Legal Definitions - tangible property

Tangible property refers to assets that have a physical form and can be touched, seen, and moved. These are physical objects, as opposed to intangible property, which represents rights or ideas that do not have a physical presence, such as patents, copyrights, or brand names. Tangible property is often also referred to as "personalty" when discussing movable items.

Here are some examples to illustrate the concept of tangible property:

• Imagine you own a classic vintage motorcycle. This motorcycle is a piece of tangible property because it is a physical object you can see, touch, and ride. If you were to sell it, you would physically transfer the motorcycle to the new owner.

  Explanation: The motorcycle's physical existence, its ability to be handled, and its capacity to be moved directly illustrate its nature as tangible property.

• A small bakery owns several commercial ovens, mixers, and display cases. All of this equipment is considered tangible property for the business. They are physical assets essential for the bakery's operations, and their value can be assessed based on their physical condition and market price.

  Explanation: The ovens, mixers, and display cases are physical items that occupy space and can be physically moved, maintained, or sold, making them clear examples of tangible property within a business setting.

• A person's collection of antique furniture, including a mahogany dining table and matching chairs, is considered tangible property. If these items were damaged in a fire, an insurance policy covering tangible property would compensate for their physical loss or repair.

  Explanation: The antique furniture pieces are physical objects that can be physically damaged, moved, or inherited, directly demonstrating their classification as tangible property due to their material existence.