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Flashcards in Present Estates Deck (37)
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1
Q

Fee Simple Absolute

A

The most unrestricted and longest estate.

It is inheritable, thus an owner in a fee simple who dies, that property automatically gets passed to his heirs.

TRIGGERS
O to convey Blackacre “to A and his heirs”
O to convey Blackacre “to A”

2
Q

Fee Simple Determinable

A

..Is a fee simple, which automatically comes to an end when a stated event occurs (or fails to occur). Most often, it is used to prevent the property from being put to a certain use.

TRIGGERS
Words with a “durational aspect” typically trigger a fee simple determinable.
O to convey “to A so long as A doesn’t bring prostitutes on the premises”

3
Q

Fee Simple Subject to Condition Subsequent

A

…Is also geared toward the occurrence or nonoccurrence of some event, however upon the happening (or non-happening) of the event the property does NOT automatically revert, but the grantor has the right of re-entry (or take back the property, he MUST exercise this right to get back his property).

TRIGGERS
Words that have a “conditional flavor” typically create a fee simple subject to condition subsequent.

O to convey “to A upon the express condition he punts C’s puppy.”

4
Q

Fee Simple Subject to Executory Limitation

A

Provides for the Estate to pass to a third person upon the happening of the stated event.

TRIGGERS
O to convey “to A and his heirs, but if A dies without children, then to B and his heirs”

5
Q

The Life Estate

A

Is an interest, which lasts for the lifetime of a person. Ordinarily, the lifetime by which the life estate is measured is that of the holder.

Also note, a life estate can be defeasible, just as a fee simple may be.

TRIGGERS
O conveys “to A for life.”

O conveys “to A for life, then to B and his heirs.”

6
Q

The owner of a present estate in land either actually _____ the land or has the _______.

A

The owner of a present estate in land either actually (POSSESSES) the land or has (THE PRESENT RIGHT TO POSSESS IT).

7
Q

There are three types of present estates:

1)
2)
3)

A

The three types of present estates:

[1] the fee simple
[2] the fee tail (no longer used)
[3] the life estate (also note “Term of Years”).

8
Q

What type of present interest would the below refer to?

The most unrestricted and longest estate.

A

Fee Simple Absolute

9
Q

The below would be a conveyance of what kind of present interest?

O to convey “to A upon the express condition he punts C’s puppy.”

A

Fee Simple Subject to Condition Subsequent

10
Q

The below would be a conveyance of what kind of present interest?

O conveys “to A for life, then to B and his heirs.”

A

The Life Estate

11
Q

The below would be a conveyance of what kind of present interest?

O to convey “to A until B loses his virginity”

A

Fee Simple Determinable

12
Q

The below would be a conveyance of what kind of present interest?

O to convey Blackacre “to A and his heirs”

A

Fee Simple Absolute

13
Q

The below would be a conveyance of what kind of present interest?

O to convey “to A and his heirs, but if A dies without children, then to B and his heirs”

A

Fee Simple Subject to Executory Limitation

14
Q

The below would be a conveyance of what kind of present interest?

O to convey “to A so long as A doesn’t eat potatoes on the premises”

A

Fee Simple Determinable

15
Q

The below would be a conveyance of what kind of present interest?

O to convey “to A, but if A is gay and is married to a man when he dies, then to B and his heirs”

A

Fee Simple Subject to Executory Limitation

16
Q

What type of present interest would the below refer to?

____ provides for the estate to pass to a third person upon the happening of the stated event.

A

Fee Simple Subject to Executory Limitation

17
Q

What type of present interest would the below refer to?

______ is a fee simple, which automatically comes to an end when a stated event occurs (or fails to occur). Most often, it is used to prevent the property from being put to a certain use.

A

Fee Simple Determinable

18
Q

What type of present interest would the below refer to?

_______ is geared toward the occurrence or nonoccurrence of some event, however upon the happening (or non-happening) of the event the property does NOT automatically revert, but the grantor has the right of re-entry (or take back the property, he MUST exercise this right to get back his property).

A

Fee Simple Subject to Condition Subsequent

19
Q

Does the Rule Against Perpetuities apply to Fee Simple Determinable?

