Question 1

Which of the following is true when someone accidentally makes an improvement to the personal property of another where the owner was unaware of the improvement until after it had been made?

Accepted Answer

If the improvement can be removed without damaging the property, the party who made the improvement can remove it. If removal is not possible, the property owner typically keeps the improvement without having to pay for it, unless there is a legal obligation or agreement to do so.

Question 2

If a farmer takes some grain to a storage facility and later returns to retrieve an equal quantity of grain that is not the same grain placed in storage,the farmer has acquired ownership of the retrieved grain by:

Accepted Answer

The farmer acquires ownership of the retrieved grain by confusion, which occurs when goods are mixed together such that they cannot be separated and identified individually.

Question 3

Which of the following is true when a party wrongfully makes an improvement to someone else's property?

Accepted Answer

When a party wrongfully makes an improvement to someone else's property, the owner typically keeps the property without any obligation to compensate the improver.

Question 4

An "umbrella" insurance policy pays when other losses from a covered occurrence exceed the limits of other insurance.

Accepted Answer

An umbrella insurance policy provides additional liability coverage beyond what is covered by other insurance policies. It kicks in when the limits of those other policies have been exhausted.

Question 5

The intellectual property for a new invention is what kind of property?

Accepted Answer

Intellectual property is intangible and personal because it is a creation of the mind and is owned and controlled by individuals or entities.

Question 6

Deductible clauses provide that insurance proceeds are payable after the insured pays a coinsurance.

Accepted Answer

Deductible clauses provide that insurance proceeds are payable after the insured pays a deductible, not a coinsurance.

Question 7

When an animal owned by someone has offspring,the party who owns the mother has acquired the offspring by:

Accepted Answer

Accession refers to acquiring ownership of a new item that has been produced, added, or improved upon an existing item. In this case, the mother animal can be seen as the existing item, and the offspring as the newly added item, which makes it an accession.

Question 8

If personal property is mislaid in a business establishment and found by an employee,who among the following has superior rights to that property?

Accepted Answer

The owner of the business has superior rights to mislaid property found on their premises, as they are considered the caretaker until the true owner claims it.

Question 9

Directors' and officers' liability insurance protects directors and officers from liability for the actions they take on behalf of the corporation.

Accepted Answer

Directors' and officers' liability insurance is designed to protect directors and officers from liability for the actions they take on behalf of the corporation. This type of insurance provides coverage in the event that a director or officer is sued for alleged wrongful acts, such as breaches of fiduciary duty or negligence, that result in financial losses for shareholders or other stakeholders. Without this insurance, directors and officers risk personal financial exposure and potential legal action.

Question 10

A "gift causa mortis" differs from an "inter vivos" gift,in that a gift causa mortis:

Accepted Answer

A gift causa mortis is a gift made in contemplation of the donor's imminent death. Unlike an inter vivos gift, which is made during the donor's lifetime, a gift causa mortis is automatically revoked if the donor recovers from the illness or injury that threatened his or her life.

Question 11

A stock certificate is an example of:

Accepted Answer

A stock certificate represents ownership in a company and is considered an intangible asset. It is also personal property because it belongs to the individual who holds it, and is typically not publicly traded, making it private property.

Question 12

Insurance that provides coverage to the driver and passengers of a vehicle who are injured by an uninsured motorist is called uninsured motorist insurance.

Accepted Answer

Uninsured motorist insurance provides coverage to the driver and passengers of a vehicle who are injured by an uninsured motorist.

Question 13

"Key-person" life insurance covers the lives of owners and other important persons who work for the business.Upon the death of the insured person,key-person life insurance is paid to the measuring life's heirs.

Accepted Answer

Key-person life insurance is paid to the business, not the heirs, to help mitigate financial losses that may occur due to the death of the key person.

Question 14

There are two (2)kinds of property: ________ property and ________ property.

Accepted Answer

Real property refers to immovable property such as land, buildings, and fixtures on the land. Personal property refers to movable property such as furniture, jewelry, and vehicles.

Question 15

What was the court's decision in Willsmore v.Township of Oceola,Michigan,in which the plaintiff sought clarification regarding the ownership of money found within a suitcase he found while hunting?

Accepted Answer

Willsmore complied with all required notice and posting provisions of the Township's Lost Property Act, so he was entitled to his share of the money.

Question 16

What does the Uniform Gift to Minors Act provide for?

Accepted Answer

The Uniform Gift to Minors Act provides a way for an adult to have some control over the use of a gift made to a minor. The adult can act as a custodian of the gift until the minor reaches a certain age, at which point the gift is transferred to the minor. This allows the adult to ensure that the gift is used appropriately and for the benefit of the minor. The Act does not provide for the mandatory or revocable method of making gifts, nor does it address the rights of siblings.

Question 17

Property is considered ________ property when its owner voluntarily places the property somewhere and then inadvertently forgets it.

Accepted Answer

Mislaid property refers to items that an owner intentionally places somewhere but then forgets to retrieve, as opposed to lost property, which is unintentionally separated from the owner.

