Jay Krishnan

2002 Property Final

 

Question 1:  (Recommended time to spend on this question:  1 hour)

 

 

The year is 2002.

 

Seymour has owned Springfield Farms, a 100-acre, square plot of land in the state of Springfield since 1980.  Seymour has had a history of physical ailments that have prevented him from cultivating this land; the land, for example, does not contain any livestock or usable crops.  A house that Seymour had on this land no longer exists there as well, as it was destroyed by an earthquake in 1980. 

 

In May of 1991, Bart, who is 10 years old, discovered Springfield Farms.  He thought it was the perfect place to fly his favorite kite.  He decided that during the following month (June 1991), he was going to spend every weekend at Springfield Farms, camping out in the evenings and flying his kite during the days.  In particular, Bart was interested in staking out 5 acres of the southwest corner of Springfield Farms, because that was where the best wind gust was to fly his kite.  So every weekend in June of 1991, Bart went to these 5 acres; in fact, he found a sturdy tree in which to build a nice tree house.  Inside the tree house, he kept a cooler with food, a small cot, and other supplies.  (The tree house served as Bart’s secret hideaway, as it was not readily visible from ground.) Bart continued this practice of going to the 5 acres on every weekend, every June, from 1991 till 2002.  Because Seymour lived in town near his physical therapy center, he did not even know that Bart was on these 5 acres. 

 

In 1996, Seymour sold 20 northeastern acres of Springfield Farms to Moe, Karl, and Marge – all three of whom are siblings.  The siblings, purchased this property jointly with a right of survivorship.  Karl dies in 1999, leaving no spouse but one daughter, Agnes.  In his will, Karl leaves his interest in the 20 acres to Agnes.  In 2000, Marge sells her interest to Barney.         

 

Assume that a businessman, Mr. McClure, wants to purchase all 100 acres of Springfield Farms.  You are his lawyer and recognize that several different interests are at play here.  Please discuss to whom he would have to make purchase offers, and how you would advise him to deal with each of the above individuals.  (Also assume that there is a 5-year statute of limitations period for one legally to eject unwanted persons from one’s property.)

 

 


Question 2:  (Recommended time to spend on this question:  1 hour)

 

Ned and Maude decide to lease a luxury home in Springfield Hills, one of the most exclusive neighborhoods in the entire state.  Their lease is with Krusty Clown, a wealthy landlord who has been in the real estate business for decades.  Ned and Maude’s lease is for two years, and their rent is $4000 per month.  The house that they rent is state of the art.  It includes:  8 bedrooms, 6 bathrooms, a finished basement, a deluxe size kitchen, and three sitting rooms.  In addition, in the front yard, there is an enclosed, four-season 9-hole putt-putt golf course. 

 

The lease begins on January 1, 2000, which is the date that Ned and Maude move in to their rented home.  Both Ned and Maude are avid amateur golfers, but because of their home-state’s cold climate between November and March, they are unable to play golf at all during this period.  Fortunately, their putt-putt course is designed in such a manner that they can keep their putting skills sharp.  (The putt-putt greens resemble those that would be on any championship golf course.)

 

On February 4, 2000, while practicing their putting on this putt-putt course, Ned and Maude found that the heater within this enclosed structure had stopped functioning.  By the end of that day, the temperature inside the enclosed putt-putt course was 10 degrees Fahrenheit.  Krusty refused to do anything about the broken heater, claiming that this was the obligation of the tenants.  (Note, when Ned and Maude moved in to their home, the heater worked fine, and it does not seem as though they damaged it in any way.) 

 

The lease is silent on who should be responsible for repairing this item, and both Ned and Maude are increasingly becoming frustrated with Krusty’s lack of action.  They come to you and ask for advice, and they want you to give them their full range of options. How do you advise?            

 

(For those who are unfamiliar with putt-putt golf, it is a recreational hobby/sport, whereby players attempt to put a small ball into a small round hole, using a flat-ended stick-like instrument, that can range anywhere from 4-5 feet in length.  The goal is to get the ball into the hole, using the fewest number of strokes/shots.  On any given putt-putt course, there can be up to 18 separate golf holes). 

 
Question 3:  (Recommended time to spend:  1 hour)

 

 

Please conduct a full analysis for these particular problems.  This includes performing a rule against perpetuities analysis for each question.

 

 

1.         Ned conveys “to Homer for life, then to Homer’s bartender, if any, for life, then to Homer’s issue then living.”  Is the gift to Homer’s bartender valid?

 

 

 

2.         Bart devises property “to Milhouse for life, and on Milhouse’s death to Milhouse’s children for their lives, and upon the death of Milhouse and Milhouse’s children, to Milhouse’s grandchildren.”

 

            Milhouse survives Bart.  Identify each type of interest and state which, if any, are

void, and which, if any, are valid.

 

 

3.         Oscar conveys to Alfred and his heirs so long as the land is used for worshipping; and if it is not used for worshipping, then to Bart and his heirs.  State the full title after completing this analysis.

