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compensate individuals (not companies) for the non monetary aspects of the harm suffered, such as pain and suffering
publishing false information about anothers product, alleging it is not what its seller claims.
– a market in which currencies are bought and sold and their prices are determined
- Prohibits any type of collaboration of businesses to the detriment of consumers
- Prohibits price-fixing
- Prohibits boycotting
- Prohibits allocation of customers
- Prohibits monopolies
Ownerscan exclude nonowners from their property - without this, may be difficult toput land to its best use. Not efficient use of land, an unfair burden on theowner.
May Not be Used to Harm Others
- Natureof the neighborhood/zoning – suitability of each party’s activity to thelocation
- Whether the person came to the nuisance or not –not an absolute defense, however. Still use a balance of harm.
- What has either party done to avoid thenuisance?
- What is the social value of Π and ∆’s activities
- Burden on Π and ∆ to avoid the conflict
Issue: Does the covenant run with the land or specific to the originalgrantors/grantees?
Rule: Reasonable covenants against competition may be consideredto run with the land because they touch and concern the land (they serve apurpose of facilitating orderly and harmonious development for commercial use).
· Presence of restrictions
· A recorded plat showing the restrictions
· Presence of restrictions in the last deed
· Observance of restrictions by owners in a similardevelopment
· Conformity to the written restrictions
· Language stating covenants are to run with the land
· Recording of a declaration
o Character of change
o Property at play – isthere an undue hardship to the property?
o Does change result inno substantial benefit to the dominant party?Is there a zoning change?
o Purposes against the rule on alienation:
· Prevent dynasties,
· Allow for distribution of ownership,
· Promote the autonomy of current owners,
· Note efficient uses and transfers of land
Generally, restraints upon thealienation of a fee simple are void.
∆s wantthe sale to be rescinded in order to uphold their covenant because the Πswere African American.
Issue: Does this restrictive covenant violateconstitutional rights even when between private individuals?
Rule: Yes. Covenantalone does not violate the 14th amendment, but the purpose of thecovenants was secured only by judicial enforcement in state courts. The enforcement by a court thattriggers the state action.
willobtain the right to posses the property when and if the present interestterminates
property ownership without anassociated future interest.
Owner offee simple absolute has the present right to posses and use property, right tosell or give it away, and the right to devise it by will or leave it to herheirs
Language:O to A…O to A and her heirs…O to A in fee simple
1) whether the futureinterest is in the grantor or a third party
2) whether the futureinterest becomes possessory automatically when the stated event occurs ORbecomes possessory only if the future interest holder chooses to assert hisproperty rights.
1. When the futureinterest reverts automatically to the grantor on the happening of the statedevent, the present interest is called a fee simple determinable andthe future interest is called the possibility of reverter.
1. The presentinterest is called a fee simple subject to a condition subsequentand the future interest is called a right of entry.
Important: Future ownerhas to assert her rights when the condition is violated or the stated eventoccurs. If she does, the ownership shifts to her. If she doesn’t it stays withthe current owner. NOT AUTOMATIC!
1) not automatic. When the event occurs, grantor has the right to take back property butonly if he affirmatively exercised the right.
Grantor has right of entryfor condition broken. Must be a provision that if the event occurs, grantor mayre-enter property. Words: “upon express condition that” “upon condition that”“provided that”
1) upon the happening of a stated event, the estate passesto a third party, rather than back to the grantor. The third party has an executoryinterest in the estate. Words: “until…then to…” “but if…then to…”
A conveyance of O to A for lifecreates a life estate interest in A – A owns property during his lifetime.When he dies, he loses control.
If property reverts to the grantor when A dies, the futureinterest is called a reversion.
Contingentif one or both of the conditions are met:
1) condition precedent: if theremainder will take effect only upon the happening of an event that is notcertain to happen, or
2) unascertained person: if the remainder will go to a person whocannot be ascertained at the time of the initial conveyance
o Class closing rule –J. specific
Noconditions. Given to an ascertained person – someone currently living. Not subject to any conditions other than theexpiration of the present estate.
1. absolutely vested remainder: not subject to change
2. vested remainders subject to open- a remainder that may be divided among persons who will be born in the future
3. vested remainders subject to divestment- a remainder that may be destroyed by an event that occurs after the original conveyance
A remainder is contingent if youcan’t tell who the next owner will be or if there is a condition that must besatisfied in order to get the property.
ambiguous conveyances are normallyinterpreted as tenancy in common
Issue: Are the restrictions controlling such thatthe ∆ can assert ownership?
Rule: No. Arestriction in a deed may be modified or extinguished if the existenceof the restriction substantially impedes the owner of the property in thefurtherance of the purpose for which the land was held.
Note: courts will interpret conveyances in favor of reentry over possibility of reverter. with reentry the property stays with the current owner
Formally – means grantors must put their conveyances in a recognizableform if they want courts to recognize the package of rights they have intendedto create.
Substantively – certain packages of rights will not be recognized
(Johnson v. Whitton)
The Rule Against Perpetuities:
Invalidates future interests thatmay vest too far into the future.
