Two Types of Estates: - ANSWER Freehold
Leasehold
The 4 types of Freehold Estates: - ANSWER 1) life estate → the right to possess for your
life or someone else's
2) fee tail
3) fee simple absolute → all the rights one can possess
4) defeasible fees → an interest with a future interest attached
An Estate's Distinguishing Characteristics: - ANSWER 1) whether it is devisable → can it
pass by will?
2) whether it is descendable → will it pass by statute if there is no will?
3) whether it is alienable → can you transfer it inter vivos (during life)?
Fee Simple: - ANSWER -"magic words" for creating a fee simple → "To A and his heirs."
(not required, but still ok)
-if no further words are added, it is a fee simple absolute → "To A."
-defining characteristic: this is absolute ownership of potentially infinite duration
-it is freely devisable, descendable, and alienable
-it has NO accompanying future interest
precatory language - ANSWER -magic words:
"in the hope that"
"in the expectation that"
1
,-NOTE: these phrases have NO legal significance → you need a TIME ELEMENT
Types of future interests which are always created IN THE GRANTOR: - ANSWER 1) a pos-
sibility of reverter follows a fee simple determinable -- (ex: "To A and her heirs so long as the
property is used as a church building." → the grantor has a future interest)
2) a right of reentry follows a fee simple subject to condition subsequent -- (ex: "to A and her
heirs, but if the property is no longer used as a residence, I may take back possession of it."
→ the grantor has a future interest)
3) a reversion (everything else) follows any other interest given by the grantor which is of
lesser duration than he or she owns -- (ex: "To A for life." → the grantor has a future interest)
Types of future interests which are always created in someone OTHER THAN THE GRANTOR:
- ANSWER 1) the remainder is the older type, and can only exist if certain rules are met --
(ex: "O to A for life, then to B." → B has a remainder; B must wait)
-NOTE: remainder man always waits for an estate to end
2) executory interest is the "catch-all" → it's any future interest, created in one other than
the grantor, which does not meet the rules for remainders -- (ex: "O to A, unless alcohol is
served, then to B." → B does not wait, he pounces)
-NOTE: an executory interest cuts another estate short
types of executory interests: - ANSWER 1) shifting executory interest: 2 grantees, 1 pre-
sent, 1 future, and it shifts between them -- (ex: "To A until (so long as, but if) ..., then to B.")
2) springing executory interest: cuts estate short (ex: "To A, to take possession (on A's 21st
birthday, when A graduates, or some other future date or event).")
types of remainders - ANSWER -contingent
-vested
Estate - ANSWER means that the estate holder has a RIGHT TO POSSESSION
2
,there is a contingent remainder IF: - ANSWER 1) the taker is UNASCERTAINABLE (ex: O
conveys "To A for life, then to B's heirs." → If B is alive, we cannot tell who B's heirs will be,
so their remainder is contingent); or
2) there is an expressed condition precedent (ex: O conveys "To A for life, then to B if and
when B removes his Snookie tattoo." → B's remainder is contingent until B removes his tat-
too, then it becomes vested, even if A is still alive)
fee tail - ANSWER -magic words: "To A and the heirs of his body."
-today, considered a fee simple absolute
per outre vie - ANSWER for the life of another
waste - ANSWER -an obligation to maintain property on behalf of a future interest holder
-the future interest holder can sue if the present possessor commits waste
-waste is attached to remainder interests
-remainder man can sue if possessor is committing waste
remedies for waste - ANSWER -damages
-an injunction
examples of different types of waste: - ANSWER -voluntary (affirmative) → A chops holes
in the walls of the house
-permissive → A allows leaks in the roof to get so serious that the timbers rot
-financial → A fails to pay the property taxes or the interest on a mortgage
-ameliorative waste is a fundamental change to the property
requirements to escape liability for ameliorative waste: - ANSWER 1) neighborhood must
have changed, making present use infeasible AND
2) building must be replaced with one having equal or greater value
3
, -if these requirements are not met, it is ameliorative waste
the Rule Against Perpetuities applies only to: - ANSWER -contingent remainders
-executory interests
-class gifts (vested remainders subject to open are identical)
-options to buy land
-rights of 1st refusal
the Rule Against Perpetuities does NOT apply to: - ANSWER -vested remainders (unless to
a class)
-future interests created in a grantor
rule against perpetuities - ANSWER -A future interest covered by the RAP is void unless it
is certain to vest or fail within 21 years after some life in being
-life in being: someone alive now who was named/implied in the conveyance
Applying the RAP to EXECUTORY INTERESTS that follow DEFEASIBLE FEES: - ANSWER if
there is NO TIME LIMIT within which an executory interest must vest or fail, it is VOID
restraint on alienation - ANSWER -a provision that prevents an owner from transferring
his or her interest in land
-NOTE: don't confuse them with restraints on use → these are OK
disabling restraint - ANSWER -stripping down the power to transfer → this is per se inva-
lid
-"To A, but if A ever attempts to transfer this land without my consent, the transfer shall be
null and void."
