Chapter 4 Pre-reading Snapshot: Ownership

Question 1

Sole ownership of a freehold estate

Answer 1

Tenancy in severalty

Question 2

Ownership by 2 or more owners

Answer 2

Co-ownership

Question 3

Co-tenants; enjoy and individually owned, undivided interest; any ownership share possible; no survivorship

Answer 3

Tenancy in common

Question 4

Equal, undivided interest jointly owned, with survivorship

Answer 4

Joint tenancy

Question 5

Joint tenancy requires 4 unities:

Answer 5

1. Time
2. Title
3. Interest
4. Possession

Question 6

Equal, undivided interest jointly owned by husband and wife

Answer 6

Tenancy by the entireties

Question 7

Per state law, joint ownership of property by spouses as opposed to separate property

Answer 7

Community Property

Question 8

Ownership by business partners

Answer 8

Tenancy in partnership

Question 9

Property granted by trustor to fiduciary trustee for benefit of beneficiary

Answer 9

TRUSTS

Question 10

Personal and real property ownership created to take effect during one’s lifetime or after one’s lifetime

Answer 10

Living Trust

Question 11

Real property ownership where grantor and beneficiary are same party; beneficiary uses, controls property, does not appear on public records

Answer 11

Land Trust

Question 12

Owned by stockholders; board of directors, officers, directors run business; liability of shareholders limited to value of shares, may own real estate in severalty or tenant in common

Answer 12

Corporation

Question 13

Two or more partners; in general partnerships, all partners run business and share liability; in limited partnership, general partners run business and are liable, limited partners liable only to the extent of their investment; both may own real estate.

Answer 13

Partnership

Question 14

Member liability limited like in corporation, management flexible, income passed through and taxed as personal income; may own real estate

Answer 14

Limited liability company

Question 15

freehold ownership of a unit of airspace plus an undivided interest in the common elements as tenant in common with other owners.

May be sold, encumbered or foreclosed without affecting other unit owners

Creation: by developer’s declaration

Answer 15

Condominiums

Question 16

Ownership of shares in owning corporation, plus proprietary lease in a unit; corporation has sole, undivided ownership

Answer 16

Cooperatives

Question 17

A lease or ownership interest in a property for the purpose of periodic use by the owners or tenants on a scheduled basis

Answer 17

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