PROPERTY OUTLINE

SPRING 2003
PROFESSOR WHITTON
I. ACQUISTION OF PROPERTY
A. Law of Finders
1. Lost Property owner accidenta! o"t # doe" not $now w%ere to &ind it
a. R'e o& Law ( &inder)" tite i" *ood a*ain"t t%e w%oe word E+CEPT t%e
tr'e owner.
i. Enco'ra*e &inder" to ,ic$ ', o"t ,ro,ert! - di"co'ra*e "teain*
ii. A wron*.doer NE/ER tr'0," an innocent &inder
1. Tro2er3 0one! da0a*e"
c. Re,e2in3 t%e t%in* it"e& ret'rned
d. Amory v. Delamirie a rin* i" &o'nd &or a c%i0ne! "wee, 1o!. He ta$e" it
to a ,awn.1ro$er 4*od "0it%5. T%e "%o,$ee,er re0o2e" t%e "tone". T%e ct.
&o'nd t%at t%e 1o! %a" t%e ri*%t to t%e rin*. Eit%er t%e "%o, %a" to ,rod'ce
t%e *e0 or e6'i2aent o& "'c%.
7. Mislaid Property owner intentiona! ,ace" ,ro, in a ",ot 1't &or*et" it. E83
waet e&t on "%o, co'nter.
a. R'e o& Law ( owner o& t%e ,re0i"e" i" entited to ,o""e""ion a*ain"t t%e
w%oe word9 e8ce,t t%e tr'e owner.
i. :ee, it co"er in t%e c%ain to t%e rea owner
ii. Tr'e owner 0i*%t re0e01er # 1e a1e to recai0 it.
1. Hannah v. Peel Hanna% &o'nd 1rooc% at Pee)" %o'"e. He t'rned it into
,oice w%o %ed it &or 7 wee$". Pee ne2er occ',ied t%e %o'"e 1-c it wa" an
in&ir0ar!. Poice *a2e it 1ac$ to Pee # %e "od it. Ct. "aid Pee %ad no
$nowed*e9 "o %ow can !o' 1e "aid to ,o""e"" "o0et%in* t%at !o' didn)t
e2en $now wa" t%ere;
i. Finder 2. Owner o& t%e Loc'" en Q'o < *i2en to t%e oc'" en 6'o.
c. Act'a Po""e""ion in ,%!"ica ,o""e""ion
d. Con"tr'cti2e Po""e""ion w%en !o' intend to contro t%e ocation #
e2er!t%in* t%at)" t%ere.
e. =cA2o! 2. =edina A waet &o'nd on a ta1e in t%e 1ar1er"%o,. T%e
di&&erence %ere i" t%at t%e ,ro,ert! wa" 0i"aid.
i. Ha2e to oo$ at t%e circ'0"tance" to deter0ine w%et%er t%e ,ro,ert!
i" o"t or 0i"aid> Loo$ at circ'0"tance" "'rro'ndin* w%ere it wa"
&o'nd.
1. I& 0i"aid9 we &a2or t%e owner o& t%e oc'" en 6'o 1-c it $ee,"
it co"er in c%ain o& co"e"t to rea owner.
?. Abandoned Property owner 2o'ntari! # intentiona! rein6'i"%e" owner"%i,
w- t%e intent to *i2e ', tite # ,o""e""ion.
a. R'e o& Law ( &inder o1tain" 1ot% tite # ,o""e""ion i& %e e8erci"ed contro
o2er t%e ,ro,ert! w- t%e intent o& owner"%i,.
i. So0et%in* i" a1andoned i& it %a" 1een t%ere &or a on* ti0e
ii. E8ce,tion"3 "tat'te"9 e0,o!er.e0,o!ee9 etc@
1
1. Trea"'re Tro2e 4%idden 0one!5 wa" treated i$e a1andoned ,ro,ert! #
t!,ica! went to &inder rat%er t%an oc'" en 6'o.
i. Circ'0"tance" "'rro'ndin* t%e %idden 0one! et" '" a""'0e t%e tr'e
owner i" not co0in* 1ac$.
c. A1andoned S%i,wrec$ Law3 i& t%e 1oat wa" a1andoned in territoria water"
o& U.S.9 t%e U.S. *et" tite 1't 0a! t'rn o2er tite to t%e "tate") water" in
w%ic% it wa" &o'nd.
At%'" !o' are on! entited to "a2a*e i& it wa"n)t a1andoned
B. Bailment
1. Be&inition 1ai0ent i" t%e ri*%t&' ,o""e""ion o& *ood" 1! a ,er"on 4t%e 1aiee5
w%o i" not t%e owner. T%e 1aior retain" tite 1't t%e 1aiee retain" ,o""e""ion. A
&inder" are 1aiee"9 1't not a 1aiee" are &inder".
a. In2o'ntar! 1ai0ent ( !o' i2e on t%e 1eac% # ,ro,ert! wa"%e" ',
1. /o'ntar! 1ai0ent ( !o' ea2e !o'r cot%e" at t%e ceaner"
7. Caior)" E8c'"i2e Cene&it
a. Strict! &or t%e 1ene&it o& t%e owner
1. Yo' are doin* t%i" a" a &a2or 4i.e. do* "ittin* or 1a1!"ittin* &or &ree9 "o w%!
"%o'd !o' 1e e8,o"ed to an!t%in* 0ore t%an D'"t *ro"" ne*i*ence;5
?. Caiee)" E8c'"i2e Cene&it
a. Re",on"i1e &or *reat careE 4i.e. !o' 1orrow "o0eone)" car5
F. ='t'a Cene&it Cai0ent
a. T%ere 0'"t 1e ,%!"ica contro # intent to e8erci"e t%at controE e8c'"i2e
contro.
1. Pa! &or and recei2e "er2ice
c. E83 cot%e" to t%e dr! ceaner".
G. Ana!"i"3
a. Wa" t%ere a 1ai0ent; Wa" t%ere e8c'"i2e contro;
1. C'rden on 1aiee to "%ow d'e care
i. I& t%e 1aiee can de0on"trate rea"ona1e ,r'dent care t%en t%e 1aiee
i" not re",on"i1e e2en i& t%e artice i" da0a*ed
c. Si*ni&icance o& 1ai0ent reation"%i, in ter0" o& ia1iit!9 1aiee wo'd %a2e
1.o.,. to "%ow *ood care.
d. H!,o3 i& !o' dro, o&& !o'r "weater at t%e dr! ceaner" and !o' co0e 1ac$
and it" not t%ere.
i. Standard o& ia1iit! < on 1aiee
ii. C.O.P. < on 1aiee
1. Bid "o0eone "tea it e2en t%o'*% "ec'rit! "!"te0;
7. Bid "o0eone co0e in and "a! Ht%at)" 0! "weaterI;
iii. I& 0i"dei2er! t%en t%e 1aiee i" "trict! ia1e # e8,anation" BO
NOT =ATTER.
1. e8ce,tion i" in2o'ntar! 1aiee i" ne*i*ent on! i& %e wa"
ne*i*ent in dei2erin* t%e *ood" to t%e wron* ,er"on. E83
!o' &ind a cat in !o'r *ara*e and *i2e it to t%e wron* *ir 1-c
"%e "a!" it i" %er cat.
e. Conceaed ite0" e83 earrin*" in Dac$et ,oc$et. I& it i" t%e t!,e o& t%in*
w-in rea"ona1e e8,ectation t%en 1aiee "%o'd 1e re",on"i1eE i.e. ",are tire
$it in tr'n$
&. Can a 1aiee di"cai0 ia1iit!; Jenera! noE cannot i0it ia1iit! t%r' &ine
,rint. 4attorne!" 0i*%t 1e %ed to %i*%er "tandard5
7
C. Adverse Possession
1. Be&inition3 one 0a! ac6'ire t%e tite or owner"%i, # t%e e8c'"i2e ,o""e""ion o&
and &or0er! 1eon*in* to "o0eone e"e.
a. Re6'ire0ent" &or ad2er"e ,o""e""ion3
i. An act'a entr! *i2in* exclusive possession t%at i"3
ii. Open & Notorious 42i"i1e5
1. 2i"i1e to ,ro2ide notice
7. nat're o& ,o""e""ion < i" it con"i"tent w- w%at t%e a2* owner
wo'd '"e it.
iii. Adverse & Under Claim of Ri!t 4%o"tie w-o't owner)"
,er0i""ion5
1. cannot 1e ,er0i""i2e
7. ad2er"e to owner)" intent
?. Subjective Approach innocent tre",a""er 2. intentiona
tre",a""er
a. W%at 0atter" i" cond'ct to ,'t ,ro, owner on notice
t%at "o0eone e"e i" act'a! occ',!in* ,ro,. I& it i"
,ro,er t%en ".o.. 1e*in" to r'n.
1. O2erridin* ,oic! D'"ti&ication i" a wa! to H6'iet titeI
F. Objective Approach '"e o& t%e ,ro, in a 0anner t%at
t%e a2* tr'e owner wo'd '"e it and 'nder t%e circ'0"tance"
t%at nei*%1or" wo'd re*ard t%e occ',ant a" a ,er"on
e8erci"in* e8c'"i2e contro.
a. A ,er"on can 1e an AP e2en t%o'*% %e i" not cai0in*
tite a*ain"t t%e tr'e owner. T%e i0,ortant t%in* i"
t%at i" occ',!in* t%e and w-o't t%e owner)"
,er0i""ion.
1. Loo$ at roe in t%e co00'nit!
i2. Continuous 4w-o't interr',tion5
1. d'rationa
7. nat're o& '"e
?. encroac%0ent"3 intentiona 4encroac% at own ,eri5 2.
'nintentiona 40a! %a2e to ,a! da0a*e" at 0$t 2a'e or ,a!
&or "tr'ct're5
1. Ad2er"e ,o""e""ion 0a! e8i"t e2en i& t%e occ',ant doe" not re"ide on t%e
,ro,ert! # &or on* ,eriod" o& ti0e doe" not '"e it at a.
c. Constructive Adverse Possession aow" "o0eone to ta$e ,%!"ica
,o""e""ion o& on! ,art o& a ,arce and "ti cai0 tite 1! ad2er"e ,o""e""ion
to t%e entire ,arce.
i. K A 4coor o& tite5 &or a ? ot" 'nder co00on owner"%i, o&
8. T%en A occ',ie" 1E A can a"o cai0 7 # ? 'nder con"tr'cti2e
AP.
d. Interr',tion o& Ad2er"e Po""e""ion3 ,%!"ica or aw"'it 4wi to ".o..5 1!
owner. I& !o' "'cceed in aw"'it or ,%!"ica re0o2a9 "tat'te o& i0itation"
1e*in" r'nnin* a*ain.
i. I& a ?rd ,art! interr',t"9 t%en "tat'te i" toed9 1't i& ad2er"e ,o""e""or
re*ain" ,o""e""ion t%en %e can co01ine ,eriod" o& ad2er"e
,o""e""ion.
?
ii. I& ad2er"e ,o""e""or a1andon" t%en ".o.. i" toed # ad2er"e
,o""e""ion need" to 1ein* a o2er a*ain.
e. Once ad2er"e ,o""e""or %a" "'cce""&'! co0,eted re6'ire0ent" ,o""e""ion
# entr!9 t%en ad2er"e ,o""e""or %a" tite o& aw9 1't to *et tite 1! record to
"e t%en !o' need to 1e*in Q'iet Tite ,roceedin*. Reco*niLe" tite 1!
ad2er"e ,o""e""ion.
7. Ordinari! one ac6'ire" tite to and t%r'3
a. Con2e!ance 4deed9 "ae9 *i&t59 Be2i"e 4wi59 or In%eritance
1. "Color of #itle$ ( 0ean" a deed or in"tr'0ent o& con2e!ance t%at ,'r,ort"
to co2e! tite to t%e and in 6'e"tion 4in2aid &or "o0e rea"on9 de&ecti2e
deed5
i. I& t%ere are ot" and AP occ',ie" one; AP *et" a i& t%e! are
conti*'o'" and owned 1! t%e "a0e ,er"on.
c. %octrine of Areed Boundaries 'ncertaint! 1-t nei*%1or" a" to t%e tr'e
1o'ndar! ine9 1't an ora a*ree0ent can 1e en&orcea1e 4not a" a
con2e!ance9 1't a" a wa! o& ocatin* t%e 1o'ndar! de"cri1ed in t%e deed5.
d. %octrine of Ac&uiescence e2idence o& an a*ree0ent 1-t t%e ,artie" &i8in*
t%e 1o'ndar! ine.
e. %octrine of 'stoppel one nei*%1or 0a$e" re,re"entation" a1o't t%e
ocation o& a co00on 1o'ndar! # t%e ot%er nei*%1or c%an*e" %i" 0ind a&ter
reiance on cond'ct.
i. M'"ti&ied reiance i" created
ii. =ateria! c%an*in* t%e 7nd nei*%1or)" ,o"ition
iii. T%e 1"t nei*%1or i" e"to,,ed to den! t%e 2aidit! o& %i"
"tate0ent-act"
?. Ca"e"
a. Van Valkenburgh v. Lutz L'tL '"ed t%e ,ro, a" tr'e owner wo'd %a2e &or
1G !ear". T%e )" 1o'*%t t%e ot. L'tL &ied 7 action". In t%e &ir"t9 t%e!
0o2ed &or ,re"cri,ti2e ea"e0ent o& AP 1't &aied e8ce,t &or ,'r,o"e" o&
wa$wa!. In t%e 7nd9 t%e ct denied ad2er"e ,o""e""ion 1-c ac$ o&
i0,ro2e0ent or "'1"tantia enco"'re.
