Lectures Flashcards
(66 cards)
What is a Fee Simple?
Closest thing to absolute ownership – can potentially last forever.
What is a Life Estate?
Expressed to last for the life of a specific person, smaller estate created out of a fee simple.
How does a Life Estate relate to a Fee Simple?
While the life estate is in possession, the fee simple estate continues in existence.
What happens after a Life Estate ends?
The fee simple again becomes a fee simple in possession.
Who are the parties involved in a strict settlement?
- Sammy (settlor/testator)
- Teri (tenant for life)
- Rupert (remainderman)
What is a trust in the context of land ownership?
Title to property is transferred to a trustee subject to an obligation to hold/apply the property for the benefit of a beneficiary.
What is the Settled Land Act 1882’s definition of a settlement?
Any deed, will, or other instrument by which any land or estate stands limited to or in trust for persons by way of succession.
What was the aim of the Settled Land Acts?
To allow property to stay in the family line into the future and provide for immediate offspring.
What are the problems associated with a Life Estate before the SLAs?
- Life estate ends upon the death of the tenant for life
- Inability to sell interest
- No lender would lend on a life interest.
What did the Settled Land Acts allow the tenant for life to do?
- Sell the land
- Grant leases
- Engage in miscellaneous transactions like exchange and mortgage.
What powers does a Tenant for Life have under the SLAs?
- Sell the fee simple
- Grant leases
- Manage capital and income.
What is required of a Tenant for Life before exercising powers?
Give written notice to at least 2 Trustees of the Settlement at least 1 month prior.
What happens to capital money arising from a sale under the SLAs?
Must be paid to the trustees or the court.
What is the consequence of a Tenant for Life conducting waste?
Consent of the Trustees of the Settlement is required.
What is the significance of Section 56 SLA 1882?
It states that SLAs prevail over conflicting provisions of the settlement.
What is a Joint Tenancy?
Each co-owner has a single interest in the whole land.
What occurs in a Joint Tenancy upon the death of a co-owner?
The remaining co-owners inherit the deceased’s share.
What are the Four Unities required for a Joint Tenancy?
- Possession
- Interest
- Title
- Time
What is a Tenancy in Common?
Each co-owner holds undivided shares in the property.
What is the legal status of a Tenancy in Common under the Law of Property Act 1925?
Creation of a legal tenancy in common was not possible.
What is Severance in the context of co-ownership?
Conversion of a joint tenancy into a tenancy in common.
What happens upon unilateral severance of a joint tenancy?
The beneficial joint tenancy becomes a beneficial tenancy in common.
What did the case Stack v Dowden (2007) establish?
Beneficial shares can be determined based on financial contributions.
What is the role of Trustees of the Settlement?
- Invest money
- Ensure preservation of the estate
- Provide consents for actions of the Tenant for Life.