Property midterm 2 Flashcards
What are the two remainder interests?
Vested or Contingent
What are the two interests retained by the transferee?
Remainder interest and Executory interest.
When is a reversion created?
A reversion is created when an owner in fee simple transfers an estate that will end, and does not provide for a third party to take the property when the granted estate ends.
If O grants A a life estate, and A transfers to B for the course of A’s life, does O have a reversionary interest?
Yes, because they gave a life estate of autre vie which is less the what O has.
If I has a fee simple and transfers to A a fee simple determinable, does I have a reversion.
Not a reversion but does make a reversion interest in the grantor if Fee simple determinable ends.
Can there be a remainder if there is a mandatory gap between the end of a proceeding state and the beginning of another?
No
What are remainders interested in?
These are created only in the transferee.
Do remainders cut short/divest other interest?
No
What are the three parts of a vested remainders?
Remainder is born, is ascertainable, and there is no express condition precedent to the holder of the remainder being able to take possession upon the termination of the preceding estate.
Vested means?
At some point in the future it passes through you.
To A for life and then to B and her heirs.
Indefeasibly vested remainder
What are remainders left in favor to a class of individuals?
Vest Remainder Subject to Open (sometimes called subject to partial divestment)
How is a class vested and open?
One is alive and a member and there is no unmeet conditions and it’s open when people are still allowed to join.
To A for life and B’s children. One kid is alive and B is alive.
Vested subject to open.
Vested remainder subject to complete divestment?
A remainder to born or open class? Subject to an occurrence or non-occurrence. The condition comes after vesting
If the condition is built into the same clause that vests the interest. What is it?
It is contingent
If there is a clause after the condition WITH A COMMA
It is vested remainder subject to complete divestment. It is not contingent and it doesn’t go with the rule of P.
What allows future events to determine the question of whether the future interest vests at all?
Contingent Remainders
How is a remainder contingent?
given to an unborn person, unascertained person (to the govern of Illinois ex) and it is subject to an express condition precedent.
To O for life and then to B and her heirs if B out lives O.
What remainder?
Contingent. It could go to b or back to O if B dies.
What divests or cut shorts the preceding interest (shifting)
Executory interests
What does Shifting executory interest pair with/proceed?
Vested remainder subject to complete divestment
This interest divested must be that of a transferee and not of the grantor
Shifting Executory interest
O conveys land to A for life and upons A death to B and his heirs, But if C marries D then to C and her heirs
Vested remainder subject to complete divestment with a shifting executory interest.
