RAP Flashcards
Fee Simple Absolute
Absolute ownership of potentially infinite duration. No future interest. Example: “To A and his heirs.” To A.”
Life Estate
an interest that has its duration measured by the life of the transferee or some other life. Future Interest: Reversion or remainder (if held by a third party). Ex: “to A for life.”
Reversion
held by the grantor and is guaranteed to happen when the lesser estate naturally terminates. Will be in place anytime the grantor fails to transfer all interest with certainty.
(possibility of Reverter)
not guaranteed that the property will revert back b/c the condition triggering a reverter may not happen
Defeasible Interests
3 types, in which, ownership depends on contingencies where interests will terminate on the happening of an uncertain event
Fee Simple Determinable (FSD)
language: “so long as” or “until”. Automatic termination of interest once the condition is violated. Future interest: possibility of reverter (held by the grantor)
Fee Simple Subject to Condition Subsequent (FSSCS)
defeasible language: “but if,” “on the condition that,” or “provided that”. Owner has choice of termination. Future interest: Right of entry/Power of termination (held by the grantor)
Fee Simple Subject to Executory Limitation
conveyance that creates either a FSD or a (FSSCS) but the future interest is held by a 3rd person/party and not the grantor
Vested Remainder
future interest that is created in an ascertained person and not subject to a condition precedent other than the natural end of the preceding estate. Ex: “To A for life, then to B.”
Contingent Remainder
a future interest that is created in an un-ascertained person or subject to a condition precedent other that the natural end of the preceding estate. Ex: “To A for life, then to A’s first child.” A has no children yet.
Indefeasibly Vested Remainder
certain to become possessory in the future.(look up)
Vested Remainder in an Open Class
Vested remainder that is held by an open class of people. Ex: “O grants BA to A for life, and then to O’s children.” A & O are alive, O has one child. This remainder is for an open class of people b/c it says to O’s children and since O is still alive, the class of O’s children is open till O’s death.
Vested Remainder Subject to Divestment
a type of vested remainder that may be divested by an executory interest before it becomes possessory. Ex: “O grants BA to A for life, then to B, but if B becomes a lawyer, then to C.”
Executory Interests
a future interest in a grantee(s) that may cut short or divest the preceding interest
Intestate
Not having made a will before one dies
