business law questions

Chapter 21: Protecting theEnvironment
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Common Law Actions
▪ Nuisance.
• Person liable if they use their property in a
manner that unreasonably interferes with
others’ rights to use or enjoy their own
property.
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Common Law Actions
▪ Negligence and Strict Liability.
• Business or person’s failure to use
reasonable care toward a party whose
injury was foreseeable and caused by the
lack of reasonable care.
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Federal, State, and
Local Regulations
▪ All levels of government regulate
some aspect of the environment.
▪ State and Local Regulations.
• Local Zoning Laws.
• Local Growth and Development Plans.
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Federal, State, and
Local Regulations
▪ Federal Regulations.
• Environmental Regulatory Agencies:
primary federal agency is the EPA. All
federal agencies must take the
environmental impact into account when
making significant decisions. →
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Federal, State, and
Local Regulations
▪ Federal Regulations.
• Environmental Impact Statements. An EIS
must analyze:
• The impact of the proposed action on the
environment.
• Any adverse effects of the action and
alternatives to the action.
• Any irreversible effects the action might
generate.
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Air Pollution
▪ Mobile Sources.
• 2009 Obama administration long-term
goals of reducing emissions.
▪ Stationary Sources.
• Listing of Hazardous Air Pollutants.
• CASE 21.1 NEW JERSEY V. EPA (2008). Why
was the EPA ordered to delist mercury?
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Air Pollution
▪ Stationary Sources.
• Air Pollution Control Standards.
▪ Violations of the Clean Air Act.
• Civil penalties up to $25,000/day.
• Intentional violations may involve criminal
penalties.
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Water Pollution
▪ Clean Water Act goals are: safe
swimming, protection of fish and wildlife,
elimination of the discharge of pollutants
into waterways.
• Focus on Point-Source Emissions:
municipal, industrial, and agricultural
sources must have a permit. →
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Water Pollution
▪ Clean Water Act (cont’d).
• Point Source Emissions.
• CASE 21.2 NATURAL RESOURCES DEFENSE
COUNCIL V. COUNTY OF LOS ANGELES (2011).
What was the key factor in the court’s
ruling?
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Water Pollution
▪ Clean Water Act (cont’d).
• Standards for Equipment: ‘best available
control technology’ (BACT). EPA must weigh
cost of BACT with benefits.
• CASE 21.3 ENTERGY CORP. V. RIVERKEEPER,
INC. (2009). Why was the cost-benefit
analysis permitted by the EPA?
• Violations of the Clean Water Act.
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Water Pollution
▪ Wetlands. CWA prohibits filling or
dredging of wetlands unless a permit
is issued.
▪ Drinking Water: EPA sets maximum level
for pollutants.
▪ Ocean Dumping.
▪ Oil Pollution. See the 2010 British
Petroleum Gulf Oil Spill.
http://en.wikipedia.org/wiki/Deepwater_Horizon_oil_spill
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Toxic Chemicals
▪ Pesticides and Herbicides.
• Federal Insecticide, Fungicide, and
Rodenticide Act (FIFRA) : regulates the use
of pest control chemicals in the process of
food growth to food packaging, to
minimize their presence in foods
consumed.
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Toxic Chemicals
▪ Toxic Substances Control Act:
• Requires anyone planning to use chemicals
first determine their effect on human
health and environment.
• EPA can require special labeling, limit use
of substance, set production quotas, or
prohibit the use of a substance altogether.
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Hazardous Waste Disposal
▪ Resource Conservation and Recovery
Act.
• Authorizes the EPA to issue regulations for
the monitoring, transporting, storage,
treatment, and disposal of hazardous
substances.
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Hazardous Waste Disposal
▪ SUPERFUND – CERCLA.
• Designed to ensure the clean-up of
hazardous waste sites and to assign
liability for the costs of the cleanup
operations.
• Potentially Responsible Parties:
• (1) the person who generated the wastes
disposed of at the site, →
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Hazardous Waste Disposal
▪ SUPERFUND – CERCLA.
• Potentially Responsible Parties:
• (2) the person who transported the wastes
to the site,
• (3) the person who owned or operated the
site at the time of the disposal, or
• (4) the current owner or operator.
• Joint and Several Liability. →
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Hazardous Waste Disposal
▪ SUPERFUND – CERCLA.
• Minimizing Liability.
• Defenses: innocent landowner defense
which requires no knowledge of
contamination at the time of sale, and
that she took all appropriate investigation.
