Modern Estates Flashcards
(76 cards)
1
Q
Life Estate
A
Created by words showing a clear intent to create this estate
2
Q
Duration of a Life Estate
A
Measured by the lifetime of a particular person; either the life of the holder or of a third party
3
Q
Is a LE alienable?
A
Yes, but the holder can only transfer what she has, and the estate will end when the life ends
4
Q
Is a LE devisable?
A
No
5
Q
Is a LE descendible?
A
No
6
Q
LE Words of Limitation
A
“for life”, “until B dies”, “while B is alive”
7
Q
FSA Duration
A
potentially infinite
8
Q
Is a FSA alienable?
A
Yes
9
Q
Is a FSA devisable?
A
Yes
10
Q
IS a FSA descendible?
A
Yes
11
Q
FSA Words of Limitation
A
“to B’s heirs”
12
Q
Fee Tail Duration
A
determined by the lives of the lineal descendants of a particular person
13
Q
Is a Fee Tail alienable?
A
limited right to transfer
14
Q
Is a Fee Tail devisable?
A
No
15
Q
Is a Fee Tail descendible?
A
Yes
16
Q
Fee Tail Words of Purchase
A
“to B”
17
Q
Fee Tail Words of Limitation
A
“and the heirs of his body”
18
Q
Freehold Estate
A
owner is said to hold seisin (possession & title)
19
Q
Fee Simple Absolute
A
absolute title to land, free of any other claims against the title, which one can sell or pass to another by will or inheritance. O–> A
20
Q
Defeasible Estate
A
an estate that ends before it otherwise would naturally end because the condition listed occurs
21
Q
Decedent
A
Dead person
22
Q
Intestate
A
a decedent dies “intestate” if she dies without a will
23
Q
Devise
A
to pass real property by a will
24
Q
Devisee
A
person receiving the real property; beneficiaries under a will; cannot be a devisee if there is no will
25
Issue
a person's lineal descendant's all the way down the line
26
Ancestors
a person's biological relatives all the way up the line
27
Collaterals
all blood relatives other than issue or ancestors
28
Escheat
If a decedent has no heirs or devisees, the interest in land "escheats" (passes) to state
29
Largest Type of Estate in U.S.
FSA, nearly 99%
30
Possibility of Reverter
retained by the owner of the FSA when he conveys a FSD
31
O conveys "to A for life, then to B."
A has a possessory estate in a life estate
O has nothing
B has a vested remainder in FSA
32
Defeasible Fees with Future Interests in the Grantor
FSD, FSSCS
33
Defeasible Fees with Future Interests in a Grantee
FSSEL
34
Future Interest of FSSCS
right of entry;
35
Future Interest of FSSEL
executory interest
36
Signals of a Condition
but if, provided that, on condition that, however; the limitation is placed after punctuation mark signaling the end of the description of the grantee's estate
37
Signals of Determinable Interest
until, so long as, while, during; limitation is placed before the punctuation mark signaling the end of the description of the first grantee's estate
38
Signals of Determinable Interest/Duration
until, so long as, while, during; limitation is placed before the punctuation mark signaling the end of the description of the first grantee's estate
39
If future interest is held by transferor
FSD, FSSCS
40
If future interest is held by transferee
FSSEL
41
O to A so long as A does not divorce B, then back to O
A: possessory estate in FSD
O: possibility of reverter in FSA
42
O to A & his heirs, but if A divorces B, then to O
A: possessory estate in FSSCS
O: right of entry in FSA
43
O to A, on the condition that A does not divorce B
A: possessory estate in FSSCS
O: right of entry in FSA
44
Fee Simple Subject to a Condition Subsequent
a fee simple estate created in a transferee that may be terminated at the election of the transferor when a certain condition occurs; cannot be alienated inter vivos
45
(FSSCS) If the condition occurs...
the estate does not automatically end; the transferor has the power to terminate the estate by taking action through right of entry
46
FCCSC Words of Condition
provided that, but if, on condition that; expressly allow the interest to be divested upon a certain event
47
What always follows a FSSCS?
