t
certain machines held to be of permanent use upon the land are real
estate. Among the things which courts have held to go with the land
are cotton gins, copper kettles encased in brick and mortar for
cooking food for hogs, cider mills, pumps, water pipes bringing water
from distant springs. In general, motive power machinery and the
shafting go with the land, but the machinery impelled may or may not,
depending upon the way it is annexed. (7) If stones have been quarried
for the purpose of using upon the farm, they go with the farm, but if
quarried for sale they are personal property.

CONTRACTS

The difference between personal property and real property may be
indicated by considering the essential features of a contract. A
contract is an agreement between two or more persons. The foundation
rule concerning a contract is that every man must fulfill every
agreement he makes. An ethical practice grows out of this legal rule
which, if strictly adhered to, will save much embarrassment, viz.,
make but few promises and always keep your engagements.

There are seven requirements generally necessary to a valid contract.
(1) Possibility. The thing to be done must be possible. (2) Legality.
It must not be forbidden by law. (3) Proper parties. The parties to a
contract must be competent. Contracts with idiots or drunken persons
are not binding. Some contracts with minors are not binding, although
contracts for the necessities of life are. (4) Mutual assent. A
proposition not assented to by both parties is not binding on either.
(5) Valid consideration. A man is not regarded as injured by the
breaking of a promise for which he has paid, or is to pay, nothing.
(6) Fraud or deceit. A contract obtained by fraud is void as against
the party using the fraud, but may be enforced by the innocent party
if he sees fit. (7) Written contracts. Here comes the most important
difference between real and personal property. Real property can only
be conveyed by a written instrument, properly executed and recorded,
while personal property passes by mere possession. Contracts relating
to the sale of real estate are not binding unless in writing, while
verbal contracts are sufficient for personal property if accompanied
by payment of a part of the purchase price or the acceptance of the
goods. For amounts under $50 verbal agreement in itself is binding.

TRANSFER OF REAL ESTATE

The purcha