Property refers to tangible and intangible items that can be owned. Ownership is a concept that means the right to exclude others. Legal systems create a peaceful means to acquire, retain, and divest property, and to settle property disputes. Businesses need to understand the legal system regarding both personal and real property because they often own or lease both. In addition, the government regulates how real property can be used as well as any environmental impact a business has.
Counselor’s Corner Property is regulated by state laws. Because of the variation of laws from state to state, it is imperative that businesses understand all legal requirements where they have property interests. Property can be a great seducer–it seems like owning or possessing property is an asset. However, the liability that comes with it may not be in the business’s best interest. Take the time to assess the financial and legal risks and rewards before acquiring property interests to ensure that you are not overextending yourself. ~Elizabeth H., judge