of public accommodation. D. requires only service-oriented businesses and private clubs to comply with the statute.

Q: A warranty deed: A. conveys title and guarantees to make good any defects in the title. B. can only be a deed of specific warranty. C. is used to cure technical defect in the chain of title to property. D. conveys to the grantee whatever title the grantor has at the time the deed is executed.

Q: A special warranty deed: A. cures the defect in the chain of title to property. B. means that the grantor offers a unique warranty against all defects in the title and all encumbrances. C. implies that the grantor warrants against all liens and easements. D. means that the grantor warrants against only those defects in the title that arose after he/she acquired the property.

Q: Under an open listing contract: A. the broker receives a nonexclusive right to sell the property. B. the broker receives a commission even if a third party finds a buyer. C. the broker has the exclusive right to sell the property for a specified period of time, but is not entitled to a commission. D. the broker has exclusive right to sell the property and is entitled to a commission.

Q: Which of the following statements is true of the transfer of a property by sale? A. Engaging a real estate broker is a legal requirement for the sale of real property. B. Exclusive right to sell contracts entitles the broker for a commission only if he procures the buyer. C. Agreement between the seller and the buyer to purchase real property need not necessarily be in writing to be enforceable under the statute of frauds. D. Real estate sales contracts must be evidenced by a suitable writing signed by the party to be charged in order to be enforceable.

Q: The Real Estate Settlement Procedures Act: A. requires that buyers receive advance disclosure of the settlement costs that will be incurred. B. is designed to prevent discrimination in the housing market. C. permits payments for referral of business to title companies. D. requires that the title insurance be purchased from the company specified by the seller.

Q: A quitclaim deed: A. guarantees that the grantor has good title to the real property. B. affords the grantee the right to sue the grantor for defective title. C. is used to cure technical defect in the chain of title to property. D. warrants against all liens and easements.

Q: Under condominium ownership, a purchaser takes title to his/her individual unit and becomes a _____ with other unit owners in shared facilities. A. joint tenant B. tenant in common C. tenant by the entirety D. tenant in partnership

Q: For a gift of ownership of real property to be valid, the donor must: A. deliver a properly executed deed to the property to the donee. B. ensure that the donee or third party takes possession of the property. C. simply attempt to make the gift without delivering the deed. D. will it to a third party.

Q: Farmer Fred died in 1933 and in his will named his three sons, Ted, Ned, and Ed, owners of his farm as tenants in common. Ted and Ned were city slickers, but Ed lived on the farm and worked it from 1933 until the present. Ted and Ned gave Ed permission to live on the farm and keep the profits. Ed paid all property taxes and repair bills. Ted and Ned decided in 1990 that they wanted to retire and live on the farm. Can Ed claim sole ownership of the farm by adverse possession? A. No, because Ed's possession was not open and notorious. B. No, because Ed's possession was not hostile. C. Yes, because Ed paid the property taxes on the farm. D. Yes, because Ed was willed as joint owner.

Q: Which of the following statements about an exclusive agency listing is true? A. The broker has the exclusive right to sell the property and entitles him/her to a commission no matter who procured the buyer. B. The broker operating under this listing is entitled to a commission only if he/she was the first to find an able buyer. C. The seller has the right to sell the property himself/herself without being obligated to pay the broker a commission. D. The seller must pay the broker his/her commission even if it was the seller who found the buyer during the duration of the listing contract.

Q: In terms of interests in real property, this is not an interest in land but a temporary right to use another's land for a limited and specific purpose. A. A private restriction B. A fee simple C. A leasehold D. A license

Q: George owns three adjacent town houses in an upscale neighborhood. He sells one to Ted but gets Ted to promise to never sell the property to a woman or a poor person. This restriction is built into the deed George gives to Ted, along with a statement that the property is to revert to George if this promise is broken. Is this restriction enforceable? A. Yes, because the restrictions are reasonable. B. Yes, because these private restrictions do not prevent the sale of the property to anyone else. C. No, because the restrictions are against public policy. D. No, because private restrictions can only apply to the size and cost of the house.

Q: Dru and James are married and own real property under a tenancy by the entirety. This means that: A. upon the death of either, the property passes automatically to the surviving spouse. B. they are tenants in common with the added requirement of marriage. C. either spouse can transfer property by will if the other is still living. D. the tenancy cannot be severed even in case of a divorce.

Q: Which of the following is an example of a community property? A. Property acquired during the marriage through a spouse's industry or efforts. B. Property a spouse owned before marriage. C. Property acquired by a spouse during marriage as a gift or by inheritance. D. Property exchanged for separate property.

Q: An easement granted through an express agreement: A. is not covered by the statute of frauds. B. is required to be in writing to be enforceable. C. is enforced no differently than an implied easement. D. is not executed with the same formality as a grant of a fee simple interest in real property.

Q: Which of the following is an affirmative easement? A. The right to drill for oil and gas on the land of another person. B. The tenant's right to use the property during his lifetime. C. Obtaining oral permission to hunt on another person's land. D. The right to have your neighbor refrain from erecting a building on his property.

Q: Max has the right to have his neighbor refrain from erecting a building on his property that would cut off light and air from his building. This is an example of a(n): A. necessity. B. negative easement. C. adverse possession. D. affirmative easement.

Q: Kent University does not have enough parking spaces to accommodate all of its students, staff and faculty. Jeff owns a sizable plot of land just north of the campus and has given many students oral permission to park on his land. Has Jeff created an easement? A. Yes, Jeff has created an easement by necessity. B. Yes, Jeff has created a negative easement. C. No, Jeff has created a license. D. No, Jeff has created a tenancy at will.

