Limits on Inheritance: Vesting Contingent Interests Flashcards

1
Q

Vesting contingent interests

A

Most important thing for determining who retains control of a piece of property for purposes to passing on

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

To vest means

A

If it is vested it is yours to do with what you want after you die provided you don’t put a condition on it that is void

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

2 types of vesting

A

1) Vested in possession

2) Vested in interest

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Vested in possession

A

Have it in your hands- yours right now to use

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Vested in interest

A
  • Have a vested interest but you don’t have immediate physical possession, but you will.
  • Guaranteed to happen, if you die it goes to your estate (even if you die before scheduled to receive it)
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What are two things that don’t have contingent remainder interests?

A

Passage of time and death- these are certainties not conditions

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Vesting and contingent interests

A

A contingent interest is not vested. Conditional upon something happening. Only vested when condition is fulfilled. Not always them that has to fulfill it.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

What kind of conditions are contingent interests

A

Condition precedent

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Does condition move to heirs?

A

No

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Gift overs

A

Gifts to beneficiaries as back ups incase the first one fails

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Court preference

A

Preference for vesting and for early vesting at that. Preference for condition subsequent (can lop off the condition)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Re Smith

A

Facts: T made gift to A for life, w/ remainder to A’s children. Will stipulated that if any of A’s children died, leaving children of their own, there was a gift over of that share to the deceased’s children. 2 children survived T but not A.

Ratio: Applied preference for early vesting—chose the earlier vesting date of everyones interest vesting at will date of testator, all children had vesting interest—the 2 that died before the estate took a share when she died.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly