Property I

Question 1

Personal Property

Answer 1

Chattels (stuff), financial accounts, and cash.

Question 2

Real Property

Answer 2

Land and things permanently attached to the land.

Question 3

What do we own when we own property?

Answer 3

1) Right to lease, sale, trade, gift, devise, descend.
2) Right of use.
3) Right of mortgage.
4) Right to invite into the property.
5) Right to exclude.
6) Right to distribute to others - partial rights and/or access.

Question 4

Acquisition by Pursuit/Capture

Answer 4

Mere pursuit of a wild animal in open land does not presume title. The person that kills or captures the wild animal has title.

Question 5

Right to Exclude

Answer 5

Every property owner maintains the right to exclude anyone from their property absent invitation or legal privilege.

Question 6

Acquisition by Gift

Answer 6

1) Intent
2) Delivery
3) Acceptance

Question 7

Intent for Acquisition by Gift

Answer 7

The donor must intend to give the irrevocable gift (no take-backsies).

Question 8

Delivery for Acquisition by Gift

Answer 8

The donor must transfer possession to the donee with the manifested intention to make a gift. Manual/Actual delivery is handing over the gift. Constructive delivery is handing over the keys to the car that is not present. Symbolic delivery is physically transferring an object that represents or symbolizes the gift such as a deed to property or pink slip to a car.

Question 9

Acceptance for Acquisition by Gift

Answer 9

Generally, specific rejection is required because acceptance is presumed. Gifts can be rejected or disclaimed (think of rejecting an inheritance).

Question 10

Adverse Possession

Answer 10

Adverse possession allows a party to gain title to land upon which they were originally trespassing by meeting the requirements of:
1) Running of the statute;
2) Open and notorious possession;
3) Active and exclusive;
4) Continuous possession; and
5) Hostile as to the true owner’s rights.

Question 11

Open and Notorious

Answer 11

Trespasser must “act like an owner” when occupying the property, and their actions must be obvious to any observer.

Question 12

Active and Exclusive

Answer 12

Active means actual possession. The trespasser is actively using the property in the same way the owner would. Exclusive means the trespasser does not share control of the property, and excludes others from possession.

Question 13

Continuous

Answer 13

Trespass must be uninterrupted for the entire duration of the running of the statue. Seasonal exceptions may apply.

Question 14

Hostile

Answer 14

Hostile means the occupation of the property infringes on the rights of the true owner.

Question 15

Tacking

Answer 15

Tacking is the legal doctrine in adverse possession that allows one adverse possessor to pass his/her time accrued onto a subsequent
adverse possessor. This requires privity of estate or privity of contract.

Question 16

Privity of Estate

Answer 16

Privity of estate allows that if an adverse possessor shares property with a subsequent party on the land, that tacking can be applied.

Question 17

Privity of Contract

Answer 17

Privity of contract allows that if an adverse possessor creates a contractual relationship related to the land, that the other party to the contract can tack their time onto the original adverse possessor.
Ex: A lease

Question 18

Effect of Disability

Answer 18

The time period required to gain title by adverse possession is tolled (paused) when the true owner of the the real property suffers from infancy (under 18), imprisonment or incapacity if that disability was present when the adverse possession began. This would lead to an extension of the statutory period..

Question 19

Fee Simple Absolute

Answer 19

A fee simple absolute is the complete ownership in land. It is alienable, devisable and descendible.

Question 20

Fee Tail

Answer 20

A conveyance that limits future conveyances to bloodline heirs.

Question 21

Life Estate

Answer 21

A life estate passes the
possessory interest in land to another for their life, and then leaves a remainder to someone
else or creates a reversion.

Question 22

Life Tenant Responsibilities

Answer 22

Life tenants are liable for interest on mortgage (but not principal), taxes, insurance and maintenance during their tenure. They cannot commit waste.

Question 23

Three Forms of Waste in Life Estates

Answer 23

1. Affirmative Waste
2. Permissive Waste
3. Ameliorative Waste

Question 24

Affirmative Waste

Answer 24

Damage to the land that is committed intentionally.

Question 25

Permissive Waste

Answer 25

Damage to the property that is caused by negligence.

Question 26

Ameliorative Waste

Answer 26

Substantial change in the property, even if it increases the value.