RULE: a future interest is not valid unless at the time of its creation, we are sure that it will vest within 21 years after the death of any person alive at the time of creation
1) Identify theFuture Interest
2) Apply the Rule:Is there any way that the future interestcan vest 21 years after the death of any people referred to in the conveyance
3) If it doesviolate the rule, strike the offending language. Often this leaves you with a FSD or FSA.
O to Afor life, then to the children of B where B already has one child. Under the rule of convenience, the courtswill close the class when A dies, so that the children can takepossession after A’s death: they will not have to share the property with anyafter-born children.
**Under vested remainders subject to open
Ask if it could happen 500 years from now? If so, it’s probably longer than 21 yearsafter the life in being.
life tenant can use property, butwaste implies neglect or misconduct resulting in material damage to or loss ofproperty – does not include ordinary depreciation of property due to age andnormal use over a comparatively short period of time.
both are free to transferinterests without the consent of the cotenants
-tenantsin common may leave their interests to devisees by will
-joint tenants may notleave their interests to devisees by will –when they die, their interestsautomatically go to their surviving joint tenants
both have the power to havecommonly held property judicially partitioned; co-owners may agree amongthemselves the have the property partitioned (voluntary partition)
YOU CANNOT BEQUETH YOUR JOINT TENANCY INTEREST IN A WILL–such a will would have no effect
without physical act or any fault, character ofproperty changes to make joint occupancy impossible orimpractical/unbearable. Examples: if propertyis too small to be physically owned by all of the co-owners, possessingco-owners have a duty to pay non-possessory co-owners. Another example is when conditions are soimpractical (divorce). May be entitledto rent in this context.
constructive ouster=entitlement to 1/2 reasonable rental value of home from time of separation
Co-owners have a duty to sharebasic expenses to keep property, including mortgage, taxes and insurance. Noduty to share costs of major improvements unless they agree to do so.
Adverse Possession: Onecotenant cannot obtain adverse possession against another
Only available to married couples– available in 20 states. Similar to joint tenancy except:
1) co-owners must belegally married
2) property can only bepartitioned through a divorce proceeding
3) in most states, theindividual interest of one spouse cannot be sold w/o consent
4) creditorscannot attach property held through tenancy by the entirety to satisfy thedebts of one spouse
1) resolvingrights of co-owners
a. Often neitherchoice will make either party happy, can effect relationships though there isthe back-up remedy of partition
2) resolvingrights of third parties
a. An innocentparty – purchasers are expected to check title but maybe too much of a burdenon renters
Joint Tenancy – leases arebroken upon death of one cotenant
Tenancy by the Entirety –leases are not broken upon divorce of couple
Sawada v. Endo
courts are more likely to adoptcommon law rules to regulate residential leases b/c commercial tenants areassumed to have sufficient bargaining power and expertise while residentialtenants have less
In the absence of a judicialeviction, tenants have the right to retain possession. Summary process allows for relatively quickevictions.
1) The right toreceive the agreed-upon rent
2) The right tohave the premises intact and not damaged
3) The LL’sreversion – the right to regain possession at end of lease term
Tenant retains some futureinterest, or the right to control the property in the future; covenant doesnot run with the land, so NO VERTICAL PRIVITY (dotted line)
Tenant assigns all remaininginterest; covenant runs with the land (like a real covenant – 5 elementsneeded; no privity of K but privity of estate), so VERTICAL PRIVITY (solid line)
· Financialresponsibility of assignee (can they pay the rent?)
· Suitability of use ofparticular property (no restaurant in hangar lease)
· Legality of proposeduse (no crack dealer)
· Need for alteration ofthe premises (before getting another tenant)
· Nature of theoccupancy (factory, office, clinic)
race, religion, etc.; if thetenant just wants more $/higher rent
· Leasor cannot refuseassignment just because the market improved and she wants more $. She could have built periodic rent increasesinto the lease (it is long-term), allocation of risks – leasee took the risk ofpaying too much risk.
Occurs when landlord interfereswith tenant’s quiet enjoyment so much that tenant can justifiably stop payingrent and move out before the end of the lease.
This is a physical eviction and the interference with the quietenjoyment must be the LL’s fault.
1. Middle Ground: as seen in Blackett. No implied duty unless there is a provisionin the K. Absent such a provision thereis no ability of the LL to control or evict a noisy tenant.
Blackett: noise was within the landlord’s control (disturbance must be substantial and LLmust be responsible for it), tenants could use constructive eviction asa defense to justify not paying rent
In the rental of any residential dwelling an implied warranty exists in the lease, whether oral or written, that the landlord will deliver over and maintain, throughout the period of the tenancy, premises that are safe, clean and fit for human habitation. [not in most commercial leases, modern and almost exclusive to residential leases]
The removal of a tenant frompossession of property due to the tenant’s complaints or other conduct to whichthe landlord is opposed. LL canterminate lease and end of term for no reason.
Issue: Canthe LL evict the tenants or is the defense of retaliatory eviction justified?
