FBE 427 – Real Estate Law
Syllabus – Fall 2012
Professor:
Office:
Kevin C. Fields
Bridge Hall 303E
Office Phone: 213. 740.8764
E-mail: kfields@marshall.usc.edu (preferred method of
communication)
Course Website: Blackboard http://blackboard.usc.edu
Lecture Class
Tues. & Thurs.
4:00 – 5:50 PM Room: ZHS 159 (Section 15330R)
Office Hours
Tuesdays
Thursdays
2:30 – 4:00 (or by appointment)
2:30 – 4:00 (or by appointment)
Introduction and Course Objective
FBE 427 (4 units) provides an overview of the legal aspects of real estate sales and ownership
including: real property rights, forms of land ownership and land interests, leasing real property, real
estate transfer and conveyance, real estate brokers, requirements of real estate contracts, multiunit real
property, title, title insurance, zoning and land use, and regulation and taxation of real property.
Every real estate deal is centered upon an understanding of legal principles. The purpose of this
course is to provide you with the practical legal knowledge of specific substantive real estate law topics.
It deals with the characteristics under American law by which property rights are created, controlled,
collateralized and transferred. These relationships promote the efficient use of recourses, expand
patterns of wealth distribution and address public policy issues with respect to the ownership and use of
real property. Students will acquire a sound grasp of the relevant concepts, legal vocabulary, and rules
of law that apply.
The class will stress topics relevant to students who will own real property, work in the real
estate field, or study real property in law school. Through your study, class discussions, assessments
and exercises, students will become better critical thinkers and able to make informed and effective real
estate decisions
Learning Objectives
This course is designed to provide a broad framework and understanding of relevant issues
students will face as potential business owners, employees, parents, and citizens of society. This course
will help you develop the following:
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
Global Objective
o Equip students to recognize legal issues and manage legal risks within the real estate area
o Examinations will primarily test student’s ability to apply legal concepts discussed in class to
a factual scenario. In many situations, students will have to distinguish between relevant and
irrelevant facts to analyze the legal problem.

Detailed Objectives
o Distinguish the different classifications and sources of law
o Understand the fundamental concepts of ownership, co-ownership, use, possession, transfer
and financing of real estate
o Identify and compare the nature of real estate and real estate interests including present and
future interests, fixtures, mechanics’ liens, and how to legally describe land interests
o Learn about the extent of real estate interests including air rights, right to sunlight, surface
and subsurface rights.
o Recognize duties landowners owe to others
o Acquaint students with an understanding of nonpossessory interests in property including as
easements, profits and licenses.
o Understand the obligations, rights and duties of landlords and tenants both in residential and
commercial leases and they are created and formed.
o Acquaint students with how real property is transferred including the role Broker’s play in
the transfer of real property, the purchase contract, methods of transfer and conveyance of
real property and how real property is financed.
o Learn about how property is transferred after death through intestate succession, wills, trusts
and probate
o Understand the constitutional issues and federal taxation issues relevant to the ownership,
use, possession, transfer and financing of real estate
o Perform a negotiation exercise. The exercise is designed to improve critical thinking by
having students examine and evaluate their assumptions both in their own possession and
that of their advisory. During the negotiation, students will make inferences and interpret
non-verbal cues and analyze statements made. At the conclusion of the negotiation, students
will prepare a paper which will require students to critique their own strategy and develop a
plan for improving their strategy for future negotiations.
o Develop critical thinking and communication skills in the field of real property.
Required Materials
 Textbook: Real Estate Law (9th Edition)
Author: Marianne M. Jennings
Publisher: South-Western Cengage Learning
ISBN-10: 1-4390-4031-1
ISBN-13: 978-1-4390-4031-7

Other: Slides, handouts, supplemental readings/articles, and grades will be posted on
Blackboard
Prerequisites: None
Course Notes: Course materials will be provided on the course BlackBoard site. The course
BlackBoard site will include:
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1. Course Documents
a. Includes this syllabus, any assigned readings, team presentation topics, the team
presentation grading grid, the team presentation roster, and instructions for the
negotiation exercise
2. Lecture slides
a. The PowerPoint lecture slides are grouped by topics covered on Midterm 1, Midterm 2
and the Final respectively.
b. The slides are guides for classroom topics and discussion. You are required to know the
material discussed in the book and in the classroom – the slides are not comprehensive as
to what you are expected to know and be tested on.
c. Slides will be posted frequently throughout the semester.