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Chapter 20: Consumer Protection
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Selected Areas of Consumer Law
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Deceptive Advertising
▪ Occurs if a reasonable consumer
would be misled by the advertising
claim.
• Puffery: Vague generalities and obvious
exaggerations are permissible and not
considered deceptive. →
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Deceptive Advertising
▪ Bait and Switch.
• Advertising of a product at an
attractively low price to lure customers
in to buy more expensive items.
▪ Online Deceptive Advertising.
• FTC monitors websites for deceptive
claims involving everything from medical
treatments, to exercise equipment. →
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Deceptive Advertising
▪ Online Advertising (cont’d).
• 1. All ads—both online and offline—must
be truthful and not misleading.
• 2. The claims made in an ad must be
substantiated; that is, advertisers must
have evidence to back up their claims. →
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Deceptive Advertising
▪ Online Advertising (cont’d).
• 3. Ads cannot be unfair, which the FTC
defines as “likely to cause substantial
consumer injury that ads must: be truthful,
substantiated, and fair.
• CASE 20.1 Hyptertouch, Inc. v
ValueClick, Inc. (2011). Why was the
state SPAM law preempted by the federal
CAN-SPAM Act?
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Deceptive Advertising
▪ Federal Trade Commission Actions.
• The FTC is charged with enforcing federal
laws against deceptive advertising, can:
• Issue Complaint Orders.
• Issue Cease and Desist Orders.
–Counteradvertising.
–Multiple Product Order.
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Telemarketing and
Fax Advertising
▪ Telephone Consumer Protection Act:
Prohibits telephone solicitations using
automated dialing systems or a prerecorded voice or unsolicited faxes.
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Telemarketing and
Fax Advertising
▪ Telemarketing and Consumer Fraud
and Abuse Prevention Act 1994:
requires telemarketers to identify
themselves and not misrepresent facts.
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Labeling and Packaging Laws
▪ Labeling must be accurate, and must
use words that are easily understood
by the ordinary consumer.
▪ Federal Statutes: product labeling and
packaging are regulated by various laws,
depending on the product. →
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Labeling and Packaging Laws
▪ Federal Statutes (cont’d).
• CASE 20.2 PADUANO V. AMERICAN
MOTOR HONDA CO. (2009). Is a state
action for false advertising better for the
consumer?
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Labeling and Packaging Laws
▪ Food Labeling.
• Fair Packaging and Labeling Act
requires food product labels to identify:
• 1) the product;
• (2) the net quantity of the contents and, if the
number of servings is stated, the size of a
serving;
• (3) the manufacturer; and
• (4) the packager or distributor, plus additional
requirements on descriptions.
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Labeling and Packaging Laws
▪ New Menu Labeling Regulations.
• President Obama signed new labeling law
in 2010, aimed at combating obesity.
• FDA is developing a national standard for
menu and caloric information.
• Applies to any restaurant chain with over
20 restaurants.
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Sales
▪ Door-to-Door sales. →
▪ Telephone and Mail Order Sales. →
▪ Online Sales. →
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Sales
▪ Door-To-Door Sales.
• The FTC and many states require that, for
door-to-door sales, consumers have a postsale “cooling-off” period during which they
can cancel their purchase without
obligation.
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Sales
▪ Telephone and Mail-Order Sales.
• FTC rules require mail and telephone
merchants to:
• Ship orders within the time promised in
their catalogues and advertisements,
• Notify consumers when orders cannot be
shipped on time, and
• Issue timely refunds when orders cannot
be shipped.
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Sales
▪ Telephone and Mail-Order Sales.
• The Postal Reorganization Act of 1970
provides that unsolicited merchandise sent
by U.S. mail may be retained, used,
discarded, or disposed of in any manner
deemed appropriate, without the recipient’s
incurring any obligation to the sender.
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Sales
▪ Online Sales.
• FTC and other federal agencies have
brought a number of enforcement actions
against deceptive online sales.
• Some states are now requiring explicit
refund and return policies.
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Protection of Health and Safety
▪ Food and Drugs.
• Federal Food, Drug, and Cosmetic Act.
• This statute protects consumers against
adulterated and misbranded foods and
drugs.
• Also charges the FDA to ensuring drugs are
safe and effective before marketed to the
public.
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Protection of Health and Safety
▪ Consumer Product Safety.
• The Consumer Product Safety Commission
(CPSC) has broad regulatory authority over
the safety of consumer products, including:
1. Setting safety standards for consumer
products.
2. Ban the manufacture and sale of any
product that the commission believes
poses an “unreasonable risk” to
consumers. →
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Protection of Health and Safety
▪ Consumer Product Safety.
• The Consumer Product Safety Commission
(CPSC) has the authority to:
3. Remove from the market any products it
believes to be imminently hazardous and issue
recalls.
4. Require manufacturers to report on any
products already sold or intended for sale if
the products have proved to be hazardous.
5. Administer other product-safety legislation,
such as the Child Protection and Toy Safety
Act.
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Protection of Health and Safety
▪ Health Care Reforms.
• In 2010, President Obama signed the
new Patient Protection and Affordable
Care Act.
• Reforms help more children and young
adults get health coverage.
• Businesses are now given tax credits to
assist in providing healthcare.
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22
Credit Protection
▪ Truth-in-Lending Act. →
▪ Fair Credit Reporting Act. →
▪ Fair Debt Collection Practices Act.→
▪ Wage Garnishment.→
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Credit Protection
▪ Truth in Lending Act.
• TILA is essentially a disclosure law. Only
applies to firms who lend funds, sell on
credit, or arrange an extension of credit.
• Disclosure Requirements.
• Equal Credit Opportunity: requires credit
be extended without regard to race, sex,
color, national origin, age, or marital
status. →
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Credit Protection
▪ Truth in Lending Act.
• Credit Card Rules.
• Limits consumer liability for credit card
debt in cases of stolen cards to $50.
• 2010 Credit Card Protections.
1. A company may not retroactively increase
the interest rates on existing card balances,
unless the account is sixty days delinquent.
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Credit Protection
▪ Truth in Lending Act.
• 2010 Credit Card Protections.
2. A company must provide forty-five days’
advance notice to consumers before
changing the credit card terms.
3. Monthly bills must be sent to cardholders
twenty-one days before the due date. →
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Credit Protection
▪ Truth in Lending Act.
• 2010 Credit Card Protections.
4. The interest rate charged on a customer’s
credit-card balance may not be increased
except in specific situations, such as when
a promotional rate ends.
5. A company may not charge over limit fees
except in specified situations.→
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Credit Protection
▪ Truth in Lending Act.
• 2010 Credit Card Protections.
6. If a customer has balances at different
interest rates, payments in excess of the
minimum amount due must be applied
first to the balance with the highest rate.
7. A company may not compute finance
charges based on the previous billing cycle
(known as double-cycle billing).
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Credit Protection
▪ Truth in Lending Act.
• Consumer Leases.
▪ Fair Credit Reporting Act.
• Protects consumers against inaccurate
credit reporting and requires lenders and
creditors to correct errors.
• Consumer Notification and Inaccurate
Information. If denied credit, consumer
has right to source of information.
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Credit Protection
▪ Fair And Accurate Credit Transactions
Act (combat identity theft).
• Allows consumers to place an alert on
national fraud alert system.
• Requires major credit companies provide
free credit report.
• Allows consumers victimized by identity
theft to rebuild their credit.
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Credit Protection
▪ Fair Debt Collection Practices Act.
• 1. Contact the debtor at the debtor’s place
of employment if the debtor’s employer
objects.
• 2. Contact the debtor during inconvenient
or unusual times or at any time if the
debtor is being represented by an attorney.

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Credit Protection
▪ Fair Debt Collection Practices Act.
• 3. Contact third parties other than the
debtor’s parents, spouse, or financial
adviser about payment of a debt without
court order.
• 4. Harass or intimidate debtor or make
false or misleading statements.→
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Credit Protection
▪ Fair Debt Collection Practices Act.
• 5. Communicate with the debtor at any
time after receiving notice that the debtor
is refusing to pay the debt, except to advise
the debtor of further action to be taken by
the collection agency.
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Credit Protection
▪ Fair Debt Collection Practices Act.
• Notification and Bona Fide Errors.
• Bona fide error is a defense against
violations.
• CASE 20.3 JERMAN V. CARLISLE, MCNELLIE,
RINI, KRAMER & ULRICH, LPA (2010). What is
the status of this defense after this case?
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Chapter 19: Powers and Functions
of Administrative Agencies
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May
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The Practical Significance
of Administrative Law
▪ Administrative law is created by
administrative agencies which
regulate many areas of our
government, community, and
businesses.
• A significant cost of ‘doing business’
requires compliance with administrative
and agency laws. →
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The Practical Significance
of Administrative Law
▪ Administrative Agencies Exist at All
Levels of Government.
