Pg 2

Question 1

What do you have if you have rights of possession?

Answer 1

Profits/all kinds of use and enjoyment of land

Question 2

What do you have if you have exclusive possession?

Answer 2

The owner can wholly exclude others

Question 3

What is the order of greatest duration for ownership of land?

Answer 3

– fee simple absolute (includes: fee simple determinable, fee simple on condition subsequent, fee simple on executory limitation)
– fee tail 
– life estate
– term of years
– periodic tenancy
– tenancy at will

Question 4

What is a present estate?

Answer 4

The holder of an estate can possess it right now/in the present. And it is freely alienable by inter vivos conveyance unless there’s a valid restraint on alienation in the instrument

Question 5

If an instrument said, “A to B for life, then to C“ what is everyone’s role?

Answer 5

– B can go into immediate possession of the property because he has a present possessory estate
- C has a present possessory estate because he will get possession at some point in the future.

Question 6

What two types of interests are always together?

Answer 6

Present and future interest, so if there is an accompanying future interest it doesn’t need to be expressly stated since it is automatic. Ie: fee simple determinable has a possibility of reverter

Question 7

What are the two different views on present estates with regard to airspace?

Answer 7

• Traditional view: the right to exclusive possession extends to the centre of the earth and indefinitely upward
  – Modernly: the airspace above is subject to a public easement for air travel above a minimum altitude. This is the privilege of use and enjoyment, and the owner can hold it subject to servitudes. Present estates can be owned in severalty/by one person, or concurrently/by two or more with undivided fractional interests

Question 8

What are the three different possessory estates?

Answer 8

Fee estate, life estate, and term estate

Question 9

What are the two types of present estates that are called fee estates?

Answer 9

Fee simple absolute and defeasible fee simple estates

Question 10

If the words “and his heirs“ are present, what does that create?

Answer 10

A fee simple estate that continues until the line of heirs runs out

Question 11

What are the things that a fee estate can be followed by?

Answer 11

A possibility of reverter, a right of reentry, or an executory interest. But never a remainder

Question 12

What is a fee simple absolute?

Answer 12

Full ownership and the largest possible estate in land with the potential to last forever.

Question 13

What is the most common form of estate?

Answer 13

A fee simple absolute

Question 14

How do you create a fee simple absolute?

Answer 14

– Common law: must say “his/her heirs“ or it is presumed to just be a life estate
– Modernly: heirs doesn’t need to be said. It is presumed to be a fee unless otherwise stated. I.e.: conveyance of land, “to A” is presumed to be a fee simple absolute

Question 15

When does a fee simple absolute end?

Answer 15

Only if the current owner dies without natural heirs, then it escheats back to the state

Question 16

A fee simple absolute is property that is free of what?

Answer 16

Leases, easements, covenants, conditions, restrictions, liens, encumbrances, and future interests

Question 17

Everything aside from a fee simple absolute is considered to be what?

Answer 17

Smaller, so one or more future estates is always created when a present estate besides a fee simple absolute is carved out of a present fee simple absolute.

Question 18

If someone holds a fee simple absolute, do they share ownership?

Answer 18

no

Question 19

What can you do with a fee simple absolute?

Answer 19

Can sell it, divide it, devise it, or inherit it

Question 20

Are fee simple absolutes freely transferable?

Answer 20

Yes

Question 21

If you see just the word “fee“ what does that mean?

Answer 21

It means fee simple absolute, anything other than that is specifically described. Same if the words are “fee estate“

Question 22

What does “subject to” mean?

Answer 22

It means “with“ certain defects

Question 23

How does a fee simple possibly last forever?

Answer 23

It is inheritable by heirs for generations as long as the estate is not transferred

Question 24

If two parties join two estates together, such as a life estate in land and all other possible estates in it, to convey to a third-party, what does that create?

Answer 24

A fee simple absolute

Question 25

Does fee simple absolute mean absolute dominion over the land?

Answer 25

No, it is still subject to zoning and laws that prohibit certain activities as well as taxes

Question 26

What kind of estate is given with this language, “To A and his heirs“?

Answer 26

A fee simple absolute to A, but nothing directly to his heirs. The heirs language just shows that he is getting an inheritable estate that he can transfer completely to another person during his lifetime or devise at his death. His heirs only get the property if he did not dispose of it before his death. This basically just means that his heirs might be able to inherit the property because he is getting an inheritable estate

Question 27

What is a defeasible fee simple estate?

Answer 27

Estates that establish a fee simple plus a provision for defeasance/termination when a certain state of affairs ceases or happens.

Question 28

Defeasible fee simple estates usually have the same what as fee simple absolute estates?

Answer 28

The same rights, powers, and immunities, with the same power to alienate the entire estate or create a smaller one, and for the property to pass via intestate succession on death, they are just subject to defeasibility

Question 29

Essentially in simple words, what is a defeasible fee simple estate?

Answer 29

A fee that can be defeated

Question 30

What does the word “defeasible“ mean in a defeasible fee simple estate?

Answer 30

If a certain event happens, the estate expires or is divested

Question 31

Do defeasible fee simple estates have the potential to be indefinite?

Answer 31

Yes because they run until the line of heirs runs out, unless they are terminated sooner upon a prescribed event happening

Question 32

Is a defeasible fee simple estate considered to be a lesser estate than a fee simple absolute?

Answer 32

No. All fee simple estates are the same quantity of ownership with the same potential duration, but defeasible estates have a possibility of ending before the line of heirs runs out

Question 33

When does a defeasible fee simple estate expire?

Answer 33

Automatically on the stated event.

Question 34

What is this language an example of? “To A and his heirs until people land on Mars.“

Answer 34

A defeasible fee simple estate

Question 35

Is it possible to have a defeasible fee simple estate in intangibles?

Answer 35

Yes, such as stocks or bonds

Question 36

How does public policy affect a defeasible fee simple estate?

Answer 36

There are some limitations on conditions that make them void if they are contrary to public policy. I.e.: if there are conditions in restraint of marriage, that encourage divorce, that are meant to prevent the acquisition and retention of an interest in land, those are all invalid unless the motive is to give support until the marriage happens, or support in the event of divorce

Question 37

What are the three different types of defeasible fee simple estates?

Answer 37

1. Fee simple determinable
2. Fee simple subject to condition subsequent
3. Fee simple subject to executory limitation

Question 38

What is the difference between the types of defeasible fee simple estates?

Answer 38

It is how their termination happens

Question 39

What is a fee simple determinable?

Answer 39

It is a fee simple that is subject to a specific limitation. It is created when a conveyance creates a fee simple, but also has a limitation that the fee will expire if an event happens.

Question 40

What is the key to a fee simple determinable?

Answer 40

Durational language such as “while, during, so long as, until”

Question 41

When does a fee simple determinable terminate?

Answer 41

Automatically when the event happens. And then reverts back to the grantor/heirs without the parties needing to take any action. And the owner of the reverter or the executory interest has an immediate right to possession and can immediately bring an action to recover possession. It automatically reverts to the grantor once the condition comes into play and the fee is considered defeated

Question 42

What should you watch out for as far as termination goes for a fee simple determinable?

Answer 42

It doesn’t automatically dispossess the possessor and restore possession to the grantor. Unless the property is voluntarily surrendered, the person that possession has automatically vested in must sue for possession