CONTENTS. Acknowledgments
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1 CONTENTS Preface Acknowledgments Introduction xxi xxiii xxvii PART I. DEFINITION AND ACQUISITION OF PROPERTY 1 Chapter 1. The Foundations of Property Law 3 A. Introduction 3 B. What Is Property? 4 C. The Policies Behind Property Law 8 1. Economic Efficiency: Wealth Maximization 9 2. Fairness: Rewarding Labor 13 Haslem v. Lockwood Certainty 17 Johnson v. M Intosh Democracy Personhood 30 D. The Bundle of Sticks The Right to Exclude 32 Jacque v. Steenberg Homes 33 a. Exclusion and the Public Interest 40 State v. Shack 40 Robins v. Pruneyard Shopping Center 42 b. Exclusion and Personal Property 44 c. The Ad Coelum Doctrine 45 United States v. Causby 45 Orr v. Mortvedt The Right to Use 48 Burke v. Smith The Right to Destroy 56 Eyerman v. Mercantile Trust Co., N.A Limitations of the Bundle of Sticks Metaphor 58 Summary 61 xi
2 xii Contents Chapter 2. Property Acquisition 63 A. The Rule of Capture 63 Pierson v. Post 64 Ghen v. Rich Surface Water Allocation Groundwater Oil and Gas The Internet 81 Virtual Works, Inc. v. Volkswagen of America, Inc. 82 B. The Law of Finders 88 Armory v. Delamirie 88 Willcox v. Stroup 91 Hannah v. Peel 95 C. Acquisition by Gift 105 Newman v. Bost 109 Gruen v. Gruen 114 D. Adverse Possession 115 Van Valkenburgh v. Lutz 121 Humbert v. Rector, Churchwardens & Vestrymen of Trinity Church 129 Jasperson v. Scharnikow 131 Summary 141 Chapter 3. Creation: An Introduction to Intellectual Property 143 A. The Policies of Intellectual Property Protection 144 B. The Principal Sources of Intellectual Property Protection Patent Copyright 151 Eldred v. Ashcroft Trademark Trade Secret 155 C. The Balance of Interests in Intellectual Property Law The Balance of Interests in Trademark Law 158 San Francisco Arts & Athletics, Inc. v. U.S. Olympic Committee 159 Louis Vuitton Malletier S.A. v. Haute Diggity Dog 165
3 Contents xiii 2. The Balance of Interests in Copyright Law 166 Campbell v. Acuff-Rose Music, Inc The Balance of Interests in Patent Law 169 Association for Molecular Pathology v. Myriad Genetics, Inc. 169 Summary 175 PART II. SPLITTING UP THE BUNDLE OF STICKS 177 Chapter 4. Concurrent Interests 179 A. Introduction 179 B. Types of Co-Ownership Tenancy in Common 180 a. Creation 180 b. Characteristics Joint Tenancy 181 a. Creation 182 b. Characteristics 184 c. Severance and Partition 185 d. Personal Property 186 e. Intellectual Propery The Tenancy by the Entirety 187 a. Creation 187 b. Characteristics 188 C. Joint Tenancy Creation Issues 188 D. Joint Tenancy Severance Issues 190 In the Matter of the Estate of Johnson 191 Tenhet v. Boswell 202 E. Partition Issues 204 Eli v. Eli 205 F. Tenancy by the Entirety 215 RBS Citizens, N.A. v. Ouhrabka 215 G. Rights and Relations Between Co-Tenants Ouster and Duty to Pay Rent 221 Spiller v. Mackereth Ouster and Adverse Possession 227 O Connor v. Larocque General Rules of Co-Tenant Relations 228
4 xiv Contents H. Marital Property Community Property Rights upon Death 235 a. Dower and Curtesy 236 b. Elective Share 239 Hamilton v. Hamilton Rights upon Dissolution Same-Sex Couples 247 Summary 249 Chapter 5. Estates and Future Interests 253 A. Introduction 253 B. An Introduction to Wills 255 C. Types of Estates and Future Interests Fee Simple Absolute Life Estate 261 White v. Brown 263 a. Relations Between Present and Future Owners 269 Beach v. Beach 269 b. Contingent and Vested Remainders 276 Hammons v. Hammons Defeasible Fees Estate for Years 284 D. Limitations on Dead Hand Control Abolition of Fee Tail Rule Against Perpetuities 290 a. Modern Reforms of the Rule Against Perpetuities 297 b. The Rule and Options to Purchase 298 Symphony Space, Inc. v. Pergola Properties, Inc. 298 E. An Introduction to Trusts 301 Summary 304 Chapter 6. Landlord-Tenant 307 A. Introduction 308 B. What Is a Lease: The Basics Essential Nature of the Landlord-Tenant Relationship 311 Township of Sandyston v. Angerman 312 Muniz v. Kravis Categories of Leases 315
