Commercial Real Estate Terms Quiz

Obligations and Rights

• A bailee has an obligation to take reasonable care of the bailed property and return it to the bailor.

Types of Liens

• A bailee who is entitled to compensation can place a possessory lien on the bailed property.

Gift and Ownership

• The relinquishment of ownership rights in a valid gift is known as donation.
• A gift made during one's lifetime, not in contemplation of imminent death, is known as an inter vivos gift.
• Ownership rights in property include the right to possess and control it, known as dominion.

Property Concepts

• Confusion refers to the mixing of goods belonging to different owners, making it impossible to distinguish one from another.
• A lost or mislaid property with which the owner has involuntarily parted and cannot find or recover is known as mislaid property.
• The final step in the sale of real estate, where ownership is transferred to the buyer, is known as closing.

Deeds and Titles

• A grant deed signifies that the grantor warrants the property is free of liens and encumbrances.
• Acquisition of title to real property through open occupation, without the consent of the owner, is known as adverse possession.
• A Fee Simple Absolute is a type of property ownership where the owner has absolute rights to the property.

Types of Tenancy

• The primary characteristic of a fixed-term tenancy is that it has a specific start and end date.

Industrial and Commercial Use

• Industrial use refers to the use of property for manufacturing, processing, or storage.
• Commercial use refers to the use of property for business or trade purposes.

Warranties and Eviction

• The implied warranty of habitability ensures that a landlord must provide a habitable environment for tenants.
• An eviction process involves the removal of a tenant from a property, usually due to non-payment of rent.

Conveyance and Eminent Domain

• Conveyance refers to the transfer of property from one person to another.
• Eminent domain is the power of the government to take private property for public use, with compensation to the owner.
• Inverse condemnation is when a government takes property without compensating the owner.

Estate and Joint Tenancy

• A joint tenant's interest in a property is terminated upon their death, and the remaining joint tenants inherit the property.
• A leasehold estate is a type of property ownership where the owner has a temporary right to possess the property.
• A life estate is a type of property ownership where the owner has a right to possess the property for their lifetime.

Land Description and Marketable Title

• Metes and Bounds is a method used to describe land boundaries using directional distances.
• Marketable title refers to a title that is free of defects and can be transferred to another party.

Test your knowledge on commercial real estate terms such as commercial use, community property, concurrent ownership, and condemnation. Prepare for your Law of Commercial Transactions Exam 1 with this quiz!