property Flashcards
(42 cards)
Which of the following would most likely NOT create a fee simple?
“To P”
“To P and his heirs”
Correct Answer: “To P for life”
“To P in hopes that she gives the land to F upon her death”
FILL IN THE BLANKS. A future interest in a third party that divests a prior vested interest in a grantor is a ____________. A future interest in a third party that divests a prior vested interest in a grantee is a __________.
vested remainder, shifting executory interest
vested remainder, springing executory interest
Correct Answer: springing executory interest, shifting executory interest
shifting executory interest, springing executory interest
Which of the following is NOT required to establish an implied reciprocal servitude?
You Selected: Negative restriction
Correct Answer: Writing
Notice
Common plan or scheme
Which of the following statements regarding an equitable servitude is FALSE?
An equitable servitude may be unenforceable when there has been a drastic change in circumstances.
An equitable servitude can be terminated the same ways as an easement can be terminated.
Equitable servitudes and implied reciprocal servitudes can be terminated upon merger of title.
Correct Answer: The remedy for breach of an equitable servitude is damages.
Which of the following statements regarding a real covenant is FALSE?
A covenant must be in writing.
A covenant is subject to state recording statutes.
Correct Answer: To be bound by the covenant, a successor party must intend that the benefit or burden run with the land.
You Selected: To bind a successor to the promise, the original parties must intend that the covenant run with the land.
Which of the following statements regarding the running of benefits and burdens with the land is FALSE?
Correct Answer: For the benefit to run with the land, both horizontal and vertical privity are required.
For the benefit to run with the land, “relaxed” vertical privity is required.
For the burden to run with the land, both horizontal and vertical privity are required.
For the burden to run with the land, both horizontal and vertical privity are required and the vertical privity must be strict vertical privity.
Which of the following statements regarding privity is FALSE?
In order for the burden to run, the original parties must have been in horizontal privity.
Correct Answer: In order for the benefit to run, the original parties must have been in horizontal privity.
For the successor to property to be burdened by the covenant, the successor must take the original party’s entire interest.
The relationship between an original party to a conveyance agreement and his successor to the property is one of strict vertical privity if the successor takes the original party’s entire interest.
Regarding vertical privity, which of the following will run when the successor takes less than the original party’s entire interest in the property?
You Selected: The burden
Correct Answer: The benefit
Both the burden and the benefit
Neither the burden nor the benefit
Which of the following statements regarding termination of easements is FALSE?
You Selected: A written statement by the holder of the easement to the effect that he is releasing the easement is sufficient to terminate the easement.
Correct Answer: An easement may be terminated by non-use coupled with detrimental reliance by the holder.
An easement is terminated if the owner of the easement acquired fee title to the underlying estate.
An easement by prescription can be terminated if the easement holder fails to protect his easement against the servient estate owner for a statutory length of time.
Which of the following statements regarding express easements is FALSE?
A negative easement must be express, but an express easement need not be a negative easement.
An express easement may be recorded.
You Selected: An express easement is subject to the Statute of Frauds.
Correct Answer: An easement by prescription is a type of express easement that is subject to the Statute of Frauds.
Which of the following statements regarding the effect of foreclosure on various parties is FALSE?
In some states, a mortgagor can reclaim the property after a foreclosure sale.
Absent assertion of a statutory right of redemption by the mortgagor, the purchaser of property at a foreclosure sale takes the property free and clear of any junior mortgage and subject to any senior mortgage.
You Selected: A statutory redemption nullifies the foreclosure sale and restores title to the mortgagor.
Correct Answer: A purchaser who buys property at a foreclosure sale takes the property subject to any junior mortgage.
Which of the following statements regarding lien states and title states is FALSE?
In a minority of states, granting a mortgage converts a joint tenancy into a tenancy-in-common.
You Selected: A mortgage is treated as a lien that does not sever a joint tenancy in the majority of states.
In the majority of states, the mortgagee is treated as the holder of lien on the real property interest that is security for the debt.
Correct Answer: In a “title state,” granting a mortgage interest has no effect on a joint tenancy.