▪ Agencies Provide Comprehensive
Regulatory Scheme.
• Many businesses have incentive to
influence the regulatory environment.
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Agency Creation and Powers
▪ The study of administrative law
requires an understanding of:
• Enabling Legislation. →
• The Types of Agencies. →
• Agency Powers and the Constitution. →
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Agency Creation and Powers
▪ Enabling Legislation.
• Federal Trade Commission (FTC)
granted power to:
• 1. To create “rules and regulations for the
purpose of carrying out the Act.”
• 2. To conduct investigations of business
practices. →
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Agency Creation and Powers
▪ Enabling Legislation.
• Federal Trade Commission (FTC)
granted power to:
• 3. To obtain reports from interstate
corporations concerning their business
practices.
• 4. To investigate possible violations of
federal antitrust statutes. →
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Agency Creation and Powers
▪ Enabling Legislation.
• Federal Trade Commission (FTC)
granted power to:
• 5. To publish findings of its
investigations.
• 6. To recommend new legislation.
• 7. To hold trial-like hearings to resolve
disputes.
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Agency Creation and Powers
▪ Agency Powers and the Constitution.
• Legislative Rules: act as legally binding as
laws passed by Congress. Agencies also
pass interpretive rules.
• The Delegation Doctrine.
• Executive Controls: Presidential veto
power. →
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Agency Creation and Powers
▪ Agency Powers and the Constitution.
• Judicial Controls.
• Exhaustion Doctrine: party seeking court review
must first exhaust all administrative remedies
before filing suit.
• Ripeness Doctrine: court will not review
administrative decision until it is ‘ripe’ for
review.
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9
The Administrative Procedure Act
▪ In the absence of clear Congressional
direction, all federal agencies must
follow APA procedural requirements
in notice, rulemaking, and
adjudication. →
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10
The Administrative Procedure Act
▪ Arbitrary and Capricious Test:
• The APA gives courts power to hold agencies’
actions “arbitrary and capricious” if they are
not in compliance with constitutional due
process.
• CASE 19.1 FCC V. FOX TELEVISION STATIONS,
INC. (2009). Are the FCC’s indecency rules
too ‘vague’?
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11
The Administrative Procedure Act
▪ Rulemaking: formulation of new
regulation. Notice and Comment
Rulemaking involves three steps:
• Notice of the Proposed Rulemaking.
• Comment Period.
• The Final Rule.
▪ Informal Agency Action: exempt from
APA, do not establish legal rights.
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12
Judicial Deference
to Agency Decisions
▪ The Holding of the Chevron Case.
• Issue was whether courts should defer to
an agency’s interpretation of the
enabling legislation which gives it
authority to act.
• In Chevron, the EPA interpreted not only
the facts, but the law. →
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13
Judicial Deference
to Agency Decisions
▪ The Chevron Case (cont’d).
• The U.S. Supreme Court held that a
federal agency could interpret law with a
two prong test: (1) did Congress directly
address the issue in a statute? And (2) if
the statute is silent, was the agency’s
interpretation of the law “reasonable”?

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14
Judicial Deference
to Agency Decisions
▪ When Courts Will Give Chevron
Deference to Agency Interpretation.
• When the meaning of a statute’s
language is unclear, courts must follow
agency interpretation if reasonable.
• CASE 19.2 Mayo Foundation for Medical
Education and Research v. United States
(2011).
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15
Agency Enforcement
and Adjudication
▪ Investigation includes the powers to:
• Conduct Inspections.
• Issue Subpoenas.
• Conduct Site Inspections (including
warrantless inspections in certain limited
situations such as firearms or liquor).
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16
Agency Enforcement
and Adjudication
▪ Adjudication (like a trial before a
judge).
• Negotiated Settlements.
• Formal Complaints.
• Role of the Administrative Law Judge.
• Hearing Procedures.
• Agency Orders.
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17
Public Accountability
▪ A number of pieces of legislation make
agencies more accountable through public
scrutiny.
• Freedom of Information Act. →
• Government in the Sunshine Act. →
• Regulatory Flexibility Act. →
• Small Business Regulatory Enforcement
Fairness Act. →
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18
Public Accountability
▪ Freedom of Information Act.
• Requires federal government to disclose
records on request, but denial can be
challenged in court.
• CASE 19.3 UNITED TECHNOLOGIES CORP. V.
U.S. DEPARTMENT OF DEFENSE (2010). Court
ordered a rational connection between
facts and choice to deny.