Right of entry/power of termination
48
Fee Simple Subject to an Executory Limitation
estate created in a transferee that is followed by a future interest in another transferee
49
Who holds the future interest in a FSSEL?
third party; any transferee is also subject to the condition
50
Common Law order of 4 basic possessory estates (based on potential duration)
1. Fee Simple
2. Fee Tail
3. Life Estate
4. Leasehold/Term of Years
51
Future Interests Retained by the Transferor
1. Reversion (default answer!) (cannot be paired with FSSEL)
2. Possibility of Reverted (only paired with FSD)
3. Right of Entry (only FSSCS)
52
Future Interests Created in a Transferee
1. Remainder
| 2. Executory Interest
53
Indefeasibly Vested Remainder
created in an ascertainable person and not subject to a condition precedent; cannot be divested
54
Vested Remainder Subject to Divestment
subject to a condition subsequent; divesting condition could happen before the remainder becomes possessory
55
O conveys "to A for life, then to B, but if B does not live to age 21, then to C"
Vested Remainder Subject to Divestment
56
Vested Remainder Subject to Open
held by one or more members of a class that may be enlarged in the future; both ascertainable and subject to a condition precedent
57
Contingent Remainder
Held by an unascertainable person or subject to a condition precedent
58
O conveys "to A for life, then to B if B does not die before A, otherwise to C"
Contingent Remainder
59
Executory Interest
interest must divest or "cut short" another estate or interest to become possessory; automatic possession
60
Springing Executory Interest
divests the grantor/transferor
61
Shifting Executory Interest
interests follow the grantee/transferee
62
O to A for life, then to B
shifting executory interest
63
O to A for life, then to B after 1 year
springing executory interest
64
Rule in Shelley's Case
If a freehold estate is given to a person, and in the same instrument, a remainder is given to the heirs (or the heirs of the body) of that person, he takes both the freehold estate and the remainder); contingent remainder in the heirs of a grantee is transformed into a vested remainder in the grantee
65
4 Requirements of the Rule in Shelley's Case
1. One instrument
2. Creates a freehold estate in a transferee
3. A remainder in that transferee's heirs
4. Both interests are legal or both equitable
66
4 Rules Limiting Contingent Remainders and Executory Interests
1. Rule in Shelley's Case
2. Doctrine of Worthier Title
3. Doctrine of Destructibility of Contingent Remainders
4. Rules against Perpetuities
67
Doctrine of Worthier Title
If a grantor creates a remainder or an executory interest in his own heirs, the grantor retains a future interest in himself rather than creating a future interest in those heirs
68
When does the Doctrine of Worthier Title apply?
When
1. a conveyance creates a remainder or executory interest
2. In the grantor's heirs (contingent future interest in the heirs becomes a vested future interest in the grantor)
69
Doctrine of Destructibility of Contingent Remainders
any contingent remainder that has not vested at the termination of the preceding freehold estate is destroyed
70
When does the Doctrine of Destructibility of Contingent Remainders Apply?
When:
1. a contingent remainder
2. does not vest before the preceding freehold estate (typically a life estate) ends
71
Rule against Perpetuities
No interest is good unless it must vest, if at all, no later than 21 years after some life in the being at the creation of the interest
72
RAP only applies to which interests?
contingent remainders, vested remainders subject to open, and most executory interests (those that are contingent) DOES NOT APPLY to future interests in grantors
73
From when is the perpetuities period measured?
measured from the creation of the interest, either the date when the deed is delivered or when the will becomes effective
74
Future Interests NOT subject to RAP
Future interests that remain in the grantor: reversion, possibility of reverter, right of entry
75
Vesting
the point where uncertainty is removed
76
Only 3 Interests Subject to RAP
1. Contingent Remainders
2. Executory Interests
3. Vested Remainders Subject to Open
