Fee Simple Subject To An Executory Limitation
A fee simple subject to an executory limitation is an estate that ends when a specific condition is met and then transfers to a third party. The interest will not revert to the grantor. If the condition is met, the grantee loses the interest and the third party gains it automatically.
Example:
O grants Blackacre to A and A's heir; but if A ever accepts a candy bar from C, then to B and B's heirs.
Here, O is the original owner. She grants A a fee simple subject to the subsequent condition that he doesn't accept a candy bar from C. But unlike a fee simple subject to a condition subsequent, Blackacre goes to a third party (B) instead of the grantor (O) if the condition is met. Also unlike a fee simple subject to a condition subsequent, B then automatically gains the interest in Blackacre and does not only have a mere right to sue for re-entry.
What would happen if the property were conveyed? Let's say A sold Blackacre to D. If A afterwards accepted an offer for a candy bar from C, Blackacre automatically goes to B. But if A died without ever accepting a candy bar from C, the condition could not possibly be met. D would then have a fee simple absolute.
Read more about this topic: Defeasible Estate
Famous quotes containing the words fee, simple, subject and/or limitation:
“As a general rule never take your whole fee in advance, nor any more than a small retainer. When fully paid beforehand, you are more than a common mortal if you can feel the same interest in the case, as if something was still in prospect for you, as well as for your client.”
—Abraham Lincoln (1809–1865)
“Meantime the education of the general mind never stops. The reveries of the true and simple are prophetic. What the tender poetic youth dreams, and prays, and paints today, but shuns the ridicule of saying aloud, shall presently be the resolutions of public bodies, then shall be carried as grievance and bill of rights through conflict and war, and then shall be triumphant law and establishment for a hundred years, until it gives place, in turn, to new prayers and pictures.”
—Ralph Waldo Emerson (1803–1882)
“Virtue and vice suppose the freedom to choose between good and evil; but what can be the morals of a woman who is not even in possession of herself, who has nothing of her own, and who all her life has been trained to extricate herself from the arbitrary by ruse, from constraint by using her charms?... As long as she is subject to man’s yoke or to prejudice, as long as she receives no professional education, as long as she is deprived of her civil rights, there can be no moral law for her!”
—Flora Tristan (1803–1844)
“When we get to wishing a great deal for ourselves, whatever we get soon turns into mere limitation and exclusion.”
—George Eliot [Mary Ann (or Marian)