Question 27

Life Estate Pur Autre Vie

Answer 27

A life estate for the tenure of the life of another person.

Question 28

Defeasible Estates

Answer 28

Defeasible means that the estate can terminate based on a condition set in the conveyance.

Question 29

Three Types of Defeasible Estates

Answer 29

1. Fee Simple Determinable 2. Fee Simple Subject to a Condition Subsequent 3. Fee Simple Subject to an Executory Limitation

Question 30

Fee Simple Determinable

Answer 30

A Fee simple determinable is a fee simple, meaning complete ownership, except that it sets a condition, which if not met, IMMEDIATELY returns the estate to the grantor. Uses durational language- “so long as”, “while”, “during” Grantor retains a future interest in possibility of reverter, which is automatic.

Question 31

Fee Simple Subject to a Condition Subsequent

Answer 31

Here, the conveyance grants the property to another but sets a condition, that if the condition occurs returns the property to the grantor. Instead of using durational language, the conveyance uses a condition as a “cut off” or “divestment” point. “Unless”, “on the condition that”, “but if” Grantor retains a right of re-entry, which must be enforced.

Question 32

Fee Simple Subject to an Executory Limitation

Answer 32

This creates a defeasible estate much like a FSCS, but there is no reversionary right in the grantor. Upon breach of the FSEL, the estate passes to a third party. Effectively, the 3rd party has right of re-entry, which must be enforced.

Question 33

Ambiguity in a Will Regarding Fee Simple

Answer 33

When the terms of a will are ambiguous, said will shall be determined to have passed a fee simple absolute.

Question 34

A future interest is…

Answer 34

A presently owned interest in land in regard to which the right to possession is delayed until some time in the future.

Question 35

Six Future Interests

Answer 35

1. Reversion 2. Possibility of Reverter 3. Right of Re-Entry 4. Vested Remainder 5. Contingent Remainder 6. Executory Interest

Question 36

Future Interests in Grantors

Answer 36

1. Reversion 2. Possibility of Reverter 3. Right of Re-Entry

Question 37

Reversion

Answer 37

A reversion is a grantor’s interest that remains when an interest less than a fee simple ends. O to A for life. (When A dies, the estate returns to O, the grantor)

Question 38

Present Interest vs Future Interest

Answer 38

Present Interest: The interest owned by the party who is entitled to the right to possession at the present time. In “O to A for life”, the present interest is a life estate. A has the present possessory interest. O has a future interest because he doesn’t have a current right to possesion. A reversion is what is left and retained by the grantor when the grantor transfers only a life estate. Reversionary interests are always considered vested.

Question 39

Possibility of Reverter

Answer 39

Possibility of Reverter occurs when there is a fee simple determinable that ends with violation of the condition and the estate returns automatically to the grantor. It is called a possibility because it may not occur because the condition may never be violated.

Question 40

Right of Re-Entry

Answer 40

Right of Re-Entry occurs when a fee simple subject to a condition subsequent fails and the grantor has the right to seek retaking the property, but the right must be enforced by the grantor.

Question 41

Future Interests in 3rd Party Grantees

Answer 41

1. Vested Remainder 2. Contingent Remainder 3. Executory Interest

Question 42

Remainders

Answer 42

A remainder (vested or contingent) occurs after the natural expiration of the previous estate. O to A for life, then to B. (B has a remainder interest)

Question 43

Two Types of Remainders

Answer 43

1. Vested Remainder 2. Contingent Remainder

Question 44

Vested Remainder

Answer 44

A vested remainder is a remainder in an ascertained person and there are no conditions to the taking by the remainderman. Death is not considered a condition. Vested remainders are alienable, devisable, and descendible.

Question 45

Contingent Remainder

Answer 45

Contingent remainders can occur in two different ways: 1. The beneficiary is unascertained, or 2. There is a condition that must be met for the remainder interest to be conveyed.

Question 46

Executory Interest

Answer 46

An executory interest takes effect only if a previous estate was terminated. The holder of the executory interest divests the previous holder of the estate.

Question 47

“Vested Subject to Open”

Answer 47

Occurs when there is a vested remainder but the terms of the conveyance may allow other vested remainders. Class cannot open until there is one vested remainder.