Rule: Retaliatory eviction can be useda defense. Tenants may organize and join a tenant’s association andmay participate in activities designed to legitimately coerce a landlord intotaking action to improve living conditions without fear of retaliation.
Recording acts define priorities – whose interest will prevail indifferent kinds of disputes. Recording acts alter our basic first-in-timerule under certain circumstances.
§ Every state has passed arecording act
-- Intended to provide buyers with the security of knowingthat they will really own the property interests they are buying.
-- Recording acts do not require that a deed berecorded for a conveyance to be legally valid – deed is valid with or without arecording
-- Provide strong incentives torecord interests
Grantor Index: allinstruments are listed both alphabetically and chronologically by the grantor’slast name
Grantee Index: allinstruments are listed both alphabetically and chronologically by the grantee’slast name
--index describes bares outlines of each transaction: grantor and grantee, description of land, type of interest conveyed, date recorded, book and page numbers where a copy of doc is found
The person who records first willprevail – she has won the race to the registry. Does not matter if the prevailing party knew about the prior conveyanceor not.
O conveys to A, whodoes not record. O subsequently conveysthe property a second time to B. B knowsof the earlier conveyance to A. Brecords the deed from O to B. in alawsuit, between A and B, B prevails.
A subsequent purchaser prevailsover an earlier purchaser only if the subsequent purchaser did not have noticeof the earlier conveyance.
O conveys to A, who does not record. O then conveys toB. B has no knowledge of the earlier conveyance from O to A. B prevails over Aeven though B does not record the deed from O to B. B aslo prevails over A even if A later records her deed from O to A before B records her deed from O to B
Oconveys to A, who does not record. O then conveys to B. B has no knowledge ofthe earlier conveyance from O to A. A records; then B records. A prevails overB because, even though B had no notice of A’s deed, A recorded first.
a deed outside the chain of title.It is impractical to require all buyers to search every one of the hundreds ofthousands of deeds in the entire recording index. Does not provide adequate notice.
If O conveys to A without actuallyowning land, the minute he obtains title to it, it goes automatically to A. Onever gets it.
Conveyances that have beenpurchased take precedent over those that have been given as gifts. If the samepiece of property is given to two donees, the first to receive it first wins it(first in time, first in right).
prohibits the federal governmentfrom “taking” private property “for public use without just compensation”.
original power of stategovernments to pass legislation regulating private conduct to protect thepublic health, welfare and safety.
Rule: State does not exceed its powers when it destroys one class of property in order to save another which, in the judgment of the legislature, is of greater value to the public(=police power)
power to take or “condemn” privateproperty, pay just compensation to the owner, and transfer the property to someuse designed to further the public welfare
lucy wanted to buy zehmers farm for some time.
over drinks, they started to joke about the farm for $50,000.
It became serious, and they wrote out a contract for 50,000.
Zehmer did not want to go through with the offer, but the court ruled that contract was enforceable and that they must proceed to sale the farm to lucy.
an implied contract can be an example of this. Generally arising from routine conduct of a contract.
(purchasing coffee every morning at the same place, there may be an implied contract where you hand them the money and they hand you your coffee without a spoken word)
powerhouse had an account payable to 84 lumber for large amount.
powerhouse did not respond to 84's discovery request, so it was deemed admitted.
powerhouse then proposed to pay a sum less than the amount due, 84 didn't respond.
appellate court agreed with lower court's decision the silence of 84 lumber, did not hold against them, powerhouse had to pay the entire debt, plus interest, fees and cost.
must provide the basis for the bargain struck between the wo parties.
item must be given or promised by the promisor in return for promisee's promise, performance, or promise of performance.
Performance of an existing contractual duty is not good consideration.
1. an alteration or a material change to a contract made by a party
2. the destruction of the written contract with intent to discharge it
4. statute of limitations
5. contractual limitation
Smith sued johnson for overtime compensation.
court decided that her non-manual position required her to form a unique strategy to maximize sales. This satisfied the "directly related to the management or general business operations of the employer" provision of the administrative employee exemption. Thus she was exempt from overtime.
employer must provide 60 days noticce before implementing a mas layoff or closing a plant that empys more than fifty full-time workers.
Also applies to employers with more than 100 employees.
employers with 50 or more employees must provide employees with up to 12 weeks of unpaid family or medical leave during any 12 month period.
Family leave is defined as taking care a newborn baby, an adopted child, or a foster child.
must have employment relationship.
accidental injury had to occur on the job or in the course of employment, regardless of fault.
this act ammended existing fedral wiretapping law ro cover cell phone and email communications.
"business extension exception" permits emplyers to moniter employees electronic communications made in ordinary course of business.
federal, state nd local government employees are never required.
Other employers may use lie detector test when investigating losses attributable to theft, including embezzlement and the theft of trade secrets.
contract employees with long term access to federal facilities were ordered to complete a standard background check- the National Agency Check w/Inquiries.
Nelson argued this was invasive of his privacy
Supreme court reversed the case. NACI does not violate an indivuals right to privacy bc its inquiries are reasonable.