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

Bailments for the bailee's sole benefit are usually limited to the gratuitous loan of personal property for use by the bailee.

Accession means the right of the owner of property to any increase in it.

No warranties are given out by the person who negotiates or transfers a document of title.

Marilyn brought her $400 silk dress to University Dry Cleaners to be cleaned. On the back of the ticket she received in exchange for the dress was written, "Liability limited to five times the cost of cleaning." Marilyn's dress was lost and University now claims it owes her no more than $53.25, five times the cost of cleaning. Is that true?

Temporary insurance coverage prior to the issuance of the actual policy may be obtained by use of a(n):

Which of the following is tangible real property?

Sales of tangible personal property involve the transfer of title.

Janessa receives a text from her Aunt Mary in which Mary says she has decided to give Janessa her pet python as a gift. Janessa may not refuse to accept the gift.

Defenses of the insurer include:

Warranties in insurance contracts:

Melissa cannot transfer control of the goods held by a bailee by transferring a document of title.

Carol took her earrings off at Marcia's beauty shop 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 furnace would be classified as a "fixture."

Insurance companies have been successful in limiting the authority of local selling agents to bind the company through waiver or estoppel.

Which of the following statements is not true of insurance policies?

The basic principles of contract law apply to insurance policies.

Mary cleaned her dorm room in the spring and left a pile of books in Sara's room. Mary told everybody that the books were a gift to Sara. Does Sara have to dispose of them?

A lease for office space is considered to be personal property.

Explain the difference between lost, mislaid, and abandoned property and who has rights to it.

An insurable interest in property is a financial interest that justifies insuring such property.