1. Manillo v. Gorski concrete wa$wa! encroac%ed on )" ,ro,ert!. cai0"
t%at "ince encroac%0ent wa" a 0i"ta$e9 no ad2er"e ,o""e""ion. T%e ct. %od"
t%at ad2er"e ,o""e""ion can 1e e"ta1i"%ed 1! 0i"ta$e.
i. In t%e ca"e o& 0inor encroac%0ent"9 t%e owner o& t%e and 0'"t %a2e
act'a $nowed*e t%ereo& in order &or t%e ad2er"e cai0ant to "ati"&!
t%e notoriet! re6'ire0ent.
ii. I& an AP w%o 'nder innocent # 0i"ta$en 1eie& %a" 'nderta$en
e8ten"i2e i0,ro2e0ent # it wo'd 1e a *reat e8,en"e to %a2e t%e0
re0o2e t%e encroac%0ent9 t%en t%e tr'e owner 0a! 1e &orced to
con2e! t%e and # recei2e N in"tead.
iii. =aine Boctrine AP cannot 1e &o'nded on 0i"ta$e. Need" %o"tiit!.
i2. Connectic't Boctrine AP can 1e &o'nded on 0i"ta$e
c. Howard v. Kunto Howard" %od deed to :'nto)" and # "'e &or AP. T%ere
wa" "'cce""i2e tran"&er to t%e tite o& t%e :'nto)" and9 e2en t%o'*% t%e! %ad
on! i2ed t%ere &or 1 !ear. T%i" c%ain o& "'cce""i2e ,o""e""ion ,'t t%e
:'nto)" in ,ri2it! w- ,re2io'" deed %oder" # t%e! 0aintained ,o""e""ion o&
t%e and. Ct. a"o &o'nd t%at occ',!in* %o0e on! d'rin* t%e "'00er
0ont%" con"tit'ted H'ninterr',ted ,o""e""ionI
F
i. Tac$in* connectin* ,eriod" o& !o'r ad2er"e ,o""e""ion w- t%at o&
ad2er"e ,o""e""or" 1e&ore !o'.
1. Ha2e to &ind rea"ona1e reation"%i,
7. Ha2e to %a2e ,ri2it! 4con"en"'a reation"%i,5
%. (ifts
1. Be&inition3 to 0a$e a *i&t ,er"ona ,ro,ert!9 t%e donor 0'"t tran"&er ,o""e""ion
4%and o2er ,ro,ert!5 to t%e donee w- t%e 0ani&e"ted intention to 0a$e a *i&t to t%e
donee.
a. Re6'ire0ent"3
i. Bonor 0'"t intend to 0a$e a *i&t. 4donati2e intent5
1. 0a! 1e "%own 1! ora e2idence
7. rein6'i"%in* do0inion # contro
ii. Bonor 0'"t dei2er it to t%e donee
1. Con"tr'cti2e Bei2er! ( %andin* o2er a $e! or "o0e o1Dect
t%at wi o,en ', acce"" to t%e "'1Dect 0atter o& t%e *i&t.
7. S!01oic Bei2er! ( %andin* o2er "o0et%in* "!01oic o& t%e
,ro, *i2eE i.e. written in"tr'0ent
?. P'r,o"e o& dei2er! i" "o donor $now" %i" action"
iii. Bonee 0'"t acce,t t%e c%atte
7. Ji&t Inter /i2o"
a. Ji&t *i2en d'rin* i&e # 0'"t 1e irre2oca1e # 'nconditiona
1. Intention 0'"t 1e in t%e ,re"ent to ,art w- do0inion # contro.
c. To 1e a 2aid inter 2i2o" *i&t 0'"t 1e a1"o'te9 'nconditiona and
irre2oca1e>>>>>>>>>>>>>>>>
d. Re*arde"" o& w%at t%e &'t're %od"9 I intend to *i2e t%i" to !o' no 0atter
w%at.
?. Ji&t Ca'"a =otri"
a. Ji&t 0ade in conte0,ation o& # in e8,ectation o& i00ediate a,,roac%in*
deat%.
1. I& t%e donor i2e9 t%e *i&t i" re2o$ed.
c. HI a0 *i2in* t%i" to !o' 'ne"" I "'r2i2eI
F. ewman v. !ost Ji&t 0ade at deat%1ed o& od 0an to %i" 0i"tre"". State did not
reco*niLe "!01oic dei2er!. An!t%in* t%e $e!" o,ened wa" %er"9 1't t%e in"'rance
,oic! in"ide t%e 1'rea' wa" not %er". T%e ct. &a2ored con"tr'cti2e dei2er!.
G. Gruen v. Gruen Fat%er *i2in* %i" "on a ,aintin* # "te,0ot%er "aid it wa"n)t a *i&t.
Fat%er act'a! *a2e "on a &'t're intere"t9 "ince %e %'n* onto t%e ,aintin*. Bei2er!
co'd 1e con"tr'ed t%r' etter" and t%e aw '"'a! ,re"'0e" acce,tance. Here t%e
"on tod %i" &riend" a1o't t%e ,aintin*.
II. POSSESSORY ESTATES
A. Fee )imple * Fee #ail
1. Ter0"3
a. +eirs3 ,er"on" w%o "'r2i2e t%e decedent # are de"i*nated a" inte"tate
"'cce""or" 'nder t%e "tate)" "tat'te o& de"cent. On! dead ,eo,e %a2e %eir".
1. ,ssue3 "!non!0o'" w- de"cendant". Boe" not re&er to c%idren on! 1't
inc'de" &'rt%er de"cendant"
c. Ancestors3 inea de"cendant" ,arent"9 *rand,arent"
G
Per0itted i& 0an'a
dei2er! not ,ractica1e
d. Collaterals3 a ,er"on" created 1! 1ood to t%e decedent w%o are neit%er
de"cendant" nor ance"tor" are coatera $in. 4i.e. 1rot%er"9 'nce"9 ne,%ew"5
e. 'sc!eat3 t%e tran"&er o& ,ro,ert! to t%e "tate 1-c no one e*a! entited to
cai0 it
&. ,ntestate3 wit%o't a wi
*. Fee )imple3 an e"tate in and w-o't an! i0itation" on it w%ic% *i2e" t%e
owner t%e a1"o'te ,ower o& di",o"ition. Toda! t%ere i" a ,re"'0,tion t%at
an e"tate i" *i2en in &ee "i0,e 'ne"" t%ere i" a cear intention to *i2e a 0ore
i0ited e"tate.
%. Fee #ail3 Hto A # t%e %eir" o& %i" 1od!I Fro0 &e'da En*and9 a wa! o&
$ee,in* and in t%e &a0i!. It a"t" a" on* a" t%e *rantee or an! o& %i"
de"cendant" "'r2i2e # i" in%erita1e on! 1! *rantee)" de"cendant". A0o"t
'ni2er"a! a1oi"%ed toda!.
i. )eisin3 owner"%i, # ,o""e""ion o& rea ,ro,ert! 'nder aw&' tite
7. E"tate"
a. Fee Si0,e
i. A1"o'te
ii. Be&ea"i1e
1. Beter0ina1e
7. S'1Dect to Condition S'1"e6'ent
?. S'1Dect to E8ec'tor! Li0itation
1. Li&e E"tate
c. Ter0 o& Year" Tenanc!
d. Periodic Tenanc!
e. Tenanc! O Wi
*Estates in fee simple are considered greater than estates for life in part
b/c measured by potential duration they give a right of possession !hich
may last for a longer period of time" potentially forever#
Potential duration is !hat is used to measure estates in land#
?. Fee Si0,e A1"o'te
a. A1"o'te owner"%i, o& a ,otentia! in&inite d'ration 4&ee59 no i0itation" on
in%a1ita1iit! 4"i0,e5 and it cannot 1e di2e"ted9 nor wi it end at t%e
%a,,enin* o& an! e2ent 4a1"o'te5
1. HTo A # %i" %eir"I
i. Word" o& P'rc%a"e ( w%o i" ta$in* Hto AI
ii. Word" o& Li0itation ( w%at 4nat're o& intere"t5 H# %i" %eir"I
c. I& !o' %a2e no %eir"9 !o' can "ti ,a"" on !o'r &ee "i0,e intere"t in and to
"o0eone t%at i" not a 1ood reati2e 1! de2i"in* it to t%e0.
i. Be2i"a1e ( tran"&er t%r' wi 4te"ta0entar! tran"&er5
ii. Aienate ( tran"&er ,ro,ert! 4ori*ina owner)" %eir" wi 1e c't o&&
1! tran"&er # %a2e no e*a ri*%t.
iii. Be"cenda1e ( inte"tate "'cce""ion 4de"cend" t%r' inea*e5 # ec%eat"
to t%e "tate i& no %eir".
P
Po""e""or!
E"tate" in Land
Non.&ree%od
Lea"e%od E"tate"
B. Life 'states
1.HTo A &or Li&eI an owner"%i, intere"t in t%e ,ro,ert! *ranted to a ,er"on &or a" on*
a" %e or anot%er ,er"on i2e"E ',on t%e end o& t%e 0ea"'rin* i&e9 t%e and wi eit%er
re2ert to t%e *rantor o& t%e i&e e"tate or wi *o to a ,er"on %odin* t%e re0ainder
intere"t in t%e ,ro,.
a. Not an e"tate o& in%eritance
1. Cannot a"t on*er t%an t%e i&e-i2e" o& one or 0ore %'0an 1ein*"
c. Need ? ee0ent" to con2e! i&e e"tate
i. W%o i" to ta$e t%e e"tate;
ii. W%at $ind o& e"tate A i" to ta$e H&or i&eI
iii. W%o i" t%e 0ea"'rin* i&e &or t%e i&e e"tate;
7. E2er! Li&e E"tate i" &oowed 1! a &'t're intere"t eit%er a re2er"ion in t%e tran"&eror
or a re0ainder in a tran"&eree.
a. O to A &or i&e
A %a" L.E. # O %a" a re2er"ion
?. P'r A'tre /ie 0ea"'red 1! t%e i&e o& anot%er
To C &or t%e i&e o& A
O to A &or i&e9 re0ainder to C
A %a" L.E. C %a" 2e"ted re0ainder 1-c we $now w%o t%e re0ainder i".
E2en i& C die" 1-& A9 it wi ,a"" t%r' wi or inte"tate
F. "hite v. !rown i&e e"tate 2. &ee "i0,e a1"o'te. T%e ct. wi oo$ at intent and
%ere t%e direct re"traint on aienation wa" decared 2oid and a &ee "i0,e a1"o'te
wa" &o'nd.
G. O1Dection" to Re"traint" on Aienation
a. =a$e" t%e ,ro,ert! 'n0ar$eta1e
1. =a$e" it i0,o""i1e &or t%e owner to "e ,ro,ert! # a""'0e t%e ,roceed" o&
"ae
c. Re"traint" di"co'ra*e i0,ro2e0ent" on and
d. Pre2ent" t%e owner)" creditor" &ro0 reac%in* t%e ,ro,ert!.
P. Re"traint" on Aienation %a2e 1een ca""i&ied a"3
a. $isabling %estraints ( wit%%od" &ro0 t%e *rantee t%e ,ower o&
tran"&errin* %i" intere"t.
1. &orfeiture %estraint ( i& t%e *rantee atte0,t" to tran"&er %i" intere"t9 it i"
&or&eited to anot%er ,er"on.
c. Promisspry %estraint ( ,ro2ide" t%at t%e *rantee ,ro0i"e" not to tran"&er
%i" intere"t 4i& 2aid en&orcea1e 1! contract5
Q. !aker v. "eedon wanted to "e ,ro,ert! 1't )" didn)t want to 1-c 2a'e wa"
increa"in*. Ct. %ed t%at !o' %a2e to oo$ at t%e intere"t" o& a ,artie". T%e
deterioration # wa"te o& t%e ,ro, i" not t%e e8c'"i2e # 'ti0ate te"t to 1e '"ed in
deter0inin* w%et%er a "ae i" ,ro,erE intere"t" o& t%e i&e tenant # t%e contin*ent
re0ainder0en i" i0,ortant9 too.
R. %octrine of -aste3 aw o& wa"te can 1eco0e ree2ant w%ene2er 7 or 0ore ,eo,e
%a2e t%e ri*%t to ,o""e"" ,ro,ert! at t%e "a0e ti0e 1-c 1 ,er"on "%o'd not 1e a1e
to '"e t%e ,ro,ert! in a 0anner t%at 'nrea"ona1! inter&ere" w- e8,ectation" o&
anot%er.
a. A&&ir0ati2e Wa"te < ari"e &ro0 2o'ntar! act"E ia1iit! ari"e" &ro0 inD'rio'"
act" 4act" t%at "'1"tantia! red'ce 2a'e o& ,ro,ert!5.
1. Per0i""i2e Wa"te < ari"e" &ro0 &ai're to actE 6'e"tion o& ne*i*ence
Q
c. A0eiorati2e Wa"te < i&e tenant "'1"tantia! c%an*e" t%e ,ro, in "'c% a
wa! t%at it increa"e" t%e 2a'e o& t%e ,ro,ert!. E83 &a0i! &ar0 into a race
trac$
d. How do we deter0ine Wa"te;
i. Nat're o& intere"t ,re"ent # &'t're intere"t"
ii. Cond'ct in 6'e"tion
iii. Con"e6'ence" to ,ro,ert!.
C. %efeasi.le 'states
A0a$e "'re !o' oo$ at w%et%er t%e con2e!ance i" inter 2i2o" or te"ta0entar!
ABe&ea"i1e &ee" co0e to an end i& a t%in* %a,,en"9 1't t%e St%in*) cannot 1e a re"traint
on aienation 1-c t%at i" "o &'nda0enta to o'r 0$t to 1e a1e to "e9 etc..
1. Fee )imple %etermina.le
a. a &ee "i0,e e"tate i0ited to a'to0atica! end ',on t%e %a,,enin* o& a
",eci&ied e2ent.
