Question 1

Repair Service Inc. agrees to fix a harvester for Soybean Acres. Repair tows the harvester to its storage yard, to be returned after the work is done. Repair's obligation to deliver the equipment to Soybean is excused if the harvester is

Accepted Answer

A)  any of the choices.
B)  lost through no fault of Repair.
C)  stolen through no fault of Repair.
D)  claimed by a third party with a superior claim.E) A) and B)
F) A) and C)

Question 2

A large sign at the entrance to Fitness Club states in bold red letters that "the club is not responsible for any loss due to theft." Most likely, with respect to limiting the club's liability, this sign is

Accepted Answer

A)  effective.
B)  not effective because it is against public policy.
C)  not effective because it is an exculpatory cause.
D)  not effective because an ordinary bailee cannot limit his or her liability.E) None of the above
F) B) and D)

Question 3

Before entering the dining room in Café Peru, Diego checks his coat in the lobby with a valet employed by the restaurant. In the coat's pocket is an iPhone. A bailment may exist between the restaurant and its customer for

Accepted Answer

A)  the coat only.
B)  the phone only.
C)  the coat and the phone.
D)  neither the coat nor the phone.E) A) and B)
F) A) and D)

Question 4

Ada owns Blueberry Farm. Ada's only daughter Cherry owns the adjacent Delicious Apple Orchard. Ada makes a gift of the farm to Evert, a short-term employee. This gift may lack the required element of

Accepted Answer

A)  acceptance.
B)  delivery.
C)  donative intent.
D)  dominion.E) B) and C)
F) A) and D)

Question 5

Accession occurs when someone acquires title to a valuable piece of personal property by assuming a position of power.

Accepted Answer

A) True 
 B)False

Question 6

Inadvertently, Brie loses her textbook during an afternoon in City Park. She eventually gives up any attempt to find it. The textbook will then most likely be considered

Accepted Answer

A)  abandoned property.
B)  converted property.
C)  lost property.
D)  mislaid property.E) A) and B)
F) C) and D)

Question 7

In many states, hotel operators are not liable for any loss or damage to their guests' personal property, provided this limit is brought to the guests' attention .

Accepted Answer

A) True 
 B)False

Question 8

Kay and Lease-Away Inc. enter into a bailment involving the delivery of a moving van to Kay for her use. Unless stated otherwise, the agreement assumes that Kay will

Accepted Answer

A)  return the van.
B)  return the van or its equivalent.
C)  retain the van.
D)  none of the choices.E) B) and D)
F) A) and C)

Question 9

Ordinary bailments are distinguished according to which party receives a benefit from the bailment.

Accepted Answer

A) True 
 B)False

Question 10

A finder of mislaid property obtains title to the goods.

Accepted Answer

A) True 
 B)False

Question 11

Many bailments do not include all of the elements of a contract.

Accepted Answer

A) True 
 B)False

Question 12

Leo borrows Mae's car to drive Nina to the airport. Considering the purpose of the bailment, Leo has the right to

Accepted Answer

A)  compensation from Nina.
B)  reimbursement from Mae for any parking costs.
C)  use the bailed property.
D)  none of the choices.E) B) and C)
F) B) and D)

Question 13

Earth Farm arranges to have Fresh Express Inc., a common carrier, transport a load of almonds. Fresh Express will be liable for any loss or damage to the almonds

Accepted Answer

A)  under any circumstances.
B)  unless the carrier exercised reasonable care.
C)  unless the loss or damage is caused by a natural disaster.
D)  under no circumstances.E) A) and B)
F) C) and D)

Question 14

When accession occurs with a property owner's consent, there is not likely to be a dispute about who owns the property.

Accepted Answer

A) True 
 B)False

Question 15

Fiji, an independent contractor and technical writer, has a computer in her office. She has a copyright on her most recent work, Guide to Coding . Her tangible personal property includes

Accepted Answer

A)  the computer.
B)  the copyright.
C)  the coding.
D)  all of the choices.E) C) and D)
F) None of the above

Question 16

In a bailment, in some circumstances, the dollar amount of liability for any loss or damage to bailed goods can be limited by

Accepted Answer

A)  common carriers.
B)  warehouse companies.
C)  ordinary bailees.
D)  all of the choices.E) B) and C)
F) A) and D)

Question 17

Mary goes hunting during elk season. While trespassing on Nate's rural land, she shoots an elk. This elk is the property of

Accepted Answer

A)  Mary.
B)  Nate.
C)  the state.
D)  none of the choices.E) A) and D)
F) B) and C)

Question 18

The gift of a large portion of a person's assets can indicate fraud.

