Real Property Concepts and missed Real property questions Flashcards
What does devisable mean?
If an estate is devisable, this means it can pass by will.
What does descendible mean?
Descendible means the estate can pass by the statutes of intestacy if its holder dies intestate.
What does alienable mean?
Alienable means that an estate is transferable inter vivos, AKA transferable during the holder’s lifetime.
What is the duration of a fee simple absolute?
A fee simple absolute is ABSOLUTE ownership, of potentially infinite duration.
In what ways is a fee simple absolute transferable?
It is devisable, descendible, and alienable.
Is there any future interest in a fee simple absolute?
No, there is no future interest in a fee simple absolute.
What is an example of language that creates a fee simple absolute?
“To A and his heirs” or “To A”
Is a fee simple determinable (which is a defeasible fee) transferable? In what ways?
A fee simple determinable is alienable, devisable, and descendible, SUBJECT to condition.
Is there any future interest held in a fee simple determinable?
Yes, the grantor holds a possible future interest due to the possibility of reverter.
What is the duration of a fee simple determinable?
The duration of a simple simple determinable is potentially infinite, so long as the event does not occur.
What are some examples of fee simple determinable language?
“To A so long as” or “To A until” or “To A while” AKA language providing that upon the happening of a stated event, the land is to revert to the grantor.
What is the duration of a fee simple subject to condition subsequent?
POTENTIALLY infinite, so long as the condition is not breached, and, thereafter, until the holder of the right of entry timely exercises the power of termination.
What is the transferibility of a fee simple subject to condition subsequent?
Sam as the fee simple determinable - alienable, devisable, descendible subject to condition.
Is there a future interest in a fee simple subject to condition subsequent?
Yes - right of entry/power of termination which is held by the grantor.
What type of language indicates a fee simple subject to condition subsequent?
“To A, but if X event happens, grantor reserves the right to reenter and retake.” NOTE with a fee simple subject to condition subsequent, the grantor must carve out right of reentry.
What is the duration of a fee simple subject to executory limitation?
Potentially infinite, so long as stated contingency does not occur.
What is the transferability of the fee simple subject to executory limitation?
The same as fee simple determinable and fee simple subject to condition subsequent - Alienable, deisable, and descendible subject to condition.
Is there a future interest in a fee simple subject to executory limitation?
There is an executory interest held by a third party.
What is example of language that illustrates a fee simple subject to executory limitation?
“To A, but if X event occurs, then to B.”
What is the transferability of a life estate?
alienable, devisable, and descendable if pure autre vie and measuring life is still alive.
Is there a future interest in a life estate?
Reversion (if held by grantor) OR remainder (if held by third party).
What is the duration of a life estate?
The duration of a life estate is measured by the life of transferree or by some other life (pur autre vie).
What are a few of examples of language that illustrate a life estate?
“To A for life” or “To A for the life of B”
What are the three types of defeasible fees?
- fee simple determinable
- fee simple subject to condition subsequent
- fee simple subject to executory limitation
What does defeasible mean?
Defeasible means to be capable of forfeiture. So think of the three types of defeasible fees as fee simple (“To A”) with a catch or condition attached that renders the estate subject to the risk of forfeiture.
If the stated condition in a fee simple determinable “To A so long as”, etc. is violated, what happens?
If the stated condition is violated, A suffers defeasance, forfeiture of the estate.
How should you think of a fee simple determinable?
A fee simple determinable is a fee simple WITH A CATCH.
ONLY ONE FUTURE INTEREST accompanies the fee simple determinable. What is it called?
The only future interest that accompanies the fee simple determinable is - The possibility of reverter! The possiblity of reverter back to the grantor IF the condition is violated. So “A” has a fee simple determinable and the grantor has the possibility of reverter. Those are the interests each individual has.
What two ingredients are needed with the fee simple subject to condition subsequent?
#1 - you need clear durational language and #2 - you need a clear statement of the right of re-entry.
So you get something like this: “To A, but if X event occurs (#1), grantor reserves the right to re-enter and retake (#2).
A good real life example - “To Selena, but if Selena every serves alcohol on site (#1), then Britney reserves the right to re-enter and retake (#2).
So here, Selena has a Fee simple subject to a condition subsequent and Britney has the right of reentry, synonymous with the power of termination. Britney could terminate, or not, it is up to her.
What are some distinguishing characteristics between the fee simple determinable and the fee simple subject to condition subsequent?
With a fee simple subject to condition subsequent, the estate is not automatically terminated, unlike with the fee simple determinable, where it is automatically terminated. The grantor has the prerogative to terminate it or not with a fee simple subject to condition subsequent.
How is the fee simple subject to executory limitation (the last of the three defeasible fees) created?
“To A, but if X event occurs, then to B.” So B takes if A forfeits.
Hypo - “To Perry so long as he remains a lawyer, and if he leaves the legal profession, then to Tina.”
What does Perry have?
What does Tina have?
Perry has a fee simple subject to Tina’s shifting executory interest.
Tina has a shifting executory interest.
Distinguishing characteristics of this type of defeasible fee?
The estate is just like the fee simple determinable, only now, if the condition is broken, the estate is automatically forfeited in favor of someone other than the grantor.
What is the future interest that accompanies the fee simple subject to executory limitation called?
the shifting executory interest.
TWO IMPORTANT RULES OF CONSTRUCTION FOR DEFEASIBLE FEES - what is the first one?
Words of mere desire, hope, or intention are insufficient to create a defeasible fee. COURTS WILL NOT FIND A defeasible fee unless CLEAR DURATIONAL language is used. Why? Because courts despise restrictions on free land use. They prefer land not to be tied up with retraints so courts won’t construe in favor of defeasible fees unless clear language exists like the examples we went over.
What are examples of language that are NOT durational and thus do not create a defeasible fee, but just create a fee simple absolute?
“To A, for the purpose of constructing a day care center.”
or
“To A with the hope that he becomes a lawyer”
or
“To A with the expectation that the premises will be used as a hardware store.”