1. O "c%oo 1oard "o on*9 it" "'cce""or"9 "o on* a" t%e ,re0i"e" are '"ed
&or "c%oo ,'r,o"e"
i. HSo on* a"I @word" o& i0itation o& d'ration o& &ee "i0,e.
ii. T%e &ee "i0,e 0a! contin'e &ore2er 1't i& t%e and cea"e" to 1e '"ed
&or "c%oo ,'r,o"e" t%e &ee "i0,e wi co0e to an end # re2ert to O
c. Beter0ina1e i" created 1! an*'a*e connotin* t%at t%e tran"&eror i"
con2e!in* a &ee "i0,e on! ti an e2ent %a,,en". An! d'ration word" "'c%
a" w%ie9 d'rin*9 "o on* a"
d. A &ee "i0,e deter0ina1e i" acco0,anied 1! a &'t're intere"t. T%e &'t're
intere"t i" retained 1! t%e tran"&eror 4O or %i" %eir"5 # caed a ,o""i1iit! o&
re2erter.
7. Fee )imple )u./ect to Condition )u.se&uent
a. A &ee "i0,e t%at doe" not a'to0atica! ter0inate 1't 0a! 1e c't "%ort
or di2e"ted at t%e tran"&eror" eection w%en a "tated condition %a,,en"
1. O to t%e "c%oo 1oard9 it" "'cce""or"9 1't i& t%e ,re0i"e" are not '"ed &or
"c%oo ,'r,o"e"9 t%e *rantor %a" a ri*%t to re.enter # re.ta$e t%e ,re0i"e"
i. 'ne"" # 'nti t%e entr! i" 0ade9 t%e &ee "i0,e contin'e"
c. A &ee "i0,e on condition "'1"e6'ent i" created 1! a con2e!ance o& a &ee
"i0,e &oowed 1! an*'a*e ,ro2idin* t%at t%e &ee "i0,e 0a! 1e di2e"ted
1! t%e tran"&eror i& a ",eci&ied e2ent %a,,en".
i. Word" "'c% a"3 ,ro2ided9 %owe2er9 t%at w%en t%e ,re0i"e"9 on t%e
condition t%at t%e ,re0i"e"9 etc@
d. T%e &'t're intere"t retained 1! t%e tran"&eror to di2e"t a &ee "i0,e "'1Dect to
condition "'1"e6'ent i" caed a ri*%t o& entr! 40a! on! 1e retained 1!
tran"&eror or %eir"9 0a! not 1e created in tran"&eree5
?. Fee )imple )u./ect to 'xecutor0 Limitation
e. I& t%e *rantor want" to ,'t t%e ri*%t to en&orce &or&eit're in a tran"&eree t%e
*rantor can create a &ee "i0,e "'1Dect to an e8ec. i0itation.
&. O to t%e "c%oo 1oard9 1't i& it cea"e" to '"e t%e and a" a "c%oo9 to t%e
cit! i1rar!
i. cit! i1rar! %a" an e8ec'tor! intere"t t%at wi a'to0atica!
di2e"t t%e "c%oo 1oard i& t%e e2ent %a,,en"
R
ii. "%i&tin* e8ec intere"t
*. S,rin*in* Bi2e"tin* Intere"t
i. Bi2e"t into tran"&eror
1. OC i& C 0arrie"
O %a" &ee "i0,e "'1Dect to e8ec i0itation ti C 0arrie"
# t%en H",rin*"I to C
/e"tin* e2ent to C
Bi2e"tin* e2ent to O
S'00ar!
O A "o on* a" @ Fee "i0,e deter0ina1e 4a'to0atic # i0ited 1! own d'rationa
Lan*'a*e5
O A9 1't i& @O %a" ri*%t to re.enter Fee "i0,e "'1Dect to condition "'1"e6'ent
40a! or 0a! not %a,,en5
O A9 1't i& @t%en to C Fee "i0,e "'1Dect to e8ec i0itation
O C i& @. Fee "i0,e "'1Dect to e8ec i0itation
O to A "o on* a" @ t%en to C Fee "i0,e deter0ina1e &oowed 1! e8ec intere"t
41-c t%ere i" no di2e"tin* e2entE i& t%e i0itation i"
2ioated t%e t%in* end"5
Condition S'1"e6'ent ( condition %a" to %a,,en a&ter < SHIFTINJ
i.e. Hto C9 1't i& C &ai" to reac% 71I
t%e! *et "o0et%in*9 1't i& condition &ai" to %a,,en9 t%en t%e! *et it ta$en awa!
Condition Precedent ( condition %a" to %a,,en 1e&ore < SPRINJINJ
i.e. Hto A)" c%idren i& t%e! "'r2i2e AI
a"$ doe" t%e condition need to %a,,en 1-& or doe" it &ai to %a,,en t%en@
Aw%et%er i" it ",rin*in* or "%i&tin* de,end" on w%o it di2e"t"
E83 O to L &or i&e9 t%en to R i& R reac%e" 7G ot%erwi"e to A
AI& 1"t re0ainder i" contin*ent9 "o i" t%e 7nd one
Aternati2e Contin*ent Re0ainder" condition ,recedent &or one i" t%e o,,o"ite
condition ,recedent &or t%e ot%er.
O to L &or i&e9 re0 to R9 1't i& R die" 'nder t%e a*e o& 7G t%en to A
I& L die" t%en R %a" a &ee "i0,e "'1Dect to e8ec i0itation
T
III. FUTURE INTERESTS
.a &'t're intere"t i" a ,re"ent! e8i"tin* intere"t9 t%o'*% not a ,re"ent! ,o""e""or! intere"t
A. #0pes of Future ,nterests
1. Intere"t" Retained 1! Tran"&eror
a. Re2er"ion 4&ee "i0,e a1"o'te5
1. Po""i1iit! o& Re2erter 4&ee "i0,e deter0ina1e5
c. Ri*%t o& Re.Entr! 4&ee "i0,e "'1Dect to condition "'1"e6'ent5
7. Intere"t" Created in t%e Tran"&eree
a. /e"ted Re0ainder < ,er"on i" a"certained9 no condition ,recedent
1. Contin*ent Re0ainder
c. E8ec'tor! Intere"t"
B. Future ,nterest in t!e #ransferor
1. Re2er"ion ( &'t're intere"t in t%e *rantor a&ter t%e *rantor %a" con2e!ed a 2e"ted
e"tate. A re2er"ion" are 2e"ted intere"t"9 at%o'*% not a wi nece""ari! 1eco0e
,o""e""or!.
a. Tran"&era1e d'rin* i&e # de"cendi1e # de2i"a1e O deat%
1. NE/ER can %a2e a ,o""i1iit! o& re2er"ion
c. O to A &or i&e O %a" a re2er"ion in a &ee "i0,e t%at i" certain to
1eco0e ,o""e""or!E At A)" deat%9 eit%er O or O)"
"'cce""or in intere"t wi 1e entited to ,o""e""ion
d. O to A &or i&e9 t%en to C # %er %eir" i& C "'r2i2e" A
O %a" a re2er"ion t%at i" NOT certain to 1eco0e
,o""e""or!. I& C die" 1-& A9 O wi 1e entited to ,o""e""ion at
A)" deat%. I& A die" 1-& C9 O)" re2er"ion i" di2e"ted on A)"
deat% # wi ne2er 1eco0e ,o""e""or!.
7. Po""i1iit! o& Re2erter ( w%en a *rantor car2e" o't o& %i" e"tate a &ee "i0,e
deter0ina1e
a. O to A &or i&e9 "o on* a" '"ed &or "c%oo ,'r,o"e"
O %a" a ,o""i1iit! o& re2erter
?. Ri*%t o& Entr! ( w%en a *rantor create" an e"tate "'1Dect to a condition "'1"e6'ent #
retain" t%e ,ower to c't "%ort t%e e"tate.
a. O to A &or i&e9 1't i& @ t%en O %a" a ri*%t to reenter
F. E8a0,e"3
a. O to A &or i&e9 t%en to C # %er %eir"
No re2er"ion 1-c *o to C)" de"cendent"
1. O to A &or i&e9 t%en to C # %eir" o& %er 1od!
No re2er"ion 1-c *o to C)" inea*e 4on! w%ere &ee tai i" a1oi"%ed5
c. O to A &or i&e9 t%en to C # %er %eir" i& C attain" t%e a*e o& 71 1-& A die"
C i" 1G9 "o i& A die" w-in P !ear" t%ere wi 1e a re2er"ion
I& C reac%e" 71 # A i" "ti ai2e9 no re2er"ion
d. O to A &or 7U !ear"
Ter0 o& !ear". Re2er"ion 1ac$ to O a&ter 7U !ear"
1U
C. Future ,nterests in t!e #ransferee
1. /e"ted Re0ainder" ( ,er"on i" a"certained # no condition ,recedent
a. Inde&ea"i1! /e"ted Re0ainder 4not "'1Dect to di2e"t0ent5
O to A &or i&e9 t%en to C
1. /e"ted S'1Dect to O,en or Partia Bi2e"t0ent
O to A &or i&e9 re0ainder to C)" c%idren
c. /e"ted S'1Dect to 4co0,ete5 Bi2e"t0ent
a$a S'1Dect to Condition S'1"e6'ent
a$a S'1Dect to E8ec'tor! Li0itation
O to A &or i&e9 re0ainder to C)" c%idren9 1't i& none "'r2i2e A9 t%en
to A)" c%idren
AI& t%e 1"t &'t're intere"t created i" a 2e"t re0ainder in &ee "i0,e9 t%e 7nd &'t're
intere"t wi 1e a di2e"tin* e8ec intere"t.
AIn order &or it to 1e a 2e"ted re0ainder9 t%e ta$er %a" to 1e a"certained 4at ea"t
one5 # t%ere can 1e no condition ,recedent
A No re2er"ionar! intere"t w- *rantor 1-c %a" *i2en e2er!t%in* awa! &or "'re>
7. Contin*ent Re0ainder" ( an!ti0e !o' don)t $now w%o t%e ta$er i" or t%ere i" a
condition ,recedent t%en t%ere i" a contin*ent re0ainder.
a. Need a ,rior "',,ortin* e"tate
1. Aternati2e contin*ent re0ainder" re6'ire a condition ,recedent>>>>>
c. I& t%e 1"t &'t're intere"t created i" a contin*ent re0ainder in &ee "i0,e t%en
t%e 7nd &'t're intere"t in a tran"&eree wi a"o 1e a contin*ent re0ainder
O to A &or i&e9 re0ainder to C)" c%idren 4t%ere are none5
O to A &or i&e9 re0ainder to R i& R reac%e" 7G
O to A &or i&e9 re0ainder to C)" $id" w%o reac% a*e o& 1R.
AR'e o& con2enience < can de0and t%at ca"" co"e i& contrar! intent can)t 1e "%own.
Whether a remainder is vested or contingent depends on the language
employed. I the conditional element is incorporated into the description o! or
into the git to! the remaindermen! then the remainder is contingent. "ut i ater!
#ords giving a vested interest! a clause is added divesting it! the remainder is
vested.$
11
?. E8ec'tor! Intere"t" ( a &'t're intere"t in a tran"&eree t%at can ta$e e&&ect on! 1!
di2e"tin* anot%er intere"t.
a. T%e di&&erence 1-t ta$in* ,o""e""ion a" "oon a" t%e ,rior e"tate end" #
di2e"tin* t%e ,rior e"tate i" t%e e""entia di&&erence 1-t a re0ainder # an
e8ec'tor! intere"t.
1. S%i&tin* ( di2e"t" anot%er tran"&eree
c. S,rin*in* ( di2e"t" t%e tran"&eror
O A &or i&e9 t%en to C # %er %eir"9 1't i& C die" 'nder t%e a*e o& 719 to C
# %er %eir". 4C i" 1G5
.C %a" a 2e"ted re0ainder "'1Dect to di2e"t0ent 1-c C %a" t%at9
C)" intere"t i" a "%i&tin* e8ec intere"t
O to town i1rar! "o on* a" t%e ,re0i"e" are '"ed &or i1rar! ,'r,o"e"9
t%en to c%idren)" %o",ita
.Li1rar! %a" deter0ina1e &eeE %o",ita %a" an e8ec intere"t
Note3 e2en t%o'*% it doe" not di2e"t t%e deter0ina1e &ee9 w%ic%
e8,ire" a'to0atica!9 1't it a"o can)t 1e a re0ainder 1-c a re0ainder
cannot &oow a 2e"ted &ee "i0,e. Eit%er wa! 1rea$" t%e r'e".
'ips for Application of &uture (nterests
1. I& at t%e ti0e t%e &'t're intere"t i" created9 it i" not ,o""i1e &or it to 1eco0e ,o""e""or! ',on
ter0ination o& t%e ,rior e"tate9 t%e &'t're intere"t i" not a re0ainder
7. A re0ainder 0'"t %a2e a ,rior "',,ortin* e"tate 40'"t 1e ca,a1e o& 1eco0in* ,o""e""or!
i00ediate! ',on t%e end o& t%e ,rior e"tate5
?. I& t%e 1"t re0ainder i" contin*ent9 t%e 7nd re0ainder wi 1e contin*ent a"o
F. I& t%e &'t're intere"t i" a 2e"ted re0ainder "'1Dect to di2e"t0ent9 t%e 7nd one =UST 1e an e8ec'tor! intere"t
rat%er t%an a re0ainder
G. E2er! i&e e"tate i" acco0,anied 1! a re2er"ion in t%e tran"&eror and-or a &'t're intere"t in a
tran"&eree.
%. Rules Furt!erin 1ar2eta.ilit0 .0 %estro0in Continent Future ,nterests
1. S%ee!)" R'e3 2irt'a! a1oi"%ed in e2er! "tate e8ce,t &or A: and INE it &'rt%er"
aiena1iit!.
a. I& 415 one in"tr'0ent 475 create" a i&e e"tate in and A9 and 4?5 ,'r,ort" to
create a re0ainder in ,er"on" de"cri1ed a" A)" %eir" 4or %eir" o& A)" 1od!5
and 4F5 t%e i&e e"tate # re0ainder are 1ot% e*a or 1ot% e6'ita1e9 t%e
re0ainder 1eco0e" a re0ainder in &ee "i0,e in A.
