Property Flashcards
What is a fee simple defeasible?
A fee simple defeasible is a conveyance of property with conditions placed on it, allowing the grantor to retain a future interest if a specified condition occurs.
What are the 3 types of fee simple defeasibles?
The 3 types of fee simple defeasibles are:
- Fee Simple Determinable: Automatically terminates and transfers back to the grantor if a specified condition occurs.
- Fee Simple Subject to Condition Subsequent: Terminates only if the grantor exercises the right of re-entry after a specified condition occurs.
- Fee Simple Subject to Executory Interest: A third party receives the property upon the occurrence of a specified condition.
What is a possibility of reverter?
A possibility of reverter is the future interest a grantor retains upon conveying a fee simple determinable.
If a certain condition occurs, a grantee’s present possessory interest is automatically terminated, reverting back to the grantor.
What is a right of re-entry?
A right of re-entry is the future interest a grantor retains upon conveying a fee simple subject to condition subsequent.
It allows the grantor to re-enter and take the property if a specified condition occurs.
The grantee’s present interest is lost only if the grantor exercises that right.
Are reverter and right of re-entry interests subject to the Rule Against Perpetuities?
No, reverter and right of re-entry are not subject to the Rule Against Perpetuities because they immediately vest upon creation.
What is a restraint on alienation?
A restraint on alienation occurs when a grantor restricts the alienability or transferability of the land.
What are the 3 types of restraints on alienation and what is their effect on transfers?
The 3 types of restraints on alienation and their effects on transfers are:
- Disabling Restraints: All transfers are void.
- Forfeiture Restraints: Land is forfeited if a transfer is attempted.
- Promissory Restraints: An attempted transfer breaches a covenant.
What is waste in property law?
Waste refers to damage or harm to property by those with a present possessory interest, which can be affirmative, permissive, or ameliorative.
What are the four unities required for joint tenancy?
- Unity of time: All interests received at the same time.
- Unity of title: All interests acquired by the same instrument.
- Unity of interest: All ownership interests are equal.
- Unity of possession: All interests have equal rights of possession.
What happens when one joint tenant unilaterally transfers their interest?
The joint tenancy is severed, and the tenants will hold the property as tenants in common.
What is the effect of a mortgage on a joint tenancy?
In a lien theory jurisdiction, the mortgage does not sever the joint tenancy. In a title theory jurisdiction, it does sever the joint tenancy.
What entitlements does a co-tenant have regarding rent?
An out-of-possession co-tenant does not have the right to receive rent from the in-possession co-tenant unless wrongfully ousted. If the in-possession co-tenant rents to a third party, the out-of-possession co-tenant is entitled to their fair share.
What is an ouster of a co-tenant?
An ouster occurs when a co-tenant excludes another co-tenant from possessing the property, allowing the excluded party to seek recovery of possession and damages.
What are the three types of leasehold interests?
- Tenancy for years: Fixed period with specified start and end dates.
- Periodic tenancy: Automatically continues for equal periods until terminated.
- Tenancy at will: Continues until either party terminates.
What is the landlord’s duty to deliver possession?
In most states, the landlord must deliver both legal and actual possession of the leased premises at the start of the lease term.
What is the implied warranty of habitability?
The implied warranty of habitability requires landlords to provide habitable living conditions, suitable for human needs.
What constitutes constructive eviction?
Constructive eviction occurs when the landlord breaches a duty, causing a loss of substantial use and enjoyment of the premises, and the tenant vacates after giving notice.
What is the landlord’s duty to mitigate damages?
Most states impose a duty on landlords to take reasonable steps to mitigate losses, such as attempting to lease the property to another tenant.
What is the landlord’s duty to mitigate damages?
At common law, a landlord had NO duty to mitigate his damages. However, most states now impose a duty on a landlord to take reasonable steps to mitigate his losses. If a landlord fails to mitigate, some jurisdictions hold that the tenant is not liable for any rent or damages after the date of abandonment.
What happens if a landlord leases the property to another tenant?
The landlord would be able to sue for the difference between the original rent payments and the rent payments under the new lease, as well as any incidental damages.
Can a lease be assigned freely?
A lease may be freely assigned UNLESS a provision in the lease states otherwise. An assignment can never be for a longer period of time than the lessor’s remaining lease term.
What is an assignment in the context of a lease?
An assignment occurs when a tenant (the assignor) transfers ALL of his remaining interest in a lease to a third-party (the assignee). The assignee is liable to the landlord for rent and all other covenants that run with the land.
What happens if a landlord accepts rent from the assignee?
A landlord may be deemed to waive his right to enforce a provision prohibiting assignments if he accepts rent from the assignee.
What is a sublease?
A sublease occurs when a tenant (the sublessor) transfers only some of his remaining interest in a lease to a third-party (the sublessee). A lease may be freely sublet UNLESS a provision in the lease states otherwise.
