Ch. 16 Types of Property Modified April, 2012

Ch Objectives Define Property Identify the classifications of property Adamson, John E., Law for Personal and Business Use, 18 th Ed., South-Western Cengage Learning, 2007

Property & Its Classification What is property? Rights & interests we recognize in one another in tangible & intangible things Tangible – you can touch or see Intangible – cannot see or touch Patents, franchise, copyright Title, possession, use, enjoyment, profit, & alienation (dispose of it by sale, gift, consumption, or destruction) Adamson, John E., Law for Personal and Business Use, 18 th Ed., South-Western Cengage Learning, 2007

Classification of property A.Real property (realty) Rights & interests in land, buildings, & those things permanently affixed to them (fixtures) Airspace above the land Water & minerals on or below the surface B.Personal property (personalty) Rights & interests in anything that is not real property (not permanently fixed) Intellectual property – intangible property created by the intellect & includes copyrights, service marks, trademarks, patents, and trade secrets Adamson, John E., Law for Personal and Business Use, 18 th Ed., South-Western Cengage Learning, 2007

Classification of property C.Copyrights – protects the expression of creative work Owners of the copyright have the exclusive right to reproduce, sell, perform, or display the work Fixed and original Infringement – unauthorized copying, sale, display, or performance of a copyright protected work Fair use – very limited use of copyrighted works by critics, researchers, news reporters, & educators Life + 70 years Adamson, John E., Law for Personal and Business Use, 18 th Ed., South-Western Cengage Learning, 2007

Classification of property D.Trademarks & Service Marks Trademark: word, mark, symbol, or device by which the products of particular manufacturer or the commodities of a particular merchant can be distinguished from those of others Service Mark: Unique word, mark or symbol that identifies a service as opposed to a product Lanham Act of 1946 is current U.S. trademark laws Lose exclusive rights to trademark if: 1.Permits competitors to use trademark to refer to similar products 2.Trademark used as a generic descriptive term ie. ‘shredded wheat’ and ‘cellophane’ generic Adamson, John E., Law for Personal and Business Use, 18 th Ed., South-Western Cengage Learning, 2007

Classification of property E.Patents Grant of the exclusive right to make, use, import, sell, & offer a novel or new, non-obvious, useful product or process. Novel – no one has ever thought of the product/process before Non-obvious – above basic engineering standards 20 years, non-renewable F.Trade Secrets Commercially valuable information that the owner attempts to keep secret Adamson, John E., Law for Personal and Business Use, 18 th Ed., South-Western Cengage Learning, 2007

Features of Intellectual Property Adamson, John E., Law for Personal and Business Use, 18 th Ed., South-Western Cengage Learning, 2007 Chart pg. 288

Assignment/Activity Textbook In This Case p. 286 P , 8 Worksheet 16-1 Reteach 16-1 Practice Activity

Ch. 18 Leasing Real Property

Ch Objectives Compare the various types of leases Explain the rights and duties of landlords and tenants

Leasing Real Property Key Terms: Lease – Temporary possession in exchange for rent Rent – Consideration given in return Landlord & Tenant – Relationship between owner of realty and person receiving possession Leasehold estate – Grants certain rights and interests in the subject property to the tenant. Eviction – The landlord deprives the tenant of the leasehold Constructive Eviction – tenant abandon premises Subletting – Tenant leases the property to a third person. Assignment – tenant transfers entire interest to 3 rd party

Types of Leaseholds  Periodic Tenancy – Leases that create a periodic tenancy (week-to-week, month-to-month)  Automatically renewed unless one party gives adequate notice of termination  If no length of time is set, than notice of termination must encompass one full payment period  Tenancy for Years – Lease for a definite period of time (can be less than a year)  Automatically terminates at end of lease period  Tenancy at Sufferance – tenant remains in possession after lease expired  Tenant remains after lease expired – holdover  Remedies for landlord includes: eviction, collect double or triple rent, tenant pay rent for another lease period  Tenancy at Will – No agreement for length of time  Either party at any time may terminate with minimal notice

Tenant Rights Right of Possession Landlords do not have right to enter leased premise for inspection unless stated in lease Use of Property Assign the Lease (sublet) the Premise – 3 rd party becomes liable to landlord for lease – Original tenant also remains liable if assignee does not pay – If sublet, original party still liable to landlord Duties Pay Rent ‘cleaning’ or ‘security deposit’ Care of the Property Return property in ‘substantially’ the same condition Responsible to report major repairs needed Responsible for Torts Injuries to invitees and/or licensees in areas under control of tenant

Landlord Rights Collect Rent Hold tenant liable for rent, property damage, lease terms Mitigate damages of tenant leaving early by good-faith effort of re- renting property Duties Provide habitable premises Upkeep of exterior and public or common areas Conform to gov’t requirements Fair Housing Act makes it illegal for the lessor, or the lessor’s agent to discriminate Housing code violation = violation of warranty of habitability Property taxes

Assignment/Activity What’s Your Verdict p.323 In This Case p.324 What’s Your Verdict p. 235 P , Reteach Practice Activity 18-2