OA &or i&e9 t%en to A)" %eir"
R'e in S%ee!)" ca"e *i2e" A a 2e"ted re0ainder in &ee "i0,e 40er*e" into re0ainder
ea2in* A w- &ee "i0,e in ,o""e""ion. T%e and i" aiena1e 1! A5
17
ABoe" not a,,! to e8ec intere"t"
ALi&e e"tate" cannot 0er*e into 2e"ted re0ainder in &ee "i0,e i& t%ere i" an
inter2enin* 2e"ted i&e e"tate 1oc$in* t%e 0er*er.
AS%ee!)" on! a,,ie" w%en t%e *i&t in re0ainder re&er" to an in&inite ine o&
"'cce""ion rat%er t%an to a ",eci&ic ca"" o& ta$er".
1. %octrine of 1erer t%en ca0e into ,a!9 "tatin* t%at i& t%e i&e e"tate and
t%e ne8t 2e"ted e"tate co0e into t%e %and" o& 1 ,er"on9 t%e e""er e"tate i"
0er*ed into t%e ar*e.
. Not a,,ica1e to e8ec intere"t"
. E8tend" to "it'ation" w%ere t%e i&e e"tate wa" &oowed 1! a contin*ent
re0ainder
7. Boctrine o& Wort%ier Tite3 od N i" 1etter t%an new N
a. O to A &or i&e9 t%en to O)" %eir"
T%e re0ainder to O)" %eir" i" 2oid # O %a" a re2er"ion
1. W%ere t%ere i" an inter 2i2o" con2e!ance o& and 1! a *rantor to a ,er"on w-
a i0itation o2er to t%e *rantor)" own %eir eit%er 1! wa! o& re0ainder or
e8ec intere"t9 no &'t're in t%e %eir" i" create" 1't a re2er"ion i" retained 1!
t%e *rantor.
c. Rea"onin*3 it &'rt%er" aiena1iit! 1-c O can con2e! a re2er"ion w%erea" O)"
%eir" t%at are not a"certained cannot con2e! &'t're intere"t
?. Be"tr'cti1iit! o& Contin*ent Re0ainder"
a. A re0ainder in and i" de"tro!ed i& it doe" not 2e"t at a or 1-& t%e
ter0ination o& t%e ,roceedin* &ree%od e"tate.
1. F'rt%ered aiena1iit! o& t%e ,ro,ert!
I/. RULE AJAINST PERPETUITIES
A. Common Law Rule
1. R'e t%at "tri$e" down contin*ent intere"t" t%at 0i*%t 2e"t too re0ote!
a. Yo' 0'"t ,ro2e t%at a contin*ent intere"t i" certain to 2e"t or ter0inate no
ater t%an 71 !ear" a&ter t%e deat% o& "o0e ,er"on ai2e at t%e creation o& t%e
intere"t. I& !o' cannot ,ro2e9 t%en t%e contin*ent intere"t i" 2oid &ro0 t%e
o't"et.
1. HNo intere"t i" *ood 'ne"" it 0'"t 2e"t9 i& at a9 not ater t%an 71 !ear" a&ter
"o0e i&e in 1ein* at creation o& t%e intere"tI
c. 3alidatin or 1easurin Life ( a ,er"on wi ena1e !o' to ,ro2e t%e
contin*ent intere"t wi 2e"t or &ai w-in t%e i&e o&9 or at t%e deat% o&9 t%e
,er"on9 or w-in 71 !ear" a&ter t%e deat% o& t%e ,er"on.
i. Precedin* i&e tenant - Ta$er" o& contin*ent intere"t - An!one
w%o can a&&ect t%e identit! o& t%e ta$er" - An!one w%o can
a&&ect a condition ,recedent.
ii. Boe" not %a2e to 1e 0entioned in t%e in"tr'0ent 1't 0'"t 1e
a1e to a&&ect t%e 2e"tin* intere"t.
O tran"&er" tr'"t &or A &or i&e9 t%en to A)" 1"t $id to reac% 71.
A i" 2aidatin* i&e
1?
7. Ste," in So2in* R'e A*ain"t Per,et'itie" Pro1e0
a. I" t%ere a Contin*ent F't're Intere"t;
i. Contin*ent re0ainder"
ii. /e"ted re0ainder" "'1Dect to o,en
iii. E8ec'tor! intere"t
1. W%at i" t%e /e"tin* E2ent &or Eac% Contin*ent F't're Intere"t;
c. I" t%ere a /aidatin* Li&e or Li2e";
i. Li&e in 1ein* ( e8i"t" w%en t%e intere"t i" created # no ater
t%an 71 !ear" t%erea&ter
ii. W%o"e i&e i" 0o"t co"e! a""ociated wit% t%e 2e"tin* e2ent;
?. E8a0,e"
O &or A &or i&e9 t%en to A)" 1"t $id to reac% 7G 4A %a" no $id 7G or oder5
T%ere i" no 2aidatin* i&e9 "o contin*ent re0ainder i" 2oid. Yo'
cannot ,ro2e t%at A)" 1"t $id to eac% 7G wi do "o w-in 71 !ear" a&ter
A)" deat%.
O to 0! *rand$id" to w%o reac% 71 4T ea2e" 7 $id" # ? *rand$id" 'nder 715.
T%e 2aidatin* i2e" are T)" 7 $id"E a o& T)" *rand$id" 0'"t reac% 719
i& at a9 w-in 71 !ear" a&ter t%e deat% o& T)" $id".
O to A &or i&e9 t%en to A)" $id" &or t%eir i2e"9 t%en to C
Re0ainder to C i" 2e"t ',on creation. C)" re0ainder 0a! 2e"t in
,o""e""ion at t%e deat% o& A)" a&ter1orn $id" w%ic% 0a! 1e too re0ote9
1't t%e re0ainder i" 2aid 1-c it i" 2e"ted in intere"t now.
F. F't're Intere"t" Retained 1! t%e Tran"&eror
a. re2er"ion"
1. ,o""i1iitie" o& re2erter
c. ri*%t" o& re.entr!
B. Pro.lems
O to "c%oo 1oard "o on* a" '"ed &or a "c%oo
O to "c%oo 1oard9 1't i& it cea"e" to '"e 1ac$acre &or "c%oo ,'r,o"e"9 O %a" a ri*%t
to re.enter
O to t%e "c%oo 1oard "o on* a" '"ed &or a "c%oo9 t%en to A # %er %eir"
1F
Not "'1Dect to t%e R'e A*ain"t
Per,et'itie"> T%e! are treated a"
2e"ted a" "oon a" t%e! ari"e
O to t%e "c%oo 1oard9 1't i& it cea"e" to '"e" 1ac$ acre &or "c%oo ,'r,o"e" to A #
%er %eir".
C. (ift to Classes
1. I& t%e *i&t to one 0e01er o& t%e ca"" 0i*%t 2e"t too re0ote!9 t%e w%oe ca"" *i&t i"
2oid.
a. A *i&t t%at i" 2e"ted "'1Dect to o,en i" NOT 2e"ted 'nder t%e R'e A*aint"
Per,et'itie"
1. Ca"" 0'"t 1e co"ed and a 0e01er" identi&ied
c. Ji&t" to a ca"" 2e"t or &ai a" a ca""
d. AAAAI& 1 at. contin*ent re0ainder i" 2oid9 "o i" t%e ot%er
O to A &or i&e9 t%en to A)" $id"
C i" ai2e # %a" 2.r. "'1Dect to o,en 1't it i" not 2e"t a*ain"t t%e r'e
a*ain"t ,er, ti A die".
O to A &or i&e9 t%en to A)" c%idren &or t%eir i2e"9 re0 to A)" *ran$id"
T to A &or i&e9 t%en to A)" $id" &or t%eir i2e"9 t%en to *rand$id"
7. E8e0,tion
a. I& O 0a$e" a *i&t to C%arit! A &oowed 1! a *i&t o2er to C%arit! C i& a
",eci&ied e2ent %a,,en"9 t%e e8ec intere"t in C%arit! C i" e8e0,t &ro0 R'e
A*ain"t Per,et'itie"
i. T%i" e8e0,tion on! a,,ie" i& 1ot% t%e ,o""e""or! e"tate and
t%e &'t're intere"t are in c%arita1e or*aniLation".
ii. It doe" not a,,! i& eit%er t%e ,o""e""or! e"tate or t%e &'t're
intere"t i" in a nonc%arit!.
%. Cases
1. #ee v. Audley 4te"ta0entar! 1e6'e"t5 T V1UUU to T)" wi&e9 re0ainder to niece =
=ar! Ha # i""'e o& %er 1od!9 and in de&a't o& "'c% i""'e" 4w%en a de"cendant" a
are dead5 t%en to da'*%ter" t%en i2in* o& Mo%n # EiLa1et% Mee.
.Can t%e da'*%ter" "er2e a" t%eir own 0ea"'rin* i2e";
.No 1-c t%e! are an o,en ca"" and t%e Mee)" are ,re"'0ed &ertie ti t%e! die
.T%ere&ore t%e *i&t i" 2oid 1-c at t%e ti0e t%e intere"t i" created t%ere i" a
,o""i1iit! o& 2e"tin* a&ter t%e 71 !ear ,eriod9 no 0atter %ow re0ote t%e c%ance
0i*%t 1e9 t%e intere"t 0'"t &ai.
7. $ym%hony $%a&e' (n&. v. Pergola Pro%erties' (n&. ct &o'nd t%at o,tion" are
inc'ded in t%e R'e A*ain"t Per,et'itie". An o,tion i" treated i$e a &'t're intere"t3
contin*ent ',on t%e e8erci"e o& t%e o,tion.
1G
.W%en ,artie" are cor,oration" # no 0ea"'rin* i2e" are "tated in t%e
in"tr'0ent"9 t%e ,er, ,eriod i" "i0,! 71 !ear".
.O,tion" ,ertinent to t%e ea"e are o$ 1-c can)t %od o,tion &or on*er
t%an t%e ea"e
.Yo' can)t rea! "e w%en !o' %a2e an o,tion attac%ed 1-c w%o want"
to ,a! &' ,rice w%en "o0eone can co0e # e8erci"e t%e o,tion. Tie ',
,ro,ert! &ro on* ,eriod" o& ti0e.
'. #!e Rule Aainst Perpetuities Furt!ers Aliena.ilit0 4,. ?7T5
1. T%e R'e i" de"i*ned to ,re2ent an 'nd'e concentration o& weat% in t%e %and" o& a
&ew.
7. It i" "ocia! 'nde"ira1e &or "o0e 0e01er" o& "ociet! to %a2e a""'red inco0e" # 1e
,rotected &ro0 t%e econo0ic "tr'**e &or e8i"tence
?. T%e R'e "tri$e" a &air 1aance 1-t t%e de"ire" o& 0e01er" o& t%e ,re"ent *eneration
# "i0iar de"ire" o& "'cceedin* *eneration"9 to do w%at t%e! wi"% wit% t%e ,ro,
w%ic% t%e! enDo!.
F. It i" "ocia! de"ira1e t%at t%e weat% o& t%e word 1e controed 1! it" i2in*
0e01er" # not t%e dead.
F. -ait & )ee %octrine
1. Be&inition3 an intere"t i" 2aid i" it act'a! 2e"t" d'rin* t%e ,er,et'itie" ,eriod9
irre",ecti2e o& w%at 0i*%t %a2e %a,,ened.
7. Co00on aw ,er,et'itie" ,eriod ( i&e W 71 !ear"
?. TU !ear" 'nder t%e Uni&or0 Stat'tor! R'e A*ain"t Per,et'itie" 4USRAP5
a. I& at t%e ti0e o& it" creation a contin*ent intere"t wi nece""ari! 2e"t w-in
i2e" in 1ein* W 71 !ear"9 it i" 2aid
1. I& at t%e ti0e o& creation9 a contin*ent intere"t wi nece""ari! 2e"t w-in TU
!ear"9 it i" 2aid
c. AAAAAI& %owe2er9 a contin*ent intere"t i" not certain to 2e"t or &ai w-in one
o& t%e"e 7 ,eriod"9 we wait &or TU !ear" to "ee i& it act'a! 2e"t" w-in TU
!ear".
i. I& it doe" not 2e"t w-in TU !ear"9 t%e contin*ent intere"t wi
1e re&or0ed 1! a ct at t%e end o& t%e TU !ear ,eriod "o a" to
0o"t co"e! a,,ro8i0ate t%e di",o"iti2e ,an o& t%e donor #
w-in TU !ear".
F. =an! "tate" %a2e *otten rid o& t%e R'e A*ain"t Per,et'itie"
/. CO.OWNERSHIP
A. #0pes4 C!aracteristics4 Creation
1. Tenant" in Co00on
a. Ha2e "e,arate 1't 'ndi2ided intere"t" in t%e ,ro,ert!
