LOMA 311 MODULE 2 EXA TEST
BANK QUESTIONS WITH
CORRECT ANSWERS
Mr. Gossett and Mr. Miller each have the right to decide who will receive his interest
following his death
Joint Tenancy - Answer-two or more individuals own equal shares in
property and have a right of survivorship.
A right of survivorship means that, when one joint tenant dies, his share automatically
passes to the surviving joint tenant or tenants.
Like tenants in common, joint tenants each have the right to possess and use the
property, and a joint tenant may transfer his ownership interest to a third party.
Such a transfer ends the joint tenancy, however, and creates a tenancy in common.
Thus, the remaining owner and the new owner become tenants in common.
Tenancy by the Entirety - Answer-both spouses have the right to possess and use the
property and ownership determines the right of survivorship. Neither spouse can
transfer ownership
of the property without the consent of the other. If the parties divorce, then the tenancy
by the entirety is dissolved and the parties usually own the property as tenants in
common.
common property - Answer-certain property owned by a married couple in which each
spouse has an undivided half interest. For example, assume that a husband is
employed
outside the home and the wife stays home to raise the children. The income
the husband earns during the marriage is community property. Any property
that the couple buys with community property during the marriage, such as a house and
automobiles, becomes community property also.
seperate property - Answer--Property an individual obtained before marriage remains
that person's
separate property.
-Property acquired during a marriage with separate property is that spouse's separate
property. For example, assume that a woman owned a car at the
time she got married. The car is her separate property, and any money she receives for
selling the car is also her separate property.
- Property acquired by one spouse during a marriage as a gift or inheritance
,is the separate property of that spouse.
As a general rule, both spouses must agree before ownership of community
property may be transferred to a third party. When one spouse dies, the surviving
spouse is entitled to half of the community property. The other
half generally belongs to the estate of the deceased spouse.
A married couple community ends upon (1) the death of either spouse, (2)
the divorce of the parties, or (3) the annulment of the marriage.
When a community ends, the couple's community property is divided between the
parties, equally or as they otherwise agree.
police power - Answer-the power to enact laws
to promote public health, safety, and welfare. Examples of a local government's
use of police power with regard to property include zoning laws and building
codes.
inter vivos transfer - Answer-transfers made during a property owner's life.
Examples= Real estate sales and leases
Testamentary Transfer - Answer-transfers that occur
after a property owner's death. Many financial products, such as stocks, are intangible
property that commonly changes hands during a testamentary
transfer.
Decedent = the individual that dies
decedent's estate - Answer-The total property, real and personal, that a decedent owns
at the time of her death.
Probate Estate - Answer-If any property owned by a decedent does not pass at her
death automatically by operation of law or contract, that property forms the person's
probate estate
WIll, testator, testate - Answer-Will= legal doc that directs how the person's property is
to be distributed after his death.
Testator= a person who makes the will
Testate= a person who dies with a valid will
a valid will must have ... - Answer--A will must be in writing.
- The testator must have the legal capacity to make a will, referred to
as testamentary capacity.
As a general rule, anyone who has attained a stated age, typically 18,
and is of sound mind has testamentary capacity. For purposes of making
a will, a person is considered to be of sound mind if she (1) understands
, the nature and character of the property she owns, (2) understands that
she is making a will, and (3) recognizes the people who would be expected
to be provided for in her will.
- The will must be signed by the testator or by someone else who signs on behalf of the
testator, at the testator's direction, and in the testator's
presence.
- The testator must sign the will in the presence of competent witnesses
attest to the witnesses that it is her signature. Witnesses generally
are competent if they have attained a specified age, usually 18, and if
they are disinterested parties who are not beneficiaries of the will.
- The witnesses must sign the will in the presence of the testator.
codicil - Answer-a testamentary document that supplements a will. Because it is a
testamentary document, a codicil must be executed with the same formalities
that are required to execute a valid will. A testator can use a codicil
to add to the provisions of a will, to revoke or alter provisions, and to explain or qualify
provisions. For example, a testator may use a codicil to dispose of property she
acquired after she executed her will.
Intestate - Answer-A person who dies without a valid will is said to die intestate, and that
person is known as an intestate.
Intestate succession laws in each state specify the individuals who are
entitled to the probate estate of individuals who die intestate.
The distribution of an intestate's personal
property is governed by the laws of the jurisdiction in which the person was domiciled
at the time of his death.
Probate process and Probate Court - Answer-probate process= typically is conducted
under the supervision of a local court, which usually is known as a probate court.
Typically, the probate court that has authority to oversee the probate
of a will is the probate court of the jurisdiction in which the decedent was domiciled at
the time of her death.
Personal Representative - Answer-the person who is responsible for settling the
decedent's estate. A will
typically names the person the testator wants the court to appoint as the
personal representative.
