Present possessory estates Flashcards
Fee Simple Determinable
Examples: To A for so long as, until, while, during
Duration: as long as condition is met then back to grantor
Future interest of grantor: possibility of reverter
Future interest of 3rd party: NA
Fee Simple Subject to Condition Subsequent
Example: To A but if, upon condition that, provided that
Duration: proscribed event occurs + reentry of grantor
Future interest of grantor: right of entry
Future 3rd party interest: NA
Fee Simple Subject to an Executory Interest
Example: To A for so long as… and if not… to B. To A, but if…. to B
Duration: for as long as condition is met then to 3rd party
Future rights of grantor: NA
Future rights of 3rd party: Executory interest
Words of hope, desire, intention
do not create defeasible fee.
to A for the purpose of
Life Estate
future interest in grantor: reversion
future interest in 3rd party: remainder
future interest in 3rd party if defeasible: executory interest
Life estate voluntary waste
actual overt conduct that causes drop in value prohibited.
depleting property’s natural resources prohibited unless:
- necessary for repairs or maintenance
- the land is suitable only for such use
- expressly or impliedly allowed by grantor
if mining limited to open mines
life estate permissive waste
And taxes
allowing land to fall into disrepair/neglect not permissible (neglect).
Taxes:
obligated to pay ordinary taxes on income/profits derived from land. If no income/profits, only obligated on taxes as to the fair RENTAL value.
Interest on mortgage
special assessments of short duration
life estate ameliorative waste
can’t act in ways that enhance property’s value unless all future interest holders consent.
modern exceptions:
If substantial and permanent change in the neighborhood conditions has deprived the property in its current form of reasonable productivity or usefulness
life tenant not responsible for
insuring the property or damages caused by 3rd party tortfeasors
