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Foundations of Law

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Foundations of Law
Real Property
Personal Property
Bailments

Question 1

A bailment is a relationship in which the bailor transfers ____________ to the bailee.

possession

Correct While a gift transfers title to personal property, a bailment is the transfer of possession of the property. Therefore A is the correct answer.

Incorrect! While a gift transfers title to personal property, a bailment is the transfer of possession of the property. Therefore A is the correct answer.

custody

Correct

Incorrect!

title

Correct

Incorrect!

none of the above

Correct

Incorrect!

Question 2

Mike rents a car from Avis for 2 days for the price of $100. Mike gets into a car accident. Will he be liable for the damage to the car?

No

Correct

Incorrect!

Yes, if he was even slightly negligent in his driving.

Correct

Incorrect!

Yes, if he failed to live up to the standard of ordinary negligence.

Correct Mike is a bailee for hire because the rental arrangement benefits both parties. In such a case, the bailee will be liable if the bailment gets damaged through his or her ordinary negligence. Therefore C is the correct answer.

Incorrect! Mike is a bailee for hire because the rental arrangement benefits both parties. In such a case, the bailee will be liable if the bailment gets damaged through his or her ordinary negligence. Therefore C is the correct answer.

Yes, only is he was grossly negligent.

Correct

Incorrect!

Question 3

Wilma is staying at the Midtown Hilton hotel. She gives her pocketbook to the concierge, who agrees to store it in a safe for her. However, the concierge is negligent and forgets to lock the safe. Wilma's pocket book is stolen. It turns out that there was a diamond ring in the purse worth $5,000. Is the hotel liable for the value of the ring?

No, because it was the negligence of the concierge, not a matter of hotel policy that caused the ring to be stolen.

Correct

Incorrect!

No, because the concierge did not know that the diamond ring was in the purse.

Correct

Incorrect!

No, because Wilma was negligent in leaving such an expensive ring in the care of the hotel.

Correct

Incorrect!

Yes, because it is certainly foreseeable that a purse would have a ring in it.

Correct A bailee is liable for anything within a bailment that he or she was aware of or had a reason to be aware of. Here, it is reasonable to assume that there are valuable contents in a purse that a patron gives to a hotel to watch over. Therefore, the hotel is liable for the ring and D is the correct answer.

Incorrect! A bailee is liable for anything within a bailment that he or she was aware of or had a reason to be aware of. Here, it is reasonable to assume that there are valuable contents in a purse that a patron gives to a hotel to watch over. Therefore, the hotel is liable for the ring and D is the correct answer.

Question 4

A difference between a bailment and an inter-vivos gift is that...

An inter-vivos gift requires a delivery.

Correct

Incorrect!

A bailment requires intent on the part of the bailor to give over title to the property.

Correct

Incorrect!

An inter-vivos gift must be between living people.

Correct

Incorrect!

The acceptance of an inter-vivos gift is usually presumed.

Correct Choice A is true of both a gift and a bailment. Choice B is incorrect because a bailment requires intent to deliver possession, not title. Choice C is true of both gifts and bailments. Choice D is correct because acceptance of a gift is presumed as long as it benefits the donee, while acceptance of a bailment is not presumed.

Incorrect! Choice A is true of both a gift and a bailment. Choice B is incorrect because a bailment requires intent to deliver possession, not title. Choice C is true of both gifts and bailments. Choice D is correct because acceptance of a gift is presumed as long as it benefits the donee, while acceptance of a bailment is not presumed.

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