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19
Public Accountability
▪ Government in the Sunshine Act.
Requires that “every portion of every
meeting of an agency” be open to
“public observation.”
• Adequate notice of meetings must be
given to the public.
• Closed meetings are authorized in a
limited number of instances.
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20
Public Accountability
▪ Regulatory Flexibility Act. Requires an
analysis of the cost a regulation will
impose on small business and must
consider less burdensome alternatives.
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21
Public Accountability
▪ Small Business Regulatory
Enforcement Fairness Act. Allows
Congress to review new federal
regulations for at least sixty-days before
they can take effect.
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22
State Administrative Agencies
▪ Play significant role in administrative
law.
▪ States play parallel role with federal
agencies.
▪ If federal and state agencies conflict,
federal administrative law governs.
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23
Chapter 22: Real Property
and Land-Use Control
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© 2013 distributed
Cengage Learning.
All Rights
Reserved.
May
be copied,
or duplicated,
in whole
or in part, except
license
with a certain
product
or service
or not
otherwise
on a scanned,
password-protected
website
for classroom
use. for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
The Nature of Real Property
▪ Real property is immovable and
includes:
• Land and Structures: land includes the soil,
and all natural and artificial structures on
it (unless agreed otherwise). →
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2
The Nature of Real Property
▪ Real property is immovable and
includes (cont’d):
• Airspace and Subsurface Rights:
subsurface rights can be titled and sold
separately.
• Plant Life and Vegetation: crops can be
sold separately.
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3
The Nature of Real Property
▪ Real property is immovable and
includes (cont’d):
• Fixtures: personal property so closely
attached to real property, that the law
considers it to be real property.
• CASE 22.1 APL LIMITED V. STATE OF
WASHINGTON DEPARTMENT OF REVENUE (2010).
What was the key factor in this case?
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4
Ownership and Other
Interests in Real Property
▪ Ownership in Fee Simple.
• Gives the owner the greatest aggregation
of rights, powers and privileges possible
under American law.
• Owner has indefinite right to exclusive
possession and use of property.
• Nuisance: interference with another’s
right to use and enjoy his property.
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5
Ownership and Other
Interests in Real Property
▪ Life Estates.
• Estate that lasts for the life of some
specified individual.
• During life tenant’s ownership, she can
possess, use, and take the fruits of the
estate, but not take from the property
itself.
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6
Ownership and Other
Interests in Real Property
▪ Nonpossessory Interests.
• Easement: right of a person to make
limited use of another person’s real
property without taking anything from
the property.
• Profit: right to go onto another’s land
and take away some part of the land
itself or some product of the land. →
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7
Ownership and Other
Interests in Real Property
▪ Nonpossessory Interests.
• Easement or Profit Appurtenant: Owner of
property (dominant) has right to go onto
adjacent property (servient). Easement
goes with the land at sale or transfer. →
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8
Ownership and Other
Interests in Real Property
▪ Nonpossessory Interests.
• Easement or Profit in Gross:
• Right to go onto non-adjacent property by
business or utility company.
• Easement goes with the land at sale or
transfer.
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9
Ownership and Other
Interests in Real Property
▪ Nonpossessory Interests.
• Creation of an Easement or Profit:
• Must be in writing created by deed,
contract, or will.
• Can be created by implication.
• Can be created by necessity.
• Can be created by prescription.
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10
Ownership and Other
Interests in Real Property
▪ Nonpossessory Interests.
• Termination of an Easement or Profit:
• Nonuse with intent to abandon.
• License:
• Revocable right of a person to come onto
other person’s land.
• Grants no interest in the land.
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11
Transfer of Ownership
▪ Real Estate Sales Contracts: must be in
writing and signed, to be enforceable
under the Statute of Frauds.
• Contingencies.
• Closing Date and Escrow.
• Implied Warranty of Habitability.
• Seller’s Duty to Disclose Hidden Defects.
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12
Transfer of Ownership
▪ Deeds: written instrument used to
transfer interests in real estate.
• Necessary components:
• Names of Grantor and Grantee.
• Words evidencing intent to convey.
• Legally sufficient description.
• Grantor’s Signature.
• Delivery of the Deed.
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13
Transfer of Ownership
▪ Types of Deeds:
• Warranty Deeds.
• Special Warranty Deed.
• Quitclaim Deed.
• Grant Deed.
• Sheriff’s Deed.
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14
Transfer of Ownership
▪ Deeds.