 

 

 

4.         Oliver conveys to Aspen for life, then to Aspen’s children who reach age 21 and their heirs.  Assume Aspen has two children:  Xavier who is 25 and Yosef who is 5.  State the full title after completing this analysis.

 

 

 

5.         Monty conveys to Wayland for life then to Wayland’s grandchildren and their heirs.  Wayland has no grandchildren yet.  State the full title after completing this analysis. 


Mon, Jan 20, 2003 -- Answer Key To Fall 2002 Exam
Answer Key To Question 1 (Outline)

I. Define Bart’s Rights:

A. Definition of A.P.

Elements of A.P.
i. Continuous - define and apply to Bart - the “summer home” principle - what role does that play?

ii. Open and Notorious - define and apply to Bart (is the campsite he has built O & N?; counter argument)

-Indirect, actual, record knowledge - key points

iii. Actual/Exclusive - define and apply - the fact that this is periodically, rather than everyday, is that an issue - what about
Seymour’s seemingly non-use of this land at all

iv. Hostile - was this hostile by Bart - without Seymour’s permission - how does Seymour not knowing at all come into play here

-Objective v. Good-Faith v. Aggressive Standards

-All of these points need to be applied to Bart - both sides need to have been presented.

-How does Gorski and Howard v. Kunto play into this analysis?

-how does tacking come into play, if at all.

B. If Bart has gained A.P. - to what part of the land - all of it - just those 5 acres? Should
Seymour be able to claim 5 acres - why?

---discuss Bart’s age - how does this come into play, or does it

C. How does
Seymour’s physical ailments come into play - is this a disability that Seymour can cite to provide him more time in which to bring an ejectment action?

-What are the policy arguments for AP?

- How does Locke’s Labor Theory fit here
- Oliver Wendell Holmes’ views?
- What are the lines between AP and trespassing?

II. Joint Tenancy Issues:

A. JT needs to be defined -
i. Four Unities: time, title, interest, possession
· Each JT has undivided right of possession, use, and enjoyment
· Must be made expressly as well

B. Application: Moe, Karl, and Marge each have undivided interest in the NE 20 acres

C. Remember to ask what can sever JT

i. Application here - Marge’s sale to Barney severs the JT as to Marge. Barney is a Tenant in C with Moe and Karl, the latter two who still hold as JT.
· Key point here is that Marge is out of any deal - Mr. McClure will not need to make a purchase offer to her
· But any purchase offer will need to include Barney, because he is a tenant in common owner of the 20 acres
D. What about when Karl dies - remember, survivors take -
· Thus when Karl dies, his interest in Springfield Farms evaporates
· Does Agnes have any interest as JT?
1. No - why not? a JT may not pass through will or laws of intestacy his/her interest

E. What about
Seymour’s rights?
1. need to attack this question from two perspectives:

a.
Seymour owning 80 acres (implying that Bart has not succeeded on an AP claim)
b.
Seymour owning 75 acres (implying that Bart has succeeded on an AP claim)

2. Regardless, McClure will need to consider
Seymour’s stake in Springfield Farms when making a purchase offer.

--How does JT compare with Tenancy in Common & Tenancy by the Entirety - would need a full-fledged discussion of this topic.

General Comment:

-Perhaps most importantly, all sides would need to be discussed - ON EVERY ISSUE. For example, it is not enough to say simply that: “here are the COAH elements, and Bart fails to meet them because . . . .” - Each issues deserves a patient, cogent, and comprehensive analysis. Numerous responses were too conclusion-oriented and failed to take this into account.
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QUESTION 2

I
. How do the various doctrines apply?

A. Caveat Lessee - Definition
1. 6 Exceptions
2.
Duties of L v. Duties of T

B. Quiet Enjoyment - Def.
1. Some Aspects that are key include:
a. Moving out
b. doc taking on life of its own v. emanating from 1 of 6 exceptions
c. substantial interference / construc. eviction - at what pt can tenant stop paying rent and move out?

C. IWH - Def.
1. staying in premises & not paying rent???
2. applies in some jurisd - how universal is it?
3. its applicability in commercial v. residential leases
4. can it be waived
5. at what point can tenant acquire comp damages & punitv damages?
6. what role does L's willfulness play?
7. IWH tied to housing codes?

-also remember Posner's point about what so many protections for the T results in

-there is also a case in the book (in the notes) that is related and is almost on point with this hypo - how does the court rule there and how does it apply here?

-other related issues: if T pays for repairs can T deduct that from rent; under what scenario(s)?

D. How does illegal lease play into this?
1. Ten at suffrance - how does this arise?

E. Retal. Evic - Def - is this a possiblility that N & M face?

***In applying each of these points, would need to consider how each and every one applies to N & M as well as to K

***Argument and counter-arguments relating to each point (AND EACH SUBPOINT) would have to be made for each of the characters in the hypo

***Also, the fact that this is a putt-putt course and not a main part of the house: how does that play out here?

***The fact that the putt putt course is at the heart of the bargain: how does that play out here?

***Is the course's defect related to health and safety?

F. Then would need to discuss other alternatives for N & M, including what if they tried to assign or sublease this place?

