34-3. Bailments.Curtis is an executive on a business trip to the West Coast. He has driven his car on this trip and checks into the Hotel Ritz. The hotel has a guarded underground parking lot. Curtis gives his car keys to the parking lot attendant but fails to notify the attendant that his wife's $10,000 fur coat is in a box in the trunk. The next day, on checking out, he discovers that his car has been stolen. Curtis wants to hold the hotel liable for both the car and the coat. Discuss the probable success of his claim. (SeeBailments.)

34-4. Duties of the Bailee.Orlando borrows a rototiller from his neighbor, Max. Max has not used the rototiller for two years. Orlando has never owned a rototiller and is not familiar with using one. Max previously used this rototiller often, and if he had made a reasonable inspection, he would have discovered that a blade was loose. Orlando is injured when the blade becomes detached while he is rototilling his garden. (SeeBailments.)

Can Orlando hold Max liable for his injuries? Why or why not?

Would your answer be different if Orlando had rented the rototiller from Max and paid a fee? Explain.

34-5. Gifts.John Wasniewski opened a brokerage account with Quick and Reilly, Inc., in his son James's name. Twelve years later, when the balance was $52,085, the account was closed, and the funds were transferred to a joint account in the names of John and James's brother. James did not learn of the existence of the account in his name until the transfer, when he received a tax form for the account's final year. He filed a suit in a Connecticut state court against Quick and Reilly, allegingbreach of contract and seeking to recover the account's principal and interest. What are the elements of a valid gift? Did John's opening of the account with Quick and Reilly constitute a gift to James? What is the likely result in this case, and why? [Wasniewski v. Quick and Reilly, Inc., 292 Conn. 98, 971 A.2d 8 (Conn. 2009)] (SeeAcquiring Ownership of Personal Property.)

34-6.Business Case Problem with Sample AnswerBailment Obligation.Bob Moreland left his plane at Don Gray's aircraft repair shop to be painted. When Moreland picked up the airplane, he was disappointed in the quality of the work and pointed out numerous defects. Moreland refused to pay Gray and flew the plane to another shop to have the work redone. Gray sued to collect, contending that Moreland had no right to take the plane to another shop without giving Gray a chance to fix any defects. Gray further argued that by taking the plane, Moreland had accepted Gray's work. Moreland counterclaimed for his expenses. Which party should be awarded damages, and why? [Gray v. Moreland, 2010 Ark.App. 207 (2010)] (SeeBailments.)

34-7. Gifts.Jennifer Koerner adopted a dogcalled the Stigfrom the Anti-Cruelty Society in Chicago, Illinois, for $95. Koerner wrote a poem and presented it to Kent Nielsen, her live-in boyfriend. In the poem, she expressed her intent to give the Stig to him as a gift. While Koerner and Nielsen lived together, they were both involved in the Stig's day-to-day care. They ended their relationship a year later, and Nielsen agreed to leave their shared residence. Can Nielsen take the Stig with him, or is Koerner the Stig's rightful owner? Explain. [Koerner v. Nielsen, 8 N.E.3d 161 (Ill.App. 1 Dist. 2014)] (SeeAcquiring Ownership of Personal Property.)

34-8. Lost Property.Sara Simon misplaced her Galaxy cell phone in Manhattan, Kansas. Days later, Shawn Vargo contacted her, claiming to have bought the phone from someone else. He promised to mail it to Simon if she would wire $100 to him through a third party, Mark Lawrence. When Simon spoke to Lawrence about the wire transfer, she referred to the phone as hers and asked, "Are you going to send my phone to me?" Simon paid, but she did not get the phone. Instead, Lawrence took it to a Best Buy store and traded it in for credit. Charged with the theft of lost property, Lawrence claimed that he did not know Simon was the owner of the phone. Was Simon's phone lost, mislaid, or abandoned? What is the finder's responsibility with respect to this type of property? Can Lawrence successfully argue that he did not know the phone was Simon's? Explain. [State of Kansas v. Lawrence, 347 P.3d 240 (Kan.App. 2015)] (SeeMislaid, Lost, and Abandoned Property.)

Moreland should be awarded damages, and Gray should take nothing. The bailee must exercise reasonable care in preserving the bailed property. What constitutes reasonable care in a bailment situation normally depends on the nature and specific circumstances of the bailment. If the bailed property has been lost or is returned damaged, a court will presume that the bailee was negligent.