Gilbert Book

Front 1

4 types of estates

Back 1

1. Fee simple
2. Fee tail
3. Life estate
4. Leasehold

Front 2

Estate

Back 2

A interest in land that is or may become possessory.

Measured by some period of time.

Front 3

Fee Simple

Back 3

Absolute ownership and has the potential of enduring forever.

Front 4

Freehold v. nonfreehold

Back 4

Freeholder in possession has "seisin", whereas a leaseholder only has possession.

Front 5

Hierarchy of estates

Back 5

Fee simple> Fee tail> Life estate> Leasehold

Front 6

Fee

Back 6

potentially infinite duration

Front 7

Simple

Back 7

no limitations on inheritability

Front 8

Absolute

Back 8

it cannot be divested, nor will it end on the happening of any event.

Front 9

Words of purchase

Back 9

identify the person

Front 10

Words of limitation

Back 10

describe the type of estate created

Front 11

Heirs

Back 11

no present interest in land

persons who inherit if decedent leaves no will

Front 12

Issue

Back 12

Children, grandchildren, great grandchildren "descendants"

Front 13

Devisee

Back 13

The persons who are devised if the decedent leaves a will

Front 14

Legatee

Back 14

Persons who are bequeathed personal property when the decedent leaves a will

Front 15

Fee simple determinable

Back 15

So limited that it will end automatically when some specified event happens.

May endure forever but if the contingency occurs, the estate automatically ends and automatically reverts to the grantor.

Front 16

Possibility of Reverter

Back 16

Future interest in grantor of a determinable fee

Front 17

Fee simple subject to condition subsequent

Back 17

A fee simple that does not automatically terminate but may be cut short (divested) at the grantor's election when a stated condition happens

May endure forever if the contingency occurs O has the power to reenter and terminate the estate.

Right of entry, power of termination

Front 18

Fee Simple Subject to executory limitation

Back 18

A fee simple that, on the happening of a stated event, is automatically divested in a 3rd party (not the grantor)

Front 19

Fee Tail

Back 19

Can only be inherited by the issue (lineal descendants) of t he original grantee, and not by collateral kin. If the blood descendants of the original grantee run out, the property is returned to the original grantor (or his heirs) Cannot be devised by will

Front 20

Pur autre vie

Back 20

Someone gets a life estate for the duration of someone else's life.

To A for the life of B. If B dies before A, it will go to B's heirs.

Front 21

Life estate

Back 21

Free to transfer, lease, encumber, or otherwise alienate the estate inter vivos.

Front 22

Affirmative waste

Back 22

The life tenant actively causes permanent injury by destroying buildings or ornamental tress on the land, or by removing natural resources (minerals, timber, etc.)

Front 23

Permissive waste

Back 23

Involuntary. When the land is allowed to fall into disrepair, or the tenant fails to take reasonable measures to protect the land from the elements.

Failing to pay taxes and allowing the property to be sold at a tax sale is treated as permissive waste.

Front 24

Ameliorative waste

Back 24

Land is substantially changed but the change increases the value of the land

Front 25

Direct restraints

Back 25

A. Forfeiture restraint- if a person attempts to transfer his interest, it is forfeited to another.
B. Disabling Restraint- withholds from the grantee the power of transferring her interest.
C. Promissory Restraint- grantee promises not to transfer his interest.

Front 26

Public policy for restraints on alienation

Back 26

Restraints on alienation take property out of the market, making it unusable for the best interest of the market.

Makes property unmortgagable, therefore unimprovable.

Front 27

Partial Restraints

Back 27

Purports to restrict the power to transfer to specific persons, by specific method, or until a specific time.

1. Sale w/consent- can only be sold w/consent of another. Usually void.
2. Sale to club member- usually void.
3. Reasonable restraints- valid if reasonable in purpose and limited in duration. E.g., preemptive option (first right of refusal), sale of cooperative apt, co-tenants, restraints on use.

Front 28

Void restraints

Back 28

1. Total Restraint
2. Sale requiring consent of another
3. Sale only to a member of a club w.arbitrary power to dent membership
4. Racial restraint- violate 14h amendment and Fair Housing Act. Shelley v. Kraemer.

Front 29

Usually valid restraints

Back 29

1. Preemptive option (first right of refusal)
2. Sale requiring consent of board of directors in cooperative building (financial interdependency involved)
3. Agreement by co-tenants not to partition (if reasonable in purpose and time)
4. Restraint on use

Front 30

Spendthrift trust

Back 30

Disabling restraint on an equitable life estate in trust

Front 31

Public policy for restraint on an equitable trust

Back 31

Does not prevent alienation of specific property. The trustee can sell the stock, but A cannot transfer to another her right to receive income from the assets.