1. would need to go into a full discussion of the rules on assignments and subleases (see class hand-out on this)
2. then would need to each of the rules of subleases and assignments to each of the characters in the case.

***Also if N & M, or for that matter K, tries to publicly adverstise this place, how does the FHA come into play. Would need to discuss whether it applies to this case; if so why, if not why not.
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Question 3

-For each of these problems, you were required to perform a full RAP analysis. This would include going through each of the steps that we covered in class. Specifically, each question had to:

1. state the title at the time of conveyance
2. identify the future interests that were in each conveyance
3. find the relevant measuring lives
4. ask if we would know, within 21 years of our m.l., if the future interest holder, will or will not take
5. what would the ultimate title be, after RAP is performed

*Now, I repeatedly stated in class, that you should only apply the various other rules, like the Rule in Shelly's Case, or the Doctrine of Worthier Title, or USRAP, if asked. None of these questions referred to any such doctrines. The questions asked simply for you to apply a standard RAP analysis.

*Also, versions of each of the questions asked, appeared either in the book itself or in one of the hand-outs that were provided to you in class. Thus, there should have been no surprises at all on these problems.

* for the first question, the gift to the bartender would be valid - Homer would have a life estate; Homer's bartender would have a C.R. for life (would have to explain why, here), and the issue would have a C.R. in FS (again, why?) - Ned's interest would be a reversion. Here the two CRs are subject to RAP (why?) -- the other interests are not (why not?). For Homer's bartender to take, Homer would need to have a bartender at his death and for the issue to take, they would have to outlive both Homer and the bartender. Clearly the m.l. would be Homer (why? - relevance of his life). Now the question only asks in terms of whether the gift to the bartender is valid. It is here -- in the book, the question asks about the then living issue, but this question did not -- would need to explain about why the bartender's gift is okay, but would not need to provide a RAP analysis for the then living issue, except to say that that particular gift is void. (If you did provide a RAP analysis, that was correct, this would be helpful in stating the final title, which would be: Homer has a LE, the bartender has a CR for life and Ned has a reversion.)



*for the second question, again, a version of this one was discussed in a class hand-out and in the book. At the time of the conveyance, M would have a LE; M's kids = a C.R. (need to say why?) and the grandchildren would have a CR in FSA (why again?). Clearly the two CRs are subject to RAP, and the kids will take for their lives upon M's death, while the grandkids take upon M and M's kids deaths. The m.l. would be M (why, what is his relevance?). And we would know at M's death if his kids take, thus this is valid, while this cannot be said about the grandkids --why not -- the final title would be that M has a LE, the kids hae a CR for their lives while B has a Reversion in FSA. Note, for this question, it would be key to explain why the kids cannot serve as measuring lives for the grandkids.



*for this third question, this was one of the first ones we did in class, when explaining future interests and RAP. Many of you properly identified how the future interest here was void, but unfortunately there were numerous answers that did not include a full analysis. A here has a fee simple subject to B's shifting E.I. The E.I is subject to RAP (why; what is its definition?). Initially, it would appear that O has nothing. How can B take? Because this is a E.I. it has to cut A short. What role do A's heirs play here? Remember our repeated statement about a living person and heirs -- can such a person actually have heirs? What can A have: potential heirs at best. Why will we not know within 21 years if B can take? This affects B's interest and actually strikes it out -- leaving what: A with a fee simple determinable and O with a possibility of reverter in FSA -- how does the cross out rule come into play here, if at all?



*for the fourth problem, again, we did a practice one like this in class. A has a LE while A's children who reach age of 21 (remember there is X who is 25 and Y who is 5), in this case qualify as an open class - thus leaving us with a VR subj to open. (Would need to define this term). O would seem to have a reversion in FSA because A's children could die without heirs. The VR subject to open is prone to a RAP analysis, and it is valid. (Who is the m.l here? - A, why?) Even if we came up with a scenario with a new life in being, say Z who would be a child of A, this future interest is valid - because, after all, there is no way for the future interest to vest beyond the 21 year time period (see original conveyance.) With this said, the final title would be A has a LE, A's children who reach 21 and their heirs = VR subj to open in fee simple and O = reversion.



*for the final RAP problem, the state of title at the time of the conveyance, would be that Monty has a reversion in FSA; W has a LE; W's grandkids would have a CR in FS (why). The CR would be subject to RAP, and under what conditions would they take? Who is the m.l. - W, but why? Why can't the children of W be an m.l.? Here the future interest is void, but why? W could have a child, say X. Then X could have a child, say Y (this would be W's grandchild.) Assume that W then dies. At a much later date, say beyond 21 years, X has a child, Z. This interest, conceivably, vests too remotely to satisfy the RAP. As a result, M would maintain a reversion in FS and W would have a LE -- that would be it.