3. Any supplemental materials discussed in class
4. Exam and Grade Information
a. A sample midterm exam will be posted
i. The exam which will be posted is either a whole or partial exam from a prior
semester.
ii. I do not answer questions about prior exams. You will learn more by studying
and trying to answer the questions in a group.
iii. Exam hints are provided throughout the course – If you have been attending class,
you will be adequately prepared.
b. Midterm & Final answer keys
c. Midterm & Final grades
d. I will periodically post a class total point standing by student ID number. The
information will be posted and current as of a certain date clearly indicated by the file.
Note the first posting of point standing will occur after the first midterm.
i. You are responsible for verifying that your grades are properly recorded. The
last day to make any correction to the gradebook is the last day of class. No
gradebook corrections will be made thereafter, including after the final exam is
taken.
5. Office Hours (located in Bridge Hall 303E)
a. If students have any questions about the material covered in the class they should not
hesitate to see or contact me.
b. If a student cannot make the regular office hours, they should first try to send me an
email. While I can also be reached at 213.740.8764 where students can leave a message
on my voice mail with their name and phone number (with area code), my teaching
responsibilities make it nearly impossible for me to promptly respond to students’
telephone calls. However, I usually check and respond quickly to email and at all hours
of the day (and night).
6. Check the dates of your final examinations. No makeup for a final examination will be given,
with the following exceptions:
a. If the student can establish to my satisfaction that the student has three final examinations
on the same day one is scheduled for this class. The current policy of the University of
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Southern California is to reschedule one of three regularly scheduled final exams on one
day; and/or,
b. if the student can establish to my satisfaction there is a verifiable conflict with any other
regularly scheduled examination during the final exam period for this class; or,
c. in the context of extenuating circumstances with my prior written permission given in
advance of an examination. Verifiable proof will be required to evidence the basis for
such a request.
d. Note the foregoing does not apply to midterm examinations or the dates other
assessments are due.
Key Course Dates
Date
st
nd
1 Midterm Exam Tuesday, October 2
Time
During class
During class
2nd Midterm Exam Tuesday, October 30th
Negotiation Paper Tuesday, November 20th Beginning of class
th
Final Exam
Thursday, December 13 4:30 - 6:30 p.m.
Please Note: The date/time of the Final Exam is determined by the University. For the date and time of
the final for this class, consult the USC Schedule of Classes at www.usc.edu/soc. Select the
corresponding semester to view and click on the “Final Examinations Schedule” link on the left side of
the screen.
Grading Summary:
Assessment
Tests
FBE 427 Grading
Points
Midterm #1
Midterm #2
Final Exam
Negotiation Paper
Participation
Total points
150
150
150
50
50
550
% of Grade
27%
27%
27%
9%
9%
100%
Final grades for this course depend upon how students perform in this class relative to other
students. Consistent with the grading standards and policies of the Marshall School of Business, and the
academic policies and procedures of the University, for elective courses, such as this one, the suggested
targeted mean GPA is 3.3. While there is no mandated curve or hard target, the suggested GPA of 3.3
has been consistent with the historical average grades earned in this class. There is no specific guideline
with respect to the number or percentage of any specific grade given or the numbers of persons who pass
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or fail the course. Thus, discretion is given to each instructor regarding the assignment and distribution
of grades.
