Future Interests Flashcards
Possibility of reverter
created by the granot accompanies only fee simple determinable
FSDPOR
Right of Entry
created by the grantor, accompanies FSSCS, right to enter and retake
Reversion
created by the grantor - arises whenever the grantor has something left over after conveying a present estate
Vested Remainder
future interest in a transferee (not O)
- created in a known taker
- not subject to a condition precedent
Three Types of Vested remainders
- Indefeasibly Vested Remainder
- Vested Remainder Subject to Complete Divestment
- Vested remainder subject to open
Indefeasibly Vested Remainder
“To A for life and then to B”
when the taker is known and not subject to any conditions
Vested Remainder Subject to Complete Divestment
“To A for life, then to B, but if B dies under 25 then to C”
Remainder is subject to a condition. If condition manifests, will remove interest from the remainder man.
Vested remainder subject to open
“To A for life then to B’s children”
Remainder is divested into a group of takers where at least 1 of them is able to claim.
A class of open when others can join. A class is closed when others cannot join.
Vested remainder subject to open
“To A for life then to B’s children”
Remainder is divested into a group of takers where at least 1 of them is able to claim.
A class of open when others can join. A class is closed when others cannot join.
Contingent Remained
future interest in a transferee (Not O)
“To A for life then to Bs 1st child” B has no children.
1. create in unknown takers OR
“To A for life and then if B graduates from college then to B” A has a life estate. B is still in high school.
2. when subject to conditions precedent
Rule of distractibilty
Rule that limits contingent remainders. Abolished today.
The contingent remainder would be destroyed if it was still contingent when the preceding estate ended.
The Rule in Shelley’s Case
Rule that limits contingent remainders. Only applies here:
“To A for life and then the A’s heirs” A is alive.
Present and future interests merge giving fee simple absolute.
The Rule in Shelley’s Case
Rule that limits contingent remainders. Only applies here:
“To A for life and then the A’s heirs” A is alive.
Present and future interests merge giving fee simple absolute.
Doctrine of Worthier Title
Rule that limits contingent remainders.
“O conveys to A for life and then to O’s heirs”
When O who is alive tries to create a future in his heirs. The contingent remainder in O’s heirs is void. O has a reversion because it is uncertain how many heirs O will have.
Exists to promote the free transfer or inalienability of land.
Executory interest
Future interest in a transferee, takes effect by cutting hort another or benefitting from another’s forfeiture.
- Shifting Executory Interest
- Springing Executory Interest
Shifting Executory Interest***
“To A but if B returns from Canada next year to B”
always follows a defeasible fee and cuts short someone other than O. Moves from to A to B. B receives if B completes the condition.
