property II
Implied warranty of habitability
**Residential Only**. Residence must be "fit for habitation" Examples: loud noise, central air, bugs, smoke--pretty much safety, health and comfort
Allocation of Foreclosure proceeds
1. Administrative Fees 2. foreclosing mortgage 3. juniors 4. mortgagor
3 Kinds of deeds and what they protect against
1. General Warranty: warrants against all defects in title whether arising b4 or after grantor took title 2. special warranty: warranties only against grantor's own acts (for example, grantor not liable for mortgage from grantor's predecessors) 3. Quitclaim: No warranties of any kind
2 Indexes for recording
1. Grantor-grantee 2. Tract
reqs. of equitable servitude
1. Intent 2. Touch and Concern 3. Notice
Lateral and Subjacent liability for sucking down someone's dirt (2 standards)
1. Land is undeveloped = strict liability 2. Land is developed = must prove negligence
What are 8 other ways of terminating a covenant?
1. Merger 2. Formal release in writing and recorded 3. Acquiescence (P breaches and tries to enforce against D) 4. Abandonment (similar to acquiescence) 5. equitable doctrine of unclean hands (refuse enjoinment of a violation of a servitude where P also violates it) 6. Equitable Dosctrine of Laches (P unreasonably delayed to enforce servitude) 7. Estoppel/D relies on P's conduct 8. eminent domain
When don't you need a writing for land transaction? 2 Exceptions
1. Part Performance: (a) take possession AND (2) paying part of price or making valuable improvements 2. Estoppel: unconscionable injury would result from denying specific performance
3 Requirements of an Implied Easement
1. Unitary Parcel/a quasi easement existed 2. Prior apparent and continuous use/quasi dominant and quasi servient estate creates notice 3. Reasonable necessity at the time of severance
2 Requirements for easement by necessity
1. Unitary ownership 2. Strict necessity at the time of severance (prior use not required) (reasonable necessity for minority) (is to avoid landlock and useless pargonis)
4 requirements of prescriptive easements (plus the fifth requirement in a minority of Js)
1. adverse use 2. Open and notorious 3. actual use 4. continuous use for the statutory period
Why was the cov to maintain robert E lee statue not upheld in Taylor?
1. against public policy 2. changed conditions States have statue statutes nowadays regarding removal of statues located on public property
Can prior successor sue subsequent ones? analysis/rule under implied reciprocal servitude theory vs. party beneficiary theory
1. implied reciprocal servitude theory: Where a general scheme is made after someone takes the property, they cannot sue subsequent purchasers 2. party beneficiary theory: all buyers are beneficiaries of other buyers and all should benefit from the covenant (can sue)
Requirements to make easement run with land
1. in writing (specific location, signed by grantor) 2. Notice
4 remedies to nuisance to achieve efficiency and fairness
1. injunction (Morgan nauseating gas case) 2. Let activity continue if D pays damages (Boomer and Spur) 3. Let activity continue and deny all relief 4. Stop activity if P Pays damages
What are LL's 5 main duties?
1. keep premises habitable 2. disclose latent defects 3. make repairs as promised 4. abstain from misrepresentations 5. abate nuisances
When does easement end?
1. release/agreement to terminate (can also relocate this way) 2. merger/unitary ownership 3. abandonment (look at intent not to use it ever) 4. estoppel/ reliance that easement wouldn't be used 5. end of necessity
Requirements for a deed to be a deed
1. writing 2. identify grantor and grantee 3. describe property there's other stuff too, these are the biggies
Requirements of a cov
1. writing 2. intent to bind successors 3. touch and concern the land 4. privity of estate between covenanting parties 5. notice (unless trying to enforce benefit)
What is an easement?
A right to use another's land or a right of way
What's one way to find that the rule is not valid? Curto, the swim case involving different swim hours for woman
A rule that violates the fair housing act is invalid--discriminatory policies on the basis of race, color, religion, sex, familial status, or national origin
3 types of notice
Actual: personally aware Constructive: instrument is recorded properly Inquiry: based on the facts, reasonable person would make inquiry
What does "touch and concern" mean under Neponsit?
Affect the legal rights of the parties as landowners Example: pay to ensure common enjoyment of the rights and easements shared by all owners in a subdivision
Implied Warranty of Quality
After closing, can sue commercial vender/builder for residential purpose
Alienability/subleases--what is an approval clause?
Agreement to consent to LL to sublease
Acceleration clause
All money owed on default
How to imply a negative equitable servitude based on Sanborn v. Mclean?
All surrounding lots show the restriction (inquiry notice)--so even if restriction wasn't in the deed a "general plan" or "scheme burdens and benefits all plots
By when is marketable title required to be given?
