6988187
Description
Flashcards by Kate Harrison, updated more than 1 year ago
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Created by Kate Harrison
over 7 years ago
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| Question | Answer |
| Mortgagor | The party (typically a homeowner) borrows money to purchase property |
| Mortgagee | The lender (typically a bank) |
| Property | Anything that can be owned |
| Personal Property | Moveable Property; also known as Chattels |
| Real Property | Immovable Property (land and anything attached to the land). Does not include personal property or chattels. |
| The two types of property law are treated __________________ under the law | The two types of property are treated differently under the law. |
| True or False: Minerals below the surface of the land is "real property". | True |
| True or False: Airspace above the land is considered "real property". | True |
| True or False: Buildings occupying ling land are considered "real property". | True |
| True or False: Fixtures on the land are not considered "real property". | False |
| What is the Agreement of Purchase of Sale? | Contract between buyer and seller of real property: Fixtures included unless specifically excluded; Chattels excluded unless specifically included |
| What role does the Crown have in land ownership? | Crown is ultimate owner of all Ontario Land and may pass by laws restricting and regulating land use/size, expropriate land, doctrine of escheat applies. ie "call before you dig" campaign |
| Doctrine of Escheat | is a common law doctrine that transfers the property of a person who dies without heirs to the crown or state. It serves to ensure that property is not left in "limbo" without recognized ownership. |
| Fee Simple Estate | Highest form of land owners; holder is true owner and has all rights associated with ownership (subject to Crown's rights) |
| Life Estate | Life tenant has right to exclusive possession for duration of his/her lifetime and is req. to maintain property/not commit waste on land. When they die, life estate ends and property reverts to a fee simple. |
| Leasehold Estate | Tenant: has right to exclusive possession for specified period of time in return for payment of rent. ie The Rental market. |
| Easement | Right to use part of someone else's land for a specific purpose (right of way). ie Shared driveway. |
| Servient Tenement | Land that provides the easement (it serves the easement) |
| Dominant Tenement | Land that benefits from the easement |
| Express Grant: | Owner of property must grant permission for right of easement |
| Adverse Interest | A claim against the property, such as an easement. Exists only in the Registry System of land registration. |
| Restrictive Covenant | Imposes restrictions on the use of property, so long as it is reasonable, in accordance with public policy, and not negative in nature. |
| Adverse Possession | Right to fee simple estate in someone else's land as a result of exercising exclusive possession of that land adversely (without owner's permission), openly and continuously for 10 years. |
| Easement by Prescription | Open and continuous use for at least 20 years. Owner of servient property has not consented to use of easement but knows its occurring. If servient tenement owner does not stop use of easement during 20 year period, dominant tenement can use easement forever. |
| Encroachment by Prescription | Owner of land who permits encroachment to exist for at least 20 years loses right to object to the encroachment |
| Title is equal to... | Ownership |
| If two or more people own property together they hold title either as... | Joint Tenants or Tenants-in-common |
| Joint Tenants | Each owner has undivided interest in property, right of survivorship when one joint tenant dies. |
| Tenants-in-Common | No right of survivorship, can have unequal interests, can transfer interest to third party or by will. |
| Title related information is recorded | in land registration systems. |
| The two types of land registration systems in Ontario are | 1. Registry 2. Land Titles |
| The Registry System is | Older system Governed by the Registry Act Provides notice, does not guarantee validity Documents affecting land recorded in abstract book |
| The Land Titles System is | Governed by the Land Titles Act Government guarantees title Documents affecting land recorded in parcel registry All land in Ontario is being converted to this system |
| This involves checking entries recorded in abstract book, parcel registry, and/or automated title index and examining listed documents affecting title | Title Searching |
| Title Search is used for | determining ownership of land and whether there are outstanding claims or emcumbrances |
| Registry System Title Search examines how many years of history ownership? | Must examine history of ownership of property for 40 years prior to date of search. ie in 2016, we must look back at least 40 years, or to 1976. |
| What is a root deed? | It is the deed registered immediately before 40 year period. |
| Land Titles System Title Search examines how many years of title history? | None. State of title is guaranteed, so no need to conduct a 40 year search. |
| Planning Act | Prohibits landowners from severing land except under specific circumstances set out in the Act Search Required if property is not an entire lot on a plan of subdivision |
| Execution means... | Claim against someone resulting form a court judgement. A lien is created against land owned by the person named in the execution at time of filing and any lands acquired afterward. |
| An Execution Search is important because | You must ensure there are no outstanding execustions in the Registry System or Land Titles System |
| Title Insurance | An insurance policy that protects purchasers and mortgagees of real property against title-related problems Insurance deals with any issues of title |
| Principal = | amount of money borrowed |
| Interest | amount added to the loan for the right to obtain and use the money |
| Interest Rate is calculated: | as an annual percentage of the amount of the loan. |
| Fixed Interest rate | Rate does not fluctuate during term |
| Variable Interest rate | rate fluctuates in accordance wth prime lending rate |
