Ownership Flashcards
Fee Simple Absolute
You own the piece of property by yourself 100% and you own it forever
Life Estate
Convey property to you for your life. (as long as your alive you have 100% control).
You cant commit waste: Anything that would destroy the value of the property.
o You can convey it to someone but they only have it for as long as you live.
What follows a life estate
Reversion
Reversion
If I convey to you for life estate and then you die, it goes back to original grantor.
If there is a mortgage on the property who pays the taxes and interest?
Life Tenant
If I convey to you for life then to Bob what does Bob have?
Remainder
2 types of remainder
- Vested
- Contingent
Vested Remainder
You are going to get it all
Auto get it
Contingent Remainder
Something needs to occur for you to get the property
Vested Remainder Subject to open (partial divestment)
Talking about class of people.
Subject to open means class of ppl. One must be alive.
Vested Remainder Subject to Total Divestment
Means “then to” but something could happen to wipe out their total interest.
o Me to you for your life. Then to C but if C has no kids then to D…. Cs total interest cood be wiped out if C has no kids.
AKA If a persons interest could be wiped out.
Fee Simple Determinable- FSD
So Long as
I convey Greenacre to you so long as you use it as a farm. Looking for the words so long as, as long as. =FSD
What if you dont do that ie stop using it as a farm- it goes back to the grantor- possibility of reverter
Possibility of Reverter
When don’t do something and it goes back to grantor. Its possible it will revert back to me if you don’t do what ur supposed to do.
o auto when u stop doing what ur supposed to be doing.
Fee simple subject to condition subsequent:
I convey greenacre to you but if something happens in the future then I get it back.
o AKA- if a future event occurs, then grantor has right of reentry
“looking for “but if”
Right of Reentry
Grantor must act to get the land back. I have right to reenter the property.
Rules Against Perpetuity (RAP)
An interest must vest within 21 years of the life in being.
If you can get It within 21 years of that life. If yes, then wont violate. If don’t know when going to get it then pick it violates RAP
Executory Interest
Violates RAP and their interest is void. If see prob where I convey greenacre to you and I give you either a FSD or condition subsequent and instead prop coming back to john (orign grantor), it goes to a subsequent grantor.
o If violates don’t terminate whole thing. Juss goes back to u getting ur FSD and me getting my POR
EX: I convey greenacer to you as long as u use it as a museum, but if you ever stop using it as a museum then to bob and his unborn children. Bob gets nothing in this case, cause it violates RAP. You still get ur norm FSD and I still have my POR.
GO OVER AGAIN- Which two interest auto violate rap
o If you see someone subsequent to the initial grantee, and it comes after a fee simple determinable or condition subsequent then you know that that would violate RAP.
Joint Tenancy
if you and I own green acer as joint tenants, theres a right of survivorship.
Effect: It severs the tenancy to a tenancy in common.
The first person who dies the other gets the entire prop, the right of survivorship takes control.
Once joint tenancy severed it can never go back to joint tenancy
Tenancy in Common
There is no right of survivorship
If we have a TIC and I die my heirs get my property
Tenancy by the entirety
Joint tenancy between married people. Husband and wife.
o Theres always a right of survivorship.
o 1 spouse may not convey without the others consent.
o Severed by divorce into a TIC.
o If 1 tenant alone has a debt personal and then they die it will die with them and does not affect the other spouse.
o Each tenant has a right to the whole property unless ouster has occurred
Ouster
Someone literally got kicked off the property.
Partition
They cut the property into two. Usually get partition unless its not practical.
Reword
If 1 co ten is paying mortgage or taxes on prop. They may seek contribution from the other cotenant but if the tenant is in sole possession of the property it will only cover an amount to the extent it exceeds the market value of the land.
