present estates and future interests

Question 1

“G to A, so long as liquor is never sold on the property”

Answer 1

A = Fee Simple Determinable

G = Possibility of Reverter

Can be transferred by G

Not subject to RAP cuz its automatic

Question 2

“G to A; but if liquor is ever sold on property, A has right to re-enter”

Answer 2

A = Fee simple absolute subject to condition subsequent

G = right of re entry i.e., must take action

A’s estate not automatically terminated when liquor is sold; to terminate–CONDITION happened AND RE ENTRY

Question 3

“G to A, so long as liquor is not sold on the property, and if it ever is, then to X”

Answer 3

• A = Fee simple subject to executory interest
• X = executory interest
• That language is void under RAP because it might be a thousand years until liquor is not sold on the property
• because its void under RAP:
• A = fee simple determinable
• G = possibility of reverter (if dead will go to heirs)

Question 4

“G to A for life”

Answer 4

indefeasible interest
a = life estate
g = reversion

Question 5

“G to A for life, remainder to X”

Answer 5

A = life estate

X = remainder

Question 6

remainder v. executory interest

Answer 6

Remainder
- future interest that gives party ownership rights upon the natural termination of prior estate (example, death of life tenant)

Executory interest
- future interest that allows party to cut short the prior estate (if alc sold, then to X).

Question 7

fee simple absolute

Answer 7

estate where owner has title and possession forever

Question 8

Fee Simple Determinable v Fee Simple Condition Subsequent

Answer 8

FSD (possibility of reverter): “so long as” “while” “until” “during” (automatically terminates upon stated event)

FSS Condition Subsequent (right to re-entry): “provided that” “but if” “on the condition that” (these indicate a condition but not automatic termination). Grantee keeps unless grantor affirmatively reclaims property