A simple determinable fee would be A to B as long as the land is operated as a school.

The words of conveyance must be durational in order to create a fee simple determinable (e.g., as long as, so long as, during, while, or until). This means that if the condition is violated, the property will automatically revert to the grantor without further action. The person who grants the property interest retains a “possibility of reverted,”. When a condition is violated or not met, a fee simple determinable instantly terminates the interest in the property. The future interest in the other type is transferred to a specified third party. The first two provide the person donating the property with future property rights. Types of Fee Simple Defeasibleįee simple defeasible comes in three varieties. The condition will state that if the new owner changes the usage - for example, attempting to tear it down and build condos - their action automatically nullifies ownership, even if it occurs 30 years after the transfer of real property. If it’s already being used for that purpose, they can include a fee simple defeasible condition. In many circumstances, the condition of ownership is meant to maintain the original owner’s vision of the property’s integrity.įor example, if a grantor wishes to ensure that a home is historically preserved and converted into a private museum, they could create a fee simple defeasible estate with the stipulations that the property be maintained at a specific level and placed on historic registers within X years. The only constraints are those imposed by zoning or the government, and ownership is not shared (e.g., taxation, police power, etc.). Ownership is permanent as long as the requirement is met, and the owner controls all interests.

This means that failure to comply with the condition may result in the loss of ownership rights.ĭespite its restrictions, fee simple defeasible is regarded as a powerful form of ownership.

What are the three types of defeasible fee simple estates?įee simple defeasible is a sort of freehold estate similar to fee simple absolute in that it provides ownership of real property rather than mere possession.

What happens if a property owner violates fee simple defeasible terms?.

How to Draft a Fee Simple Defeasible Property Conveyance.Fee Simple Is Subject To Executory Restriction Fee Simple Subject To Condition Subsequent Fee Simple Defeasible Real Estate Definition.

Fee simple absolute have remainder