Ownership

Question 1

Fee Simple Absolute

Answer 1

absolute ownership

Question 2

Fee Simple Determinable

Answer 2

• Ownership automatically terminates upon a condition and passes to grantor
• Durational words: “as long as,” “until”

Question 3

Fee Simple Subject to Condition Subsequent

Answer 3

• When the condition occurs, the grantor can exercise a right of reentry
• Look for conditional words: “but if,” “right to re-enter”

Question 4

Life Estate

Answer 4

Ownership terminates at the end of the measuring life

Question 5

Restraint on Alienation

Answer 5

A grantor can place a reasonable restraint on the grantee’s ability to freely transfer

Question 6

Tenants in Common

Answer 6

• Each tenant owns an undivided interest in the entire property
• No right of survivorship; interest is freely devisable or transferable

Question 7

Joint Tenancy with Right of Survivorship

Answer 7

• Requires express language and the four unities (possession, interest, time, title)

Question 8

Lien theory (majority)

Answer 8

A mortgage is simply a lien and does not sever the joint tenancy.

Question 9

Title theory (minority)

Answer 9

A mortgage is a transfer of title and severs the joint tenancy.

Question 10

Rights and Obligations of Co-Tenants

Possession

Answer 10

Each cotenant has the right to possess the entire property

Question 11

Rights and Obligations of Co-Tenants

Rent

Answer 11

• A cotenant does not owe rent
• A cotenant must share rent received from a third party

Question 12

Rights and Obligations of Co-Tenants

Operating Expenses

Answer 12

A cotenant can generally collect expenses if he has paid more than his share

Question 13

Rights and Obligations of Co-Tenants

Repairs and Improvements

Answer 13

• Cotenant does not have a right to be reimbursed for repairs.
• He may only seek contribution for necessary repairs if he gave notice of the need.

Question 14

Tenancy for Years

Answer 14

created by express agreement for fixed period of time

Question 15

Periodic Tenancy

Answer 15

repetitive, ongoing estate measured by set periods that automatically renew

Question 16

Tenancy at Will

Answer 16

parties must expressly agree, no fixed period of time, may be terminated by either party at any time

Question 17

Tenancy at Sufferance

Answer 17

a tenant wrongfully holds over past the expiration of the lease, lasts until eviction or converts into a periodic tenancy

Question 18

Tenant’s Duties

Answer 18

pay rent, avoid waste, and make reasonable repairs

Question 19

Withholding or Deducting Rent

Answer 19

a) If landlord breaches the covenant of quiet enjoyment, can terminate lease and stop paying rent

b) If the landlord violates the implied warranty of habitability, can terminate lease and stop paying rent OR deduct from the rent

Question 20

Landlord’s Duties

Duty to Repair

Answer 20

landlord must repair damages under residential leases, unless the tenant caused the damages

Question 21

Landlord’s Duties

Implied Warranty of Habitability

Answer 21

• Only applies to residential leases
• Landlord must maintain the property such that it is reasonably suited for residence
• Tenant must give notice to the landlord and reasonable opportunity to repair

Question 22

Landlord’s Duties

Covenant of Quiet Enjoyment

Answer 22

• Applies to residential and commercial leases
• The landlord cannot disrupt the tenant’s possession or enjoyment of the property

Question 23

Landlord’s Duties

Constructive Eviction

Answer 23

1. Landlord substantially interferes with the tenant’s use and enjoyment of the land;
2. Tenant gives notice of the problem and reasonable time for the landlord to repair, but the landlord does not repair; and
3. Tenant vacates the premises in a reasonable amount of time

Question 24

Assignment

Answer 24

a transfer of the tenant’s entire remaining lease to a new party

Question 25

Sublease

Answer 25

a transfer of a portion of the tenant’s lease

Question 26

Assignment and Sublease

Liability

Answer 26

• Original tenant remains liable to landlord for lease obligations under privity of contract
• Assignee is liable to landlord for rent and covenants that run with the land under privity of estate
• Subtenant is not liable to landlord because not in privity of contract or estate

Question 27

Landlord’s Duty to Mitigate

Answer 27

Must make reasonable efforts to re-rent the property

Question 28

Pay rent

Surrender

Answer 28

tenant transfers lease back, and landlord accepts, tenant no longer obligated to pay rent

Question 29

Pay rent

Abandonment

Answer 29

if tenant abandons the property, landlord can accept as an offer of surrender