Lecture 4 - Estates

Question 1

What is an “estate”?

Answer 1

The right to possess land for some period of time.
The nature of the estate will determine how long the estate-owner’s interest in the land will last.

Question 2

What governs estates?

Answer 2

The law - Fixed list of estates; the creation of a new estate requires a change in the law

Question 3

What are the three types of estates?

Answer 3

1. Freehold estates - Last for an indefinite period of time
2. Leasehold estates - Lasts for a time certain (Known from the beginning what day and time the estate will come to an end e.g. leases – Once know start date, know end date and can calculate it exactly)
3. Hybrid estates

Question 4

What are the two basic rules of the basic freehold estate?

Answer 4

1. All land is held by someone in fee simple at all times
2. Heritable estate

Question 5

What is an estate in land in fee simple?

Answer 5

Enjoy that land free from all interreference. Can create lesser interests for other people in my land. E.g. Lease for tenant for 10 years – If pay rent, can possess the land for the 10 years.

Question 6

What’s the situation regarding estates where there is a lease?

Answer 6

Two interests
1. Possessory interest (tenant)
2. Fee simple holder – Right to receive rent for the next 10 years and right to resume possession of the land after the leasehold estate comes to an end.

Question 7

What were the three types of pre-2009 freehold estates?

Answer 7

1. The Fee Simple
2. The Fee Tail
3. The Life Estate

Question 8

Explain how a fee tail works.

Answer 8

 I leave my land in fee tail male to first son A, then second son B, then third son C, then my daughter D
- A to A’s eldest son to A’s eldest son’s eldest son until no male heir and then back up the family tree to B’s descendant – eldest sons and then same thing with C and D but after D ends

Question 9

What’s the problem with the fee tail?

Answer 9

Can withdraw land from the market for a very long time – That land can’t be sold because if you buy from someone who holds in fee tail, all they can give you is what they have. Value depends on the holder’s age and state of health

Question 10

What is the post-2009 position on the fee tail?

Answer 10

Section 13(1) and (2):
Abolished
No more creation of the fee tail
Current fee tails converted to fee simple from 1st December 2009