Q: A person may have the right to use the land of another person but not to actually occupy it on a long-term basis. This is known as a(n): A. fee simple. B. license. C. lease. D. easement.

Q: Fixtures are items of personal property which may be treated as a part of real property because of: A. their use to the landlord. B. their attachment to that real property. C. the landlord's security interest in them. D. the commercial use of the fixture to that property.

Q: Which of the following statements is true of fixtures? A. When an item is of little value except for use with certain real property, it is likely to be considered a fixture even if it is unattached. B. One who provides fixtures to real property without a request to that effect from the owner is entitled to compensation from the owner. C. Personal property that may be removed with little injury to the property is likely to be considered a fixture. D. Actual physical attachment to real property is necessary for an item to be considered a fixture.

Q: When a tenant attaches personal property to leased premises for the purpose of carrying on his/her business, it is called a(n): A. domestic fixture. B. agricultural fixture. C. trade fixture. D. ornamental fixture.

Q: Which of the following statements is true of a life estate? A. It is the right to have someone who owns an adjoining piece of property refrain from making certain uses of his or her land. B. A person owning a life estate cannot be held liable if he commits acts that will result in permanent injury to the property. C. It gives a person the right to use property for an indefinite period. D. It gives a person the right to use property only for his own lifetime or for a time that is measured by the lifetime of somebody else.

Q: The basic land ownership interest in the United States is: A. fee simple. B. life estate. C. affirmative easement. D. leasehold.

Q: To amount to a nuisance, one's use of property must unreasonably interfere with another person's ability to use or enjoy his/her own property.

Q: For a public nuisance to occur, the nature of the harm must involve the loss of enjoyment of property.

Q: In recent years, the law has recognized that owners of real property are not required to take steps to further the safety of persons on their property.

Q: The United States Constitution establishes the right to "just compensation" for private property taken for public use.

Q: An oral license for the temporary use of another's land is enforceable.

Q: Periodic tenancies are leaseholds.

Q: Under condominium ownership, a purchaser takes title to his/her individual unit and becomes a tenant in common with other unit owners in shared facilities.

Q: The lien created by unpaid taxes assessed on real property is secondary to all other claims of other persons to the land.

Q: An oral contract for the sale of real estate is generally enforceable under the statute of frauds.

Q: Many courts have now extended the implied warranty of habitability made by builder-vendors to include subsequent purchasers.

Q: While staying at Fancy Hotel, Marie asked her son to take her two diamond rings to the hotel clerk for safekeeping. The rings were shown to the clerk and then placed in a "safe-deposit envelope" which was sealed. The son received a depositor's check stub, which had a number corresponding to the number on the envelope. The envelope was kept in a safe, located in the hotel's front desk, which was used to keep the hotel's cash as well as the valuables of guests. Though equipped with a combination lock, the safe was usually kept unlocked as there would always be a clerk on duty at the reception desk. The following night, the hotel was robbed by two armed men and Marie's rings were taken. She sued the hotel for the value of the rings. The hotel claimed that the robbery was an "act of a public enemy" that relieved the hotel of liability. If the safe-deposit envelope is analyzed in the way that safety deposit boxes are, was the hotelkeeper liable for the theft of property left with it for safekeeping?

Q: A conveyance of real property also transfers the fixtures associated with that property, even if the fixtures are not specifically mentioned.

Q: The tenants have no right to remove trade fixtures even at the end of the lease period.

Q: A life estate grants a person the right to use property for an indefinite period.

Q: A lease for which no time period is specified is known as a tenancy at will.

Q: A negative easement is the legal right to make use of the land of another person.

Q: Phoebe rented a safe deposit box in a bank to keep her valuables. In this case: A. Phoebe is the bailee. B. the bank is the bailor. C. the bank is not an insurer of the contents of the box. D. the bank is liable only for the box and not the content.

Q: Tex accidentally left his digital camera at the bus stop on Friday afternoon. Later that night, Bill finds the camera and takes it home with the intent of turning it in to the bus company the next day. Before Bill can turn it in, Dale steals the camera from Bill's house. Discuss the ownership rights, if any, of Tex, Bill, and Dale.

Q: What are the differences between a gift inter vivos and a gift causa mortis?

Q: Define a bailment and discuss its essential terms.

Q: What are the basic duties of a bailee? Explain the critical elements that determine the degree of care that a bailee is required to exercise.

Q: Sally rented a motorized chain saw from E-Z Rental Company. While Sally was using the saw as specified by the directions, the saw "grabbed" and caused a piece of wood to fly into her eye, seriously injuring her. A subsequent investigation showed that the saw grabbed because of a defect in the chain mechanism. Under these circumstances: A. E-Z is liable for Sally's injuries only if there is a violation of an express warranty regarding the quality of the saw. B. E-Z is liable for Sally's injuries if it knew of the defect in the saw when it rented it to Sally, but failed to warn her of the defect. C. E-Z is not liable for Sally's injuries if the UCC's implied warranty of merchantability principles were applied by the court. D. E-Z is not liable for Sally's injuries since the bailment was for the sole benefit of the bailee.

Q: Common carriers: A. are never allowed to limit their liability. B. are usually allowed to limit their liability to a stated value. C. can always limit liability for an infinite value. D. are held to a lower level of responsibility than private carriers.

Q: A common carrier is liable for loss of or damage to property if: A. the damage was caused by the goods themselves. B. the damage was caused by an act or order of the government. C. the goods were damaged because of the shipper's negligence. D. the goods entrusted to it are stolen by some unknown person.

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