1. T%e intere"t o& eac% id de"cendi1e # 0a! 1e con2e!ed 1! deed or wi
c. Eac% T.I.C. own" an 'ndi2ided "%are o& t%e w%oe
7. Tenanc! 1! t%e Entiret!
a. Can 1e created on! in %'"1and # wi&e
1. Cot% con"idered to %od a" one ,er"on
c. Bi2orce ter0inate t%e tenanc! 1! t%e entiret! and ,artie" '"'a! 1eco0e
1P
tenant" in co00on.
d. Neit%er can "e intere"t 'niatera!9 nor can creditor" attac% ,ro, t%r' one
?. Moint Tenanc!
a. Eac% own" 'ndi2ided w%oe o& t%e ,ro, w%en one die"9 not%in* ,a""e" to t%e
ot%er "'r2i2in* Doint tenant 4%and ettin* *o o& t%e ,ro,ert!5
1. Fo'r 'nitie" e""entia to Doint tenanc!
i. Ti0e t%e intere"t o& eac% Doint tenant 0'"t 1e ac6'ired or
2e"t at t%e "a0e ti0e
ii. Tite a Doint tenant" 0'"t ac6'ire tite 1! t%e "a0e
in"tr'0ent or 1! ad2er"e ,o""e""ionE can ne2er ari"e o't o&
inte"tate "'cce""ion
iii. Intere"t a 0'"t %a2e e6'a 'ndi2ided "%are" # identica
intere"t" 0ea"'red 1! d'ration
i2. Po""e""ion eac% 0'"t %a2e a ri*%t to ,o""e""ion o& t%e
w%oe. A&ter M.T. i" created9 t%o'*%9 1 Doint tenant can
2o'ntari! *i2e e8c'"i2e ,o""e""ion to t%e ot%er Doint tenant
c. A2oid" ,ro1ate 1-c no intere"t ,a""e" on t%e Doint tenant" deat%
d. A Doint tenant cannot ,a"" %er intere"t in a Doint tenanc! 1! a wi

E83 A9 C9 # C are Moint tenant". A 'niatera! wit%draw"9 t%en A i" tenant" in
co00on wit% C#C. C#C contin'e in Doint tenanc! w- eac% ot%er and %a2e 7-?
'ndi2ided intere"t. A)" e"tate %a" 'ndi2ided 1-? intere"t.
Ti0e Tite Intere"t Po""e""ion Per"on Ri*%t" o&
S'r2i2or"%i,
Tenanc!
1! Entiret! + + + + + +
Moint
Tenanc! + + + + +
Tenant" in
Co00on +
Ter0"3
In Se2erat! < own ,ro,ert! 1! !o'r"e&
Con"ec'ti2e < ,re"ent # &'t're intere"t
Conc'rrent < t%o"e w%o %a2e conc'rrent ri*%t" o& ,o""e""ion eit%er now or in t%e &'t're
B. )everance of 5oint #enanc0
1. )iddle v. Harms %'"1and # wi&e owned a" Doint tenant". A&ter &indin* o't t%at t%e
,ro, wo'd ,a"" to %i09 "%e tried to "e2er Doint tenanc!. T%e ct %ed t%at a Doint
tenant 0a! 'niatera! "e2er t%e Doint tenanc! w-o't t%e '"e o& inter0ediar! de2ice.
T%'"9 one can 1e 1ot% t%e *rantor and *rantee. Bon)t %a2e to *o t%r' "traw0an.
7. Harms v. $%rague one Doint tenant ,ace" a 0ort*a*e on %i" X. T%e ct. %ed t%at
1Q
Doint tenanc! i" not "e2ered 1! 0ort*a*e)" 1-c t%e 'nit! o& tite %a" 1een ,re"er2ed.
T%e ct. a"o %ed t%at a "'r2i2in* Doint tenant "'cceed" to t%e "%are o& t%e decea"ed
Doint tenant 1! 2irt'e o& t%e con2e!ance t%at created t%e Doint tenanc!9 not a" t%e
"'cce""or o& t%e decea"ed. T%'"9 t%e 0ort*a*e doe" not "'r2i2e t%e Doint tenant.
.W%ie %e wa" ai2e it e8i"ted a" a ien 1't wa" e8tin*'i"%ed at t%e ti0e o& %i"
deat%. Creditor Ceware.
C. 5oint #enanc0 Ban2 Accounts
1. Tr'e Moint Tenanc! O intend" to 0a$e a ,re"ent *i&t to A o& X t%e "'0 de,o"ited
in addition to "'r2i2or"%i, ri*%t" to t%e w%oe "'0 on de,o"it
7. Pa!a1e on Beat% O intend" to 0a$e a *i&t to A on! o& "'r2i2or"%i, ri*%t"
?. Con2enience Acco'nt O intend" t%at A on! %a" t%e ,ower to draw on t%e acco'nt
to ,a! O)" 1i" # not %a2e "'r2i2or"%i, ri*%t"
A A 0aDorit! o& D'ri"diction" %od t%at t%e "'r2i2in* Doint tenant ta$e" t%e "'0
re0ainin* on de,o"it in a Doint acco'nt 'ne"" t%ere i" cear # con2incin* e2idence
t%at a con2enience acco'nt wa" intended. T%e 1'rden o& ,roo& i" on t%e ,er"on
c%aen*in* t%e "'r2i2in* Doint tenant.
F. E2en i& t%ere i" a ea"e a*ree0ent t%at "a!" t%at t%e content" o& t%e 1o8 are owned in
Doint tenanc! w- ri*%t o& "'r2i2or"%i,9 a Doint tenant i" not nece""ari! entited to t%e
content" o& t%e 1o8 'ne"" t%e ea"e ",eci&ica! re&er" to t%e content".
G. HI want !o'r na0e on t%e"e 1an$ acco'nt" "o t%at in ca"e i& I a0 "ic$ !o' can *o #
*et t%e 0one! &or 0e.I BOES NOT create Doint tenanc!. Loo$ at decedent)"
intention".
%. Relations Amon Concurrent Owners
1. Partition
a. Del*ino v. Vealen&is *ar1a*e d'0, 2. 1rot%er" tr!in* to de2eo, new
nei*%1or%ood. T%e ct. &a2ored Partition in :ind 1-c t%e Partition 1! Sae
wo'd &orce t%e to "'rrender %er %o0e # Deo,ardiLe %er i2ei%ood.
i. Partition 1! Sae3 w%oe t%in* i" "od # t%e N i" di2ided
1. S%o'd 1e ordered i& 415 t%e ,%!"ica attri1'te" o& t%e
and are "'c% t%at a ,artition in $ind i" i0,ractica1e
# 475 i& t%e intere"t o& t%e owner" wo'd 1e 1etter
,ro0oted 1! a ,artition 1! "ae.
ii. Partition in :ind3 ,re"'0ed to 1e in t%e 1e"t intere"t" o& t%e
owner". C'rden i" on t%e ,art! re6'e"tin* a ,artition 1! "ae
to de0on"trate t%at "'c% a "ae wo'd 1etter ,ro0ote t%e
owner)" intere"t".
1. $%iller v. Ma&kereth A'to ,art" 1'idin*. Co.tenant don)t owe t%e ot%er
co.tenant rea"ona1e rent 2a'e 'ne"" an o'"ter %a" occ'rred.
i. W%en a cotenant i" in e8c'"i2e ,o""e""ion o& conc'rrent!
owned ,ro,ert!9 t%e 0aDorit! %od" t%at9 'ne"" t%ere %a" 1een
an o'"ter9 t%e cotenant in ,o""e""ion doe" NOT %a2e to ,a! a
,ro,ortionate "%are o& t%e renta 2a'e to t%e cotenant" o't o&
,o""e""ion.
c. $wartzbaugh v. $am%son %'"1and ea"ed a ,ortion o& and &or 1o8in*
,a2iion to 1't wi&e o1Dected 1-c o& noi"e and c'ttin* down wan't tree".
Ot%er cotenant 4wi&e5 entited to %er %a& o& t%e rent9 1't not an! ,ro&it" 0ade
&ro0 t%e ,ro,ert!.
1R
i. T%e Doint tenant %a" a ri*%t to ,o""e"" t%e w%oe ,ro, # %e
%a" a ri*%t to ea"e o't t%at ,o""e""ion. T%e e""ee)" ri*%t"
are 2aid to e8tent o& t%e e""or)" ri*%t". T%e e""ee %a" t%e
"a0e ri*%t o& ,o""e""ion t%at t%e e""or %ad9 1't no 0ore.
7. Acco'ntin*
a. Rent" # Pro&it"
in a "tate"9 a co2enant w%o coect" &ro0 ?rd ,artied # ot%er ,a!0ent"
ari"in* &ro0 co.owned and 0'"t acco'nt to cotenant" &or t%e a0o'nt" recei2ed.
U"'a! 1a"ed on act'a recei,t"9 not &air 0ar$et 2a'e
1. Ta8e"9 =ort*a*e Pa!0ent"9 # ot%er Carr!in* C%ar*e"
a cotenant ,a!in* 0ore t%an %i" "%are o& ta8e"9 etc@*enera! %a" a ri*%t to
contri1'tion &ro0 ot%er cotenant"9 at ea"t ', to t%e a0o'nt o& t%e 2a'e o& t%eir
"%are in t%e ,ro,ert!.
c. Re,air" # I0,ro2e0ent"
Nece""ar! Re,air" ( a cotenant 0a$in* or ,a!in* &or t%e0 %a" no a&&ir0ati2e
ri*%t to contri1'tion &ro0 t%e ot%er cotenant" in t%e a1"ence o& an a*ree0entE
ri*%t to credit on acco'ntin* 4rei01'r"ed co"t5
I0,ro2e0ent" ( a cotenant %a" no ri*%t to contri1'tion &ro0 ot%er cotenant"
&or e8,endit're" &or i0,ro2e0ent". C't9 t%e intere"t" o& t%e i0,ro2er are to 1e
,rotected i& t%i" can 1e acco0,i"%e" w-o't detri0ent to t%e intere"t" o& t%e ot%er
cotenant. /a'e o& increa"e 4not co"t"-e8,endit're"5 or can *o t%e ot%er wa! and
1e "'1tracted.
/I. LEASEHOLB3 THE LAW OF LANBLORB # TENANT
A. Lease!old 'states
1. Ter0 o& Year" ( an e"tate t%at a"t" &or "o0e ,eriod o& ti0e or &or a ,eriod
co0,'ta1e 1! a &or0'a t%at re"'t" in &i8in* caendar date" &or 1e*innin* #
endin*9 once t%e ter0 i" created or 1eco0e" ,o""e""or!.
a. ='"t 1e &or a &i8ed ,eriod
1. Can 1e ter0inated eit%er ',on t%e %a,,enin* o& "o0e e2ent or condition
c. No notice o& ter0ination i" nece""ar! to 1rin* t%e e"tate to en end
7. Periodic Tenanc! ( a ea"e &or a &i8ed ,eriod t%at contin'e" &or "'cceedin* ,eriod"
a. =ont% to =ont%
1. I& notice i" not *i2en9 t%e ,eriod a'to0atica! e8tended &or anot%er ,eriod
c. Under co00on aw9 X a !ear)" notice i" re6'ired to ter0inate a !ear to !ear
tenanc!
d. For an! ,eriodic tenanc! e"" t%an 1 !ear9 notice o& ter0ination 0'"t 1e
*i2en e6'a to t%e en*t% o& t%e ,eriod9 1't not to e8ceed P 0ont%". T%e
notice 0'"t ter0inate t%e tenanc! on t%e &ina da! o& t%e ,eriod9 not in t%e
0idde o& t%e tenanc!.
ABeat% o& andord-tenant %a" no e&&ect on t%e d'ration o& ter0 o& !ear" or ,eriodic
tenanc!
?. Tenanc! at Wi ( can end at an! ti0e. No "tated d'ration. Stat'te" re6'ire notice
1't not 'nder co00on aw.
1T
F. E8a0,e"3 4,a*e FFP5
On Oct. 1 L to T &or 1 !ear 1e*innin* on Oct. 1.
.T%e &oowin* Se,t ?U9 T 0o2e" o't w-o't *i2in* notice9 L)" ri*%t";
.Ter0 o& !ear"9 "o no notice needed
I& t%e ea"e %ad L T &ro0 !ear to !ear
.Notice needed or ,eriod i" e8tended &or anot%er ,eriod
I& ea"e %ad 1een &or no &i8ed ter0 at an ann'a rent o& YY9 ,a!a1e ,er 0ont% at
t%e &ir"t o& eac% 0ont%
.Ter0 o& !ear" 1-c o& ann'a
T9 0ont% to 0ont% tenant9 noti&ied L on No2e01er 1P9 7UU1 t%at "%e wo'd
2acate a" o& No2 ?U9 7UU1.
.L co'd coect 'n,aid rent &or Bec 1-c T needed to *i2e 1 0ont% notice 4( to
t%e en*t% o& ,eriod5
P. Tenanc! at S'&&erance ( ari"e" w%en a tenant re0ain" in ,o""e""ion a&ter t%e
ter0ination o& t%e tenanc!.
a. Landord" con&ronted %a2e 7 o,tion" 4%a2e to eect one or t%e ot%er5
i. E2iction 4,'" da0a*e"5
ii. Con"ent 4e8,re"" or i0,ied5 to t%e creation o& a new tenanc!
Q. +re&hale , Polles' (n&. v. $mith . wanted to e8tend ea"e to 0ont% to 0ont%9
ca"%ed t%e c%ec$ 1't are tr!in* to %od S0it%)" to anot%er ter0.
a. W%en a tenant contin'e" in ,o""e""ion9 t%e andord %a" an eection to eit%er
e2ict %i09 treat %i0 a" a tre",a""er9 or %od %i0 a" a tenant.
1. T%e! cannot9 a&ter &aiin* to ,'r"'e a re0ed! to e2ict t%e tenant9 c%an*e t%e
eection "o a" to %od t%e0 a" tenant" &or a new ter0.
R. T%e Lea"e
a. A ea"e i" 1ot% a con2e!ance # a contract
1. For0 Lea"e
i. In ,artie" 1e"t intere"t 1-c re&ect" w%at t%e 0aDorit! t%in$" "%o'd 1e
in t%ere.
ii. 1 detri0ent &or t%e tenant i" t%at !o' o"e 1ar*ainin* ,ower9
e",ecia! i& t%e 0ar$et i" *ood &or andord".
B. %eliver0 of Possession
1. Hannah v. Dus&h new tenant can)t *et in # "ee$" da0a*e". Ct. oo$" at t%e
En*i"% R'e # A0erican R'e # ado,t" A0erican R'e in &a2or o& anord
a. En*i"% R'e < d't! to dei2er e*a ,o""e""ion and t%ere i" an i0,ied
co2enant 4in t%e a1"ence o& "ti,'ation"5 to *i2e act'a ,o""e""ion.
