This chapter studies how property rights are protected and recognized in common law. In doctrine, substantive rights are not recognized expressly but indirectly. Rights are recognized via doctrines that prohibit wrongs to rights. Common law protects rights in this manner for practical reasons. Courts are better equipped to enforce duties between rights-holders and aggressors than they are to work out the full scope of rights, and when the law prohibits wrongs to rights, it leaves to people the freedom to do whatever does not violate the prohibitions. To secure rights, however, legal duties and prohibitions are structured as seems likely to secure rights. This chapter illustrates nuisance and tort suits over train sparks. Both doctrines secure to owners and occupants rights to use land. The harm, interference, and unreasonability elements of nuisance are structured to secure use rights, and sparks doctrine rules out contributory negligence to secure the same use rights. This way of thinking about rights and wrongs goes against contemporary law and economic scholarship, and this chapter contrasts law and economic studies of rights with the approach developed in this chapter.

Chapter 3 focuses on the numerus clausus principle and the limited property rights. It first documents that about a quarter of jurisdictions explicitly adopt this principle, while many others do so implicitly. Chapter 3 argues that this principle is generally efficient. Chapter 3 will also show that property forms such as mortgage (called hypothec in civil law) and real easement are extremely popular.