Real Property Flashcards

1. Fee simple absolute;
2. Defeasible estate;
   
   • fee simple determinable;
   • fee simple subject to condition subsequent; and
   • fee simple subject to executory limitation
3. Life estate;
4. Non-freehold estates (leasehold estate)

1. Pay property taxes & mortgage interest;
2. Make reasonable repairs;
3. Not commit waste; and
4. Pay insurance premiums (some jurisdictions)

Life tenant must keep property in the same condition as when she took ownership.

3 types:

1. Affirmative (“voluntary”) waste
2. Permissive waste
3. Ameliorative waste

A fee estate of potentially infinite duration that can be terminated upon the occurrence of a specified event

1. Fee simple determinable
2. Fee simple subject to condition subsequent
3. Fee simple subject to executory interest

Property interest that terminates automatically upon the happening of a named future event.

Created with specific durational language (“until,” “while,” “so long as”)

Possibility of reverter: automatically reverts back to the grantor if condition happens

Gives grantor power/right to terminate interest upon occurrence of a specific event.

Created with specific, conditional language: “on condition that,” “provided,” “if”

• Fee simple subject to a condition subsequent is preferred over fee simple determinable (because there is no automatic forfeiture)
• Covenant is preferred over a defeasible estate

An estate that is subject to a future interest by a third party, and upon occurrence of an event, the estate will automatically divest in favor of the third party.

Created with specific conditional language: “To A, but if A doesn’t finish law school, then to B and B’s heirs”

1. Reversion (O conveys life estate);
2. Possibility of reverter (O conveys fee simple determinable);
3. Right of entry

Power of termination:

• Must be expressly retained by grantor in the conveyance
• When the event happens the property does not automatically revert back to the grantor, the grantor must re-take the property
• Descendable; devisable, not transferrable inter vivos (majority rule)

Possibility of reverter:

• Automatically created whether or not grantor expressly reserves the right in conveyance
• When the event happens the property automatically reverts to the grantor
• Descendible, devisable, transferrable

Remainders that are either:

• Created for an unknown beneficiary (“To A for life then to B’s heirs” if B has no children yet); or
• Subject to a condition precedent (“To A for life then to B and her heirs if B passes the bar”)

Interest that is:

1. Created in an ascertainable grantee; and
2. Not subject to any condition precedent other than termination of the preceding estate

Types:

1. Indefeasibly vested
2. Vested remainder subject to total divestment
3. Vested remainder subject to open

1. Remainder
   
   • Vested
   • Contingent
2. Executory interest
   
   • Shifting
   • Springing

Grantee takes possession upon termination of prior estate, no conditions attached

Shifting: cuts short a third party’s interest (“To A and her heirs but if B passes the bar, then to B)

Springing: cuts short the grantor’s interest (“To A if she passes the bar”)

1. No right of survivorship;
2. Freely devisable, transferrable, alienable;
3. Right to possess the whole; and
4. Right to partition

Must have the Four Unities (“PITT”):

1. Unity of Possession: equal right of possession;
2. Unity of Interest: equal interest with co-tenants;
3. Unity of Title: same conveyance; and
4. Unity of Time: interests created at the same time

• A joint tenancy creates a right of survivorship and a tenancy in common does not
• Tenancy in common only requires unity of possession (not the 4 unities like a JT)

A joint tenancy between a married couple that has:

• Right of survivorship
• No right to partition

The joint tenancy remains intact between remaining joint tenants and the interest sold is held as a tenancy in common between all parties

Lien: JT is not severed

Title: JT is severed

Estate created & governed by a lease signed between the parties.

Types:

1. Tenancy for years;
2. Periodic tenancy;
3. Tenancy at will; and
4. Tenancy at sufferance

1. Pay rent;
2. Not commit waste (affirmative/voluntary, ameliorative, or permissive);
3. Not use the premises for an illegal purpose; and
4. Protect third party invitees from foreseeable dangers on the premises