ARE 306 Final

In order to be considered competent enough to create a will, a person has to meet the age requirement and be _____________.

Of sound mind

A __________ is personal property that has been permanently attached to the real property.

fixture

All corporations are incorporated under federal law.

False

Annual crops are generally considered to be real property.

False

How old must a person be in order to create a will?

18

According to the law in North Carolina, how many witnesses have to sign a will in order for it to be valid?

2

FDA and USDA are examples of:

Adminstrative agencies

Once a will is created, when can it be changed or modified?

Any time, up until death

The USDA is responsible for regulating which of the following:

Catfish

Adverse possession does not affect the ownership of the property.

False

Once someone creates a will, it can only be updated or modified once a year.

False

Shareholders, unlike partners in a general partnership, are fully liable for all the debts of a corporation.

False

You have to file paperwork with the state in order to create a sole proprietorship.

False

Which of the following statutes give USDA some of their authority to regulate food safety:

Federal Meat Inspection Act; Poultry Products Inspection Act

Officers of a corporation have a(n) ____________ duty to the corporation.

Fiduciary

What voluntary certification might buyers require farmers to have that is related to food safety?

Good Agricultural Practices (GAPs)

Name the 3 parties to a trust.

Grantor, trustee, beneficiary

A partnership agreement may be ______________ by law based upon the behavior of two or more individuals engaged in business cooperatively.

Implied

Why do we need to be able to identify which kinds of property are real property and which kinds of property are personal property?

In order to identify legal ownership

The federal government has authority to regulate food if it is sold in ________________.

Interstate Commerce

A(n) ______________ partner is liable only to the extent of his or her investment in the partnership.

Limited

The officers of the corporation are responsible for the day-to-day _________ of the corporation.

Management

The role of the members of a LLC may be changed by the:

Operating agreement

Which is not an element of adverse possession?

Permissive

What kind of insurance helps cover the cost of a potential claim if a customer gets sick from eating contaminated food?

Products Liability Insurance

A(n) _______________ is the simplest form of business organization.

Sole proprietorship

A corporation may be taxed at the corporate level or the income may be passed through to the shareholders and _______________ on their individual federal income tax returns

Taxed

A mortgage is a two party security interest in real property.

True

If someone dies without a valid will, then the state will decide how his or her property will be distributed.

True

If there are 4 co-tenants who own property as tenants in common, 1 of the co-tenants may sell his/her interest in the property without the permission of the other 3 co-tenants.

True

In a tenancy by the entireties, if one spouse dies, the surviving spouse will automatically own the entire property by operation of law.

True

Intestate succession is when someone dies without a valid will and the state decides how their property is distributed.

True

One of the elements of a valid will is that the testator has to have the intent to create a will.

True

The FDA has authority to regulate food safety for fruits and vegetables.

True

The Federal Food Drug and Cosmetic Act is the main federal statute that gives FDA authority to regulate food safety.

True

The Food Safety Modernization Act amended the Federal Food Drug and Cosmetic Act.

True

The definition of an estate is all of the property - real and personal - that one owns at the time of one's death.

True

The main purpose of a will is to provide instructions for how his/her estate will be distributed after his/her death.

True

The person receiving the property that is part of the decedent's estate is called the beneficiary.

True

A trust consists of property held by a ________ for the benefit of the beneficiary.

Trustee

When a trust is used, a grantor transfers the legal interest in property to a _________.

Trustee

Which agencies would regulate a pizza with cheese and pepperoni?

USDA and FDA

If a remainderman with a future interest in property comes onto the property while the life tenant is living there, but doesn't have permission to be there, the life tenant may successfully bring a(n) __________ action against the remainderman.

trespass