1. Present Estates Flashcards
What is a present estate?
Grantor gives to Grantee interest including the right to ‘present’ ‘possession’
- NOT non-possessory interest (easements/covenants)
What types of possession exist?
Freehold possession
- Legal title
- Fee/life estate
Non-freehold possession
- Mere possession
- Lease
What is a fee simple absolute?
Grantee has full possessory rights (present + future)
- NO restraints
- ‘To A (and his heirs)’
- ‘For purpose of’
- ‘With hope’
- ‘With expectation’
What is the duration of fee simple absolutes?
Indefinite
Are fee simple absolutes transferrable by Grantor?
Either (cannot impose more than one restraint - no restraints allowed);
- Conveyance
- Devise (by will)
- Descend (by NO will)
What is a defeasible fee?
Grantee’s interest may be terminated upon specified event
What is the duration of defeasible fees?
Potentially indefinite
What is a determinable fee/fee simple determinable?
1) Terminates upon specified event
- ‘To A for as long as’
- ‘To A during’
- ‘To A while’
- ‘To A until’
2) Possibility of reverter
- Estate automatically reverts back to Grantor
- NOT expressly stated
Is a fee simple determinable transferrable?
By Grantor (possibility of reverter)
- Conveyance
- Devise (by will)
- Descend (by NO will)
By Grantee
- Conveyance (subsequent Grantee takes subject to estate’s termination by specific event
- Devise (by will)
- Descend (by NO will)
What is a fee simple subject to condition subsequent?
1) May terminate upon specified event
- ‘To A upon condition that’
- ‘To A provided that’
- ‘To A but if’
- ‘To A if it happens that’
2) Grantor must exercise ‘right of entry’ (future interest)
- Estate does NOT automatically revert back to Grantor
- Expressly stated
- ‘Grantor may enter and terminate the state hereby conveyed’
What happens if the Grantor does not expressly reserve his right of entry?
Estate becomes covenant/easement
Estate becomes fee simple absolute to Grantee
How may Grantor waive his right of entry?
Express agreement (forfeiture)
Conduct
- NOT inaction
Is a right of entry transferrable?
NO conveyance
Devise (by will)
Descend (by NO will)
What is the difference between a fee simple determinable and a fee simple subject to condition subsequent?
Fee simple determinable
- If condition is breached => Estate automatically reverts back to Grantor
- Possibility of reverter (NOT expressly stated)
- Conveyable
- Waiver NOT allowed
Fee simple subject to condition subsequent
- If condition is breached => Estate NOT automatically revert back to Grantor
- Right of entry (expressly stated)
- NOT conveyable
- Waiver allowed
What happens if a conveyance appears both as a fee simple determinable and fee simple subject to condition subsequent?
Courts will likely construe it as fee simple subject to condition subsequent
- Policy disfavours automatic forfeiture of estates
What is a fee simple subject to executory interest?
1) May terminate upon specified event
- ‘To A as long as’
- ‘To A but if’
2) Automatically passes to TP (executory interest)
What is a life estate?
Grantee’s (Life Tenant) interest may be terminated upon the life of Life Tenant/another party
Are life estates transferrable?
Conveyance
Devise (by will)
Descend (by NO will)
What are the types of life estates?
Life estate (for life of Grantee) - 'To A for life'
Life estate pur autre vie (for life of another)
- ‘To A for life of B’
What is the duration of life estates?
Indefeasible
- Life estate (for life of Grantee) => Terminates upon Grantee’s death
- Life estate pur autre vie (for life of another) => Terminates upon Another’s death
Defeasible
- Terminates upon specified period
- Terminates upon specified no. years (estate for years)
What happens if the life tenant dies?
Life estate
- Estate reverts back to Grantor
- Estate passes to remaindermen
Life estate pur autre vie (Life tenant dies before other party)
1) Grantor names ‘special occupant’
2) Estate is;
- Transferrable to named ‘special occupant’
- Devisable (by will)
- Descendible (by NO will)
What is the Life Tenant’s rights to the estate?
Ordinary uses + profits of land
What is the Life Tenant’s duties to the estate?
NOT commit waste/injure interests of;
- Remaindermen
- Reversioner (Grantor)
What are the Remaindermen/Reversioner’s rights if Life Tenant breaches his duties to the estate?
Sue Life Tenant for damages
- UNLESS Remainderman is NOT ascertained => Impound damages for future distribution to remaindermen once ascertained
Enjoin (prevent) Life Tenant’s actions
Claim reimbursement from Life Tenant
- If Remainderman/Reversioner spent money to perform Life Tenant’s obligations
