Estates In Land

Front 1

Defined.

Back 1

Property may be ossessed by one person presently with the right in another to possess the same property in a future time

Front 2

Present estate

Back 2

have the right to property right now

Front 3

Fee simple absolute

Back 3

Largst possible estate. O gives to “A and his heirs” The property belongs entirely to A and is A’s forever
A and his heirs is a concept that shows that it can be passed on to his children.... his children to not presently have possession, but in the future CAN have possession

Front 4

Fee simple determinable

Back 4

Fee simple absolute, but with a condition... “IS A’s so long as used for agriculture”
if the condition is violated, there is POSSIBILITY OF REVERTER... the land will AUTOMATICALLY revert back to the initial holder

Front 5

Typical language of FSD

Back 5

- “for so long as,” “while,” “during,” or “until”

Front 6

Fee Simple Subject to Condition Subsequent

Back 6

Similar to a fee simple determinable, except it uses a RIGHT OF ENTRY to regain the property
if the condition is vilated, the holder of the right of entry can enter upon the land to reclaim it. IT IS NOT AUTOMAGICAL
Right of action can be waived, usually expressly. The exception is when the holder’s inaction cause the other party to DETRIMENTALLY RELY on the inaction

Front 7

typical language

Back 7

“upon condition that,” “provided that,” “but if,” and “if it happens that” followed by “May reenter”, “May take”

Front 8

Life Estate

Back 8

To A for life (typical language)
Endures A for life, but cannot be passed through inheritance
life estates can be conveyed via inter vivos, but the new holder only keeps the property so long as the original holder lives
------life estates can be paired with either a Reversion or a Remainder
iii. a remainder occurs when the property goes to a third person of the grantor’s choosing upon the grantee’s death
------- this would be A to the life of B, in which case when B dies, A gives up the property

Front 9

Doctrine of waste

Back 9

1) Reason for doctrine- pass the property to the holder of the future interest in the same way it was when the life estate was granted

Front 10

Permissive waste

Back 10

failute to take reasonable care of the premesis (letting a house fall apart)

Front 11

Affirmative Waste

Back 11

Taking action that results in Waste (cutting trees for lumber)
------exception is when the property was used in that manner when the life estate was granted to a person

Front 12

Possibility of reverter

Back 12

Automagical reversion of title.... the future interest is freely alienable and descendible (Fee simple determinable) Like love and marriage, you cant have fee simple determinable without POR

Front 13

Right of Entry (power of termination)

Back 13

Person may reenter land to recover it if it is not used for the laidout purpose in the transference

Front 14

Reversion

Back 14

Interest remaining in one who transfers a lesser estate than the estate that person owns. no need for transferor to spell out the reversion in the istrument creating the present interest (6, 19, 20 and 21 questions and answers)

Front 15

Remainder

Back 15

a remainder “vests” when the holder of it is readily identifiable and it is certain to be come possessory upon termination of the prior estate
“O to A for life, then to B and his heirs”- B has a vested remainder because it is certain that he or his heirs will obtain title upon A’s death OR O to A for life, then a reversion to B... if B dies, his heirs take it because it is VESTED WITH B

Front 16

Vested remander subject to partial divestment

Back 16

A Class gift... a gift to my children, a gift to B’s children

Front 17

Vested remainder subject to complete divestment

Back 17

O to A for life, remainder to A’s first child who turns 25 (unascertained as of yet)

Front 18

Contingent remainder

Back 18

not readily identifiable
“O to A for life, then to B’s first born child.” B has no children, so it is a contingent remainder that vests if B has a child. O has a reversionary interest, in the event that B does not have any children.

Front 19

Destructability of contingent remainders

Back 19

“O to A for life, then to B’s first born child.” B has no children, so it is a contingent remainder that vests if B has a child. O has a reversionary interest, in the event that B does not have any children.

- “O to A for life, then to B if he reaches age 21.” B’s contingent remainder could be destroyed if A died before B was 21; O’s reversionary interest would take hold.

Most jurisdictions have abolished this. What now happens is O takes the property back in possessory form until B reaches 21

Front 20

Merger

Back 20

whenever the same person acquires all of the existing interests in land, present and future, they merge together and he holds the land in fee simple absolute

Front 21

Physiological end to a class

Back 21

all members die, PLUS 4 gestation periods (a baby concieved (or about to be conceived)but not born will still get entitlement of a class in some states.)

Front 22

Wills

Back 22

will takes effect after the person dies
no living person has devisees
A well drafted will has a residuary clause (all my unwilled property not covered in this will goes to X)
Reading a deed or will will not always tell you the interest created, but reading it will give you the best understanding of its terms. Also, look outside the instrument to determine if it is aprtially vested or contingent, or vested subject to partial contingent

Front 23

Vestment

Back 23

means that an interest is divided between heirs (in most common use)
an interest may be further vested if a person has more children

Front 24

Per Stirpes

Back 24

O gives to grandchildren.... he has 4 children. All the grandchildren split a percentage tied to how many parents are in the picture (O has 2 children, C1 has 2 kids, C2 has 1 kid. C2’s children each have 25%, C2’s has 50%)

Front 25

Per Capita

Back 25

O gives to his grandchildren.... all the grand children take an equal part

Front 26

Fee subject to exectuive limitation to a 3rd party

Back 26

"fee simple absolute, but with a condition
paired with an Executory Interest- if the condition is violated, the land is AUTOMATICALLY divested in favor of a designated third party
typical language creating a fee simple subject to executory limitation- just look for the third party!
"

Front 27

Springing v. Shifting ex. Interests

Back 27

"i. a springing executory interest divests the grantor in the future (O to A when she marries)
ii. a shifting executory interest divests the initial grantee of the present estate (O to A, but to B if A uses the property for commercial purposes)
"

Front 28

Defeasible leases

Back 28

most leases contain various promises from tenant to landlord

Front 29

Forfeiture

Back 29

there is a constructional preference to fee simple absolute subject to a covenant (enforced with injunction or damages) over fee subject to condition subsequent (someone has to take action) to fee simple determinable (AUTOMAGICAL)

Front 30

determining the interest

Back 30

Location of the language of the condition and the punctuation in an instrument are critical in determining the interests created in the instrument

Front 31

rule against perpetuities
(Stops reclaiming interests)

Back 31

no interest is good unless it must vest, if at all, not later than twenty-one years after some life in being at the creation of the interest, plus gestation periods (only one state LA has kept this completely)
only applies to contingent remainders, vested remainders subject to open, and executory interests
many modifications of the rule, even abolished in certain states- but if it was valid at the creation of the deed, it could still come back to get you!
(O dies, 21 years pass, then A can do what he wants with the property)

Front 32

life in being defined

Back 32

must be some person alive at the creation of the deed- for inter vivos conveyances, when delivery was made; for wills, when the person who made the will dies...also, add gestation periods