BL 6.02 Activity Act 1 Jessica slipped a ruined her jacket. She took her coat to the JZ Dry Cleaners to see if they could clean the mud off of it. 1. What kind of relationship exists between Jessica and JZ? ________________________ 2. Which party is JZ Dry Cleaners? ____________________________________________ 3. Which party is Jessica? ___________________________________________________ 4. Which type of bailment exists? _____________________________________________ 5. In this contract, what duties does JZ have? ____________________________________ ____________________________________________________________________ 6. In this contract, what duties does Jessica have? ________________________________ ____________________________________________________________________ 7. Tina, an employee of JZ, wears the coat out during her lunch break before Jessica picks it up. Tina returns it without Jessica even knowing. As a result of this behavior, what has Tina become? ___________________________________________________ ____________________________________________________________________ 8. Jessica forgot to tell JZ that she had cut out the label stating how the jacket was to be cleaned. Although the stains were removed, what should Jessica had told JZ? ________ ____________________________________________________________________ 9. Jessica forgot her money but demands JZ give it to her for a date that night. JZ refused to let Jessica have the coat unless she paid them. Was JZ within their rights? ______________________________________________________________________ ____________________________________________________________________ 10. Jessica let her friend, Wendy, borrow the jacket for trip to the beach. Wendy forgets the jacket at Red Lobster. What relationship exists between Wendy and Jessica? ___________ What type of bailment does Red Lobster have? BL 6.02 Activity Act 2 BailmentsVocabulary KEY TERMS Bailment Bailment by necessity Bailor Bailee Extraordinary bailment Gratuitous bailment Mutual benefits bailment Write the appropriate key term beside the definition. 1. Transfer of possession of personal property with transfer of ownership 2. Person having temporary possession and control of another person’s goods, holding them in trust for a specified purpose 3. A bailment in which both parties receives a benefit 4. Property must be given up by one party 5. Party who gives up possession of the property 6. Bailment that requires an unusually high standard of care 7. A bailment in which only one party benefits BL 6.02 Activity Bailment Scenarios After viewing the Bailments PPT, match the appropriate type of bailment with the scenario given. Bailment by necessity Extraordinary bailment Gratuitous bailment Involuntary bailment Mutual benefits bailment Tortious bailee For a cost of $500, John’s PC repair is upgrading Steve’s laptop to Windows 7. Lea must give her shoes to the rink manager to hold while she is using the rink’s skates. Ryan loans his Kindle to Derrick for the weekend. After returning to his hotel room, John’s watch is missing. Sally finds Amy’s iPod in the locker room but does not return it to Amy. Taylor’s recycling bin was blown into Scott’s yard during last night’s thunderstorm. BL 6.02 Activity Act 3 Write a scenario for each of the following. Bailment by Necessity Mutual Benefits Bailment Involuntary Bailment Extraordinary Bailment Gratuitous Bailment Tortious Bailee BL 6.02 Activity Act 4 REAL ESTATE CONTRACT WORKSHEET Objective: Students will identify and understand items in a real estate contract and review concepts of contract law, credit, and fraud. Directions: Students will find the item and identify it with by numbering it on the contract provided. Contract may also be found at http://www.haws.org/documents/form_2t.pdf 1. 2. 3. 4. 5. 6. 7. Place Date Names of Parties Subject matter description Price and terms (how paid) Signatures What law requires that the six items above be in the contract when the contract is in writing? ________________________________________________________________________ 8. According to the contract, when is title transferred? ____________________________________ 9. What is the required title to real estate in this contract? _________________________________ 10. Title must be free of encumbrances. What is an encumbrance? ___________________________ 11. What is earnest money? __________________________________________________________ 12. When are earnest monies returned to the buyer?_______________________________________ 13. Identify and describe an FHA loan. ___________________________________________________ 14. What is a VA loan? ______________________________________________________________ 15. Where and why does the contract require a termite inspection? __________________________ 16. There are at least two disclaimers. Find, list and number two. ____________________________________________________________________________________ Give examples of closing costs. 