Montana Law School 1L Study Guide for Property

Montana Law School 1L Study Guide for Property

I. Introduction to Property Rights

Property rights are the legal rights to use, possess, and transfer land, resources, and other assets. In Montana, as in all U.S. states, these rights are protected by law and are fundamental to the economic system.

• Concept of Property: Understanding what property is and the distinction between real and personal property is essential. Real property includes land and things attached to the land, while personal property refers to movable items.

II. Possession and Ownership

• Possession: Actual control over a property with the intent to have and exercise control over it.

• Relativity of Title: In property disputes, the individual who can demonstrate the superior right to possession or title usually prevails.

III. Acquiring Property

• Finders Law: Rights of a finder of lost property can depend on the classification of the found item. The categories are lost, mislaid, and abandoned property.

• Adverse Possession: The open and notorious, exclusive, continuous, and hostile possession of property for a statutory period can lead to ownership. In Montana, the period is generally 5 years (Mont. Code Ann. § 70-19-411).

• Gifts: A voluntary transfer of property without consideration. There are two types: inter vivos (among the living) and causa mortis (in contemplation of imminent death).

IV. Estates in Land and Future Interests

• Fee Simple Absolute: The most complete ownership interest one can have in real property.

• Life Estates: Ownership for the duration of a person’s life. Upon death, the property passes to the remainderman or reverts to the grantor.

• Future Interests: Rights to property ownership that are possessory in the future. This includes remainders, executory interests, and reversion.

• Rule Against Perpetuities: A legal doctrine requiring that certain future interests must vest, if at all, within 21 years after the death of a living person identifiable at the time the interest was created (Mont. Code Ann. § 72-2-714).

V. Co-Ownership and Marital Property

• Tenancy in Common: A form of concurrent ownership where each owner has an undivided interest in the property.

• Joint Tenancy: A co-ownership where co-owners have equal shares with the right of survivorship.

• Tenancy by the Entirety: A type of concurrent estate that is available only to married couples.

• Community Property: Not recognized in Montana, but an important concept for understanding marital property rights in other jurisdictions.

VI. Landlord-Tenant Law

• Leasehold Estates: A tenant’s temporary right to possess property as delineated by a lease agreement.

• Landlord Duties: Obligations such as warranty of habitability and duty to repair.

• Tenant Duties: Obligations like paying rent and not damaging the property.

• Eviction Process: Legal procedures a landlord must follow to remove a tenant from the property (Mont. Code Ann. § 70-24-422).

VII. Land Use

• Zoning: Regulations by local governments dictating the use of property in specific areas.

• Eminent Domain: The power of the government to take private property for public use with just compensation (Mont. Code Ann. § 70-30-102).

• Covenants: Private agreements that restrict the use of land.

VIII. Transferring Real Property

• Deeds: Legal instruments that transfer ownership of real property. Types include warranty deeds, quitclaim deeds, and special warranty deeds.

• Recording Statutes: Laws governing the recording of deeds and other interests in property to protect against claims by third parties (Mont. Code Ann. Title 70, Ch. 21).

• Title Assurance: Methods of verifying clear title to property, including title searches and title insurance.

IX. Case Law

• Pierson v. Post (1805):
  • Issue: Whether pursuing an animal gives a hunter property rights over it.
  • Rule: A property right in a wild animal is established by occupancy, which requires actual physical control.
  • Analysis: Post had not established control over the fox; thus, Pierson’s killing and taking of the fox granted him property rights.
  • Conclusion: Pierson had the right to the fox because he was the first to exercise control over it.
• Van Valkenburgh v. Lutz (1952):
  • Issue: Whether Lutz had acquired title to the property by adverse possession.
  • Rule: Adverse possession requires actual, open and notorious, exclusive, and continuous possession under a claim of right for the statutory period.
  • Analysis: The court found that Lutz’s use of the property did not meet all the required elements.
  • Conclusion: Lutz did not acquire title to the property through adverse possession.

X. Conclusion

This study guide provides a foundational overview of property law concepts relevant to Montana, including case law, statutes, and principles that govern the rights and responsibilities pertaining to property ownership and transfer. It is designed to give students a comprehensive understanding of the essential topics and legal reasoning required for the property law final semester exam.