Students will receive a grade after each Midterm and prior to the final examination; however, the
more important performance predictor will be their class rank. Rank is more important than the interim
letter grades because at the end of the semester, the total points accumulated throughout the semester are
“curved” to ensure compliance with the Marshall suggested policies. Since the final curve is based on
the total point standing in the class, your performance throughout the semester on midterms, the final
examination and any assignments is strongly correlated to your final grade in the course.
Once the curves are in place, they will not be reset to accommodate individual requests. No
relief will be granted on that basis. Grades are not open to negotiation. Petitions for exceptions or
understanding of particular needs to attain a higher grade for some reason will not be honored. What is
done for one student must be done for all, and the result is that if one student’s grade is adjusted, so will
all other students’ grades.
Typically about 25 points (+/- 5-10 points) typically separate each grade (i.e. B+ to an A-, etc.).
If trends continue with student performances, approximately 15-20% of the class will earn an A, 15-25%
will earn an A-, 20-30% will earn a B+, 5-15% will earn a B, with the balance earning a B- or below.
This is not a predictor for grading for this specific class as each class is unique.
ASSIGNMENTS AND GRADING DETAIL
Exams
All examinations are closed book/closed notes and non-cumulative. While every examination
will ask students to recognize definitions, the focus of the examinations will be on the application of the
legal principles that have previously been taught in the course. In preparing for an examination, students
should know the legal principles provided in all the materials and concentrate on applying them to
factual situations. It can be very helpful to form and use a study group to review the material.
Cooperative learning assists students in identifying their areas of weakness.
Exam Policies
1.
Exams will be primarily by scantron. For each examination will consist of a few (~3-5) short
answer or fill in the blank questions and the balance multiple choice or true false questions.
I will supply scantrons and any paper for the short answer and possible short essay question
for your use.
2.
No cell phones, smart phones/devices (including but not limited to iPhone’s, iPad’s,
blackberry’s, or PDA’s), text messaging devises, laptops or similar equipment are to be used
during any examination.
3.
No talking during any exam. Failure to abide by this rule may result in not receiving credit
for the exam.
4.
It is your responsibility to check your exam to ensure that no pages are omitted and that you
have answered all of the questions. Requests for regarding due to claimed missing pages will
not be honored.
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5.
You are responsible for erasing modified answers on your scantron. Scantrons that are
incorrectly graded due to poor erasure marks will not be honored.
6.
Unfortunately, from time to time, exam answers are incorrect. In the event the answer key
was incorrectly marked (i.e. the answer is B rather than C) the exam will be graded to reflect
the correct answer. Where there are two or more correct answers, both answers will receive
credit. Where the question is vague all will receive credit for that question.
Makeup Exams
Make-up midterms will be given only in exceptional circumstances and will require prior written
permission. Student-athletes and others with verifiable schedule conflicts with the exam schedule must
make arrangements with the instructor one to two weeks prior to an exam date.
Exam answer challenges, discussed below, do not apply to makeup examinations. In addition,
on occasion I have been known to include an extra credit question on examinations. Makeup
examinations do not include any extra credit questions. It is prudent to make every effort to take the
exam at the scheduled time.
Exam Answer Challenges
Exam answers will be posted shortly after the exam (typically within a few hours). If you
disagree with a posted answer, you must do the following within 2 calendar days of the posting of the
answer key (for Midterm 1 and 2). Challenges to the final must be provided within 1 calendar day
of the posting of the answer key:
1.
E-mail me with the following information:
a. the name of the course in the subject line,
b. the version number of the test (A or B),
c. the question number involved, and,
d. A complete analysis and argument of why your choice is the best of those presented
within 2 calendar days of the examination. Your arguments are to be based upon what
has been taught in the course and in the book. Arguments based upon extraneous
analyses are not read.
2.
I will post a revised answer key to the exam on Blackboard
3.
No further discussion of the answers will be entertained as the curve will be set following the
challenge period.