The personal representative is known as an executor when a decedent dies with a valid
will. In the case of an intestate decedent, the personal representative is appointed by
the court, and typically is known as the administrator of
the decedent's estate. The personal representative is responsible for collecting
BANK QUESTIONS WITH
CORRECT ANSWERS
Mr. Gossett and Mr. Miller each have the right to decide who will receive his interest
following his death
Joint Tenancy - Answer-two or more individuals own equal shares in
property and have a right of survivorship.
A right of survivorship means that, when one joint tenant dies, his share automatically
passes to the surviving joint tenant or tenants.
Like tenants in common, joint tenants each have the right to possess and use the
property, and a joint tenant may transfer his ownership interest to a third party.
Such a transfer ends the joint tenancy, however, and creates a tenancy in common.
Thus, the remaining owner and the new owner become tenants in common.
Tenancy by the Entirety - Answer-both spouses have the right to possess and use the
property and ownership determines the right of survivorship. Neither spouse can
transfer ownership
of the property without the consent of the other. If the parties divorce, then the tenancy
by the entirety is dissolved and the parties usually own the property as tenants in
common.
common property - Answer-certain property owned by a married couple in which each
spouse has an undivided half interest. For example, assume that a husband is
employed
outside the home and the wife stays home to raise the children. The income
the husband earns during the marriage is community property. Any property
that the couple buys with community property during the marriage, such as a house and
automobiles, becomes community property also.
seperate property - Answer--Property an individual obtained before marriage remains
that person's
separate property.
-Property acquired during a marriage with separate property is that spouse's separate
property. For example, assume that a woman owned a car at the
time she got married. The car is her separate property, and any money she receives for
selling the car is also her separate property.
- Property acquired by one spouse during a marriage as a gift or inheritance
,is the separate property of that spouse.
As a general rule, both spouses must agree before ownership of community
property may be transferred to a third party. When one spouse dies, the surviving
spouse is entitled to half of the community property. The other
half generally belongs to the estate of the deceased spouse.
A married couple community ends upon (1) the death of either spouse, (2)
the divorce of the parties, or (3) the annulment of the marriage.
When a community ends, the couple's community property is divided between the
parties, equally or as they otherwise agree.
police power - Answer-the power to enact laws
to promote public health, safety, and welfare. Examples of a local government's
use of police power with regard to property include zoning laws and building
codes.
inter vivos transfer - Answer-transfers made during a property owner's life.
Examples= Real estate sales and leases
Testamentary Transfer - Answer-transfers that occur
after a property owner's death. Many financial products, such as stocks, are intangible
property that commonly changes hands during a testamentary
transfer.
Decedent = the individual that dies
decedent's estate - Answer-The total property, real and personal, that a decedent owns
at the time of her death.
Probate Estate - Answer-If any property owned by a decedent does not pass at her
death automatically by operation of law or contract, that property forms the person's
probate estate
WIll, testator, testate - Answer-Will= legal doc that directs how the person's property is
to be distributed after his death.
Testator= a person who makes the will
Testate= a person who dies with a valid will
a valid will must have ... - Answer--A will must be in writing.
- The testator must have the legal capacity to make a will, referred to
as testamentary capacity.
As a general rule, anyone who has attained a stated age, typically 18,
and is of sound mind has testamentary capacity. For purposes of making
a will, a person is considered to be of sound mind if she (1) understands
, the nature and character of the property she owns, (2) understands that
she is making a will, and (3) recognizes the people who would be expected
to be provided for in her will.
- The will must be signed by the testator or by someone else who signs on behalf of the
testator, at the testator's direction, and in the testator's
presence.
- The testator must sign the will in the presence of competent witnesses
attest to the witnesses that it is her signature. Witnesses generally
are competent if they have attained a specified age, usually 18, and if
they are disinterested parties who are not beneficiaries of the will.
- The witnesses must sign the will in the presence of the testator.
codicil - Answer-a testamentary document that supplements a will. Because it is a
testamentary document, a codicil must be executed with the same formalities
that are required to execute a valid will. A testator can use a codicil
to add to the provisions of a will, to revoke or alter provisions, and to explain or qualify
provisions. For example, a testator may use a codicil to dispose of property she
acquired after she executed her will.
Intestate - Answer-A person who dies without a valid will is said to die intestate, and that
person is known as an intestate.
Intestate succession laws in each state specify the individuals who are
entitled to the probate estate of individuals who die intestate.
The distribution of an intestate's personal
property is governed by the laws of the jurisdiction in which the person was domiciled
at the time of his death.
Probate process and Probate Court - Answer-probate process= typically is conducted
under the supervision of a local court, which usually is known as a probate court.
Typically, the probate court that has authority to oversee the probate
of a will is the probate court of the jurisdiction in which the decedent was domiciled at
the time of her death.
Personal Representative - Answer-the person who is responsible for settling the
decedent's estate. A will
typically names the person the testator wants the court to appoint as the
personal representative.
The personal representative is known as an executor when a decedent dies with a valid
will. In the case of an intestate decedent, the personal representative is appointed by
the court, and typically is known as the administrator of
the decedent's estate. The personal representative is responsible for collecting
