Final answer:
The contract that passes possession but not ownership is a Lease. This defines a legal agreement in which the use of property is transferred while ownership remains with the lessor.
Step-by-step explanation:
The type of contract that passes possession but not ownership is a Lease. When a property is leased, the lessee (tenant) receives the right to use the property for a specific period under certain conditions, while the lessor (owner) retains ownership. Unlike sale, where ownership is transferred, a lease merely transfers possession for a limited time. A mortgage is a loan agreement where the property is used as collateral. A gift involves the transfer of ownership without consideration, and the ownership is transferred immediately along with possession if handed over.