5 Contents xv a. Tenancy for a Term of Years 316 b. Periodic Tenancy 316 c. Tenancy at Will 318 d. Tenancy at Sufferance and Holdover Tenancy 319 C. Managing the Relationship: Rights and Obligations of Landlord and Tenant Landlord s Duties and the Consequences of Failure 322 a. The Right to Possession 322 Hannan v. Dusch 324 Keydata Corp. v. United States 326 b. The Right of Quiet Enjoyment 331 Reste Realty Corp. v. Cooper 336 c. Minimum Levels of Habitability 345 Hilder v. St. Peter Tenant s Duties and the Consequences of Failure 359 a. I Surrender ; Giving Back the Keys and Walking Away 360 Sommer v. Kridel 362 b. The Opposite of Surrender: The Tenant Defaults but Stays in Possession 370 Bender v. North Meridian Mobile Home Park 373 c. The Duty to Not Commit Waste 379 D. Transfer of the Premises Distinguishing an Assignment from a Sublease 382 Ernst v. Conditt May Tenant Transfer His Lease Rights (Either by Assignment or Sublease)? 391 E. Discrimination in Leasing of Real Property (and for that Matter, Sales) Reconstruction and Afterward The Fair Housing Act 403 a. Application of the Fair Housing Act 403 b. Accidental Missteps 408 Summary 409 PART III. TRANSFER OF OWNERSHIP 413 Chapter 7. The Real Estate Purchase and Sale Transaction 415 A. Introduction: Lawyers and Transactions Viewing the Purchase and Sale as a Transaction, Not a Lawsuit What Lawyers Do: An Initial Comment The Transaction Timeline 418
6 xvi Contents B. The Pre-Contract Period The Broker Listing Agreements The Commission Fiduciary Duties 423 Haymes v. Rogers A Few Final Broker Issues 430 C. The Contract/Executory Period The Enforceable Contract and the Statute of Frauds 432 a. The Basics 434 b. The Description of Real Property 436 Crawley v. Hathaway 438 c. Exceptions to the Statute of Frauds 446 Hickey v. Green Title Examination and Marketable Title 452 a. Marketable Title 453 b. Contract Title 455 Lohmeyer v. Bower Quality of Property Caveat Emptor 463 Stambovsky v. Ackley 465 a. Discovering the Problem 466 b. The Seller s Representations 468 c. Stigma Cases 469 Van Camp v. Bradford Getting the Loan 480 a. The Loan Some Basic Elements 481 b. The Loan Contingency Provision Equitable Conversion Remedies 487 a. Damages 488 Roscoe-Gill v. Newman 489 b. Equitable Remedies 495 D. Closing The Deed 499 a. Delivery 501 Rosengrant v. Rosengrant 502 b. Acceptance The Merger Doctrine 508 E. Post-Closing Title Assurance 510 a. Deed Protections 511 b. Other Forms of Title Assurance 517
7 Contents xvii 2. Problems with Quality 522 a. Express Warranties 523 b. Implied Warranties 524 Summary 524 Chapter 8. Recording 529 A. Introduction 529 B. Recordation The Indexes 533 a. Grantor/Grantee Indexes 534 b. Tract Index Computerized Records and Searching 539 C. Recording Statutes Types of Recording Statutes 541 a. Race 541 b. Notice 544 c. Race-Notice 546 Luthi v. Evans Recording Statutes Protect Purchasers (and Sometimes Lien Creditors) 556 Tomlinson v. Clarke What Does Notice Really Mean? 562 a. Actual Notice 563 b. Constructive Notice 563 c. Inquiry Notice Getting Documents into the Records 569 Messersmith v. Smith Chain of Title 579 a. Missing Links 580 b. Competing Chains of Title 583 c. Deeds from a Common Grantor 584 D. Attempts to Improve Certainty of Title: Torrens Registration and Marketable Title Acts Torrens Registration Marketable Title Acts 587 Summary 590
