Present Possessory Estates Flashcards
Fee Simple Absolute
Look for: no strings
Lasts: forever
Fee Simple Determinable
Look for: durational language (so long as, while, during, until)
Lasts: as long as the condition is met then automatically reverts to grantor
Future interest: possibility of reverter
Fee Simple Subject to Condition Subsequent
Look for: conditional words (on condition that, provided that, but if) and an explicit statement of grantor’s right to re-enter
Lasts: until the named event happens and grantor chooses to re-enter
Future interest: right of entry
Fee simple Subject to Executory Interest
Look for: third party who will take upon forfeiture of a fee simple estate
Lasts: as long as the condition is met (if durational language) or until the named event happens (if conditional language)
Future interest: shifting executory interest
Life Estate
Look for: explicit lifetime terms
Lasts: until the end of the measuring life
Future interest: reversion (if held by the original grantor) or remainder (if held by a third party)
Duties of a Life Tenant
-Not commit waste
-Not exploit natural resources unless necessary (except open mines)
-Maintain the premises
-Pay taxes
-Pay mortgage interest
-Pay special assessments