Present Possessory Estates
What is Fee Simple Absolute?
What is its duration?
"To A & his heirs" OR "To A"
FOREVER.
What are defeasible fees? What are the 3 types of defeasible fees?
They are uncertain in terms of timing and have the potential to be infinite in duration. "To A" with a condition attached. Terminated by the happening of a stated event.
Fee Simple Determinable
Fee Simple Subject to Condition Subsequent
Fee Simple Subject to an Executory Interest.
What are the 3 Future Interests possible to be held by a grantor/transferor?
What are the 3 Future Interests possible to be held by someone other than the Grantor?
1) Contingent Remainder, 2) Vested Remainder, 3) Executory Interest.
What is a Vested Remainder Subject to Total Divestment?
Vested remainder subject to a CONDITIONS SUBSEQUENT.
You get it, but if this happens, then C takes it.
"To A for life, then to B and his heirs; But if B dies unmarried, then to C"
What is the future interest (following a life estate) held by the Grantor called?
What are future interests held by a third party called? (following a life estate.)
Reversion
Remainder
What is Fee Simple Determinable?
What is its duration/ what interest remains with the grantor?
"To A and his heirs, so long as..."
" To A and his heirs, until/while/during..."
Lasts so long as the condition is met.
Grantor keeps possibility of reverter.
What are the distinguishing characteristics of Fee Simple Subject to a Condition Subsequent?
1) the use of conditional language like "upon the condition that" "but if".
2) MUST EXPLICITLY INCLUDE GRANTORS RIGHT OF RE-ENTRY. or there is no right of re-entry.
3) They DO NOT automatically terminate upon the happening of the event, grantor simply has the right to re-enter if they so choose.
NOT TRANSFERRABLE IN LIFE, but devisable & Descendable.
What is a Contingent Remainder?
(1) When it is created in unborn or unascertainable persons.
2) Subject to a condition precedent.
REMAINDER IS CONTINGENT AS TO A PERSON OR EVENT.
What is a Indefeasibly Vested Remainder?
HOLDER CERTAIN TO TAKE IN FUTURE. (No strings attached)
"To A for life, remainder to B"
B= Indefeasibly Vested Remainder
What is a Vested Remainder Subject to Open?
CLASS OF PEOPLE ABLE TO TAKE, SO YOUR INTEREST CAN CHANGE.
"To A for life, then to B's children"
B can have more children, but once A dies only those alive or in the womb take.
What is Fee Simple Subject to Condition Subsequent?
What is its duration/ what interest does the grantor keep?
Duration is until the happening of the named event.
Grantor keeps right of reentry should the event occur.
What is the main indicator of a "Fee Simple subject to an Executory Interest?
If the stated condition is violated the interest passes to A THIRD PARTY, rather than reverting back to the Grantor.
Alienability of Grantors Interests?
Possibility of Reverter: transferable, descendible, devisable.
Right of Re-Entry: Descendible and devisable/ state dependent on transferability.
What doesn't RAP apply to?
GRANTORS INTERESTS.
What is a life tenant permitted to do with the land?
What is a life tenant prohibited from doing?
Entitled to all ordinary uses of the property and any profits from the land.
CANNOT COMMIT WASTE.
What is a Fee Simple Subject to an Executory Interest?
What is its duration/what right does the grantor keep?
"To A and his heirs, for so long as...., and if not to B.
"To A and his heirs, but if.... then to B"
Duration= so long as the condition is met.G
Grantor keeps NO INTEREST, instead provides for a back up taker. (B)
Why?
Fee Simple Absolute.
These are words of hope/desire, not enough to create a Defeasible Fee.
What are Vested Remainders?
What are the 3 types?
Created in an existing ascertainable person, NOT subject to a condition subsequent.
1) Indefeasibly Vested Remainder
2) Vested Remainder Subject to Total Divestment
3) Vested Remainder Subject to Open.
What is RAP?
An interest in land must vest not later than twenty-one years after the death of some life in being at the creation of the interest.
Name and define the 3 types of waste?
Affirmative (Voluntary) Waste= actual overt conduct that causes the property to drop in value.
Permissive Waste = Neglect/ failure to properly maintain the property. (failure to pay taxes/mortgage)
Ameliorative Waste= Change that benefits the property economically. (future holders must know/consent) OR substantial change in neighborhood makes OK.
What is "Fee Tail", its duration, and what right does the grantor keep?
What is a "Life Estate", its duration, and what right does the grantor keep?
Fee Tail= "To A and the heirs of his body" -Lasts until the blood line runs out. Grantor keeps reversion.
Life Estate = "To A for life" "To A for the life of B" Last until the end of the measuring life.
Either Reversion to Grantor unless subsequent taker named like "To A for life, then to B"
Can a Fee Simple absolutely restrict alienation?
NO. Conditions that completely/totally restrict the taker from ever selling/transfer of rights (unless only for a specified amount of time) ARE VOID.
Shifting- ALWAYS FOLLOWS DEFEASIBLE FEE. Cuts short someones interest OTHER than the Grantor.
"To A, but if B returns from Canada, to B and his heirs"
Springing: Cuts short the Grantors interest.
"To A, if an when she graduates law school"
What interests (5) interests are subject to RAP review?
1) Contingent Remainders
2) Executory Interests
3) Vested Remainders Subject to Open (class of ppl)
4) Options to Purchase
5) Rights of first refusal
Define Transferable, Descendible and Devisable?
Transferable: interest can be transferred to another inter vivos.
Descendible: interest can pass to heirs.
Devisable: interest can be left to someone in a will or trust.