1. C H A P T E R
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Real Property
Study how a society uses its land, and you can come to
pretty reliable conclusions as to what its future will be.
E.F. Schumacher, Small is Beautiful (1973)
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2. Learning Objectives
• Define real property and describe the
scope of related rights and interests
• Distinguish the forms of real property
ownership and how transfer occurs
• Explain the process of acquiring real
property and relevant deeds
• Discuss government control of real
property and constitutional limits
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3. Overview
• The law of real property concerns the
ownership, acquisition, and use of land
• Real property includes not only land but
also things firmly attached to or
embedded in land:
– Buildings
– Trees, crops, and other vegetation
– Water and groundwater
– Minerals
– Airspace above
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4. Fixtures
• A fixture is personal property that has
become attached to or connected to
real property in such a way that it ceases
being personal property and becomes
part of the real property
– Fixtures belong to real property owner
– Chevron U.S.A., Inc. v. Sheikhpour:
underground fuel storage tanks were
fixtures
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5. Factors To Determine
Status as Fixture
• Attachment
– If firmly attached to real property so it cannot
be removed without damaging property, the
item is likely to be a fixture
• Adaptation
– When an item would be of little value except
for use with real property, item likely to be a
fixture
• Intent
– Judged by what the circumstances indicate
as intended not person’s subjective intent
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6. Trade Fixtures
• An exception to the usual
fixture rules involve trade
fixtures, which are personal
property attached to leased
premises by a tenant for the
purpose of carrying on the
trade or business
– Trade fixtures remain tenant’s
personal property and may be
removed at lease end
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7. Security Interests in Fixtures
• Personal property may be
subject to a lien or security
interest at the time it is
attached to real property
• Example: appliance store takes
a security interest in dishwasher
installed in home and perfects
the interest by filing a financing
statement in the appropriate
real estate records office
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8. Estates in Land
• Estate is used to describe a person’s
ownership interest in real property
– Classified as either freehold or nonfreehold
• Freehold estates are ownership interests
of uncertain duration
• Nonfreehold (or leasehold) estates are
those held by persons who lease real
property
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9. Freehold Estates
• Most common forms of freehold estates
(rights to exclusive possession) are fee
simple absolute and life estate
– Fee simple absolute is the normal concept
of “full ownership” of land
– A life estate gives a person the right to
possess and use property for a time
measured by his or another person’s
lifetime
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10. Co-Ownership
• Co-ownership of real property exists when
two or more persons share the same
ownership interest in property
– Seven types of co-ownership recognized in
the United States: tenancy in common,
joint tenancy, tenancy by the entirety,
community property, tenancy in
partnership, condominium ownership,
cooperative ownership
– See Fig. 1 on page 643 of the text
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11. Easement
• An easement is the right to make
certain use of another person’s
property (affirmative easement) or to
prevent another from making certain
uses of his own property (negative
easement)
• Easements may be acquired by grant,
reservation, prescription, or implication
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12. Easement
• An express grant of an
easement normally is
subject to the statute of
frauds and must be in
writing to be enforceable
• Other types of easements
are enforceable despite
the lack of a writing
A utility easement
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13. Profit & License
• A profit is a right to enter another’s land
and remove some product or part of land
• A license is a temporary right to enter
another’s land for a specific purpose
The tenant who planted the
cotton crop has a profit, the
combine crew has a license
to pick cotton
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14. Restrictive Covenants
• Real estate owners may
create agreements that
restrict use of real property
called restrictive
covenants
– Covenants “run with the land”
and bind subsequent owners
of the property
– Enforceability of covenants
depends on purpose, nature,
scope of restrictions
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15. Gardner v. Jefferys
• Facts and Procedural History:
– Large tract of land conveyed to 3 separate
parties
• Jefferys (son of original owner), Gardners, Soules
– The deed to land in question included a restrictive
covenant and landowner Gardners filed suit to
determine effect of the covenant, but began to
build in the restricted area of the property
– Trial court ruled that the benefit of the restrictive
covenant ran with the land and Gardners had
violated the covenant by beginning construction
– Gardners appealed
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16. Gardner v. Jefferys
• Legal Reasoning & Holding:
– A restrictive covenant will “run with the land” so
that successor property owners may enforce its
terms if: (1) covenant is written; (2) parties to the
covenant intended it to run with the land; (3) the
covenant does “touch and concern” the land; and
(4) privity of estate exists between the parties
– Evidence demonstrates the parties intended the
restrictive covenant to run with the land and the
intent was to maintain an open meadow
– Affirmed in favor of Jefferys and Soules
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17. Acquisition of Real Property
• Title to real property may be acquired by
purchase, gift, will or inheritance, tax sale,
and adverse possession
• Adverse possession occurs when person
wrongfully occupies land and acts in open
and hostile manner as if he were the owner
– True owner must take steps within a statutory time
limit to eject possessor from the land or forever
lose the right to eject the possessor
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18. Steps for Sale & Purchase