4
Leasehold
The 4 types of Freehold Estates: - ANSWER 1) life estate → the right to possess for your
life or someone else's
2) fee tail
3) fee simple absolute → all the rights one can possess
4) defeasible fees → an interest with a future interest attached
An Estate's Distinguishing Characteristics: - ANSWER 1) whether it is devisable → can it
pass by will?
2) whether it is descendable → will it pass by statute if there is no will?
3) whether it is alienable → can you transfer it inter vivos (during life)?
Fee Simple: - ANSWER -"magic words" for creating a fee simple → "To A and his heirs."
(not required, but still ok)
-if no further words are added, it is a fee simple absolute → "To A."
-defining characteristic: this is absolute ownership of potentially infinite duration
-it is freely devisable, descendable, and alienable
-it has NO accompanying future interest
precatory language - ANSWER -magic words:
"in the hope that"
"in the expectation that"
1
,-NOTE: these phrases have NO legal significance → you need a TIME ELEMENT
Types of future interests which are always created IN THE GRANTOR: - ANSWER 1) a pos-
sibility of reverter follows a fee simple determinable -- (ex: "To A and her heirs so long as the
property is used as a church building." → the grantor has a future interest)
2) a right of reentry follows a fee simple subject to condition subsequent -- (ex: "to A and her
heirs, but if the property is no longer used as a residence, I may take back possession of it."
→ the grantor has a future interest)
3) a reversion (everything else) follows any other interest given by the grantor which is of
lesser duration than he or she owns -- (ex: "To A for life." → the grantor has a future interest)
Types of future interests which are always created in someone OTHER THAN THE GRANTOR:
- ANSWER 1) the remainder is the older type, and can only exist if certain rules are met --
(ex: "O to A for life, then to B." → B has a remainder; B must wait)
-NOTE: remainder man always waits for an estate to end
2) executory interest is the "catch-all" → it's any future interest, created in one other than
the grantor, which does not meet the rules for remainders -- (ex: "O to A, unless alcohol is
served, then to B." → B does not wait, he pounces)
-NOTE: an executory interest cuts another estate short
types of executory interests: - ANSWER 1) shifting executory interest: 2 grantees, 1 pre-
sent, 1 future, and it shifts between them -- (ex: "To A until (so long as, but if) ..., then to B.")
2) springing executory interest: cuts estate short (ex: "To A, to take possession (on A's 21st
birthday, when A graduates, or some other future date or event).")
types of remainders - ANSWER -contingent
-vested
Estate - ANSWER means that the estate holder has a RIGHT TO POSSESSION
2
,there is a contingent remainder IF: - ANSWER 1) the taker is UNASCERTAINABLE (ex: O
conveys "To A for life, then to B's heirs." → If B is alive, we cannot tell who B's heirs will be,
so their remainder is contingent); or
2) there is an expressed condition precedent (ex: O conveys "To A for life, then to B if and
when B removes his Snookie tattoo." → B's remainder is contingent until B removes his tat-
too, then it becomes vested, even if A is still alive)
fee tail - ANSWER -magic words: "To A and the heirs of his body."
-today, considered a fee simple absolute
per outre vie - ANSWER for the life of another
waste - ANSWER -an obligation to maintain property on behalf of a future interest holder
-the future interest holder can sue if the present possessor commits waste
-waste is attached to remainder interests
-remainder man can sue if possessor is committing waste
remedies for waste - ANSWER -damages
-an injunction
examples of different types of waste: - ANSWER -voluntary (affirmative) → A chops holes
in the walls of the house
-permissive → A allows leaks in the roof to get so serious that the timbers rot
-financial → A fails to pay the property taxes or the interest on a mortgage
-ameliorative waste is a fundamental change to the property
requirements to escape liability for ameliorative waste: - ANSWER 1) neighborhood must
have changed, making present use infeasible AND
2) building must be replaced with one having equal or greater value
3
, -if these requirements are not met, it is ameliorative waste
the Rule Against Perpetuities applies only to: - ANSWER -contingent remainders
-executory interests
-class gifts (vested remainders subject to open are identical)
-options to buy land
-rights of 1st refusal
the Rule Against Perpetuities does NOT apply to: - ANSWER -vested remainders (unless to
a class)
-future interests created in a grantor
rule against perpetuities - ANSWER -A future interest covered by the RAP is void unless it
is certain to vest or fail within 21 years after some life in being
-life in being: someone alive now who was named/implied in the conveyance
Applying the RAP to EXECUTORY INTERESTS that follow DEFEASIBLE FEES: - ANSWER if
there is NO TIME LIMIT within which an executory interest must vest or fail, it is VOID
restraint on alienation - ANSWER -a provision that prevents an owner from transferring
his or her interest in land
-NOTE: don't confuse them with restraints on use → these are OK
disabling restraint - ANSWER -stripping down the power to transfer → this is per se inva-
lid
-"To A, but if A ever attempts to transfer this land without my consent, the transfer shall be
null and void."
4