| Frequency of calculation affects am | amount of interest payable, typically calculated semi-annually or twice a year. |
| Mortgage are paid in | Arrears, not in advance. |
| What are the three types of mortgages? | New Mortgage Assumed Mortgage Vendor Take-Back Mortgage |
| New Mortgage | Owner or purchaser of real property borrows money from a lender and gives the bank a charge on the property (as security for the loan) |
| Assumed Mortgage | Purchaser of real property takes over an existing mortgage on the property he/she is buying Good option when interest rate on existing mortgage is lower than it would be if arranging a new mortgage |
| Vendor Take-Back Mortgage | Vendor lends money to purchaser and takes back a mortgage on the property Used when purchaser us unable to borrow the money needed from another lender and vendor wants the deal to close |
| Term | Length of time covered y contract between mortgagor and mortgagee (usually between one and five years) |
| Amortization Period | Length of time it will take to pay off the loan in full making blended payments of principal and interest (usually 25 years) |
| Amortization Schedule | Sets out how blended payments (of principal and interest) are applied |
| Balloon Payment | Amount owing on a mortgage at the end of its term |
| Blended Payment | Combines principal and interest into one single monthly payment |
| Non-blended payment | amount of principal and amount of interest in each payment are separate and distinct |
| Open Mortgage | Permits mortgagor to pay off principal whenever he/she wants |
| Closed Mortgage | Mortgagee can refuse early repayment (unless mortgagor pays a penalty) |
| Partially Open Mortgaage | closed mortgage that contains open privileges (mortgagor can pay off some of the principal at specified times) |
| Standard Charge of Terms | Set out Obligations of Mortgagor and rights of mortgagee (copy given to mortgagor who is bound by them) |
| The Interest Adjustment Date (IAD) is | The date from which interest is calculated |
| Interest adjustment amount is | Only for mortgages where the IAD is not the same as the date the loan is advanced Amount of interest that accumulates between date the loan is advanced and the interest adjustment date |
| What is the last day of a term for a mortgage called? | The Balance Due Date |
| In the event of a default, how are pay outs determined? | The mortgage with the earliest date of reistration comes first, and so on. |
| What are the 4 obligations of a Mortgagor? | 1. Make all mortgage payments in full and on time 2. Maintain fire insurance on mortgaged property 3. Pay all realty taxes 4. Keep mortgaged property in good condition |
| How is a mortgage discharged? | When the loan is paid in full Discharge of Charge/Mortgage is registered on title. |
| Default | Occurs when mortgagor breaches one or more obligations, commonly because principal and interest payments not made when due |
| Acceleration clause in the charge permits | Permits chargee to demand immediate payment of full amount of the loan. Sue chargor for payment of debt Sell charged proeprty (Power of Sale) Obtain Title to the property (foreclosure) |
| Power of Sale | Chargee sells the property to a third party Common remedy because it is quick and inexpensive |
| Foreclosure | Gives legal title to chargee |
| Judicial Sale | Court orders sale of property and oversees all matters related to the sale |
| Intellectual Property (IP) is | Creation or invention of the mind |
| Is an idea alone protected as intellectual property? | No. Only expression of an idea is protected, such as a book, an image or an invention. |
| Name three examples of intellectual property | Artitistic Works (drawings, paintings, photos, sculpture) Designs Inventions Literary works (novels, poems, plays) Music and films Software Symbols |
| What is the purpose of IP Protection laws | Create an artificial security fence are a creation which: Allows creators to benefit from their creation and encourages authors, musicians etc to keep creating and producing material (benefits society as a whole) |
| What are the 3 main types of IP Protection? | Copyright Patents Trademark |
| Copyright is | The right to copy Governed by the Copyright Act Work must be original and expressed in a fixed form Not required to be registered, but provides evidence of protection and ownership |
| Infringement of Copyright | When someone other than the copyright owner does anything that only the owner can do, without the owner's consent |
| Patents | Way inventors protect their inventions Give creator exclusive right to produce, use, sell his/her new invention for 20 years (after 20 years inventors exclusive right is extinguished) Only protected in country granting patent |
| Patent Pending | Inventor has applied for patent |
| Trademarks | word, design, slogan, symbol, logo or any other mark that identifies and distinguishes a person's goods or services; a unique way of packaging goods |
| Trade name | name that sole proprietorship, partnership or corporation uses to carry on business |
| A trademark is not registrable if it is: | Mostly mde up of name or surname of someone who is alive, or who died within 30 years. Merely descriptive Misleading The actual name of the goods/services Too similar to existing trademark Similar to an official design Considered immoral, obscene or scandalous |
| Owner of a registered trademark has exclusive right to use trademark fork for how many years? | 15 years. It can be renewed every 15 years. Registration constitutes proof of ownership. |
| Passing-off | Use of another persons registered trademark intending misrepresententation. Plaintiff must establish action to passing-off |
| Why is it advisable to register a trademark? | Enforcement by owner of registered trademark is simpler |
| Remedies to infringement on trademarks? | Injuction and Damages |
| TM symbol is registered or unregistered | Unregistered |
| R symbol for trademarks is | for registered trademarks. |
| Industrial design is | the way a finished product looks - it's visual appeal only (not the way it function) Governed by the federal Industrial Design Act |
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