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RECA Commercial Unit3 Questions and
Correct Answers/ Latest Update /
Already Graded
What does Fee Simple mean?
Ans: 'Fee' means the land can be inherited and 'simple' means the
inheritance is unqualified as to who can inherit it.
Bundle of rights include (x4)
Ans: Possession (to occupy and keep out others)
Control (to alter the property physically)
Enjoyment (no interference from others)
Disposition (to convey all or part to another)
leased fee or leased fee estate
Ans: A fee simple estate that is subject to a lease is referred to as a leased
fee or leased fee estate.
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Is a license that grants permission to an individual or business to use a
property transferable or not?
Ans: No, If the property is sold, the licence is usually terminated. A licence
grants permission to an individual or business to use a property for a
specified purpose but does not grant exclusive possession of the property.
A licence does not create interest in the property and cannot be
transferred to a third party. (different than a lease which is transferable)
The Statute of Frauds
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Ans: sale or transfer of land must be signed by all parties who will be
bound
"You need to ensure all aspects of a leasing transaction (e.g. offers,
counteroffers) are completed in writing."
The Statute of Frauds is part of English common law and originated over
350 years ago when it was enacted by the British Parliament. The Statute
of Frauds requires that certain contracts, such as those involving the sale
or transfer of land, be in writing and that such contracts be signed by all
of the parties who will be bound by that contract.
The purpose of the Statute of Frauds is the prevention of injury from
fraudulent conduct. In general, written contracts are easier to prove and
enforce. In addition, they decrease the chance of future litigation and
give the parties the opportunity to review essential terms and conditions
of the contract before it is finalized.
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a lease agreement must contain specific information, the lack of
which could render the agreement invalid. The required elements
are (x8)
RECA Commercial Unit3 Questions and
Correct Answers/ Latest Update /
Already Graded
What does Fee Simple mean?
Ans: 'Fee' means the land can be inherited and 'simple' means the
inheritance is unqualified as to who can inherit it.
Bundle of rights include (x4)
Ans: Possession (to occupy and keep out others)
Control (to alter the property physically)
Enjoyment (no interference from others)
Disposition (to convey all or part to another)
leased fee or leased fee estate
Ans: A fee simple estate that is subject to a lease is referred to as a leased
fee or leased fee estate.
,2 | Page
Is a license that grants permission to an individual or business to use a
property transferable or not?
Ans: No, If the property is sold, the licence is usually terminated. A licence
grants permission to an individual or business to use a property for a
specified purpose but does not grant exclusive possession of the property.
A licence does not create interest in the property and cannot be
transferred to a third party. (different than a lease which is transferable)
The Statute of Frauds
,3 | Page
Ans: sale or transfer of land must be signed by all parties who will be
bound
"You need to ensure all aspects of a leasing transaction (e.g. offers,
counteroffers) are completed in writing."
The Statute of Frauds is part of English common law and originated over
350 years ago when it was enacted by the British Parliament. The Statute
of Frauds requires that certain contracts, such as those involving the sale
or transfer of land, be in writing and that such contracts be signed by all
of the parties who will be bound by that contract.
The purpose of the Statute of Frauds is the prevention of injury from
fraudulent conduct. In general, written contracts are easier to prove and
enforce. In addition, they decrease the chance of future litigation and
give the parties the opportunity to review essential terms and conditions
of the contract before it is finalized.
, 4 | Page
a lease agreement must contain specific information, the lack of
which could render the agreement invalid. The required elements
are (x8)