At closing (consider if defect can be cured based on reasonable standard)
Relative Hardship Doctrine
Bars equitable relief absent Doctrine of Laches or P's misconduct. Doesn't bar damages, but looks at whether enforcing cov would cause more hardship than benefit the owner of the dominant estate
Bonus Question: where P is suing bc they were kicked out of their coop, what do courts apply?
Business Judgment rule since frivolous claims harm the community
What is a unique way of terminating a covenant?
Changed conditions
What happened in River Heights Associates LP v. Batten/why did the covenant still stand?
Changed conditions doesn't apply to the surroundings of your plot. In this case, roads became 10 laned, the whole district was commercial, but a few plots still had to uphold a covenant BECAUSE: "for a change of condition to nullify restrictive covenants, the changes must be so radical as to practically destroy the essential objects and purposes of the agreement" which occurs both outside and inside (such as no one wanting to buy the property) the property
What is a fixture and when can't they be removed?
Chattel attached to the property that becomes part of the property. Can't remove when (1) substantial damages OR (2) no intention to take fixture at end of lease
Standard for witholding consent for commercial v. residential leases
Commercially reasonable (will they comply to covenants of lease, competition?) Residential--no Bad faith
Constructive Eviction definition and two instances
Condition of leased premesis amounts to breach of implied cov of quiet enjoyment (which is implied in all leases). 1. LL substantially interferes with use and enjoyment 2. T gives notice and LL fails to resolve prob w/in reasonable time
Restatement test of reasonableness
Consider whether gravity of harm outweighs utility of actor's conduct Gravity of harm: extent of harm, social value, suitability to locality and burden of P avoiding the harm Factors of Utility: Social value, suitability of locality, impracticability of D preventing Harm
Duration of covenant/equitable servitudes?
Determined by parties intent (unless it's a conservation or found to be a necessity easement)
Direct vs. indirect restraints in common interest communities, such as a direct restraint on alientaiton vs. an indirect restraint limiting value of property (pets, paint color, signs)
Direct: a prohibition on transfers w/out consent is less likely to be upheld bc the court balances "reasonableness" Indirect is often more valid unless there's no clear rational justification
How to do you invalidate a foreclosure?
Either (1) fraud or (2) the price "shocks the conscience or is grossly inadequate"
Race statute
First person to properly record wins
Estoppel by deed
Grantor breaches right to convey and then acquires title and then conveys to a third party, OG grantee wins
Euclidian Zoning
High uses (residential) are permitted in low (commercial) but not vice versa
Covenants--What is needed for the burden to run with the land?
Horizontal Privity/grantor grantee relationship or landlord tenant relationship
Deficiency Judgments
If foreclosure can't provide enough money, buyer is primarily liable, mortagor is secondarily liable (absent novation) if "assumption," buyer not personally liable for deficiency if "subject to mortgage"
Diff between appurtenant and in-gross?
In gross gives specific right to an individual (Jiggly John can operate his business on my shabat)
Delivery of Deed
Intent of immediate transfer + delivery to grantee or third party
Whatabout trade fixtures?
Intent to remove is presumed, so it depends on substantial damage
intentional and unintentional
Intentional: purpose of causing result or knowledge result is substantially certain to occur Unintentional: Negligent, reckless, or ultrahazardous
What is the scope of an implied easement?
Its OG use
What's the difference in determining damages under K jurisdiction v. Property jurisdiction?
K: have to mitigate damages Property: don't have to mitigate
What is the majority (restatement) approach to general schemes and the minority approach?
Majority: general plan = uniform restrictions, at least to an extent Minority: won't pull a Sanborn, require writing/no implied negative restrictions
Duty to disclose
Minority--caveat emptor--no rescission w/out inspection Majority: seller must disclose material (affects value/whether would buy based on reasonable person standard) and latent (not obvious) defects
Is vertical priv strict? What's the difference between having the burden v. benefit run with the land?
More relaxed for benefit to run-applied to lesser interest carved out of the estate Must take exact same interest for burden to run/enforce against servient estate
What are the effects of foreclosure?
Mortagor's interest is terminated as well as junior mortgagees if they're given notice. Seniors still have a mortgage
Due sale provision
Mortgagee will be paid in full upon resale
Bonus Question: what are some reasons to argue against condo rules? (Dissent in Lakeside)
Must find public policy, **condo rule only affects interior space, or the rule is "devoid of humanity"--the court in Lakeside couldn't find a policy to overrule the association, however.
What if someone needs a service pet?
Must provide "reasonable accommodations"
who has burden of getting rid of old T when new T wants to move in?
New T, not the LL
can real covs arise from estoppel, implication or prescription?
