Life Estate Grant With Condition Subsequent
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FAQ
There are three: a possibility of reverter, a right of entry, and a reversion. A possibility of reverter follows a fee simple determinable. A right of entry (sometimes also called a power of termination) follows a fee simple subject to condition subsequent.
An example of a life estate with Jane Smith as the remainderman is "to John Smith for life, then to Jane Smith." Jane Smith is the remainderman in this example because she is the person inheriting title to the property following the death of John Smith.
Fee Simple Subject to Condition Subsequent: The estate is similar to a fee simple, but has a condition attached. Established by conditional language, these estates are followed by a right of entry. If the triggering event occurs, the holder must take steps to establish possession of the land.
The major difference is that while a fee simple determinable automatically ends if the grantee (the person who received the land) does not fulfill the condition, the grantee's interest in a fee simple subject to condition subsequent does not automatically end if the event or condition occurs.
For instance, the following creates a fee simple subject to a condition subsequent: ?to John and his heirs on the condition that no tobacco products are sold on the premises.? If tobacco products are ever sold on the premises, the grantor has the power of termination, also sometimes referred to as the ?right of entry.?