Question 18

There were some trees growing that were cut down and cut into lumber,and used to build a house.What type of property were the trees while growing,as lumber,and as part of the house,respectively?

Accepted Answer

Growing trees are considered real property. Once cut down and turned into lumber, they become personal property. When used to build a house, they become part of the real property again.

Question 19

"No-fault" automobile insurance covers all expenses of a driver involved in a collision,as long as he or she was not at fault.

Accepted Answer

No-fault insurance covers medical expenses and other losses regardless of who was at fault, but it does not cover all expenses or vehicle damage.

Question 20

Which of the following is most likely to be considered a "fixture?"

Accepted Answer

A fixture is defined as something that is permanently attached to a property in a way that it cannot be removed without damage to the property. Curtains, a window-unit air conditioner, a television satellite dish, and a lamp are all considered personal property and can be easily removed without causing damage. A centrally-installed air conditioning unit is permanently attached and cannot be removed without damage to the property, thus making it the most likely choice for a fixture.

Quiz 37: Personal Property, Bailment, and Insurance

Which of the following is true when someone accidentally makes an improvement to the personal property of another where the owner was unaware of the improvement until after it had been made?

If a farmer takes some grain to a storage facility and later returns to retrieve an equal quantity of grain that is not the same grain placed in storage,the farmer has acquired ownership of the retrieved grain by:

Which of the following is true when a party wrongfully makes an improvement to someone else's property?

An "umbrella" insurance policy pays when other losses from a covered occurrence exceed the limits of other insurance.

The intellectual property for a new invention is what kind of property?

Deductible clauses provide that insurance proceeds are payable after the insured pays a coinsurance.

When an animal owned by someone has offspring,the party who owns the mother has acquired the offspring by:

If personal property is mislaid in a business establishment and found by an employee,who among the following has superior rights to that property?

Directors' and officers' liability insurance protects directors and officers from liability for the actions they take on behalf of the corporation.

A "gift causa mortis" differs from an "inter vivos" gift,in that a gift causa mortis:

A stock certificate is an example of:

Insurance that provides coverage to the driver and passengers of a vehicle who are injured by an uninsured motorist is called uninsured motorist insurance.

"Key-person" life insurance covers the lives of owners and other important persons who work for the business.Upon the death of the insured person,key-person life insurance is paid to the measuring life's heirs.

There are two (2) kinds of property: property and property.

What was the court's decision in Willsmore v.Township of Oceola,Michigan,in which the plaintiff sought clarification regarding the ownership of money found within a suitcase he found while hunting?

What does the Uniform Gift to Minors Act provide for?

Property is considered ________ property when its owner voluntarily places the property somewhere and then inadvertently forgets it.

There were some trees growing that were cut down and cut into lumber,and used to build a house.What type of property were the trees while growing,as lumber,and as part of the house,respectively?

"No-fault" automobile insurance covers all expenses of a driver involved in a collision,as long as he or she was not at fault.

Which of the following is most likely to be considered a "fixture?"

Quiz 37: Personal Property, Bailment, and Insurance

Which of the following is true when someone accidentally makes an improvement to the personal property of another where the owner was unaware of the improvement until after it had been made?

If a farmer takes some grain to a storage facility and later returns to retrieve an equal quantity of grain that is not the same grain placed in storage,the farmer has acquired ownership of the retrieved grain by:

Which of the following is true when a party wrongfully makes an improvement to someone else's property?

An "umbrella" insurance policy pays when other losses from a covered occurrence exceed the limits of other insurance.

The intellectual property for a new invention is what kind of property?

Deductible clauses provide that insurance proceeds are payable after the insured pays a coinsurance.

When an animal owned by someone has offspring,the party who owns the mother has acquired the offspring by:

If personal property is mislaid in a business establishment and found by an employee,who among the following has superior rights to that property?

Directors' and officers' liability insurance protects directors and officers from liability for the actions they take on behalf of the corporation.

A "gift causa mortis" differs from an "inter vivos" gift,in that a gift causa mortis:

A stock certificate is an example of:

Insurance that provides coverage to the driver and passengers of a vehicle who are injured by an uninsured motorist is called uninsured motorist insurance.

"Key-person" life insurance covers the lives of owners and other important persons who work for the business.Upon the death of the insured person,key-person life insurance is paid to the measuring life's heirs.

There are two (2) kinds of property: ________ property and ________ property.

What was the court's decision in Willsmore v.Township of Oceola,Michigan,in which the plaintiff sought clarification regarding the ownership of money found within a suitcase he found while hunting?

What does the Uniform Gift to Minors Act provide for?

Property is considered ________ property when its owner voluntarily places the property somewhere and then inadvertently forgets it.

There were some trees growing that were cut down and cut into lumber,and used to build a house.What type of property were the trees while growing,as lumber,and as part of the house,respectively?

"No-fault" automobile insurance covers all expenses of a driver involved in a collision,as long as he or she was not at fault.

Which of the following is most likely to be considered a "fixture?"

There are two (2) kinds of property: property and property.