• Recording Statutes.
• Recording a deed (or any interest in real
property) puts the public on notice of the
new owner’s interest in the land and
prevents the previous owner from
fraudulently conveying the same interest
to another buyer. →
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15
Transfer of Ownership
▪ Will or Inheritance.
• Passed at owner’s death.
▪ Adverse Possession.
• Occurs when one person possesses the
property of another for a certain statutory
period of time, that person automatically
acquires title to the land, just as if there had
been a conveyance by deed. →
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16
Transfer of Ownership
▪ Adverse Possession.
• Must be: Actual and Exclusive, Open,
visible and notorious, Continuous and
peaceable, Hostile and adverse.
• CASE 22.2 SCARBOROUGH V. ROLLINS (2010).
What was the key factor in Rollins’ proof of
title to the land?
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17
Limitations on the Rights
of Property Owners
▪ Rights in property are constrained by
federal, state, and local laws.
▪ Eminent Domain.
• The Fifth Amendment gives the
government the right to take (condemn)
private land for “public use” with just
compensation to owner. →
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18
Limitations on the Rights
of Property Owners
▪ Eminent Domain (cont’d).
• CASE 22.3 TOWN OF MIDLAND V. MORRIS
(2011). Is it fair that a city can exercise its
eminent domain powers to take private
property that will not immediately benefit
the city’s residents?
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19
Limitations on the Rights
of Property Owners
▪ Restrictive Covenants.
• A private restriction on the use of land
and is generally binding on the
purchaser of the land because it “runs
with the land” as stated in the deed.
▪ Inverse Condemnation.
• Government takes land without paying
compensation at all.
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20
Leasehold Estates
▪ Created when owner or lessor conveys
right to possess or use the property to
a lessee (tenant) for period of time.
▪ Fixed-Term Tenancy (or Tenancy for
Years): express contact for specified
period of time. →
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21
Leasehold Estates
▪ Periodic Tenancy: no definite duration,
but rent paid at certain intervals.
▪ Tenancy at Will: termination of lease
without notice.
▪ Tenancy at Sufferance: tenant
wrongfully possesses property.
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22
Landlord-Tenant Relationships
▪ Lease Agreement can be oral or
written (oral may not be
enforceable).
▪ Lease gives Tenant the temporary
right to exclusively possess the
property.
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23
Landlord-Tenant Relationships
▪ Rights and Duties.
• Possession: tenant has “covenant of quiet
enjoyment.”
• Landlord has a duty to deliver actual (or
right to) physical possession.
• Eviction: landlord interferes with tenant’s
right to possession. Constructive eviction:
landlord fails to perform duties under the
lease, making use of premises impossible.
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24
Landlord-Tenant Relationships
▪ Rights and Duties (continued).
• Use and Maintenance of the Premises.
• Tenant is responsible for damages to
property, and cannot be a nuisance and
interfere with others quiet use of
property.
• Landlord is responsible to maintain
common areas such as stairs, pools, and
elevators.
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25
Landlord-Tenant Relationships
▪ Rights and Duties (continued).
• Implied Warranty of Habitability: premises
are safe and habitable for humans to live
in. Landlord is responsible to keep leased
premises in good repair.
• Rent: rent can be withheld but it must be
put into escrow pending repairs.
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26
Landlord-Tenant Relationships
▪ Transferring Rights to Leased
Property.
• Assignment: lessee can transfer lease to
assignee, if allowable under lease.
Assignor is still liable for rent.
• Sublease: tenant transfers all or part of
premises for less than duration of lease.
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27
Landlord-Tenant Relationships
▪ Termination of the Lease.
• Usually a lease terminates when its term
ends, and landlord retakes possession.
• Release and Merger—Tenant becomes
owner, needs writing.
• Surrender By Agreement—Parties agree to
terminate early, need writing.
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28
Landlord-Tenant Relationships
▪ Termination of the Lease. (cont’d)
• Abandonment—Tenant abandons;
automatic termination, no writing
required. Landlord is required to mitigate
her damages and rent the property.
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29
Land-Use Control
▪ Zoning Laws.
• Purpose and Scope of Zoning Laws.
• Permissible Uses of Land: residential,
commercial, and industrial.
• Other Zoning Restrictions: residential
areas.
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30
Land-Use Control
▪ Exceptions to Zoning Laws.
• Variances: allows exception to the zoning
rules.
• Special-Use Permits.
• Special Incentives: encourages
development, usually by tax incentives and
abatements.
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