Section #5: Estates and Future Interests Flashcards
Define: Heirs
Those that receive the property who dies interstate
Interstate: define
a decedent dies interstate if they die without a will
Alienable:
It can be sold or given away
Devisable:
It can be transferred at death
Descendible define
It can pass by the laws of interstate succession without a will
Three parts of words of conveyance
Words of purchase: Designates the grantee. Words of limitation: Designate the estate
Words of duration: determines the fee simple type
Four types of Present Possessory Interests
Fee simple, Life estate, fee tail, Defensible fees
Fee Simple Absolute: define
Potentially last forever, as long as successive owners have heirs. Alienable, Devisable, Descendible
Life estate define
Meausred by lifespan. When person dies, the estate terminates. Can be alienable
Waste:
An abusive use of property by one in rightful possession.
Three types of waste
Voluntary waste, Permissive Waste, Ameliorative Waste
Voluntary waste: define
Results from affirmative act that significantly reduces the value of land. (demolishing valuable house)
Permissive Waste
Results from FAILURE to take care of land
Ameliorative waste
An affirmative act that leads to a substantial change and increase in value of the property.
Fee Tail
Conveyance to a named person and “heirs of his body”- upon death the land goes until bloodline ends.
The three types of defensible fees
Fee simple determinable. Fee simple subject to condition subsequent. Fee simple subject to executor limitation
Fee simple determinable
A fee simple that auto ends when a certain event or condition occurs, giving the right of possession back to the transferor. So long as, until, during.
Fee simple subject to condition subsequent
A fee simple estate created in a transferee that MAY BE TERMINATED AT THE ELECTION OF THE TRANSFEROR when a condition or event occurs.
Fee simple subject to executory limitation
Estate created in a transferee that is followed by a future interest in another transferee, so interest is held by a third party.
O conveys “to G and her heirs so long as Alaska does not secede from the US, then to M and her heirs”
Three types of restraints
Disabling restraints, forfeiture , promissory
Disabling restraints:
a restraint that prevents the transferee from transferring her interest
Forfeiture restraint
A restraint that leads to a forfeiture of title if the transferee attempts to transfer her interest
Promissory interest
A restraint that transferee promises not to transfer her interest
Types of future interests retainded by the transferor
Reversion, possibility of reverter, right of entry
Reversion
Transferor conveys a smaller vested estate then the one she has.
O, the owner of a fee simple absolute title to a parcel of land conveyed it to “A for her life”
1. O holds a reversion and gets it back if A dies first.
Possibility of reverter
Future interest retained by the transferor who holds a fee simple determinable.
Right of entry
Future interest by transferor who holds a fee simple absolute but conveys a fee simple subject to condition subsequent
Types of future interests created in a transferee
Remainder, (vested and contingent)
Four types of reminaders
Indefeasibly vested remainder, vested remainder subject to divestment, vested remainder subject to open and contingent remainder
Indefeasibly vested remainder
Becomes possessory upon termination of prior estate
vested remainder subject to divestment
Has a subject to condition subsequent
Vested remainder subject to open
Held by one of more of a group that may enlarge in time
Contingent remainder
Owned by a person that doesn’t exist or isn’t ascertainable.
What is an executory interest?
Opposite of reminder; a future interest must divest to another interest to become possessory.
a. O conveys Blackacre to “A for life, then two years later, to B”
Shifting execuory interest
Cuts short the estate in another transferee
Springing exc. INterest
Cuts shorts the estate in the transferor
Rules against Perp
a. No interest is good unless it must vest, if at all, no later than 21 years after some life in being at the creation of the interest.