1. Contracting with real estate broker to locate
buyer
2. Negotiating and signing a contract of sale
3. Arranging for financing of the purchase and
other requirements (e.g., conduct a survey
or acquire title insurance)
4. Closing the sale, primarily involving payment
of purchase price and transfer of the deed
5. Recording the deed
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19. The Deed
• A valid conveyance of real property
occurs through execution and delivery
of a deed
Written instrument that
transfers title from one
person (the grantor) to
another (the grantee)
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20. Types of Deeds
• A quitclaim deed conveys whatever title
the grantor has at the time he executes the
deed
– Contains no warranty of title
• A warranty deed contains covenants of
warranty about the title
– Two types: general and special
• A deed of bargain and sale (grant deeds)
grantor makes no covenants about the title
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21. Recording Statutes
• Race statute: first grantee who records a
deed to a tract of land has superior title
• Notice statute: a later grantee of property
has superior title if his interest acquired
without notice of earlier grantee’s claim to
the property under an unrecorded deed
• Race-notice statute: the grantee with
priority is the one who both takes his interest
without notice of any prior unrecorded
claim and records first
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22. Methods of Assuring Title
• In a title opinion, an attorney examines
the abstract of title and gives an opinion
whether grantor has marketable title
– Marketable title: title free from defects or
reasonable doubt about its validity
– Abstract of title: history of what public
records show about the passage of title to,
and other interests in, a parcel of real
property
• Not a guarantee of good title
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23. Methods of Assuring Title
• Under the Torrens system of registration
(in a few states), one who owns land in
fee simple obtains a certificate of title
• Purchasing a policy of title insurance is
the preferred and most common means
of protecting title to real property
– Title insurance obligates insurer to
reimburse insured for loss if the title
proves defective
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24. Residential Property
• Historically, sellers of residential property
made no warranty that property was
habitable or suitable for buyer’s use and
had no duty to disclose hidden defects
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25. Residential Property
• Over the last century, an implied warranty
of habitability developed that guarantees
the house is free of hidden defects
rendering it unsafe or unsuitable for human
habitation
– Similar to implied warranties for sale of goods
• Seller may be liable for damages if seller
breaches the implied warranty
– Damages measured by either the cost of
repairs or the loss in value of the house
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26. Premises Liability
• Premises liability refers to negligence cases in
which property owners or possessors (such as
business operators leasing commercial real
estate) are held liable to persons injured while
on the property
– Negligence: failure to exercise reasonable care
to keep the property reasonably safe
– Generally includes duty to take reasonable
security precautions to protect persons lawfully
on premises from foreseeable wrongful
(including criminal) acts by third parties
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27. Americans with Disabilities Act
• Enacted to eliminate long-standing patterns
of discrimination against disabled persons in
employment, access to public services, and
access to business establishments and similar
facilities open to the public, ADA’s Title III
focuses on places of public accommodation
– Requires property owners and possessors to take
reasonable steps to make property accessible to
disabled persons
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28. Land Use Control: Nuisance
• Society imposes duties on
landowners by nuisance,
zoning, & eminent domain
laws
• Nuisance refers to the lawsuit
that may be filed if a property
use unreasonably interferes
with another person’s ability
to use or enjoy her own
property
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29. Land Use Control: Eminent Domain
• The Fifth Amendment to the Constitution
guarantees that private property shall
not be taken for public use without “just
compensation”
• This implies the government’s power of
eminent domain to effect the taking
– The key is “just compensation”
• Eminent domain is controversial, perhaps
more so given the Kelo decision
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30. Kelo v. City of New London
• Facts:
– New London was in serious economic decline
– City authorized private developer to
“rejuvenate” an area that included 115
private properties
• Most properties were in good condition
– Developer negotiated purchase of most
properties, but some homeowners had been
there many years, liked their homes with water
views, and would not sell
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31. Kelo v. City of New London
• Procedural History:
– City brought a “condemnation” action under
the power of eminent domain and plaintiffs
brought suit claiming the taking of their
properties for private development was not a
“public use”
– Trial court granted a permanent restraining order
prohibiting the taking of properties for one area
but not another and both sides appealed to
state supreme court which held all takings valid
– Case appealed to the U.S. Supreme Court
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32. Kelo v. City of New London
• Issue & Legal Reasoning:
– “Two polar propositions are perfectly clear” –
general rule is that taking from private party for
another private party is unconstitutional, but
equally clear that transferring property from one
private party to another is valid if future “use by
the public” intended
– “The disposition of this case therefore turns on
the question whether the City’s development
plan serves a ‘public purpose.’ …defined
broadly…“
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33. Kelo v. City of New London
• Holding:
– “The City has carefully formulated an economic
development plan…To effectuate this plan, the
City has invoked a state statute that specifically
authorizes the use of eminent domain to
promote economic development.”
