ADM 477 Indiana Wesleyan University Lost versus Abandoned Property Paper

ADM-477: Business LawI can provide book link if needed.

Getting Started

Michael and Daniel are downtown business owners. One day, while both men are sweeping their storefronts, Daniel notices as Michael’s pocket watch falls out of his smock, without Michael knowing. Daniel thinks the watch is valuable, so he quickly picks it up. The next day, Michael asks Daniel if he has seen his pocket watch. Daniel replies, “Your loss, my gain.” Fortunately for Michael, Daniel’s assertion is incorrect. The pocket watch is deemed lost property. Daniel cannot gain ownership rights to the watch, because Michael has not intentionally given up possession and ownership of it. Daniel must return the pocket watch to Michael, because he is the true owner. If Daniel refuses to return the watch, he will be guilty of conversion.

Upon successful completion of the course material, you will be able to:

• Explain how to acquire ownership of personal property and the ethical dilemmas involved.

Resources

• Textbook: The Legal Environment of Business

Background Information

With respect to personal property, there are various paths to ownership. One may acquire ownership of personal property by purchasing it or by creating it, for example. If a person has been hired to create an item for another, the property belongs to the person who paid to have the work done. When it comes to abandoned, lost, and mislaid property, the ownership right of the finder varies.

Abandoned property is property of which the owner intentionally gives up possession and ownership. For example, Greg decides that he no longer wants his paper shredder, so he places it on the sidewalk outside his office. A passerby named Charles finds the shredder and takes it back to his apartment. Charles is now the legal owner of the abandoned shredder.

Lost property is property of which the owner unintentionally loses possession. For example, if Randall accidentally drops his mobile phone, the phone would be considered lost property. Randall is still considered the legal owner of the phone. When a person finds lost property, that person does not acquire legal ownership of the lost property; however, the finder is entitled to possession against any other person other than the legal owner. So, if Mary finds Randall’s lost phone, and she knows that Randall is the true owner, she must return the phone to Randall. If she does not, she has committed the crime of conversion.

Mislaid property is that which the owner intentionally places at a specific location and then accidentally leaves it there without the intention of giving up possession and ownership. For example, while at the airport, Bill places his briefcase in the seat next to him. A change in his departure gate is announced, and, in a rush to get to the new gate, Bill leaves his briefcase behind. Bill’s briefcase is considered mislaid property. Only after his flight takes off does Bill realize that he has left his briefcase in the airport. It is foreseeable that he will contact the airport to retrieve it. So, a finder of mislaid property has no rights to the property. The finder must hold the property for the true owner. Commonly, the finder will turn the property in to the “lost and found” department. States have statutes of limitations that place restrictions on the amount of time the true owner is given to show up and claim the property or to file a lawsuit to reclaim possession of the property. If the true owner fails to meet the statute of limitations requirement, the finder will be deemed the new legal owner of the property.

Instructions

1. Review the rubric to make sure you understand the criteria for earning your grade.
2. In your textbook, The Legal Environment of Business, read Chapter 8, “Real and Personal Property.”
3. Consider the following scenario: Last Friday, Patricia was in the order line of her company’s café when she saw a crumpled bill on the floor. Thinking it was a $1 bill, Patricia reached down to pick it up. (She would have reached down to pick up a penny as long as it was “heads up!”) When she unfolded the money, Patricia discovered (much to her amazement) that it was actually a $100 bill. Patricia quickly lost her appetite, stuffed the $100 bill in her pocketbook, and went home.
4. Navigate to the threaded discussion and respond to the following prompts:Assess Patricia’s rights regarding her discovery. Does she have the legal right to keep the money?More importantly, does she have an ethical or moral right to keep the money?
5. Your initial post is due by the end of the fourth day of the workshop.
6. Read and respond to at least two of your classmates’ postings, as well as all instructor follow-up questions directed to you, by the end of the workshop.
7. Your postings also should:Be well developed by providing clear answers with evidence of critical thinking.Add greater depth to the discussion by introducing new ideas.Provide clarification to classmates’ questions and provide insight into the discussion.Be posted on three different days during the workshop.