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Question 1
Sam and Diane are neighbors. They agree that neither party have wild parties at their houses, so as to keep the noise level down in their area. Later, Sam sells his house to Woody. Is there privity between Woody and Diane?
Correct
Incorrect!
Correct There is no horizontal privity because there was no ownership relationship between Sam and Diane in the servient (in this case, Diane's) land. However, there is vertical privity because Sam did transfer the property to Woody voluntarily.
Incorrect! There is no horizontal privity because there was no ownership relationship between Sam and Diane in the servient (in this case, Diane's) land. However, there is vertical privity because Sam did transfer the property to Woody voluntarily.
Correct
Incorrect!
Correct
Incorrect!
Question 2
In the above case, assuming the notice, writing and intent elements are met, can Diane enforce the covenant against Woody?
Correct
Incorrect!
Correct For the burden of a covenant to run with the land (to be enforced against successor owners of the servient estate), it is required that there be both horizontal and vertical privity. In this case, Woody is the owner of the servient estate because it is he against whom the covenant is being enforced. Since there is no horizontal privity in this case, the covenant can't be enforced against Woody.
Incorrect! For the burden of a covenant to run with the land (to be enforced against successor owners of the servient estate), it is required that there be both horizontal and vertical privity. In this case, Woody is the owner of the servient estate because it is he against whom the covenant is being enforced. Since there is no horizontal privity in this case, the covenant can't be enforced against Woody.
Question 3
In the above case, assuming the notice, writing and intent elements are met, can Woody enforce the covenant against Diane?
Correct For the benefit of a covenant to run with the land, all that is required is vertical privity, not horizontal privity. Since, in this case, Woody is trying to enforce the covenant; the question is whether the benefit of the covenant ran with the land from Sam to Woody. Since there is vertical privity between Sam and Woody (Sam transferred the property to Woody), the benefit does run with the land so that Woody can enforce the covenant.
Incorrect! For the benefit of a covenant to run with the land, all that is required is vertical privity, not horizontal privity. Since, in this case, Woody is trying to enforce the covenant; the question is whether the benefit of the covenant ran with the land from Sam to Woody. Since there is vertical privity between Sam and Woody (Sam transferred the property to Woody), the benefit does run with the land so that Woody can enforce the covenant.
Correct
Incorrect!
Question 4
Sam and Diane are neighbors. They agree that neither party have wild parties at their houses, so as to keep the noise level down in their area. One night, Sam has a large party in his house that emits lots of noise and keeps Diane up all night. Assume that the agreement between Sam and Diane constituted a real covenant. What remedy, if any, is generally available to Diane?
Correct A real covenant will usually be enforced by monetary judgments, not by specific performance or injunction. If this were an equitable servitude, and not a real covenant, then the most appropriate remedy would be an injunction.
Incorrect! A real covenant will usually be enforced by monetary judgments, not by specific performance or injunction. If this were an equitable servitude, and not a real covenant, then the most appropriate remedy would be an injunction.
Correct
Incorrect!
Correct
Incorrect!
Correct
Incorrect!
Question 5
Rosie owns a large shopping mall called the "Palisades Center." In the Palisades Center, there is a food court, in which scores of restaurants and booths that sell food are set up. Joe buys the rights to one of these stores located in the food court. Nowhere in the deed conveying the store does it mention anything about a restriction as to what Joe can do with the store. So, Joe opens a store that sells driveway repaving tar. Needless to say, the smell emanating from his store does little to enhance the experience of the patrons of the food court. Which of the following, if any, is the best argument that Rosie can make to force Joe to stop operating his store?
Correct
Incorrect!
Correct
Incorrect!
Correct An implied equitable servitude can arise when a common plan or scheme is obvious to the buyer of a subdivision in an area at the time that the buyer buys his or her property. In this case, it was obvious to Joe that the food court stores were designed to sell food. Thus, Rosie can argue that such an implied servitude prevents him from running a store that will be harmful to the other stores in the area.
Incorrect! An implied equitable servitude can arise when a common plan or scheme is obvious to the buyer of a subdivision in an area at the time that the buyer buys his or her property. In this case, it was obvious to Joe that the food court stores were designed to sell food. Thus, Rosie can argue that such an implied servitude prevents him from running a store that will be harmful to the other stores in the area.