– “Because that plan unquestionably serves a
public purpose, the takings challenged here
satisfy the public use requirement of the Fifth
Amendment.”
– Affirmed in favor of the City
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34. Land Use Control: Zoning
• Normally, zoning ordinances divide a
city or town into various districts and
specify or limit the uses to which
property in those districts may be put
– Single-family or high-density residential
uses, or commercial, light industry, or
heavy industry uses
– Restrictions on building height, building
footprint, and distance buildings must be
from lot lines (setback regulations)
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35. Land Use Control: Zoning
• A zoning ordinance is prospective, thus the
ordinance may require gradual phasing out
of nonconforming uses and buildings that do
not fit the general zoning plan
• Property owners may seek a variance,
allowing a deviation from the zoning law
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36. Regulatory Takings
• Other takings litigation centers around
land use regulations that make the use of
property less profitable for development
– Landowners challenge application of regulations
• In Nollan v. California Coastal Commission:
– Conditioning permit on grant of easement
was unconstitutional taking
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37. Test Your Knowledge
• True=A, False = B
– For his two dogs, Brett built a dog kennel and
run of wood posts and wire fencing behind his
house. When Brett sells his house, the kennel is
a fixture that has become real property.
– Carol opened a restaurant in an empty lease
space in City Shopping Center food court.
Carol equipped the space with ovens,
shelving, glass cases, and refrigerators. When
Carol’s lease is up, Carol must leave the ovens
and refrigerators.
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38. Test Your Knowledge
• True=A, False = B
– Sheila has a drainage ditch behind her house
that is described in the written deed. Sheila is
not permitted to alter the ditch in any way.
The drainage ditch is an easement.
– The implied warranty of habitability guarantees
that a house has no hidden defects rendering
it unsafe or unsuitable for human habitation
– A warranty deed contains promises about the
quality of the house construction
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39. Test Your Knowledge
• Multiple Choice
– Chris slipped on a banana peel that had
fallen on the floor in the grocery store’s
produce section. If Chris sues the store,
what type of law will apply?
a) Tort law
b) Premises liability law
c) Breach of contract
d) Both A and B
e) All of the above
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40. Test Your Knowledge
• Multiple Choice
– Newton owned 500 acres and leased 300
to Kelvin for farming beans. When Kelvin is
working the 300 acres he leased, he is:
a) an invitee with the right to take the bean
crop as a license
b) a lessor with the right to work the bean
crop for the benefit of Newton
c) a licensee with the right to take the bean
crop as a profit
d) none of the above
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41. Thought Questions
• Is the old adage, good fences make good
neighbors, as true today as yesterday?
• What is your opinion of the Kelo decision?
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Editor's Notes
In July 2007, Chevron sued to enforce a contract that it had made with Sheikhpour that entitled Chevron to buy and remodel Sheikhpour’s Manhattan Beach gas station. The parties entered into a Settlement Agreement that required Sheikhpour to complete certain reconstruction obligations by October 31, 2009. When he failed to complete the reconstruction by the deadline, Chevron obtained an order enforcing the Settlement Agreement and ordering Sheikhpour to convey the station to Chevron. Chevron’s efforts to possess the property were met with additional objections from Sheikhpour, however. In December 2010, Sheikhpour requested continuing access to the property for fourteen days to remove his “personal property,” including “equipment, supplies, materials, security fence, etc.” The parties then executed a “Release and Indemnification Agreement,” which authorized Sheikhpour to access the property during a two-week period for the sole purpose of removing his personal property. Several days after the agreement was formed, Sheikhpour informed Chevron that he intended to dig up and remove the fuel storage tanks. The tanks, which are valued at about $120,000, sit in a “tank pit area,” and are covered with gravel.