Participation and Preparation
Students are expected to read each week’s assigned reading prior to class, and be prepared to
discuss and examine the concepts during class. It is expected that students will have read the material in
advance in order to make the class periods as engaging as possible. Students should always proceed to
the next reading assignment whether the previous reading has been fully discussed in class. Students
should also prepare thoroughly before class, making sure that they are clear on each concept as they
progress through the course. Please do not hesitate to ask (or answer) questions. I enjoy the discussion.
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To encourage students to prepare for class, participation will be taken 6 times during the
semester. While the various tasks that make up the participation may vary over the semester (e.g. Poll
Everywhere participation, in class questions, etc.) credit for participating will be counted by your
signature on a participation sheet taken on the day participation is checked. Failure to sign the
participation log on the day of the participation will result in not receiving participation for the day.
Only 5 of the 6 participation checks will be counted for each student (i.e. you are allowed to miss 1 of
the 6 times participation is taken and still receive full participation points). Each of the 5 participation
checks is worth 10 points for a total of 50 points in the course. Participating at all 6 checks does not
give you any additional points as 1 participation check is not counted. Students who routinely and
consistently participate in class discussions may receive full participation points in the event a class or
two was missed when a participation check was administered.
If you will miss class to participate in a university sponsored activity, or religious holiday, you
are responsible for informing your instructor in writing at least one week before the impending absence.
Such absence shall not count as a missed class. Having the cold, flu, job applications, or just not
wanting to attend class are not excused absences and you will not receive credit for the day missed. This
is why I allow you to miss 1 of the participation checks.
Poll Everywhere
To improve interaction and stimulate discussion during class I plan to use Poll Everywhere to
test student’s understanding of concepts discussed in class. In order to participate with Poll Everywhere
you need to bring your cell phone, smartphone or laptop to class. You will be able to submit your
answers to in class questions by either text messaging the answer or voting over the web.
You may be required to register at the beginning of the semester. If so, I will send out a
registration link which will require you to verify your cell phone number and create a participant login
for Poll Everywhere.
Poll Everywhere will be used often with end of chapter questions throughout the semester
designed to assist you in understanding the material. They assist me in focusing and explaining answer
choices that many people have missed without wasting anyone’s time for answer choices/questions that
the class understands.
Negotiation Exercise and Paper
Students will take part in a negotiation exercise this semester on a topic or legal principle
discussed in this course to provide a real world experience to the concepts learned in class. You will
need to read a brief summary prior to class of the exercise and prepare any pre class required documents.
Detailed information will be provided on Blackboard entitled under Negotiation Exercise. Students will
need to prepare a short (3-5 pages) paper on their experience. More details related to this assignment
with instructions will be provided on Blackboard.
No recording and copyright notice
No student may record any lecture, class discussion or meeting with me without my prior express
written permission. The word “record” or the act of recording includes, but is not limited to, any and all
means by which sound or visual images can be stored, duplicated or retransmitted whether by an electromechanical, analog, digital, wire, electronic or other device or any other means of signal encoding. I
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reserve all rights, including copyright, to my lectures, PowerPoint slides, course syllabi and related
materials, including summaries, exams (current and prior) and all supplementary course materials
available to the students enrolled in my class whether posted on Blackboard or otherwise. They may not
be reproduced, distributed, copied, or disseminated in any media or in any form.
No Legal Advice
The material presented and the classroom discussions are for the students’ edification. They are
not intended to be legal advice to students in connection with any legal issue they or others may have. If
students have a legal matter, they are advised to promptly consult an experienced attorney who can
confidentially and fully review the facts and advise them of their legal rights and remedies. Quite often,
the facts dictate the result and only in the context of an attorney-client relationship can they be reviewed
and legal opinions rendered.
MARSHALL GUIDELINES
Add/Drop Process
In compliance with USC and Marshall’s policies classes are open enrollment (R-clearance)
through the first week of class. All classes are closed (switched to D-clearance) at the end of the first
week. This policy minimizes the complexity of the registration process for students by standardizing
across classes.
