Property Outline 3-1
Property Outline 3-1
Acquisition by discovery
M’Tosh v. Johnson: Case where court had to make determination that Indian title was not valid
• Dicsovery grants exclusive right to conquer the land or purchase the land. We are
speaking about Terra nullius (no mans land here or undiscovered land).
• The Indians were left with a right of occupancy.
• “Property rests and confers upon power”, the court had to gain power so it could confer
land, hence voiding title by the Indians.
• Discovery: The sighting or finding of hitherto unknown or un-chartered territory; it is
frequently accompanied by a landing and the symbolic taking of possession
• Conquest: The taking of possession of enemy territory through force, followed by formal
annexation of the defeated territory by the conqueror
B. Acquisition by Capture
Property rights are like a bundle of rights: The most important right could be that of “right to
exclude”, tighter with the “right to transfer” and the “right to possess”. The SC stated that the
right to exclude is very important.
Jacque v. Steenberg: Case with guys trying to carry home trough persons land
• The court here made it clear that the right to exclude is very important and it should not
be breached upon (trespass)
State v. Schack: Case of government agents trying to get into land and help migrants (Exception
to right to exclude)
• Court states that right to exclude is not absolute and they cannot be used to limits the
rights of others”
General Rule: An owner of property does not lose title by losing property. The owners rights
persist even tough article has been lost or mislaid. As a general rule, however, a finder has rights
superior to everyone but the true owner, but there are exceptions.
Anderson v. Goldberg: Case where man stole wood from land and sold it.
• Court said that the owner had greater title over the other and he had to get it back.
• The party who stole it had title over the third party., but the owner is superior in title to
all.
What is Possession? For finder to become possessor it must acquire physical control over the
object and have intent to assume dominion over it.
Hannah v. Peel: Soldier finds valuable thing in house they were based at
• Court really liked the soldier here.
• Usually an owner of premises (a private place) owns everything under the land or
attached to it.
• However in this situation the object was not buried or attached the soldier acted with
honor and the court awarded him. So something merely lying on the surface does not
belong to the owner.
Lost: Lost property is property that the owner accidentally and casually lost (GOES TO
FINDER)
Mislaid: Mislaid property is property intentionally placed somewhere and then forgotten
(GOES TO THE OWNER OF PREMISES). Reason behind this is because the true owner might
remember that he left it there.
F. Acquisition by gift
A gift is a voluntary transfer of property without any consideration. There are 3 requirments for a
gift of chattels:
1. Donor must intend to make gift
2. Donor must deliver chattel
a. Constructive Delivery: Where manual delivery impracticable, this is permitted.
Handing over the means of obtaining possession and control (usually a ky), or in
some way relinquishing dominion and control over the property (Newman v.
Bost: Nurse received key to furniture and was able to obain those, but not the
insurance policy in it.)
b. Symbolic delivery: When delivery impracticable because chattel too large or
situationof parties will not permit such is permittes. Handing over of some object
that is symbolic of the thing given. Like handing over an instrument I writing.
(Gruen v. Gruen: states that even intangible interest can e transferred in these
ways, like a father wating to give a remainder to his son for a painting he wants to
keep during his life).
3. Donee must accept gift
Types of gifts
Inter vivos: Made during the life of a person. Once made it is irrevocable.
Causa Mortis: gift made in contemplation of immediately approaching death. There is danger of
fraud in these so courts watch out for them. Gift revoked if the donor recovers from the illness
that prompted the gift.
G. Possessory Estates
Fee simple: The top dog, usually granted by saying “to A and his heirs”
Fee tail: Kept in the bloodline “to A and the heirs of his body”
Life Estate: Will end at death of some person, usually “ to A for life”
Leasehold Estates: Term of years, periodic or at will.
Freehold and non-freehold: Major difference is that freeholder in possession has “seisin” and
leaseholder has only possession.