17. _____________ 18. _____________ 19. _____________ 20. _____________ 21. What if the property has material damage prior to the contract closing (delivery)? ____________ 22. If required, how do the parties make changes to the contract? ____________________________ 23. Where does the notary place his/her seal? ____________________________________________ 24. Why is the notary seal important? ___________________________________________________ 25. After closing, where is the deed recorded? ____________________________________________ BL 6.02 Activity Act 5 Property Law Email Activity You work for a local real estate attorney and you are providing legal advice based on the following emails received. Write a reply to each email. Email #1 I need your help. My neighbor set up an oil pump in his yard, but I think the oil is located from my yard as well. I have asked him to split the profits and he said no since it was being pumped from his yard so it doesn’t matter where it comes from under the land. Do I have rights to the profits ? Email Response: Email #2 When I purchased my home, I signed an air space covenant allowing planes to fly low over my property in order to land at the local airport 5 miles away. I am now trying to sell my property and the new owner says he won’t allow them to fly that low. Can I revoke the covenant so that I can sell my property? The planes could land from the other direction just as easily so it is no big deal. Email Response: Email #3 I remember when I was a kid my dad allowed 5 acres of our property to be used by the neighboring farm. The farm has been caring for the property for over 30 years, but now my dad is selling and moving to a retirement community. The farmer is claiming he now owns the property. How is that possible? Email Response: Email #4 The city just notified us that a new road will be built through my backyard. They are just taking the property and not paying any money. Can they do that? Email Response: BL 6.02 Activity Email #5 My parents have been separated for over a year and my dad has been living somewhere else. Now they are selling the home with a quitclaim deed. Why is he doing that? Email Response: Email #6 I have been mowing lawns for neighbors several years and running my business out of my house. Recently, I expanded to landscaping and now have several trucks that are parked in yard and on the road. The city now says I am violation of ordinances. What ordinances are they talking about? Email Response: Email #7 My neighbor’s bushes have grown out of control and into my yard. When I began to trim them, he came out and started yelling saying that he owned them since the trunk is on his property. Can I trim the branches? Email Response: Email #8 My parents built a fence over underground gas pipes that go through all of the backyards of all of the houses on our road. We received a letter stating that the gas pipes were going to be worked on and that the fence would be taken down. They said they are not responsible for fixing the fence. Why? Email Response: BL 6.02 Activity Act 6 PROPERTY CROSSWORD ACROSS 2. Irrevocable rights to some limited use of another party's real property 3. Laws adopted by municipalities to regulate property use according to residential, business, and industrial areas 4. Person receiving possession of realty in a lease 8. The owner of a property blocks a tenant from possession of the real property 13. Bailment when only one of the parties benefits 14. Bailment in which benefit is given and received 15. Legal document used to transfer ownership of real property 16. Transfers only what interest the grantor has in property but does not warrant there is any interest 17. Items either tangible or intangible, real or personal which are subject to ownership 18. Party who temporarily gives up possession of the property 19. Transfer of possession without the transfer of ownership DOWN 1. Items that are moveable or intangible 5. Person conveying possession of realty in a lease 6. Party who wrongfully retains or uses bailed property for unauthorized use 7. When the tenant leases a portion of the remaining lease to a third person 9. Party who accepts temporary possession and control of property 10. Promise that limits the use of real property 11. Land, buildings and any items permanently attached 12. Consideration given in return for temporary possession of another's real property BL 6.02 Activity ACT 7 PROPERTY MATCHING ACTIVITY Directions: Match the letter of the correct vocabulary word to the definition. adverse possession bailee bailment bailor easements eminent domain eviction landlord lease mutual benefits bailment ordinances rent restrictive covenant subletting tenant zoning 1. ____ when the land of another private person is adversely and exclusively possessed in an open and notorious way. 2. ____ transfer of possession without the transfer of ownership. 3. ____ promise, usually made in writing, by the buyer to the seller that limits the use of land in some way. 4. ____ agreement in which one party receives temporary possession of another’s real property in exchange for rent. 5. ____ consideration given in return for temporary possession of another’s real property. 6. ____ bailment in which consideration is given and received by both the bailor and bailee. 7. ____ irrevocable rights to some limited use of another’s land. BL 6.02 Activity 8. ____ person receiving possession of realty in a lease. 9. ____ person conveying possession of realty in a lease. 10. ____ party who temporarily gives up possession of the property. 11. ____ owner of a property blocks a tenant from possession of all the real property. 12. ____ party who temporarily accepts possession and control of the property. 13. ____ adopted by cities or counties to regulate the location of residential, business, and industrial districts. 14. ____ when the tenant of a property leases all of the property to a third person for a period of time that is less than tat remaining on the lease, or leases part of the property to a third person for part or all of the term remaining on the lease. 15. ____ power of the government to take private property for public use in exchange for the fail market price. BL 6.02 Activity ACT 8 THE APARTMENT – Part I Marta Kline, 20, recently moved to Raleigh, North Carolina to attend college. Marta and her mother, Joanne, found an apartment that the landlord, Mr. Burris, agreed to lease for one year. He told her that he would accept a $300 deposit and $750 per month for rent. Marta agreed. In December, Marta went away for a month to visit her family back in Maryland. She forgot to send her rent payment to Mr. Burris. When Marta got back to the Raleigh apartment, the stereo and television were missing. There was a note attached to the door saying: “I took these items from you for the overdue rent. Signed, Mr. Burris.” 