I can drop you from my class, without prior consent, if you don’t attend the first two class
sessions. The instructor is not required to notify the student that s/he is being dropped. Please note: If
you decide to drop, or if you choose not to attend the first two sessions and are dropped, you risk being
not being able to add to another section this semester, since they might reach capacity. You can only add
a class after the first week of classes if you receive approval from the instructor.
Retention of Graded Coursework:
Final exams and all other graded work which affected the course grade will be retained for one
year after the end of the course if the graded work has not been returned to the student; i.e., if I returned
a graded paper to you, it is your responsibility to file it, not mine.
Statement for Students with Disabilities
Any student requesting academic accommodations based on a disability is required to register
with Disability Services and Programs (DSP) each semester. A letter of verification for approved
accommodations can be obtained from DSP. Please be sure the letter is delivered to me (or to my TA) as
early in the semester as possible. DSP is located in STU 301 and is open 8:30 a.m.–5:00 p.m., Monday
through Friday. The phone number for DSP is (213) 740-0776. For more information visit
www.usc.edu/disability. Please provide me (or my TA) the appropriate form two weeks in advance
of an examination.
If you are taking an examination at the DSP office and believe that a question is unclear,
incomplete, ambiguous or otherwise defective, you are advised that additional pages will be attached to
the examination placed at DSP. If you are making such a contention, then, you are required to clearly
state the problem you encountered with the question and why you answered the question in the manner
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you did. Only with such information in hand at the time I grade your examination will I be able to
gauge the appropriateness of giving you credit for your answer to the subject question.
If for some reason, you must take the examination after the class has taken the examination, you
will take a comparable examination to that given the students in class.
Statement on Academic Integrity
USC seeks to maintain an optimal learning environment. General principles of academic honesty
include the concept of respect for the intellectual property of others, the expectation that individual
work will be submitted unless otherwise allowed by an instructor, and the obligations both to protect
one’s own academic work from misuse by others as well as to avoid using another’s work as one’s own.
All students are expected to understand and abide by these principles. SCampus, the Student Guidebook,
(www.usc.edu/scampus or http://scampus.usc.edu) contains the University Student Conduct Code (see
University Governance, Section 11.00), while the recommended sanctions are located in Appendix A.
Students will be referred to the Office of Student Judicial Affairs and Community Standards for
further review, should there be any suspicion of academic dishonesty. The Review process can be found
at: http://www.usc.edu/student-affairs/SJACS/. Failure to adhere to the academic conduct standards set
forth by these guidelines and our programs will not be tolerated by the USC Marshall community and
can lead to dismissal.
The following are considered unacceptable examination behaviors: communication with fellow
students during an examination, copying materials from another student’s exam, allowing another
student to copy from an exam, the use of electronic devices to communicate to others during the exam,
possession or use of unauthorized notes, electronic or other dictionaries during exams. The University’s
Student Conduct Code will be strictly applied. Students cannot achieve grades that they have not
legitimately earned. Part of Marshall’s mission is to remind students of the value systems that will
regulate their business lives, and breaching ethical standards cannot be condoned.
Emergency Preparedness/Course Continuity
In case of emergency, and travel to campus is difficult, USC executive leadership will announce
an electronic way for instructors to teach students in their residence halls or homes using a combination
of Blackboard, teleconferencing, and other technologies. Instructors should be prepared to assign
students a "Plan B" project that can be completed at a distance. For additional information about
maintaining your classes in an emergency please access: http://cst.usc.edu/services/emergencyprep.html
Please activate your course in Blackboard with access to the course syllabus. Whether or not you
use Blackboard regularly, these preparations will be crucial in an emergency. USC's Blackboard
learning management system and support information is available at blackboard.usc.edu.
Incomplete Grades Explanation
In incomplete (IN) grade may be assigned due to an “emergency” that occurs after the 12th week
of classes. An “emergency” is defined as a serious documented illness, or an unforeseen situation that is
beyond the student’s control, that prevents a student from completing the semester. Prior to the 12th
week, the student still has the option of dropping the class. Arrangements for completing an IN course
should be initiated by the student, and negotiated with the instructor. Class work to complete the course
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should be completed within one calendar year from the date the IN was assigned. The IN mark will be
converted to an F grade should the course not be completed.