A

No, the Rule Against Perpetuities does not apply to Fee Simple Determinable.

20
Q

Does the Rule Against Perpetuities apply to Fee Simple Subject to Condition Subsequent?

A

No, the Rule Against Perpetuities does not apply to Fee Simple Condition Subsequent.

21
Q

Does the Rule Against Perpetuities apply to Fee Simple Subject to Executory Limitation?

A

Yes! The Rule Against Perpetuities applies to Fee Simple Subject to Executory Limitation.

22
Q

Does Fee Simple Determinable have a possibility of Reverter?

A

Yes, Fee Simple Determinable has a possibility of Reverter.

23
Q

Fill in the blank: In an instrument of conveyance such as a deed, a “fee simple subject to a condition subsequent” is usually created through the use of __________________ language.

A. Temporal or durational
B. Conditional
C. Exclusionary
D. Temporary
E. Foreign
A

b. Conditional

What language may a grantor include in a deed, in order to give rise to a fee simple subject to a condition subsequent? As the name implies, an instrument giving rise to this estate usually casts the transfer in “conditional” language. For example, the deed might state that the grantor conveys the property “subject to,” or “conditioned upon,” the occurrence of a specified event.

24
Q

______________ is defined as “[a]n estate that will automatically end and revert to the grantor [usually in fee simple absolute] if some specified event occurs.” (Black’s Law Dictionary)

A

Fee Simple Determinable

25
Q

What is meant by the phrase: “possibility of reverter”?

A

A “possibility of reverter” means that, at the precise moment the specified event occurs, the property reverts automatically to the grantor (usually in fee simple absolute), without the need for the grantor to take any further action. See Black’s Law Dictionary (9th Ed. 2009), fee simple determinable.

26
Q

Which of the following fee simple estates is indefeasible?

A. Fee simple determinable
B. Fee simple absolute
C. Fee simple subject to a condition subsequent
D. All of the above
E. None of the above
A

B. Fee Simple Absolute

The “fee simple absolute” is indefeasible—that is, it will not terminate and revert to someone other than the owner upon the happening of a specific event. See Restatement of Property §§ 14-15, comment a. By contrast, both the “fee simple determinable” and the “fee simple subject to a condition subsequent” are defeasible estates, because both may terminate and revert to someone other than the owner (often the prior owner) upon the happening of a specific event. See Black’s Law Dictionary (9th Ed. 2009), fee simple determinable, fee simple subject to a condition subsequent.

27
Q

What kind of interest is conveyed by a deed that might state the grantor conveys the property “subject to,” or “conditioned upon,” the occurrence of a specified event?

A

Fee Simple Subject to a Condition Subsequent

28
Q

Fill in the blank:

A life estate is a ___________ interest in property.

A. Future
B. Past
C. Present
D. Present perfect
E. Future perfect
A

C. Present

A life estate is a present interest in property, since it affords the holder the right to possess, occupy, and use the property now, to the exclusion of all others—including the holder of the corresponding future interest.

29
Q

Unless the instrument of conveyance explicitly specifies otherwise, a life estate is typically measured by the lifetime of whom?

A. The lifetime of the conveyer
B. The lifetime of the person to whom the land is conveyed
C. The lifetime of a related 3rd party
D. There is no rule. It is always varied

A

B. The lifetime of the person to whom the land is conveyed.

Unless the instrument of conveyance explicitly specifies otherwise, a life estate is typically measured by the lifetime of the person to whom it is conveyed at the moment of its creation.

30
Q

True or false: The life tenant may make absolutely no changes to the property without the consent of the holder of the remainder or reversion.

A

False.

The general rule against waste does not prohibit the life tenant from making any or all changes to the property. The precise extent to which the life tenant may make such changes is often cast in terms of a balancing test. The greater the extent to which the proposed change would decrease, or threaten to decrease, the value of the property, the less likely it is that the change will be permitted.

31
Q

To which of the following interests may remainders and reversions correspond?