Accepted Answer

A) True 
 B)False

Question 19

Either physical or constructive delivery can result in the bailee's exclusive possession and control over bailed property.

Accepted Answer

A) True 
 B)False

Question 20

Earlene buys a fishing license and goes fishing. She catches a trout, cleans it, cooks it, and eats it. Earlene's acquisition of the trout is by

Accepted Answer

A)  possession.
B)  accession.
C)  confusion.
D)  production.E) None of the above
F) A) and D)

Exam 45: Personal Property and Bailments

In many states, hotel operators are not liable for any loss or damage to their guests' personal property, provided this limit is brought to the guests' attention .

Correct AnswerverifiedShow Answer

When accession occurs with a property owner's consent, there is not likely to be a dispute about who owns the property.

Correct AnswerverifiedShow Answer

Accession occurs when someone acquires title to a valuable piece of personal property by assuming a position of power.

Correct AnswerverifiedShow Answer

A large sign at the entrance to Fitness Club states in bold red letters that "the club is not responsible for any loss due to theft." Most likely, with respect to limiting the club's liability, this sign is

Correct AnswerverifiedShow Answer

Ordinary bailments are distinguished according to which party receives a benefit from the bailment.

Correct AnswerverifiedShow Answer

Earth Farm arranges to have Fresh Express Inc., a common carrier, transport a load of almonds. Fresh Express will be liable for any loss or damage to the almonds

Correct AnswerverifiedShow Answer

Repair Service Inc. agrees to fix a harvester for Soybean Acres. Repair tows the harvester to its storage yard, to be returned after the work is done. Repair's obligation to deliver the equipment to Soybean is excused if the harvester is

Correct AnswerverifiedShow Answer

A finder of mislaid property obtains title to the goods.

Correct AnswerverifiedShow Answer

The gift of a large portion of a person's assets can indicate fraud.

Correct AnswerverifiedShow Answer

Earlene buys a fishing license and goes fishing. She catches a trout, cleans it, cooks it, and eats it. Earlene's acquisition of the trout is by

Correct AnswerverifiedShow Answer

In a bailment, in some circumstances, the dollar amount of liability for any loss or damage to bailed goods can be limited by

Correct AnswerverifiedShow Answer

Kay and Lease-Away Inc. enter into a bailment involving the delivery of a moving van to Kay for her use. Unless stated otherwise, the agreement assumes that Kay will

Correct AnswerverifiedShow Answer

Leo borrows Mae's car to drive Nina to the airport. Considering the purpose of the bailment, Leo has the right to

Correct AnswerverifiedShow Answer

Inadvertently, Brie loses her textbook during an afternoon in City Park. She eventually gives up any attempt to find it. The textbook will then most likely be considered

Correct AnswerverifiedShow Answer

Fiji, an independent contractor and technical writer, has a computer in her office. She has a copyright on her most recent work, Guide to Coding . Her tangible personal property includes

Correct AnswerverifiedShow Answer

Many bailments do not include all of the elements of a contract.

Correct AnswerverifiedShow Answer

Before entering the dining room in Café Peru, Diego checks his coat in the lobby with a valet employed by the restaurant. In the coat's pocket is an iPhone. A bailment may exist between the restaurant and its customer for

Correct AnswerverifiedShow Answer

Ada owns Blueberry Farm. Ada's only daughter Cherry owns the adjacent Delicious Apple Orchard. Ada makes a gift of the farm to Evert, a short-term employee. This gift may lack the required element of

Correct AnswerverifiedShow Answer

Either physical or constructive delivery can result in the bailee's exclusive possession and control over bailed property.

Correct AnswerverifiedShow Answer

Mary goes hunting during elk season. While trespassing on Nate's rural land, she shoots an elk. This elk is the property of

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified