Definition
Chattel refers to any tangible, movable personal property. This is distinguished from real property, which refers to immovable property such as land and buildings. Essentially, chattel encompasses personal belongings that can be physically relocated from one place to another. This term is often used within the realms of law, accounting, and business.
Examples
- Household Furniture: Chairs, tables, and sofas that can be moved from one residence to another.
- Vehicles: Cars, motorcycles, and boats fall under chattel as they are personal property and can be moved.
- Electronics: Laptops, smartphones, and other gadgets that can be transported are considered chattel.
Frequently Asked Questions
What is the difference between chattel and real property?
Chattel refers to movable personal property that can be physically transferred. Real property, on the other hand, refers to immovable property like land and buildings.
Can chattel be used as collateral?
Yes, chattel can be used as collateral for securing loans. Examples include using a vehicle or equipment as security for a loan.
Are leases considered chattel or real property?
Leases can be complex, but typically, the physical property that is leased out (like equipment or vehicles) would be considered chattel, while the lease contract itself may be classified differently.
What are chattel mortgages?
A chattel mortgage is a loan agreement where the borrower provides movable personal property as security for the loan, different from a traditional real estate mortgage where real property is used as collateral.
Is intellectual property considered chattel?
No, intellectual property such as patents, copyrights, and trademarks are not considered chattel because they are intangible.
Related Terms
- Personal Property: Items owned by an individual that are movable, in contrast to real property.
- Real Property: Land and anything attached to it, which cannot be moved.
- Goods: Tangible products that are both movable and can be sold or bought.
- Tangible Assets: Physical items of value owned by an individual or business.
Online References
Suggested Books for Further Studies
- Black’s Law Dictionary by Bryan A. Garner
- Business Law: Text and Cases by Kenneth W. Clarkson, Roger LeRoy Miller, and Frank B. Cross
- Fundamentals of Financial Management by Eugene F. Brigham, Joel F. Houston
Fundamentals of Chattel: Legal Studies Basics Quiz
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