FILL IN THE BLANKS. A(n) __________ operates like a mortgage, but uses a trustee to hold title for the benefit of the lender. A(n) __________ is when the mortgagor transfers the deed to the property instead of conveying a security interest in exchange for the loan.
absolute deed; deed of trust
deed of trust; installment land contract
installment land contract; absolute deed
Correct Answer: deed of trust; absolute deed
Which of the following statements regarding liability of a subsequent transferee is TRUE?
If the buyer assumes the mortgage, the lender may seek payment only from the buyer for payment of the debt.
Correct Answer: If the buyer assumes the mortgage, the lender may seek payment from both the original debtor and the buyer for payment of the debt.
You Selected: If the buyer takes “subject to” an existing mortgage, then the buyer is personally liable upon default.
If the deed is silent as to liability, then the transferee is considered to have assumed the mortgage.
Which of the following statements about the transfer of real property by a decedent is FALSE?
Correct Answer: Property that is transferred by will is said to be devised to the testator’s heirs.
You Selected: To be an heir, a person must take by intestate succession.
Property of one who dies without a will is distributed pursuant to applicable state law.
If the decedent dies without a will and without heirs, his property escheats to the state.
If a testator’s will provides for a gift of property, but the testator sells that property before she dies, the devise is invalidated by which of the following?
Doctrine of lapse
Correct Answer: Doctrine of ademption
Anti-lapse statute
Satisfaction
FILL IN THE BLANKS. The _________ holds legal title to the trust property. The ___________ holds equitable title to the property held in trust.
settlor, beneficiary
Correct Answer: trustee, beneficiary
beneficiary, settlor
beneficiary, trustee
In a jurisdiction with a race-notice statute, which of the following purchasers is entitled to retain the property?
You Selected: A subsequent purchaser who bought the property with notice of the prior purchase, but who records her deed before the prior purchaser
A subsequent purchaser who bought the property with notice of the prior purchase, regardless of when she records her deed
Correct Answer: A subsequent purchaser who bought the property without notice of the prior purchase, provided that the subsequent purchaser records first
A subsequent purchaser who bought the property without notice of the prior purchase, even if the prior purchaser records first
“No conveyance or mortgage of real property shall be good against subsequent purchasers for value and without notice who shall first record” is an example of language that would be seen in which of the following types of statute?
Inquiry notice statute
You Selected: Notice statute
Correct Answer: Race-notice statute
Race statute
Which of the following statements regarding the special rules applied to deeds is FALSE?
The doctrine of estoppel by deed prevents someone who knowingly transfers land by deed before they have good title from trying to reclaim land based on that defect.
Correct Answer: The doctrine of estoppel by deed arises when a person takes from a bona fide purchaser protected by the recording act.
Under the Shelter Rule, the rights of a person who takes from a bona fide purchaser protected by the recording act are sheltered by his grantor’s rights.
In a notice statute state, a subsequent purchaser with notice of a prior conveyance will still be protected by the state’s recording act if his grantor was a bona fide purchaser protected by the recording act.
Which of the following statements regarding adverse possession is TRUE?
Correct Answer: Government-owned land cannot be adversely possessed.
An adverse possessor who enters property with permission of the owner can constructively possess a portion of the land.
To be hostile, an adverse possessor’s use of the property must be disruptive and unpleasant to the true owner.
A hidden use of the property by an adverse possessor is sufficient to satisfy the open and notorious requirement.
In most jurisdictions, which of the following statements regarding the hostility requirement for adverse possession is TRUE?
The adverse possessor must act in bad faith.
The adverse possessor must act in good faith.
The adverse possessor must believe the land is unowned.
Correct Answer: The adverse possessor’s state of mind is not considered.
Which of the following statements regarding the transfer of a deed is TRUE?
The grantor or his agent must physically deliver the deed to the grantee.
Correct Answer: The grantee is generally presumed to have accepted the deed, provided the transfer is for value.
You Selected: A grantor must intend to make a future transfer of a property interest to the grantee at the time of transfer.
The grantor’s intent must be explicit.
Which of the following statements regarding contingent and vested remainders is FALSE?
Correct Answer: The Rule Against Perpetuities does not apply to contingent remainders.
The Rule Against Perpetuities applies to a vested remainder subject to open.
A remainder is contingent if it is subject to a condition precedent.
A remainder is contingent if it is created in a grantee that is not ascertained.
