Property creative commons licensed (BY-NC-ND) flickr photo by brunurb: https://flic.kr/p/m1jnXe

Brief 3 draft Case? Wal-Mart Stores, Inc. v. Patterson, 816 So. 2d 1 (Ala., 2001) Facts? Issue? Does the Alabama Worthless Check Act grant immunity for malicious prosecution to a holder of a worthless check who has not verified the identity of the check writer?

Vocabulary malicious prosecution immunity nolprossed nolle prosequi prima facie

In-class property assignment creative commons licensed (BY-NC-SA) flickr photo by jonathanpercy: https://flic.kr/p/g7zLdx

Property • Collection of rights: –use –possession –alienation –exclusion of others

More definitions • Real property (realty): –Land and anything permanently attached to the land • As opposed to –Personal property (personalty, goods, chattels) • Tangible • Intangible

personal property transfer • purchase • gift • bequest

Gift requirements • donative intent • delivery • acceptance

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Estates • Fee simple – Absolute ownership of real property limited by the four basic government powers of taxation, eminent domain, police power, and escheat – May become void or subject to annulment based on condition in deed • “For so long as . . .” • “But if . . . grantor has the right of entry (power of termination).” • Life estate: use and possession for life

Future interests • Reversion: estate returns to grantor – e.g., “to Joe for life” • Remainder: to third party – e.g., “to Jane for life, remainder to Joe” – Joe is the remainderman

Limited Rights • Easement – Right to use for a particular purpose, e.g., utility lines • Covenant – Enforceable promise regarding use • Equitable servitude – Promise not to perform specific acts

Concurrent ownership • Joint and undivided ownership of property – All owners have right to use entire property • Tenancy in common – May be unequal shares – Inheritable; no survivorship rights • Joint tenants (with rights of survivorship) – Equal shares – Surviving tenant(s) automatically inherits deceased tenant(s)’ share(s)

Tenancy • Tenancy by entirety – Joint ownership by spouses – Surviving spouse has rights of survivorship – Neither can sell interest w/o other’s consent – Not used in Alabama • Community property – Joint ownership by spouses – Not used in Alabama

creative commons licensed (BY-NC) flickr photo by vgm8383: https://flic.kr/p/2WUiGE condominium

condominium • common ownership for multi-unit developments • each owner has title to individual unit • shared ownership of common areas • monthly fees for maintenance

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transfer of ownership • Sales contracts – Must be in writing (Statute of Frauds) – Specific performance • Deeds – Must be executed, delivered, recorded – General Warranty deed – Quitclaim deed

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Financing • Lien/encumbrance • Collateral • Mortgage • Promissory note • Default • Cure • Accelerate

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Foreclosure • Deficiency judgment • Equity of redemption –Right to pay off mortgage before foreclosure • Right of redemption –Right to buy back property after foreclosure –In Alabama: 1 year –Includes junior lienholders

Foreclosure Process • Notice of acceleration • Advertisement of foreclosure –Publication weekly for 3 weeks in a newspaper published in the county or counties in which land is located. Ala. Code §35-10-13 –Time, place & terms of sale –Description of the property. –Most mortgages require 4 weeks

LEGAL NOTICE MORTGAGE FORECLOSURE SALE Default having been made in the payment of the indebtedness secured by that certain mortgage executed by Alberta Lewis Foster, a single person, to Wells Fargo Bank, N.A., on the 26th day of July, 2007, said mortgage recorded in the Office of the Judge of Probate of Tuscaloosa County, Alabama, in Mortgage Book 2007, Page 82632; the undersigned Wells Fargo Bank, N.A., as Mortgagee/Transferee, under and by virtue of the power of sale contained in said mortgage, will sell at public outcry to the highest bidder for cash, in front of the main entrance of the Courthouse at Tuscaloosa, Tuscaloosa County, Alabama, on March 26, 2009, during the legal hours of sale, all of its right, title, and interest in and to the following described real estate, situated in Tuscaloosa County, Alabama, to-wit: All of Lot 34 Meadowlawn as recorded in Plat Book 6 at Page 30 in the Probate Office of Tuscaloosa County, Alabama; reference to which map or plat is hereby made in aid of and as a part of this description. THIS PROPERTY WILL BE SOLD ON AN "AS IS, WHERE IS" BASIS, SUBJECT TO ANY EASEMENTS, ENCUMBRANCES, AND EXCEPTIONS REFLECTED IN THE MORTGAGE AND THOSE CONTAINED IN THE RECORDS OF THE OFFICE OF THE JUDGE OF PROBATE OF THE COUNTY WHERE THE ABOVE- DESCRIBED PROPERTY IS SITUATED. THIS PROPERTY WILL BE SOLD WITHOUT WARRANTY OR RECOURSE, EXPRESSED OR IMPLIED AS TO TITLE, USE AND/OR ENJOYMENT AND WILL BE SOLD SUBJECT TO THE RIGHT OF REDEMPTION OF ALL PARTIES ENTITLED THERETO. This sale is made for the purpose of paying the indebtedness secured by said mortgage, as well as the expenses of foreclosure. The Mortgagee/Transferee reserves the right to bid for and purchase the real estate and to credit its purchase price against the expenses of sale and the indebtedness secured by the real estate. This sale is subject to postponement or cancellation; contact Ginny Rutledge at the phone number shown below prior to attendance at sale. Wells Fargo Bank, N.A., Mortgagee/Transferee Ginny Rutledge SIROTE & PERMUTT, P.C. P. O. Box 55727 Birmingham, AL 35255-5727 Attorney for Mortgagee/ Transferee (205) 918-5060 www.sirote.com/foreclosures THE TUSCALOOSA NEWS February 16, 23, March 2, 2009

Sale at auction • Legal hours of sale: 11am–4pm • Place: Main or front door of courthouse • Ala. Code §35-10-14 • Record foreclosure deed: deed to land sold by foreclosure may be executed by any person making the sale. Deed vests the legal title of the land. Ala. Code §35-10-12

Statutory right of redemption • Foreclosed real estate may be redeemed by debtor, mortgagor, junior mortgagee, or judgment creditor. Ala. code §6-5-248 • Must pay foreclosure price with interest, value of permanent improvements, and taxes & insurance premiums paid by the purchaser. Ala. code §6-5-253

Deed in lieu • Borrower transfers to lender rights in mortgaged property. Ala. code §35-10-50 • Transfers all right, title and interest in the property, including but not limited to all rights of redemption. Ala. code §35-10-51 • Does not give rise to a statutory right of redemption in any other person. Ala. code §35-10-51

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Alabama Uniform Residential Landlord Tenant Act • Effective January 1, 2007 • Landlord has duty of habitability –Source of heat –Cold & hot running water –Housing & building codes –Garbage containers –Keep common areas clean & safe –Provide peaceful enjoyment

Alabama Uniform Residential Landlord Tenant Act • Landlord may have rules for all tenants –Must apply to all tenants –Must promote convenience, safety or welfare of tenants or protect property –Must inform tenants before signing lease –Can’t add new rules during lease term • Landlord can’t raise rent during term or retaliate against tenants

Alabama Uniform Residential Landlord Tenant Act • Tenant must –Pay rent on time –Keep property clean & in good shape –Use utilities in reasonable manner –Dispose of garbage properly –Let landlord enter to inspect & repair –Follow rules –Tell landlord if gone for 2 weeks or more

Landlord-Tenant Common Law • Landlord: duty to provide quiet possession –No covenant of habitability • Tenant: duty to pay rent –Remedy for uninhabitable residential property: •Suit for constructive eviction