Evaluation of Your Work
You may regard each of your submissions as an “exam” in which you apply what you’ve learned
according to the assignment. I will do my best to make my expectations for the various assignments
clear and to evaluate them as fairly and objectively as I can. If, however, you feel that an error has
occurred in the grading of any assignment, you may, within one week of the date the assignment is
returned to you, write me a memo in which you request that I re-evaluate the assignment. Attach the
original assignment to the memo, and explain fully and carefully why you think the assignment should
be re-graded. Be aware that the re-evaluation process can result in three types of grade adjustments:
positive, none, or negative.
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COURSE READINGS/CLASS SESSIONS
Fall 2012
Date
8/28
Day
T
Reading Material
8/30
Th
Chapter 1: Sources of Real Estate Law
9/4
T
Chapter 3: Extent of Real Estate Interests
9/6
Th
9/11
T
9/13
Th
9/18
T
Chapter 5: Fixtures
Fixtures
Critical Thinking Exercise - Hypothetical
9/20
Th
Chapter 6: Liens
Types of Liens with focus on Mechanics' Liens
9/25
9/27
10/2
T
Th
T
10/4
Th
10/9
T
10/11
Th
10/16
T
10/18
Th
10/23
T
10/25
Th
10/30
11/1
11/6
11/8
T
Th
T
Th
11/13
T
11/15
Th
11/20
T
11/22
Th
11/27
T
11/29
Th
12/4
T
12/6
Th
12/13
Th
Chapter 7: Describing Land Interests
Describing Land Interests
Chapter 8: Co-ownership of Real Estate
Co-ownership, Rights, Duties
Midterm #1 (Chapters 1 - 7)
Chapter 9: The Landlord-Tenant
Tenancy types, leases, rights, duties
Relationship
LL-Tenant (Cont.)
Unlawful detainer lawsuit example
Chapter 10: Commercial Leases
Commercial Lease terms; Mall lease discussed in class
Chapter 11: Real Estate Communities:
Condos, Cooperatives, Townhouses, Timeshares
Multiunit Interests and Owners'
Associations
Chapter 12: The Broker’s Role in the
Broker roles, listing agreements, responsibilities,
Transfer of Real Estate
duties, licensing requirements
Broker chapter Cont.
Purchase contracts, requirements, duties
Chapter 13: The Purchase Contract
Example Realtor Purchase Contract (RPA-CA)
Midterm #2 (Chapters 8 - 13)
Negotiation materials (Blackboard)
Negotiation Class exercise
Chapter 14: Methods of Transfer and
Deeds, Adverse Possession, Gifts, Intestate, Eminent
Cont. Deeds, Adverse Possession, etc.
Chapter 15: Financing in the Transfer of
Mortgages, Deeds of Trust, Installment contracts
Real Estate
Chapter 16: Closing the Deal
Closing, Lender & Escrow Responsibilities
Negotiation Paper Due
Chapter 18: Zoning
Zoning
~ Thanksgiving Break ~
Chapter 17: Transferring Real Estate after
Intestacy, Wills, Trusts & Probate
Death: Wills, Estates, and probate
Intestacy Cont.
Fields lecture on tax issues
Chapter 22: Tax Aspects of Real Estate
Property Taxes, Income Taxes
Ownership and Transfer
Chapter 19: Constitutional Issues in Real
Eminent Domain, Land use Restrictions
Estate
Final Exam Review
FINAL EXAM
Syllabus
Material Covered
Course Introduction
Brief history of CA Real Estate
Sources of Real Estate law
Land interests (above & below ground)
Land interests Cont. (Protection of property rights
and Duties of landowners)
Chapter 2: Land Interests: Present and
Future
Chapter 4: Nonpossessory Interests in Real
Estate
Freehold estates & Future Interests
Easements, Profits, Licenses, Covenants