Exam 47: Introduction to Property, Property Insurance, Bailments, and Documents of Title

An easement is not considered to be real property.

What is the method by which title to new property is acquired when an article of personal property that belongs to one person has a natural increase?

An example of a bailment for the bailor's sole benefit is when Sherri, without compensation, lends her Cappuccino maker to Ed for Ed's party.

Patent rights are considered to be personal property.

The transfer of personal property involves formalities not required in the transfer of real property.

A common carrier is under a duty to serve the public to the limits of its capacity.

Why are delivery and acceptance both necessary to a valid gift? Explain.

Lynne took her earrings off at Marcia's beauty parlor and put them on the counter. She left the shop without remembering the earrings. Betty finds them and wants to keep them. Can she?

A trade fixture is not intended to become part of the realty.

A carrier or warehouser who receives goods from a thief and later delivers them to a person to whom the thief ordered them to be delivered is liable to the true owner of the goods.

Which of the following is not a function of a bill of lading?

A negotiable electronic document of title running to the order of a named person or bearer is negotiated by delivery which, according to Revised Article 7 of the UCC, means a voluntary transfer of control.

The McCarran-Ferguson Act, enacted in 1945, left the regulation of insurance to the states.

A thief stole Martin's car and installed a tape deck in it. Later the police caught the thief and returned the car to Martin. Martin now owns the tape deck by accession.

Which of the following is tangible real property?

Rights represented by a stock certificate or a promissory note are examples of intangible property.

Although Trina has paid her annual insurance premium, her insurance company sends her a written notification that it is cancelling her policy, which should have had four more months of coverage. The insurer need do nothing more to effect the cancellation.

The Swails have an 80 percent co-insurance policy on their $100,000 home. Explain what this means. If they have an 80 percent co-insurance clause, a policy for $80,000, and suffer a covered loss of $40,000, how much will the insurer pay? If they have an 80 percent co-insurance clause, a $60,000 policy, and suffer a loss of 25% of their property, how much will the insurer pay?

A bill of lading serves as:

Clay that has been made into pottery is personal property.