Final answer:
When there is only one owner of property, that person is said to own it in sole ownership.
Step-by-step explanation:
Sole ownership refers to the exclusive ownership and control of a property by a single individual or entity. This concept is crucial in determining the rights and responsibilities associated with the property.
Sole ownership confers upon the owner the legal rights of ownership, which includes the exclusive authority to use the property, the ability to enter into contracts involving the property, and the right to control all income derived from the property.
This form of ownership means an individual or business entity does not have to share control or profits and has the autonomy to make decisions independently.
Moreover, clearly defined property rights are essential for resolving disputes and understanding the legal responsibilities tied to the property.
For example, whether an individual or firm owns land, a building, or other resources, they must hold clear title to that property to lawfully create contracts with others. The existence of well-defined property rights, as pointed out by Coase, helps in delineating responsibilities and addressing issues such as compensation for infringements.