No
Stigma Statute
No duty to disclose prejudicial facts (guy had AIDS)
Under traditional rule, why can't adverse possessor enforce cov or have cov enforced against them?
No vertical privity/didn't succeed OG owner's estate
Can someone have an easement in there own land?
No--and creating a unitary parcel destroys an easement
Does title insurance insure acerage?
Not unless it's specified
Can LL self help for defaulting tenant/kick out tenant themselves?
Only if commercial
Jost test of reasonableness
P must show substantial level of interference (don't balance social value)
Zoning is a state...
Police power
All 6 covenants in the deed, and which ones are present v. future
Present: 1. Seisin: grantor owns what he's conveying 2. Right to convey the property 3. Against encumbrances (mortgages, liens, easements, covs, zoning violations) Future: 4. General warranty: grantor will defend against LAWFUL claims of assertion of superior title 5. Quiet enjoyment: not disturbed in possession and enjoyment by assertion of superior title 6. Furhter assurances
Coming to Nuisance defense: Private v. Public effect of the defense
Private: bars relief Public: P must indemnify D for D to be ordered to stop
Installment land K
Purchaser is at risk bc loses land and payments if default (no allocation of proceedings)
Tenant Account Theory
Reduce damages by new tenant's amount
What is a license and when is it treated like an easement?
Revocable permission (written or otherwise) to trespass 1. incidental ownership over chattel (improving well or taking timber) 2. Estoppel/reliance
Notice Statute
Subsequent purchaser for value did not have notice of unrecorded instrument
Race-Notice Statute
Subsequent purchaser is protected against unrecorded instrument if no notice and properly records
What is a nuisance?
Substantial and unreasonable interference with another person's use and enjoyment of land (private) or right common to general public (public)
Actual Eviction
T is deprived of occupancy in some or all of premises
Lakeside Village--lady brings cat to condominium--what's the rule on whether condominium rules are valid?
These rules are presumptively valid unless unreasonable (against the community as a whole) or unconstitutional or against public policy, so long as the rule is filed as a general scheme
What happens during the executory period? What happens to title and liability in event of damage?
This is the transfer of equitable title, buyer is now liable if property is damaged
What is a marketable title?
Title is not subject to reasonable doubt as would create a just apprehension of its validity in the mind of a reasonable, prudent and intelligent person--seller has fee simple and title is free from encumbrances
What's the duration of implied easement?
Until unitary ownership (or forever)
Land Transactions require . . .
Writing, description of property, and price (satisfy SOF!)
Can equitable servitudes be implied or obtained by prescription?
Yes to implied, no to prescription
Subsequent Purchasers suing a dickhead who should have followed the servitude: O gives to X, Y, and Z, in that order and there is an express residential covenant. X violates this and builds titty house (where your mother works), can Y and Z sue for an injunctions?
Yes, they are successors to the benefit of X's cov to O not to build titty house
What is a common interest community?
a common scheme of development (required) that is essentially a covenant and need notice
Under Village of Euclid, zoning regulations are constitutional unless
arbitrary and unreasonable, having no substantial relation to public health, safety, morals, or general welfare
Wild deeds
break the chain of title/no proper notice
When can landlord sue subtenant? Is OG lessor still liable?
can sue if priv of K or priv of estate. OG liable under priv of K absent a novation
Nuisance must be . . .
continuous (at least to really be substantial)
restament approach to covenants
court enforces any appropriate remedy by looking at negative promises (treat like easement) and affirmative promises (allocates benefits and burdens based on who can bettere perform and what the parties' expectations are)
Easement Appurtenant definition and the main types
creates dominant and servient estate. Includes 1. Express easements (like affirmative or negative) 2. Implied Easements 3. Prescriptive Easements
Murphy case, what must mortgagee exercise when finding foreclosure price?
due diligence in finding fair market value
The Standard State Zoning Enabling Act
empowers municipalities to regulate and restrict the height, number of stories, and size of buildings and other structures . . . in accordance with a comprehensive plan/government objective
Statutory redemption
happens after foreclosure proceedings are completed--mortgagor can reacquire property by paying foreclosure sale price
Equity of Redemption
happens between default and conclusion of foreclosure. Can't be waived. mortgagor can pay off mortgage.
what is needed for benefit to run?
horizontal and vertical privity
Harper v. Paradise--why was an ineffective deed considered inquiry notice?
it referenced an effective deedfrom years ago, so foreclosing party should have inquired
Judicial foreclosure
mortgagee sues and if prevails, public auction (mortgagee can bid on house)
Constructive and actual eviction can be both
partial or total
What is a mortgage
promissory note (written promise) + Mortgage (right to foreclose if default)
When does easement by necessity terminate?
when necessity terminates