Attachment . Actual physical attachment to real property is not necessary, however. For example, heavy machinery or remote control devices for automatic garage doors may be considered fixtures even though they are not physically attached to real property. Adaptation . For example, keys and custom-sized window screens and storm windows have been held to be fixtures. Intent . If the owner does not want an attached item to be considered a fixture, he must specifically reserve the right to keep the item.
Though “trade fixtures” are an exception to the general rule of fixtures becoming part of the real property, a business would be very wise to specify their trade fixtures as personal property in the commercial lease agreement or risk a dispute over the property at lease termination.
Tenancy by the entirety is demonstrated in Tkachik v. Mandeville. Upon the death of the husband or wife, the property passes automatically to the surviving spouse.
By grant. When an owner of property expressly provides an easement to another while retaining ownership of the property, he is said to grant an easement. Utility easements, such as power lines, are common examples of this type of easement. By reservation. When one transfers ownership of her land but retains the right to use it for some specified purpose, she is said to reserve an easement in the land. By prescription. An easement by prescription is created when one person uses another’s land openly, continuously, and in a manner adverse to the owner’s rights for a period of time specified by state statute. By implication. Sometimes, easements are implied by the nature of the transaction rather than created by express agreement of the parties. Such easements, called easements by implication , take either of two forms: easements by prior use and easements by necessity.
The photo depicts power cables that require easements. Utility easement typically are express easements granted by a written deed.
Restrictive covenants are common in subdivisions (e.g., no trailers or inoperable cars in the front yard, no farm animals, pet limitations, pre-approval requirements for painting or home improvements).
The hyperlink is to the court’s opinion on the Findlaw.com website. In 1957, William & Ena Jefferys (parents of William Jefferys III) purchased 200 acres of farm land in Fayston, Vermont, known as the Strong Farm. Beginning in 1966, the elderly Jefferys began selling off parcels of the farm. In 1969, Sheldon and Carin Gardner purchased a ten-acre parcel of undeveloped land from the Jefferys. The deed contains a restrictive covenant providing that a specified part of the premises “shall forever be and remain open and free of all buildings and structures, except the right to construct on said open land a private swimming pool, and/or tennis court, and, the usual fences and structures appurtenant thereto and such other buildings and structures as meet the approval in writing of the Grantors herein, their heirs and assigns.” The provision further states that rights secured therein are “to be enjoyed by the Grantors, their heirs and assigns.” In 1975, the Jefferys conveyed a five-acre parcel of land to Karin Souminen, who, in turn, sold the parcel to George and Janice Soules in 1987. The Soules built a house on the land and lived there. Their property is located next to the Gardners’ land. In 1979, the elderly Jefferys conveyed the remainder of their Fayston property to their son, William Jefferys III, and his wife, Susan. In the late summer and early fall of 1999, the Gardners wrote to William and Susan Jefferys twice requesting approval to build a two-story structure within the area restricted by the covenant. The Jefferys gave the Soules a copy of the request. In June 2000, the Soules wrote the Gardners a letter stating that they were interested parties to the restrictive covenant. In September 2000, the Gardners filed a declaratory judgment action asking the court to determine the effect of the restrictive covenant in their deed. The Soules filed a counterclaim. In May 2001, the Gardners began building a shed in the restricted area. Shortly thereafter, the superior court granted the Soules’request for a preliminary injunction stopping the construction. In the fall of 2001, the Gardners began planting white pines in the restricted area directly in the Soules’ view. In July 2003, the superior court ruled that the benefit of the restrictive covenant ran with the land and was enforceable by both the Soules and the Jefferys, and that the Gardners had violated the covenant by beginning construction of the proposed shed and by planting trees in the restricted area. Accordingly, the court enjoined the continued existence of the shed and the trees. Further, the court prohibited the Gardners from allowing plants or crops in the restricted area to exceed six feet in height. The Gardners appealed.
Court: “Gardner first contends that the restrictive covenant does not run with the land to the benefit of the Soules because the parties intended the covenant to bind only the grantors, their heirs and assigns, and neither the Soules nor the Jefferys are heirs or assigns of the grantors. We do not find this argument persuasive. … Gardner further states that neither the Soules’ deed nor the Jefferys’ deed includes an assignment from the elderly Jefferys, and that the Jefferys are not heirs because Ena Jefferys is still alive, and they did not obtain the land through inheritance. …We conclude that the record in this case overwhelmingly demonstrates that the parties intended the restrictive covenant to run with the land. …Well settled that where a restrictive covenant contains words of succession, i.e., heirs and assigns, a presumption is created that the parties intended the restrictive covenant to run with the land…. Ena Jefferys, one of the original grantors, testified that she always assumed that the phrase “open and free of all buildings and structures” meant that nothing would interfere with the view…overwhelming evidence that the intent underlying the restrictive covenant at issue here was to maintain the restricted area as an open meadow… Affirmed in favor of the Jefferys and Soules. ”
Example of adverse possession: Schlichting v. Cotter . Why good fences makes good neighbors! Court: Testimony unrefuted shows the Schlichtings maintained that they exclusively used up to the middle of the wooded area, and Mrs. Nitsos also testified that the Schlichtlings used that area exclusively as their own…. The attitude of the abutting neighbor who enjoyed a friendly neighborly relationship with the Schlichtings lends strength to the recognition of the fact that they recognized the plaintiffs as the owners of the property. The court finds by clear and convincing evidence that the plaintiff has proven her claim for adverse possession and is entitled to the property which she claims. The defendants are ordered to remove their fence, their piles of stone and to replace the ground cover and flowering bushes and shrubs and wall that they have destroyed within sixty (60) days of the date of this decision.” Adverse possession over significant acreage is very rare as of the printing of this text. Most disputes today are disputes over a few inches where a neighbor builds a fence that is actually on another’s property.
Log on to your state’s Secretary of State website or the state’s realtor’s association website to view examples of realty agreements.
General warranty deed. Under a general warranty deed, the grantor warrants against (and agrees to defend against) all title defects and encumbrances (such as liens and easements), including those that arose before the grantor received her title. Special warranty deed. Under a special warranty deed, the grantor warrants against (and agrees to defend against) title defects and encumbrances that arose after she acquired the property. If the property conveyed is subject to an encumbrance such as a mortgage, a long-term lease, or an easement, the grantor frequently provides a special warranty deed that contains a provision excepting those specific encumbrances from the warranty. In grant deeds , the grantor implicitly represents that he owns the land, but makes no covenants
A recorded deed operates to provide the public at large with notice of the grantee’s property interest.
The house has a bit of foundation trouble! (not exactly a hidden defect now)
These cases include the typical “slip and fall” cases, as well as the cases in which an invitee is attacked and injured.
Nuisance isn’t just the famous examples of the smelly feedlot operation, dairy farm, or hog farm. Nuisance includes noise, light, and other bothersome activities.
Note that the Fifth Amendment says “taken for public use.” The Kelo decision altered the traditional meaning of “public.” State congressional bodies reacted to the Kelo decision by proposing statutes preventing the taking of private property for private use, but most of those proposals were quietly dropped.
The hyperlink is to the case information and opinion on the Oyez.org website. New London, Connecticut, experienced decades of economic decline. In 1990, a state agency designated the city a “distressed municipality.” Conditions prompted state and local officials to target New London, and particularly its Fort Trumbull area, for economic revitalization. To this end, New London Development Corporation (NLDC), a private nonprofit entity established some years earlier to assist the city in planning economic development, was reactivated. In January 1998, the state authorized a $5.35 million bond issue to support the NLDC’s planning activities. In February, the pharmaceutical company Pfizer Inc. announced that it would build a $300 million research facility on a specific site and local planners hoped that Pfizer would draw new business, serving as a catalyst to the area’s rejuvenation. In May, the city council authorized the NLDC to formally submit its plans to the relevant state agencies for review. Upon obtaining state-level approval, the NLDC finalized an integrated development plan focused on 90 acres, which includes about 115 privately owned properties. The development plan called for the creation of restaurants, shops, marinas for both recreational and commercial uses, a pedestrian “riverwalk,” 80 new residences, a new U.S. Coast Guard Museum, research and development office space, and parking. The NLDC intended the development plan to capitalize on the arrival of the Pfizer facility and the new commerce it was expected to attract. In addition to creating jobs, generating tax revenue, and helping to build momentum for the revitalization of downtown New London, the plan was also designed to make the city more attractive and to create leisure and recreational opportunities on the waterfront and in the park. The city council approved the plan in January 2000, and designated the NLDC as its development agent in charge of implementation. The city council also authorized the NLDC to purchase property or to acquire property by exercising eminent domain in the city’s name. The NLDC successfully negotiated the purchase of most of the real estate in the 90-acre area, but its negotiations with nine property owners, including the petitioners Susette Kelo, Wilhelmina Dery, and Charles Dery failed. As a result, in November 2000, the NLDC initiated condemnation proceedings. Kelo had lived in the area since 1997 and made extensive improvements to her house, which she prizes for its water view. Wilhelmina Dery was born in her house in 1918 and had lived there her entire life. Her husband Charles had lived in the house since they married some 60 years ago. In all, the nine petitioners own 15 properties. There is no allegation that any of these properties is blighted or otherwise in poor condition; rather, they were condemned only because they happen to be located in the development area.
In December 2000, the petitioners brought this action claiming, among other things, that the taking of their properties would violate the “public use” restriction in the Fifth Amendment. The trial court granted a permanent restraining order prohibiting the taking of properties in one area, but denied the order for properties in another area. Both sides appealed to the Supreme Court of Connecticut. That court held that all of the city’s proposed takings were valid. The petitioners then appealed to the U.S. Supreme Court.
Stevens, Justice. “ Two polar propositions are perfectly clear. On the one hand, it has long been accepted that the sovereign may not take the property of A for the sole purpose of transferring it to another private party B, even though A is paid just compensation. On the other hand, it is equally clear that a State may transfer property from one private party to another if future ‘use by the public’ is the purpose of the taking; the condemnation of land for a railroad with common-carrier duties is a familiar example. Neither of these propositions, however, determines the disposition of this case….The disposition of this case therefore turns on the question whether the City’s development plan serves a ‘public purpose.’ ” “ Without exception, our cases have defined that concept broadly, reflecting our long-standing policy of deference to legislative judgments in this field. Viewed as a whole, our jurisprudence has recognized that the needs of society have varied between different parts of the Nation, just as they have evolved over time in response to changed circumstances. For more than a century, our public use jurisprudence has wisely eschewed rigid formulas and intrusive scrutiny in favor of affording legislatures broad latitude in determining what public needs justify the use of the takings power.”
“ The City has carefully formulated an economic development plan that it believes will provide appreciable benefits to the community, including—but by no means limited to— new jobs and increased tax revenue. As with other exercises in urban planning and development, the City is endeavoring to coordinate a variety of commercial, residential, and recreational uses of land, with the hope that they will form a whole greater than the sum of its parts. To effectuate this plan, the City has invoked a state statute that specifically authorizes the use of eminent domain to promote economic development. Given the comprehensive character of the plan, the thorough deliberation that preceded its adoption, and the limited scope of our review, it is appropriate for us to resolve the challenges of the individual owners, not on a piecemeal basis, but rather in light of the entire plan. Because that plan unquestionably serves a public purpose, the takings challenged here satisfy the public use requirement of the Fifth Amendment.” “ Just as we decline to second-guess the City’s considered judgments about the efficacy of its development plan, we also decline to second-guess the City’s determinations as to what lands it needs to acquire in order to effectuate the project. …As the submissions of the parties make clear, the necessity and wisdom of using eminent domain to promote economic development are certainly matters of legitimate public debate. This Court’s authority, however, extends only to determining whether the City’s proposed condemnations are for a “public use” within the meaning of the Fifth Amendment to the Federal Constitution. Affirmed in favor of the City.”
The hyperlink is to the case information and opinion on the Oyez.org website. The photo is of the shoreline at Laguna Beach, Orange County, California. The owners of a beach-front lot (the Nollans) wished to tear down a small house on the lot and replace that structure with a larger house. The California Coastal Commission conditioned the grant of the necessary coastal development permit on the Nollans’ agreeing to allow the public an easement across their property. This easement would have allowed the public to reach certain nearby public beaches more easily. The Nollans challenged the validity of the Coastal Commission’s action. Ultimately, the Supreme Court concluded that the Coastal Commission’s placing the easement condition on the issuance of the permit amounted to an impermissible regulatory taking of the Nollans’ property. In reaching this conclusion, the Court held that the state could not avoid paying compensation to the Nollans by choosing to do by way of the regulatory route what it would have had to pay for if it had followed the formal eminent domain route.
True. A fixture is an item of personal property that has become attached to or used in conjunction with real property in such a way that it ceases being personal property and becomes part of the real property. False. The ovens and refrigerators would be trade fixtures that Carol took take with her at lease end. The shelving and glass cases, however, may have become fixtures (real property) depending on how they were installed.
True. The drainage ditch is an example of a utility or environmental easement. True. False. A warranty deed contains covenants of warranty about the title.
The correct answer is (d).
The correct answer is (c).
Opportunity to discuss real property disputes and eminent domain. See the full Kelo decision (and supporting documents) on the website of the U.S. Supreme Court: http://www.supremecourtus.gov/
