Fundamentals

A license is an official permission that allows an individual to do, use, or own something.
Often involves a permit (e.g., real estate license).

Issued by state governments.
Provides legal authorization for licensees to represent home sellers or buyers in transactions.
Personal right: You cannot transfer your license to another person.

Licenses offer limited rights and can be revoked at any time by the grantor.
They do not run with the land; do not transfer upon ownership change. Example: If Dave sells his property, Jim loses his fishing rights in the pond.

Easements grant a legitimate interest in land. Unlike licenses, easements persist regardless of property ownership changes.
Licenses are more easily revocable and can be created by oral agreements.
An irrevocable license occurs when significant resources have been spent on improvements related to the licensed land, potentially transforming it into an appurtenant right.

Parking in a paid garage, movie tickets, access to amusement parks – all examples of licenses granted for temporary use.

Real estate licenses are necessary to perform soliciting activities within the real estate business.
Violating state and local licensing laws can lead to revocation.

Understanding terms such as grantor, grantee, lessor, lessee is crucial in real estate law.
OREE rule: Terms ending in -or (grantor) are the givers, while those ending in -ee (grantee) are the receivers.
Example applications of the OREE rule:
- Vendor sells to a vendee.
- Grantor conveys property to a grantee.
- Lessor leases property to a lessee.

Real Property: Generally refers to immovable items attached to land, such as homes and fixtures.
- Fixtures: Personal property (e.g., chandeliers) that become real property once permanently attached to real estate.
Personal Property: Movable items such as furniture and jewelry. Also known as chattels.
- Mnemonic: "Cattle" - cattle are movable.

Attachment: How is it attached? (using nails, screws, etc.).
Relationship: Who owns it? Buyer-seller vs landlord-tenant can change the determination.
Intention: Was it meant to be a permanent fixture?
Agreement: Purchase contracts can clarify what remains with the property.

Impertinence: Items that are part of the property that transfer ownership.
Examples: In-ground pools, fixtures, easements, etc.
To be considered pertinent, the item must be intended to remain permanently attached to the property.

An easement allows a person to use another's land for a specific purpose (access, etc.).
Dominant tenement (benefiting property) and servient tenement (serving property).
Permanent easements run with the land and transfer with ownership.
Types of Easements:
- Easement in Gross: Benefits a person rather than a property (e.g., utility companies).
- Easement by Necessity: Granted by the court for necessary access.
- Easement by Prescription: Established by continuous use over time.

Can end via agreement, merging properties, abandonment, or if the need no longer exists.
Legal action may be involved, especially for prescription easements.

Distinctions between licenses, easements, and property types are crucial for real estate professionals to navigate transactions successfully. Understanding rights and responsibilities associated with each will aid in passing the real estate exam.