1. A0erican R'e < d't! to on! *i2e e*a ,o""e""ion.
c. Re0edie"3
i. En*i"% R'e3 tenant 0a! ter0inate ea"e # "'e andord &or da0a*e"
ii. A0erican R'e3 tenant 0a! "'e %odo2er a" a tre",a""er &or
,o""e""ion or da0a*e" 1't NOT andord.
7. Pro1e0"3 4"ee ,a*e FR75
7U
T ea"e" a ar*e ,iece o& and to 1e '"ed &or %'ntin*. He ,aid 1 !ear)" rent in
ad2ance9 1't &o'nd o't t%at t%ere i" no ,'1ic acce"" to t%e and # nei*%1or"
won)t *i2e %i0 e*re"" or in*re"". Foow" t%e En*i"% R'e.
.A1"ent a "ti,'ation in t%e ea"e9 t%e ,ri0ar! o1i*ation o& t%e andord
i" to dei2er t%e t%in* t%at i" ea"ed.
L # T e8ec'te ea"e &or ",eci&ied ter0. T ta$e" ,o""e""ion # ,a!" rent. T t%en
earn" t%at L %ad earier ea"ed t%e ,re0i"e" to anot%er tenant &or t%e "a0e ter0.
T re0ain" in ,o""e""ion 1't "to," ,a!in* rent. L "'e" T &or 'n,aid rent. T
co'ntercai0" &or rent aread! ,aid.
.A" on* a" T i" in ,o""e""ion and a1e to enDo!9 "ti need" to ,a! rent
.L wi ,re2ai 1-c a" on* a" T)" ,o""e""ion i" 'ndi"t'r1ed9 %e i"
enDo!in* t%e ,re0i"e".
C. )u.lease & Assinment
1. -rnst v. +onditt %ere t%ere wa" a ter0 o& !ear ea"e. Ro*er)" e8tended t%e ea"e #
"'1ea"ed it to Conditt. =odern r'e i" to oo$ at intention o& ,artie".
AI& t%e in"tr'0ent ,'r,ort" to tran"&er t%e e""ee)" e"tate &or t%e
entire re0ainder o& %i" ter09 it i" an a""i*n0ent9 re*arde"" o& it" &or0 4i.e.
"a!in* "'1et5 or t%e ,artie" intention. I& t%e in"tr'0ent ,'r,ort" to tran"&er t%e
e""ee)" e"tate &or e"" t%an t%e entire ter09 e2en a da! e""9 it i" a "'1ea"e.
a. Assinment ( ari"e" w%en t%e e""ee tran"&er" %i" entire intere"t 'nder t%e
ea"e %e tran"&er" t%e ri*%t to ,o""e""ion &or t%e d'ration o& t%e ter0. I& a
t%e e""ee tran"&er" an!t%in* e"" t%an entire intere"t9 a "'1ea"e re"'t".
1. )u.lease ( e""ee retain" a re2er"ionE t%e ri*%t to ,o""e""ion *oe" 1ac$ to
%i0 at t%e end o& t%e ,eriod de"i*nated in t%e tran"&eror.
c. A tenant" d't! 'nder a ea"e i" not e8tin*'i"%ed 1-c o& a "'1ea"e or
a""i*n0ent9 'ne"" t%ere i" a no2ation.
i. No2ation3 a canceation o& a ,rior 1indin* o1i*ation
d. Pri2it! o& Contract
i. Partie" to t%e "a0e a*ree0ent
e. Pri2it! o& E"tate
i. T%e ,artie" %a2e intere"t9 ,re"ent # &'t're in t%e "a0e e"tate
&. C! an a""i*n0ent o& a ea"e9 t%e ,ri2it! o& e"tate 1-t e""or and t%e e""ee i"
ter0inated9 1't ,ri2it! o& contract 1-t t%e0 "ti re0ain" 'na&&ected.
*. Neit%er ,ri2it! o& e"tate o& ,ri2it! o& contract are a&&ected 1! a "'1ea"e
7. A""i*n0ent
?. S'1ea"e
71
W%o i" ,ri0ari! re",on"i1e; T%e one in ,ri2it! o& e"tate 4di&& &or 1ot%5.
F. S'1ro*ation
.Tenant can 1rin* an action a*ain"t a ,art! t%e andord co'd %a2e "'ed 40a!1e
"%o'd %a2e "'e5
G. Co2enant" R'nnin* wit% t%e Land 4e"tate5
a. A'to0atica! tran"&er" w- e"tate w-o't an! e8,re"" 0ention
1. Ari"e &ro0 1indin* a*ree0ent
c. Intention o& r'nnin* 6'ait!
d. To'c%e" and concern t%e and 40a$e" t%e and 0ore or e"" 2a'a1e5
i. Ri*%t to 1'id i0,ro2e0ent"9 d't! to ,a! ta8e"9 ,ro2ide
'tiitie"
ii. Not ,er"ona in nat're
P. E8a0,e"3
77
%. #enant %efault & Landlord Remedies
1. T%e Tenant in Po""e""ion
a. !erg v. "iley Cer* o,ened re"ta'rant and Wie! de0anded t%at "%e 0a$e
certain re0odein* c%an*e" to ae2iate %eat% code 2ioation" and %e *a2e
%er 7 wee$". S%e ,'t a "i*n at end o& 7 wee$" "a!in* co"ed &or re0odein*.
Wie! c%an*ed t%e oc$". Ct. &o'nd t%at "e&.%e, wa" not D'"ti&ied 1-c can
on! '"e "e&.%e, i& can do "o ,eace&'!.
i. T%e co'rt re6'ire" re"ortin* to D'dicia re0edie".
ii. S'00ar! Proceedin*"3 a 6'ic$ # e&&icient 0ean" 1! w%ic% to
reco2er ,o""e""ion a&ter ter0inate o& a tenanc!
iii. Rent Acceeration3 can *et rent &or t%e re"t o& t%e ter0 1't
can)t reta$e ,o""e""ion
7. T%e Tenant w%o %a" A1andoned Po""e""ion
a. $ommer v. Kidel not *ettin* 0arried9 "o don)t need a,art0ent. He wrote
t%e andord a etter "a!in* t%i". S'1"e6'ent! "o0eone wa" intere"ted in
rentin* t%e a,t.9 1't t%e andord "aid it wa" aread! rented to :ide. He t%en
waited t%e &' !ear to 1rin* "'it. Ct. "aid andord doe" %a2e a rea"ona1e
e&&ort to 0iti*ate da0a*e" i& a tenant de&a't" on t%e ea"e.
i. T%e C.O.P. i" on t%e andord to "%ow t%at %e did tr! to re.et
t%e ,re0i"e".
1. "%owin* t%e a,t9 ad in t%e new",a,er9 etc@
ii. Lea"e toda! i" 0ore o& a contract and t%ere i" a d't! to
0iti*ate
iii. S'rrender ( i& !o' "'rrender and t%e andord acce,t"9 t%e
ea"e i" ter0inated. Not 'niatera9 %a" to 1e acce,ted>
i2. Sec'rit! Be,o"it" ( ,rotect L i& T de&a't". Jo2erned 1!
"tat'e" nor0a!.
'. Landlord %uties * #enant Ri!ts & Remedies
1. Co00on Law R'e Ca2eat Le""ee He""ee 1ewareI ta$e ,ro, a" i"
a. E8ce,tion"3
i. F'rni"%ed ,re0i"e" - "%ort ter0 ea"e i0,ied d't! to
,ro2ide a 0ini0a! %a1ita1e en2iron0ent
ii. Latent de&ect" i0,ied d't! i& t%e andord $now" or
"%o'd $now a1o't it # it i" not t%e "ort o& t%in* a tenant
co'd di"co2er
iii. Co00on area 0aintenance i0,ied d't! &or "tairwa!"9
,ar$in* ot"9 a'ndr! roo0"9 etc@
i2. Re,air" 2o'ntari! 'nderta$en i& t%e andord ,ro0i"e" or
ta$e" t%e re,air on9 t%en %ed re",on"i1e e2en i& not nor0a!
a t%in* %ed re",on"i1e &or.
2. P'1ic '"e doctrine ( andord wi 1e ia1e to t%e ,'1ic i&3
1. Pre0i"e" wi 1e o,en to t%e ,'1ic
7. Be&ect e8i"t" O ti0e o& ea"e "i*nin*
?. Landord $now" or "%o'd %a2e $nown o& de&ect
F. Tenant can)t rea"ona1! 1e e8,ected to re0ed! de&ect
7?
Patent de&ect" are
o12io'" de&ect"
7. T%e Ie*a Lea"e
a. T%e ie*a ea"e doctrine doe"n)t a,,! i& %o'"in* code 2ioation" de2eo,
a&ter t%e 0a$in* o& t%e ea"e
1. =inor tec%nica 2ioation" do not render a ea"e ie*a nor do 2ioation" o&
w%en t%e andord %ad neit%er act'a nor con"tr'cti2e notice
c. A tenant 'nder an ie*a ea"e i" a tenant at "'&&erance # LL entited to t%e
rea"ona1e renta 2a'e o& t%e ,re0i"e" *i2en t%eir condition.
d. Ie*a ea"e doctrine aow" a tenant to wit%%od rent # "ti "ta2e o&& t%e
andord)" ine2ita1e action to e2ict &or non,a!0ent.
?. Co2enant o& Q'iet EnDo!0ent
a. I0,ied in e2er! ea"eE a1iit! to enDo! t%e ,re0i"e"
1. Constructive 'viction 4re0ed! to 1reac% o& 6'iet enDo!0ent5
i. For T to cai0 con"tr'cti2e e2iction3
1. T)" '"e o& ,re0i"e" i" "'1. inter&ered wit% d'e to L)"
act-&ai're to act
7. T 0'"t *i2e notice o& ,ro1e0 # L not re0ed! w-in a
rea"ona1e ti0e
?. T 0'"t 2acate ,re0i"e"
c. Act'a E2iction
i. T ,%!"ica! e2icted &ro0 t%e entire ea"ed ,re0i"e" # cea"e"
T)" o1i*ation to ,a! rent.
F. I0,ied Warrant! o& Ha1ita1iit!
a. I0,ied warrant! t%at andord wi dei2er # 0aintain a ,re0i"e t%at i" "a&e9
cean # &it &or %'0an %a1itation.
1. ='"t *i2e notice # o,,ort'nit! to re0ed! 1-& cai0in* a 1reac%
c. Ad2anta*e" &or tenant3
i. A1andon0ent not re6'iredE T can "ta! # ,a! on! rea"ona1e
rent
ii. Cannot 1e wai2ed in ea"e
iii. Wi ,rotect T in t%e a1"ence o& "tat'te"9 code"9 etc@
d. Ba0a*e"3
i. Bi&& 1-t renta a0o'nt ,aid # act'a red'ced 2a'e
ii. Bi"co0&ort # anno!ance
iii. P'niti2e 4i& wanton - &ra'd'ent cond'ct5
i2. T can wit%%od &'t're rent - or ded'ct &ro0 rent N '"ed &or
re,air"
2. Nor0a : da0a*e"
e. Li0itation"
i. Not a2aia1e in a D'ri"diction"
ii. U"'a! doe"n)t a,,! to co00ercia ea"e
iii. Boe"n)t a,,! to a re"identia ea"e" 4"in*e &a0i!
dwein*" # on* ter0 ea"e" are o&ten e8c'ded5
i2. On! re6'ire" 0ini0a &itne"" &or %a1itationE doe"n)t a,,! to
a0enitie".
G. Retaiator! E2iction3
a. Jenera! ,ro%i1itedE a L cannot e2ict a T in retaiation &or "'c% T re,ortin*
%o'"in* code 2ioation" to t%e a't%oritie"9 # ,roo& o& "'c% a retaiator!
0oti2e con"tit'te" a de&en"e to an action o& e2iction
7F
Landlord %uties & Covenants #enant Remedies
1. B't! to dei2er e*a ,o""e""ion
4A0erican R'e5
Re"cind t%e ea"e # "'e &or da0a*e"
7. B't! to dei2er act'a ,o""e""ion
4i& D'r. &oow" En*i"% r'e5
Re"cind ea"e
A1ate rent - "'e &or da0a*e"
=a! ,roceed direct! a*ain"t ?rd ,art!
&or ,o""e""ion # da0a*e"
?. Co2enant o& Q'iet EnDo!0ent
.='t'a! de,endent w- T)" d't! to ,a!
rent
.I0,ied in e2er! ea"e
.A,,ie" to co00ercia # re" ea"e"
Act'a E2iction T can "to, ,a!in*
rent # "'e &or da0a*e"
Con"tr'cti2e E2iction T can "to,
,a!in* rent i& 2acate w-in rea"ona1e
ti0e9 or "ta! # ,a! rent 1't "'e &or
da0a*e"9 or "ta! # ,a! rent # "ee$
decarator! D'd*0ent.
F. B't! to Co0,! w- Law F. Ie*a ea"e de&en"eE T i" 2iewed a"
a T at "'&&erance # 0'"t *i2e
rea"ona1e renta 2a'e
G. I0,ied Warrant! o& Ha1ita1iit!
.Bi&& t%an Q.E.
G. T 0'"t *i2e notice # o,,ort'nit!
T can "ta!9 ,a! on! rea"ona1e rent
2a'e or ,a! no rent and &orce L to
1rin* "'it
Re"cind :
Re&or0ation o& : 4"'e &or da0a*e"5
P. Ot%er E8ce,tion" to Ca2eat Le""ee
a5. F'rni"%ed ,re0i"e" - "%ort ter0 ea"e
15. :nown %idden - atent de&ect
c5. Co00on area 0aintenance
d5. Re,air" ,ro0i"ed or 2o'ntari!
'nderta$en
e5. P'1ic U"e Boctrine
.L 0'"t $now t%at ,re0i"e" are
1ein* '"ed &or a ,'1ic ,'r,o"e
.L %a" to $now or rea"ona1!