8 xviii Contents Chapter 9. The Loan Transaction 593 A. Introduction 593 B. History and Terminology 595 C. The Promissory Note The Written Obligation to Repay 596 D. The Mortgage The Pledge of Collateral What Is a Mortgage? Mortgage Theories 602 E. Foreclosure Conducting a Sale and Doing the Math Judicial and Non-Judicial Foreclosure 609 a. Judicial Foreclosure 611 b. Non-Judicial Foreclosure 613 Greater Southwest Office Park, Ltd. v. Texas Commerce Bank National Association 616 Murphy v. Financial Development Corp Moving to the Front of the Line 629 F. Waste 630 G. Disguised Mortgages 632 Lee v. Beagell 633 Summary 637 PART IV. SERVITUDES 641 Chapter 10. Easements 645 A. Creation of Easements Express Easements Easement by Estoppel 654 Kienzle v. Myers Easements Implied by Prior Use or Necessity 660 Boyd v. BellSouth Telephone Telegraph Co Easement by Prescription 669 O Dell v. Stegall 670 B. Scope and Termination Misuse 689 Brown v. Voss Abandonment: The Rails to Trails Context Easement Valuation 698 Summary 699
9 Contents xix Chapter 11. Real Covenants and Equitable Servitudes 701 A. Real Covenants Running with the Land at Law 703 B. Equitable Servitudes 705 Tulk v. Moxhay 707 C. The Touch and Concern Requirement 710 Neponsit Property Owners Association, Inc. v. Emigrant Industrial Savings Bank 711 D. Implied Covenants 720 E. Termination or Modification of Covenants 722 Vernon Township Volunteer Fire Department, Inc. v. Connor 723 F. Common-Interest Communities and Homeowners Associations 724 Hughes v. New Life Development Corp. 725 Nahrstedt v. Lakeside Village Condominium Association, Inc. 734 Summary 739 PART V. LAND USE CONTROL 741 Chapter 12. Judicial Land Use Control: Nuisance 743 A. Introduction 743 B. The Restatement Nuisance Test: Balancing the Utilities 747 Prah v. Maretti 747 C. Substantial Harm Test Compared 757 D. Effect of Zoning or Covenants on Nuisance Analysis 759 E. Questions of Remedy 762 Boomer v. Atlantic Cement Co. 762 F. Public Nuisance 769 Summary 770 Chapter 13. Legislative Land Use Control: An Introduction to Zoning 773 A. Introduction 773 B. A Brief History of Zoning 774 C. Constitutional Issues: Village of Euclid v. Ambler Realty Co. 778 Village of Euclid v. Ambler Realty Co. 779 D. The Zoning Process 791
10 xx Contents 1. Variances 795 Martin v. City of Alexandria 796 State ex rel. Ziervogel v. Washington County Board of Adjustment Nonconforming Uses 808 a. Amortization 809 Village of Valatie v. Smith 809 b. Abandonment 815 Summary 817 Chapter 14. Constitutional Limitations on Land Use Control: The Takings Clause 819 A. Eminent Domain Just Compensation The Public Use Limitation 824 Kelo v. City of New London 827 B. Regulatory Takings Pennsylvania Coal and the Rise of the Regulatory Taking Concept 845 Pennsylvania Coal Co. v. Mahon The Penn Central Balancing Test 854 Penn Central Transportation Co. v. New York City Categorical Takings: Loretto and Lucas 863 a. Permanent Physical Occupation 864 b. Total Takings 865 Lucas v. South Carolina Coastal Council 865 Palazzolo v. Rhode Island Development Exactions: Nollan and Dolan 884 Nollan v. California Coastal Commission 884 Dolan v. City of Tigard The Next Frontier: Judicial Takings? 892 Stop the Beach Renourishment, Inc. v. Florida Department of Environmental Protection 893 Summary 895 Table of Cases 897 Index 905
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