1. Who is the lessor/landlord? ____________________________________________________ 2. Who is the lessee/tenant? 3. What is the contractual agreement between Marta and Mr. Burris called? ______________ 4. How much is the rent? ________________________________________________________ 5. How much is the security deposit? ______________________________________________ 6. Why is a security deposit needed? ______________________________________________ 7. Will Marta get her rent back at the end of the lease? _____ Why or why not? _____________________________________________________ _______________________________________________________________________________ 8. Will Marta get her security deposit back at the end of the lease? ___ Why or why not? ________________________________________________________________________ 9. Why did the landlord take Marta’s belongings? _____________________________________ 10. Was the landlord within his legal rights to take Marta’s belongings? ___________________ 11. What is the action taken by the landlord called? ___________________________________ 12. Marta decides to stay an extra month after her lease is over. What is this called? _______ 13. If Marta is late paying rent, may the landlord charge Marta a late fee? _________________ 14. Marta abuses the property. What is this called? ___________________________________ 15. What is the law that limits the amount of rent charged to a tenant? ____________________ 16. Marta is going to France for a semester of college abroad. Marta will be back for the last month of her contract. Marta allows a friend, Amy, to rent the apartment from her. What is this called? __________________________________________________ 17. Marta has not paid the last two months’ rent. Mr. Burris takes legal action to get Marta out of the apartment. What is this called? ___________________________________ 18. What is an automatic warranty in a lease that requires a landlord to keep the property fit for rental called? ___________________________________________________ BL 6.02 Activity ACT 9 THE APARTMENT – Part II Sarah Roberts rents an apartment from Mr. Irwin. On Saturday, Sarah had a party and some uninvited guests showed up and got a little crazy. Neighbors called the police when the party got too loud and Sarah was ticketed for violating the city nuisance ordinance. On Monday, Mr. Irwin visited Sarah to tell her she would have to move for violating her lease agreement. Sarah got really upset and decided now was the time to buy her own place. 1. Can Mr. Irwin make Sarah move? _____ Why or why not? ____________________________ ____________________________________________________________________________ 2. What are the contract promises called that Sarah and Mr. Irwin made? ___________________________________________________________________________ 3. Sarah got upset and said that she had rights, too. What are some of Sarah’s rights? a. _________________________________________________________________ b. _________________________________________________________________ c. _________________________________________________________________ 4. Mr. Irwin told Sarah that he was not illegally interfering with her use of the property, but that the police had advised him that she violated the nuisance laws. As the owner, what are some of Mr. Irwin’s rights to the property? a. _____________________________________________________________ b. _____________________________________________________________ c. _____________________________________________________________ d. _____________________________________________________________ 5. Sarah told Mr. Irwin that the place was a dump and she might report him for violations of city housing codes and breach of implied contract. What implied contract is Sarah referring to? ______________________________________________________________________ 6. Sarah decided it was time to buy her own place instead of renting. What are some advantages? ______________________________________________________________________ 7. Sarah and her realtor find the house she wants and she goes to the closing at the attorney’s office. What kind of deed is best for Sarah? ________________________________________ 8. Why is it important to get this type of deed? __________________________________ 9. What party to the transfer of real property is Sarah? ____________________________ 10. What type of property is Sarah’s new home? __________________________________ 11. Included in the closing costs is a recording fee for the deed. Explain to Sarah why she needs to have the deed recorded. __________________________________________________ _______________________________________________________________________ 12. Sarah went to the Furniture Mart and bought a new bedroom suite. What kind of property is the furniture? ________________________________________________________________ BL 6.02 Activity ACT 10 REAL AND PERSONAL PROPERTY WEB ACTIVITIES Have students research the costs and obligations of getting an apartment. Write a paper or make a presentation that includes security deposit, covenants of landlord and tenant, rent due dates, late fees, who pays for which utilities, policies on pets and children, rental or lease agreement terms, subletting, renewal of lease, and grounds for lease termination. Have students research the landlord’s procedure for getting a tenant evicted in your county. BL 6.02 Activity