"%o'd %a2e $nown o& de&ect
.Be&ect e8i"ted at o't"et o& ea"e
.L $new or "%o'd %a2e $nown T
wo'dn)t re0ed! it.
a5. Tort action &or da0a*e"
15. Once T i" on notice9 L %a" no
ia1iit!.
c5. T %a" to *i2e notice # o,,ort'nit!
&or L to re0ed!
d5. T can %od L ia1e
e5. Create" d't! to ,'1ic9 not to T
7G
#enant %uties Landlord Remedies
1. B't! to ,a! rent
a5. T in ,o""e""ion
15. T a1andon"
a5. E2iction 4"'00ar! D'd*0ent
,roceedin*5
15. Acce,tin* "'rrender 4coect 1ac$
rent5 1't not%in* &or &'t're 1-c ea"e i"
con"idered ter0inated
Contract'a re0edie"3
Re,'diation 1ac$ rent9 da0a*e"9 #
&'t're rent 0in'" t%at w%ic% co'd 1e
0iti*ated
Acceeration oo$ &or rent in '0,
"'09 1't traditiona! L co'dn)t ta$e
,o""e""ion
Treatin* a" i& ea"e contin'e" # L
reet" &or T)" 1ene&it. L on! %a" to
'"e rea"ona1e e&&ort" to 0iti*ate.
7. B't! not to co00it wa"te
./o'ntar! < o2ert act"
.Per0i""i2e < &ai're to act
.A0eiorati2e < "'1t. c%an*e
Ba0a*e"E 0a! aow &or ter0ination
?. Ri"$ o& o"" ?. Traditiona ri"$ 1orn 1! T 4"ince
it wa" a con2e!ance o& and5
=odern ea"e
/II. THE LANB TRANSACTION
A. #!e Contract of )ale
1. T%e Stat'te o& Fra'd"
a. Re6'ire0ent" o& a written 0e0orand'0
i. Si*ned 1! ,art! to 1e 1o'nd
ii. Ade6'ate "tate0ent o& t%e ter0"9 i& a*reed ',on
iii. Ade6'ate de"cri,tion o& t%e ,ro,ert! con2e!ed
i2. Ade6'ate identi&ication o& t%e ,artie" to t%e :
2. =UST 1e in writin*
1. E8ce,tion" to a&&ir0ati2e de&en"e o& S.O.F.
i. Part Per&or0ance i& e2idence re6'ire0ent" are "ati"&iedE
cear! ,oint" to a : o& "aeE a ct. o& e6'it! i"9 'nder certain
circ'0"tance"9 aowed to ",eci&ica! en&orce an ora : &or
t%e "ae o& an intere"t in and
1. In t%e interi0 1-t : # co"in*9 1'!er ta$e" ,%!"ica
,o""e""ion # ,a!" &or t%e ,ro, ', &ront w%en 0o2e in
ear! 4&' con"ideration5
7. In t%e interi09 1'!er ta$e" ,%!"ica ,o""e""ion #
0a$e" "'1"t. i0,ro2e0ent".
ii. E"to,,e 0'"t "%ow a ,art! %a" rea"ona1! reied on t%e
ae*ed : and 0ateria! c%an*ed %i" ,o"ition
Bi&&ic't &or to ,ro2e t%at
t%e : "%o'd 1e en&orced d'e
to PP or e"to,,e in Hrent.to.
1'!I "it'ation".I
7P
1. reied to %i" detri0ent o& ora a*ree0ent9 "o
"%o'd not '"e SOF to *et o't o& it.
iii. E6'ita1e Fra'd T%eor! o&&endin* ,art! i" e"to,,ed to den!
t%e e8i"tence o& a : 1-c o& t%e act" o& anot%er ,art!E ,roo& o&
%ard"%i, 1! t%e ot%er ,art! i" t%e 0o"t i0,ortant a",ect
ARe0ed! at E6'it! ( ",eci&ic ,er&or0ance
ARe0ed! at Law ( da0a*e"
B. 1ar2eta.le #itle
1. Be&inition3 tite i" one w%ic% i" &ree &ro0 rea"ona1e do'1tE "eer ,ro0i"e" in :
a. A tite i" do'1t&' # 'n0ar$eta1e i& it e8,o"e" t%e ,art! %odin* it to t%e
%aLard o& iti*ation.
1. To render t%e tite to rea e"tate 'n0ar$eta1e9 t%e de&ect o& w%ic% t%e
,'rc%a"er co0,ain" o& 0'"t 1e o& a "'1t. c%aracter # one &ro0 w%ic% %e
0a! "'&&er inD'r!
c. =ere i00ateria de&ect" w%ic% do not di0ini"% 6'antit!9 6'ait!9 or 2a'e
t%e ,ro, contracted &or9 con"tit'te no *ro'nd ',on w%ic% t%e ,'rc%a"er 0a!
reDect tite
d. Fact" 0'"t 1e $nown at t%e ti0e w%ic% &air! rai"e a rea"ona1e do'1t a" to
t%e tite
i. A 0ere ,o""i1iit! or conDect're t%at "'c% a "tate o& &act" 0a!
1e de2eo,ed at "o0e &'t're ti0e i" not "'&&icient.
ATite co0,anie" '"'a! "earc% 1ac$ a1o't PU !ear"
7. =er*er ( ,ro0i"e" in : o& "ae are 0er*ed into deed
a. CAB "eer can ea2e ,art" o't # "crew 1'!er
1. Bi"&a2ored toda! 1! 0o"t ct".
?. -.uitable +onversion ( i& t%ere i" a ",eci&ica! en&orcea1e : &or t%e "ae o& and9
e6'it! re*ard" a" done t%at w%ic% o'*%t to 1e done.
a. T%e 1'!er i" 2iewed in e6'it! a" t%e owner &ro0 t%e date o& t%e :. T%e
"eer %a" a cai0 &or N "ec'red 1! a 2endor)" ien on t%e and. T%e "eer
a"o %od" e*a tite a" tr'"tee &or t%e 1'!er.
i. Ri"$ o& Lo"" < 1'!er "ti %a" to *o t%r' w- t%e "ae # "eer
0'"t t'rn o2er in"'rance
ii. In%eritance < w%en 1 o& t%e ,artie" to a : &or t%e "ae o& and
die"9 # t%e i""'e ari"e" w%et%er t%e decedent)" intere"t i" rea
,ro, or ,er"ona ,ro,E i& e6'ita1e con2er"ion %a" occ'rred
t%e "eer)" intere"t i" ,er"ona ,ro, 4ri*%t to ,'rc%a"e ,rice5
# t%e 1'!er i" treated a" owner o& t%e and.
C. #!e %ut0 to %isclose %efects
1. $tambovsky v. A&kley %a'nted %o'"e ca"e.
a. W%en t%e "eer 0ateria! i0,air" t%e 2a'e o& a : 1! &aiin* to di"co"e
in&o t%at t%e ,r'dent ,'rc%a"er wo'd not 1e e8,ected to &ind9 t%e non.
di"co"'re con"tit'te" a 1a"i" &or rece""ion.
7. #ohnson v. Davis ea$! roo& ca"e
a. Non&ea"ance &ai're to ,er&or0 a d't! w%ic% one i" o1i*e" to ,er&or0
1. =i"&ea"ance t%e i0,ro,er or wron*&' ,er&or0ance o& "o0e 'naw&' act
c. In D'ri"diction" re6'irin* di"co"'re9 t%e de&ect 0'"t 1e 0ateria to 1e
actiona1e. 7 te"t"
7Q
i. O1Decti2e - rea"ona1e ,er"on te"t
ii. S'1Decti2e - a&&ect" t%e 2a'e or de"ira1iit! o& t%e ,ro, to t%e
1'!er.
%. #!e ,mplied -arrant0 of 6ualit0
1. A*ain"t contractor"9 not nor0a %o'"e "eer"
a. A "'1"e6'ent ,'rc%a"er "%o'd 1e a1e to "'e t%e 1'ider or contractor on t%e
t%eor! o& i0,ied warrant! o& wor$0ani$e 6'ait! &or atent de&ect" t%at
ca'"e econo0ic o"". T%i" 0a! 1e done w-o't ,ri2it! o& :9 "o on* a" it i"
w-in a rea"ona1e ti0e a&ter t%e ,'rc%a"e9 and t%e de&ect" ca'"e econo0ic
%ar0
1. Rea"on"3
i. Ti0e &or de&ect" to occ'r or a,,ear
ii. C%an*in* "ociet!
iii. Ordinar! 1'!er not in a ,o"ition to di"co2er a de&ect"
i2. Con"'0er ,rotection i" needed
2. B't! t%ere re*arde"" o& w%o owner i"
2i. Econo0ic"
c. Li0itation"3
.Latent de&ect" w%ic% 1eco0e 0ani&e"t a&ter t%e "'1"e6'ent owner)"
,'rc%a"e # w%ic% were not di"co2era1e %ad a rea"ona1e in",ection o&
t%e "tr'ct're 1een 0ade ,rior to t%e ,'rc%a"e
.Li0ited to a rea"ona1e ,eriod o& ti0e
.Painti&& %a" 1.o.,. to "%ow t%at t%e de&ect wa" ca'"ed 1! t%e
de&endant") wor$0an"%i,
.Wor$0an"%i, H1reac% o& d't!I c'"to0ar! "tandard o& care # "$i.
'. #!e %eed
1. Jenera Warrant! Beed
a. Warrant" tite a*ain"t a tite de&ect" w%et%er t%e! occ'r 1-& or a&ter t%e
*rantor too$ tite
1. I& an ora condition acco0,anie" t%e deed9 it i" dro,,edE e2er!t%in* 0'"t 1e
in e8,re"" - in writin*
c. Contain" deed co2enant"
Pre"ent Co2enant"
SOF a,,ie"
i. Co2enant o& Sei"in *rantor warrant" t%at %e own" t%e and
ii. Co2enant o& Ri*%t to Con2e! *rantor warrant" t%at %e %a"
t%e ri*%t to con2e! t%e ,ro,
iii. Co2enant A*ain"t Enc'01rance" *rantor warrant" t%at
t%ere are no enc'01rance" on t%e ,ro,9 "'c% a" 0ort*a*e"9
ien"9 ea"e0ent"9 # co2enant"
F't're Co2enant"
='"t %a2e ,ri2it! o& e"tateE r'n w- t%e and to a "'cce""or e"tate"
i2. Co2enant o& Jenera Warrant! *rantor warrant" t%at %e wi
de&end a*ain"t aw&' cai0" # wi co0,en"ate t%e *rantee
&or an! o"" t%at t%e *rantee 0a! "'"tain 1! a""ertion o&
"',erior tite.
7R
2. Co2enant o& Q'iet EnDo!0ent *rantor warrant" t%at t%e
*rantee wi no 1e di"t'r1ed in ,o""e""ion # enDo!0ent o& t%e
,ro, 1! a""ertion o& "',erior tite
2i. Co2enant o& F'rt%er A""'rance" *rantor ,ro0i"e" t%at %e
wi e8ec'te an! ot%er doc" re6'ired to ,er&ect t%e tite
7. S,ecia Warrant! Beed
a. On! warrant" a*ain"t de&ect" !o' $now a1o't
1. Tr'"tee)" Beed9 J'ardian Beed"9 Per"ona Re,re"entati2e" Beed"
?. Q'it Cai0 Beed
a. Ha" no warrantie" HI& I %a2e an intere"t9 I a0 con2e!in* it to !o'.I
1. U"ed w%en co.owner" reea"e intere"t" to one anot%er9 6'iet tite action"
ABeed need" to 1e dei2ered9 1't t%e aw i" "o&t ,re"ent intent to con2e! intere"t i"
oo$ed at 1! circ'0"tance
F. For*ed Beed < /oid Beed"
a. No "i*nat're
1. /oid in ALL circ'0"tance"
c. Jrantor tr'0," 1ona &ide ,'rc%a"er
G. Fra'd'ent Beed < /oida1e Beed"
a. /oida1e 1-t ori*ina *rantor # *rantee 4,art! w%o %a" 1een de&ra'ded5
1. Law ,ace" ri"$ o& o"" on ,er"on w%o i" 1etter a1e to $now o&
F. #!e 1ortae
1. =ort*a*e e"ta1i"%e" "ec'rit! a*ree0ent a" to coatera
a. =ort*a*or %o0e owner
1. =ort*a*ee endin* in"tit'tion
c. Note e2idence o& ,ro0i"e to re,a! o1i*ation 4,er"ona5
7. W%at %a,,en" i& !o' de&a't on !o'r 0ort*a*e;
a. U"'a! ,eriod o& ti0e to redee0 He6'it! o& rede0,tionI
1. Po""i1iit! o& &oreco"'re "ae o,,ort'nit! to redee0 %a" ended
c. Stat'tor! ri*%t o& rede0,tion dea w- ri*%t to 1'! 1ac$ ,ro, &ro0 ?rd ,art!
d. So0e D'ri"diction" re&'"e to en&orce t%e &or&eit're ,ro2i"ion o& a and : i&
t%e ,ro,ortion o& t%e ,'rc%a"e ,rice ,aid i" "o "'1"tantia t%at t%e a0o'nt
&or&eited wo'd 1e an in2aid ,enat!.
/III. TITLE ASSURANCE
A. #!e Recordin )0stem
1. T%e Inde8e"
a. Tract Inde8 inde8ed 1! ,arce identi&ication Z a""i*ned to ,artic'ar tractE
doe" not e8i"t in 0o"t "tate".
