Final answer:
Legal tests for determining if property is a fixture include method of annexation, adaptability for use with the property, and intention of the party who attached it. Courts also consider item character and party agreements, which can affect property taxes and transfer outcomes.
Step-by-step explanation:
The legal tests to determine if a piece of property is a fixture involve several key considerations. In law, a fixture is personal property that becomes real property when attached in a permanent manner to real estate. The determination of whether a property item is a fixture and the nature of its attachment can have significant implications for both tax purposes and during the sale or transfer of property.
The predominant tests include the method of annexation, the adaptability for use with the property, and the intention of the party who attached the fixture. For instance, if an object is fixed to property in such a way that removing it would cause damage to the real estate, it's likely considered a fixture. Additionally, if the object is custom-designed or inherently part of the functioning of the property, like built-in furniture or a specialized machine in a factory, it may be seen as a fixture.