Pg 5

Question 1

What is a life estate pur autre vie?

Answer 1

When the duration of a life estate is measured by the life or lives of someone besides the grantee. “For the life of another.“

Question 2

What is an example of a life estate pur autre vie?

Answer 2

“A to B for the life of C.“

This means that as long as C is alive, B owns the property. If B dies before C, the life estate still exists and it transfers to B’s heirs who own it until he dies

Question 3

Is it possible for a life estate pur autre vie to be for more than one measuring life?

Answer 3

Yes. I.e.: “A to B for the lives of C and D.“ This means that B has it as long as C and D are alive. If one dies, the estate lasts until the last one dies

Question 4

What is a defeasible life estate?

Answer 4

This terminates on some event or condition in addition to death.

Question 5

What are the different kinds of life estates?

Answer 5

– life estate pur autre vie
– defeasible life estate
– marital life estate

Question 6

What is an example of a defeasible life estate?

Answer 6

“A to B for life as long as B farms the land.“

This gives B a defeasible life estate to own the land while he farms it, but if he stops, the land reverts back to A

Question 7

What are the different ways you can make a life estate defeasible?

Answer 7

By using a special limitation, a condition subsequent, or an executory limitation

Question 8

What is the buzzword that you will see in a defeasible life estate?

Answer 8

“Or until“

Question 9

If O grants land to A for life or until she goes to law school, what kind of interest was created in A?

Answer 9

A defeasible life estate that terminates either when A dies or when she goes to law school.

Question 10

What is a marital life estate?

Answer 10

This has mostly been eliminated or modified, but if it is still recognized it is only for land that is owned by a spouse at death. The surviving spouse gets a fee simple part of the deceased’s land, which is usually between 1/3 and 1/2. It is not usually smart to claim this because intestate share is often more valuable

Question 11

Are life estates freely alienable?

Answer 11

Yes they are freely transferrable by deed subject to restraint on alienation by the person that created them. The problem is that they are not very saleable.

Question 12

If a life estate has no restraint on alienation, what can the life tenant do?

Answer 12

• he can sell, give, or mortgage the entire estate, or create lesser estates or nonpossessory interests such as easements
• but he cannot create an interest that will outlast the life estate or devise the estate by will (if the life estate terminates on his own death. If it is pur autre vie he can so long as the measuring life is still in existence).

Question 13

What is a term estate?

Answer 13

A lease. This includes non-freehold estates such as term of years, periodic tenancies, and tendencies at will.

Question 14

What is a future interest?

Answer 14

A presently existing nonpossessory interest where the owner can take possession at some point in the future.

Question 15

Who are the two people that a future interest can be created in?

Answer 15

– the grantor: possibility of reverter, right of re-entry, or reversion
– the grantee: remainders and executory interests

Question 16

What are the five different types of future interests?

Answer 16

Created in the GRANTOR:
– reversions
– possibility of reverter
– powers of termination

Created in the GRANTEE or third persons:
– remainders (either vested or contingent)
– executory interests

Question 17

What are the four different ways that a future estate can be created?

Answer 17

• transferring less than your entire estate and keeping the balance
  – dividing an estate into two or more smaller ones (smaller time-wise) and transferring each to different people
  – transferring the entire estate subject to defeasance on the happening of a stated event
• escheat: if the person dies intestate, his property escheats to the state if he has no errors

Question 18

What is the best essay approach for a future estate?

Answer 18

If the conveyance passes property to someone at a point in the future:

1. Ask if it is going to the grantor: then approach it based on a future estate created in the grantor which involves: reversions, possibility of reverter, and powers of termination
2. If it will pass to a third person besides the grantor, discuss the categories of future interests created in a third person which involves remainders and executory interests

Question 19

What are the three categories of future estates that are created in the grantor?

Answer 19

– reversions
– possibility of reverter
– powers of termination

Question 20

Can future estates also include personal property like intangibles and non-consumable chattels?

Answer 20

Yes

Question 21

What is a reversion?

Answer 21

When the transferor fails to transfer the entire estate, or part of the transfer was void, then a future estate is left in the transferor/his successors

Question 22

Reversions follow what kinds of estates?

Answer 22

Life estates and non-freehold tenancies

Question 23

When a reversion happens, that causes the right of what?

Answer 23

Immediate possession to revert to the grantor after a particular state

Question 24

Reversions can only follow what kinds of estates?

Answer 24

Particular estates because those are ones that are less than a fee simple

Question 25

Do reversions ever divest or cut short the preceding estate?

Answer 25

No, they only take affect when the particular estate expires

Question 26

Is an estate for years considered to be smaller than a life estate?

Answer 26

Yes, even though the life estate owner could die before an estate for years would end

Question 27

If O transfers to A for life, then to B for life, what does O retain?

Answer 27

A reversion because the life estates do not add up to a fee simple absolute

Question 28

What is necessary to create a reversion?

Answer 28

There’s no need for express words, you just need to convey a lesser quantity of ownership in duration than you have

Question 29

Is it ever possible for there to be a gap in conveyances?

Answer 29

No, ownership must be provided for into perpetuity. If there is ever a gap, then a reversion is ordered to fill it

Question 30

Are reversions automatic, or must something else be done for them to occur?

Answer 30

They are automatic. When all prior estates expire, the grantor or his heirs get possession as a matter of law automatically without any need to bring an action, give notice, or make an entry

Question 31

What occurs with this transfer? “O to A for life, then to B one day after A’s death if he survives A.”

Answer 31

O retains a reversion in fee simple subject to complete defeasance

Question 32

What is the test for determining reversions?

Answer 32

If it isn’t a fee simple subject to condition subsequent or a fee simple determinable, and the property is still going to go back to the grantor on termination, then it is a reversion. If you think about it in this negative you’ll always be able to see it

Question 33

Are reversions transferable?

Answer 33

- at common law they could not be transferred, they had to pass by descendency – today they are freely transferrable

Question 34

Is this a reversion? “R with a fee simple absolute conveys to K for life, with a remainder to P and her heirs.“

Answer 34

That is not a reversion because R conveyed everything he had

Question 35

What is the difference between a possibility of reverter and a reversion?

Answer 35

- A reversion follows particular estates and is always vested and is freely transferable. – Possibilities of reverter follow fee simple determinables, and are contingent because they are subject to conditions precedent, and in some states are not transferrable

Question 36

If the owner of a reversion dies before the land reverts back to him, what happens to that reversion?

Answer 36

It goes to his heirs or devisees

Question 37

If a person waits too long before re-entering on their reversion, what can possibly happen?

Answer 37

They may be held to have waived that right because courts always try to avoid forfeiture