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2

What we mean by ‘property’

2.1. Introduction

In Chapter 1 we provisionally described property law as being about the legal relationships we have with each other in respect of things. We now need to clarify and refine this.

2.1.1. Property as a relationship and as a thing

First, a terminological point. The term ‘property’ can be used to describe three different aspects of the relationship between people and things. Consider the statement ‘I have a right enforceable against you in respect of this car’. ‘Property’ can be used as an adjective to describe the nature of the right I have in the car (as in ‘I have a property right in the car, not just a personal right’). Equally, where you and I have a continuing relationship in respect of the car (perhaps I lent it to you, giving rise to the relationship of bailment between us), the term ‘property’ can be used, again as an adjective but this time to explain the nature of the relationship (as in ‘bailment is a property relationship’). Finally, ‘property’ can be used as a noun to denote the thing itself. So, to change the example, if I rent a flat from you, it is terminologically acceptable to say that both you and I have property rights in the flat, and that the lease relationship between us is a property relationship, and that the flat is the property in which each of us has rights.

The use of the term ‘property’ to denote the thing is sometimes frowned upon. In their introduction to the idea of property in a standard American property textbook, The Law of Property, Cunningham, Stoebuck and Whitman dismiss this usage as loose non-lawyerly talk:

When a layman is asked to define ‘property’ he is likely to say that ‘property’ is something tangible ‘owned’ by a natural person (or persons), a corporation, or a unit of government. But such a response is inaccurate . . . [in at least two ways, including that] it confuses ‘property’ with the various subjects of ‘property’ . . . For the lawyer, ‘property’ is not a ‘thing’ at all, although ‘things’ are the subject of property.

However, this is unnecessarily prescriptive. It is necessary to be able to distinguish between the thing in respect of which rights are claimed and the rights themselves, but it is not inevitably confusing to describe both as ‘property’.

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18 Property Law

2.1.2. Conceptualising ‘things’

Cunningham, Stoebuck and Whitman also ascribe to the unthinking non-lawyer the assumption that property is about tangible things only. As they point out, this is not true. While there must be some ‘thing’ in respect of which a property right subsists, it need not be a tangible thing. The ‘thing’ may exist only at the highest level of abstraction. You can have a property right in a song or in shares in a company, and you can have a property right to the flow of water in a stream or to the passage of sunlight through a window or (conceivably) to a pension or to welfare payments, just as much as you can have a property right in a brick, a car or an area of land. We saw in Chapter 1 in relation to property in human bodies and body parts that the law recognises property rights in some things but not in others, and that the decision that a legal system will make as to whether a particular thing can be the subject of property rights is likely to be dictated by pragmatic and principled considerations of varying and fluctuating weights.

If there are good reasons to treat particular rights as property rights, the conceptualisation of the appropriate ‘thing’ will rarely provide an obstacle. However, perceived practical difficulties in enforcing the rights may be seen as a problem. We see several examples of this in Chapter 9. In Victoria Park Racing v. Taylor (1937) 58 CLR 479, for example, the High Court of Australia decided that a racecourse owner who organised horse racing at race meetings did not have the exclusive right to view, report or otherwise exploit the race meetings – he had no right to prevent a neighbour from commercially exploiting the event by broadcasting commentaries on the races on the radio. The court had no conceptual difficulty in accepting that a spectacle such as a sporting event might be the subject of a property right, but one of the reasons why it refused to recognise such a right was the practical difficulties it envisaged in enforcing it. They took the view (perhaps misguided, as we see in Chapter 9) that such a right could not be adequately vindicated by the law except by prohibiting everyone else from overlooking the event, even casually from the top of a bus. This they considered to be impractical, and a strong argument against accepting that a property right could exist in a spectacle such as a horse race.

2.1.3. Distinguishing property rights from other rights relating to things

We have just established that there are some things in respect of which a legal system will not recognise property rights. But, even if a particular thing can be the subject of property rights, it does not follow that all rights in relation to that thing will be property rights. What distinguishes a property right in a thing from other rights in the same thing is the breadth of enforceability of the right. We designate as property rights those rights that the law will uphold against people in general (either the whole world, or everyone except a specified class of exceptions). A right that the law will uphold, but only against a specific person or persons, is not a property right. The simplest of examples is the car hire example given in Chapter 1.