A. Fee tail
B. Life estate
C. Leasehold
D. All of the above

A

D. All of the above

Remainders and reversions can actually correspond to any of three different types of present interests: Namely, life estates, leaseholds, and fee tails.

32
Q

Moses owns Redacre in fee simple absolute. Moses executes a deed conveying Redacre “to Joshua for life, remainder to Caleb, but only if Caleb visits Egypt at least once before Joshua’s death.”

What precise interest in Redacre has Moses conveyed to Caleb?

A. Vested remainder subject to open
B. Vested remainder subject to complete divestment
C. Indefeasibly vested remainder
D. Contingent remainder
E. Fee simple determinable
A

D. Contingent Remainder

Moses has conveyed a contingent remainder to Caleb.

A remainder is “vested” when: (I) It is granted to a person who (A) is born, and (B) whose identity can be presently ascertained. (II), there must be no conditions precedent to the complete transfer of the remainder to the remainderman—that is to say, there must be no future event that needs to happen before the remainderman will be recognized as having all the rights of a remainderman in the subject property.

Any remainder that fails to meet any of these requirements is a “contingent” remainder, which will not become vested until some future event takes place.

33
Q

Declan owns Brownacre in fee simple absolute. On January 1, 2014, Declan conveys Brownacre “to Saul for life, and then one month after Saul’s death, to Hank.”

True or false: Hank has a true remainder.

A

False.

A true remainder must meet three basic requirements, one of which is that the remainder must become possessory the very instant that the corresponding present interest expires. There can be no gap between the expiration of the present interest and the ripening of the remainder into possession.

34
Q

True or false: A true remainder will never cut the corresponding future interest short prematurely.

A

True.

One inevitable characteristic of a true remainder is that it never takes effect until the natural expiration of the corresponding present interest—that is, it never cuts the corresponding present interest short.

35
Q

Fill in the blank: If a future interest, created in favor of a grantee, is not a remainder, then it must be a/an ___________________.

A. Contingent remainder
B. Reversion
C. Executory interest
D. Possibility of reverter
E. Right of entry
A

c. Executory Interest

Any future interest in favor of a grantee must either be a remainder or an executory interest. Restatement of Property § 158, comment a. Thus, any future interest in favor of a grantee, which does not have all the characteristics of a remainder, is an executory interest.

36
Q

Paul conveys Greenacre “to Silas, but only if Silas checks himself into rehab for his diet cola addiction.”

What estate does Paul have in Greenacre, between the time of the conveyance and the time Silas’ executory interest ripens into possession?

A. Fee simple determinable

B. Conditional fee simple subject to an executory limitation

C. Determinable fee simple subject to an executory limitation

D. Fee simple subject to a condition subsequent

A

B. Conditional fee simple subject to an executory limitation

An executory interest may (and often does) follow a defeasible fee simple estate.

Whenever an executory interest follows a defeasible fee simple estate, the fee simple estate is either a determinable or conditional fee simple subject to an executory limitation. Id. Here’s how we tell whether the fee simple subject to an executory limitation is determinable or conditional: A determinable fee simple subject to an executory limitation arises in similar fashion to a plain old fee simple determinable—the grant of the fee simple estate is followed by durational language, like “until” or “so long as.” A conditional fee simple subject to an executory limitation arises in similar fashion to a fee simple subject to a condition subsequent—that is, the grant of the fee simple estate is followed by conditional language, like “but if” or “on condition that.”

Obviously, Paul’s fee simple estate here is a conditional fee simple subject to an executory limitation. He conveyed Greenacre “to Silas, but only if Silas checks himself into rehab for his diet cola addiction.” Silas’ succession to possession and ownership of Greenacre is therefore conditioned upon his checking himself into rehab, and so on. Therefore, B is the correct answer choice.

37
Q

True or False: An executory interest may, and often does, prematurely terminate a preceding present possessory estate—that is, the executory interest divests the present estate before it would naturally expire.

A

True.

An executory interest almost always terminates the immediately preceding possessory estate prior to the natural expiration of that estate. For example, it may terminate a life estate prior to the end of the relevant measuring life, or it may terminate a fee simple estate somewhere short of infinity.