Estates Flashcards
Present Estate
Right to possess the property now
- Created through sale/lease/will/trust
Future Interest
Right to take possession in the future under specific circumstances
- Created through sale/lease/will/trust
Fee Simple Interests (Two Types)
- Fee Simple absolute
- Defeasible fees
Fee Simple Absolute (Type 1)
Fee simple w/out an associated future interest
- no one owns future interest in property so grantor is free to determine who owns it in the future and how
Ex: O to A
O to A and her heirs (doesn’t give A’s heirs any interest in property–living person has No heirs)
Defeasible Fees (Type 2)
Has Three Fee Simples (all w/ a catch)
Present interest that terminate at the happening of a specified event other than death of the current owner.
Ex. E to A (E attaches condition to it, if condition violated then land automatically back to E or E has to request it back)
Fee Simple Determinable (DF #1)
- O to A as long as A remains a lawyer
- Land is divisible, alienble, transferable by A BUT the condition remains attached.
- If A violates condition and stops being a lawyer then the land automatically back to O.
- mnemonic: Frank Sinatra Doesn’t Prefer Orville Redenbacher
Adv possession in this context on exam:- O to A as long as land is used as a hospital.
- A does not use it as a hospital but the grantor is in lala land and does not know. A is now adversely possessing land.
Fee Simple Subject to Condition Subsequent (DF #2)
Tim to Rachel, BUT IF coffee is ever consumed on premises, then the grantor reserves the right to re-enter and re-take.
- once condition violated, land does not automatically go back to grantor, they have to assert it back through re-entry.
- Laches: prevents grantor from waiting too long to assert re-entry.
- This is in the context of adv possession–grantor cannot be in Lala land– must contact grantee w/in SOL.
Life Estate
- Present interest: life estate in individual (individual owns property during lifetime)
- Future interest: either in grantor (reversion) OR in third party (remainder)
Fee Simple Subject to Executory Limitation (DF #3)
O to A but if she ever leaves the legal profession then to B.
- if condition violated, land automatically goes to B.
- THINK 3rd person!
Per Autre Vie
- life estate measured in terms of a lifetime of another
- Ex: Life Estate Owner A sells property to buyer B, who gets an estate for the life of A and when A dies property shifts to reversion or remainder holder
Vested Remainder (3 types)–known takers + no condition pre-req
Remainders to persons identifiable at time of initial conveyance and for whom no conditions must occur before the future interest becomes possessory other than the death of the life estate tenant.
Contingent Remainders (“up in the air”)
- If one or both of below conditions met
- created in an as yet unknown taker or unmet condition
1) Uncertain event: O to A for life, then to B if B has graduated from law school
2) Unknown taker: O to A for life, then to children of B OR O to A for life, then to the heirs of B. (Class gifts)
Absolutely Vested Remainder–subject to change
- O to A for life then to B (remainder man)
- B is known and no condition pre-reqs
Vested Remainder Subject to Open
Vested in some individuals but may divide w/ others joining the class in future
Ex: O to A for life then to the children of B
- vested if B has any living children at time of conveyance from O to A
- subject to open: for any of B born after conveyance from O to A may then share property rights w/ children that were alive during conveyance.
Rule of convenience: most courts close class after A’s death and give share to whichever of B’s kids were alive at that point.