1. Jrantor.Jrantee Inde8 or*aniLed 1! na0e" o& *rantor-*ranteeE 0o"t
co00on.
i. Searc% 1ac$ &ro0 *rantor)" na0e # *o 1ac$ to &ind ,re2io'"
*rantor" '"'a! &or PU !ear"
ii. Recordin* act" wi not ,ic$ ', Hwid deed"I
E83 O A not recorded9 t%en A C w%o record"
O C w%o record"9 1't C didn)t &ind t%at A %ad ,o""e""ion
A C deed i" not connected to c%ain o& tite 4not ,ro,er! recorded5 t%'" i" a
Wid Beed 4no *ood5
7T
B. Recordin Acts * C!ain of #itle Pro.lems
1. Race Stat'te3 &ir"t to record win"9 re*arde"" o& notice> 4e8ce,t in NC # LA5
a. Act'a $nowed*e o& a ,rior in"tr'0ent 1! a "'1"e6'ent ,'rc%a"er i"
irree2ant 1-c notice i" irree2ant
7. Notice Stat'te3 ,rotect" a "'1"e6'ent ,'rc%a"er &or 2a'e w%o ta$e" w-o't notice
a. Cona &ide ,'rc%a"er i" ,rotected a" on* a" %e i" a CFP
?. Race.Notice Stat'te3 ,rotect" a "'1"e6'ent CFP ,'rc%a"er w%o ta$e" w-o't notice #
w%o record" &ir"t.
a. =aDorit! o& "tate" are race.notice
1. ='"t 1e w-o't notice and record" &ir"t>
c. Protect" t%e "'1"e6'ent ,'rc%a"er w%o record &ir"t %i" own con2e!ance on!
i& a ,rior con2e!ance" in %i" c%ain o& tite are a"o recorded.
)O'(*E
Actual + e,press information of a fact
*onstructive + that !hich is imputed by la! you are on notice of
anything you !ould have found if you !ould have searched the
recorder-s office#
(n.uiry + !hen there is someone in possession of the prop that is
inconsistent !/ !hat the record sho!s#
E83 O A not record
C tr'0," A 1-c )!elter Rule 7
C 1&, not record 4notice5 once !o' %a2e ,re2aied o2er a
t%en A record" cai0ant t%en an!one a&ter !o' can
C "tand in !o'r "%oe" # ,re2ai
F. Per"on" Protect" 1! t%e Recordin* S!"te0
a. Bonee" # Be2i"ee" not ,rotected9 e2en in race D'ri"diction"
i. In order &or ct. to deter0ine w%et%er a ,er"on i" a ,'rc%a"er
4,rotected5 or a donee 4not ,rotected5 %a2e to oo$ at w%at i"
2a'a1e con"ideration
1. Ad2er"e Po""e""ion o,erate" o't"ide o& recordin* act"
G. C%ain o& Tite t%e ,eriod o& ti0e &or w%ic% record" 0'"t 1e "earc%ed # t%e doc"
t%at 0'"t 1e e8a0ined w-in t%at ti0e ,eriod. /arie" &ro0 D'ri"diction".
a. An!t%in* in a c%ain o& tite wo'd *i2e !o' con"tr'cti2e notice
?U
/I/. SER/ITUBES
A. ,ntroduction
1. Fo'r t!,e" o& "er2it'de"3
a. Ea"e0ent"
1. Pro&it" 4A i" *i2en t%e ri*%t to enter on C)" and # re0o2e "o0et%in*
attac%ed to t%e and "'c% a" 0inera"9 etc@5
c. Rea co2enant"
d. E6'ita1e "er2it'de"
7. Licen"e
a. A written or ora ,er0i""ion *i2en 1! t%e occ',ant o& and aowin* t%e
icen"ee to do "o0e act t%at ot%erwi"e wo'd 1e a tre",a""
1. E83 ,'01er &i8in* a drain9 *'e"t co0in* to dinner
c. A icen"e co',ed w- an intere"t cannot 1e re2o$ed
d. A icen"e t%at cannot 1e re2o$ed i" treated i$e an ea"e0ent
e. SOF doe"n)t a,,!
B. 'asements
'he grant of a non/possessory property interest that entitles its o!ner
/holder to or limited use/enjoyment of another-s land
%emember only bona fide purchasers are protected0
1. Creation o& Ea"e0ent"
a. E8,re"" Jrant or Re"er2ation
i. Written in deed
ii. S'1Dect to Stat'te o& Fra'd
1. I0,ication
i. Prior E8i"tin* U"e
1. Q'a"i ea"e0ent . 'nder co00on owner"%i, - ,rior e8i"tin* '"e
7. A,,arent 2i"i1e
?. Contin'o'" '"e9 &ro0 ,rior owner"%i, ti now
F. Nece""it!
a. Rea"ona1e 4i0,ied *rant5
1. Strict 4i0,ied re"er2ation5
AI& 1a"ed on ,rior e8i"tin* '"e9 D'"t 1-c nece""it! *oe" awa!9 doe"n)t
0ean ea"e0ent *oe" awa!.
ii. Nece""it!
1. Co00on owner"%i, o& do0 # "er2ient ,arce"
7. No re6'ire0ent o& ,rior e8i"tin* '"e
?. Nece""it!
a. Strict 4%ad to %a2e e8i"ted w%en t%e do0 # "er2 ,arce"
were "e2ered.
AEa"e0ent 1! nece""it! e8i"t" "o on* a" it i" nece""ar!E i& t%e do0
owner "ec're" anot%er wa! o't &ro0 t%e and.oc$ed ,arce9 t%e
ea"e0ent 1! nece""it! cea"e"
c. Pre"cri,tion 4"a0e ee0ent" a" ad2er"e ,o""e""ion5
i. Ad2er"e 4incon"i"tent w- owner)" '"e5
ii. Contin'o'" # 'ninterr',ted &or "tat'tor! ,eriod
iii. /i"i1e # notorio'" 4or 0ade w- owner)" ,er0i""ion9 a" on*
a" ,er0i""ion i" not 'niatera5
i2. Wit%o't owner)" ,er0i""ion
?1
ACannot tact ,eriod" o& ea"e0ent" 1! ,re"cri,tion
ACannot 1e cai0ed 1! *enera ,'1ic
2. P'1ic Pre"cri,ti2e Ea"e0ent" < T%eor! o& I0,ied
Bedication 0a! 1e '"ed w%ere t%e andowner e2idence" an
intent to dedicate # t%e "tate acce,t" 1! 0aintainin* t%e and
'"ed 1! t%e ,'1ic.
7. A&&ir0ati2e Ea"e0ent"
.aow" "o0eone to do "o0et%in* on t%eir and t%e! wo'd not ot%erwi"e 1e a1e
to do
?. Ne*ati2e Ea"e0ent
.,ro%i1it" "o0eone &ro0 doin* "o0et%in* on t%eir and t%at t%e! wo'd
ot%erwi"e 1e a1e to do.
.ne*ati2e ea"e0ent" reco*niLed in US inc'de3 t%e ri*%t to "to, !o'r nei*%1or
&ro0 1oc$in* !o'r window" 4i*%t59 inter&erin* w- t%e &ow o& water 4nat'ra or
arti&icia59 re0o2in* t%e "',,ort &ro0 !o'r 1'idin*9 or inter&erin* w- t%e air
&ow.
.rea co2enant" # e6'ita1e "er2it'de" are *enera! ne*ati2e
F. Ea"e0ent A,,'rtenant
a. Cene&it" a ",eci&ic ,iece o& ,ro,
1. Ha2e 1ot% do0 # "er2 ,arce"
c. Cene&it" t%e owner o& t%e ea"e0ent in t%e '"e o& t%e and 1eon*in* to t%e
ownerE attac%e" to t%e do0 tene0ent # *oe" w- it to "'cce""i2e owner"
d. I& an ea"e0ent i" a,,'rtenant to a do0inant tene0ent9 it cannot 1e detac%ed
w-o t%e con"ent o& 1ot% t%e do0 # "er2 owner"
G. Ea"e0ent in Jro""
a. No do0 tene0ent
1. Boe" not 1ene&it t%e owner o& t%e ea"e0ent in t%e '"e o& and 1eon*in* to
t%e owner9 1't 1ene&it" t%e owner w-o re*ard to owner"%i, o& t%e and.
i. E83 ca1e ine"9 'tiitie"
ii. I& it i" intended to ,ro2ide econo0ic or ,er"ona 1ene&it to an
indi2id'a ( ea"e0ent in *ro""
B. )cope of 'asements
1. T%e e8tent o& '"e an ea"e0ent %oder 0a! 0a$e o& t%e "er2ient e"tate
a. Ea"e0ent 0'"t on! 1e '"ed &or t%e a,,'rtenant ,arceE owner cannot
'"e &or ot%er ,arce" %e own".
1. Location ( ea"e0ent" 0'"t 1e an identi&ia1e ,art o& t%e "er2ient e"tate
cannot 1e c%an*ed w-o't ,er0i""ion o& do0 and owner.
c. Inten"it! o& U"e ( an ea"e0ent %oder can '"e t%e ea"e0ent a" on* a" t%e
'"e doe" not o2er1'rden t%e "er2ient e"tate
d. T%e ea"e0ent %oder %a" t%e ri*%t to 0a$e i0,ro2e0ent" to %er ea"e0ent a"
on* a" t%e i0,ro2e0ent" ,ro0ote t%e '"e o& t%e ea"e0ent w-in t%e "co,e o&
t%e ea"e0ent # doe" not 'nrea"ona1e 1'rden t%e ea"e0ent o& t%e "er2ient
e"tate)" enDo!0ent o& %i" ,ro,ert!.
C. #ermination of 'asements
1. Can 1e ter0inated in a written reea"e
7. =er*er o& Tite
?. A1andon0ent
a. Non.'"e NE/ER e6'a" a1andon0ent
?7
1. T%ere need" to 1e 'ne6'i2oca cond'ct "%owin* intent
F. E"to,,e
a. Ser2ient tenant reie" on t%e non.'"e 1! t%e ea"e0ent %oder
G. Pre"cri,tion
a. Ser2ient tenant doe" "o0et%in* incon"i"tent w- t%e ea"e0ent %oder)" '"e
%. Covenants Runnin wit! t!e Land
1. Rea Co2enant" < co2enant" en&orcea1e at aw 4N da0a*e"5
Can 1e a ne*ati2e or a&&ir0ati2e ,ro0i"e
A co2enant i" NOT en&orcea1e a*ain"t an a""i*nee w%o %a" no notice o& it
a. Need 1ot% %oriLonta # 2ertica ,ri2it!
i. HoriLonta ( ,ri2it! o& e"tate 1-t t%e ori*ina co2enantin*
,artie"
1. At ti0e o& con2e!ance9 0'"t 1e a 0't'a intere"t
ii. /ertica ( ,ri2it! o& e"tate 1-t one o& t%e co2enantin* ,artie"
# a "'cce""or in intere"t
1. Re6'ire0ent"
i. En&orcea1e : 4a*ree0ent in writin*5
ii. Intention o& r'nnin* 6'ait! 4word" t%at are '"ed5
iii. To'c% # concern t%e and
i2. Pri2it! o& e"tate
c. I& I want 0one! da0a*e"9 t%en I& I can cai0 1ene&it9 I can en&orce a*ain"t
ori*ina ,art!. I& I want to "'e "'cce""or9 t%en need 2ertica # %oriLonta
,ri2it!
i. Wit% e6'ita1e "er2it'de"9 on! need notice9 no ,ri2it!>
E83
??
7. E6'ita1e Ser2it'de" < co2enant" en&orcea1e in e6'it! 4inD'nction5
a. Re6'ire0ent"
i. ='"t 1e in writin*
ii. Intention o& r'nnin* 6'ait!
iii. To'c% # concern t%e and
i2. No ,ri2it! i" re6'ired
2. A we need i" notice
1. For an e6'ita1e "er2it'de to 1ind "'1"e6'ent *rantee"9 t%e 1ene&it" o& t%e
re"triction" 0'"t 1e intended to r'n to an identi&ia1e do0inant e"tate9 or e"e
it wi 1e con"idered a ,er"ona co2enant 1-t t%e ori*ina contractin* ,artie"
?. Reci,roca Ne*ati2e Ea"e0ent"
a. ='"t "tart w- co00on owner
1. Ne2er retroacti2e
c. Ari"e o't o& a 1ene&it accorded and retained 1! re"triction" ',on
nei*%1orin* and "od 1! a co00on owner
d. O,erati2e ',on '"e o& t%e and 1! an! owner %a2in* act'a or con"tr'cti2e
notice.
F. En&orcin* A&&ir0ati2e Co2enant"
a. Ct". are war! to en&orce a&&ir0ati2e co2enant"9 w%!;
i. M'dicia "',er2i"ion re6'ire0ent"
ii. =aintainin* ,ro, 0a! 1rin* ,er"ona ia1iit!
iii. Re"e01e" a &e'da "er2ice or ,er,et'a rent
G. Ter0ination o& Co2enant"
a. E8,re"" wai2er or ter0ination 4reea"e5
1. E"to,,e
c. A1andon0ent act" "o *enera a" to &r'"trate t%e ori*ina ,'r,o"e9 or act" o&
wai2er
d. C%an*e o& Condition" Boctrine
i. Boe"n)t de,end on acti2itie" o& ori*ina ,artie" to co2enant
"'c% a "'1"tantia c%an*e t%at ,'r,o"e o& re"triction %a" 1een
t%warted.
1. E8ce,t i& t%e ,ro, owner can ,ro2e t%at co2enant i"
"ti rea # "'1"tantia 2a'e to t%e09 it wi 1e
en&orced
ii. I& a ,art! want" to ,re2ai 'nder t%i" doctrine9 %a2e to "%ow
t%at t%e c%an*e i" "'c% t%at t%ere i" no rea 1ene&it e&t. Not
w%at i" in 1e"t intere"t o& co00'nit!9 nor ,ro,ert! 2a'e.
Note3 ,er&ect tite cannot 1e a1andoned.
?F
+. CO==ON INTEREST CO==UNITIES
A. Condominiums
1. Owned indi2id'a! in &ee "i0,e.
a. An! re6'ire0ent o& %oriLonta or 2ertica ,ri2it! i" 0et 1-c t%e ori*ina
,'rc%a"er are a in ,ri2it! w- t%e de2eo,er # "'1"e6'ent ,'rc%a"er" are in
,ri2it! w- t%e ori*ina ,'rc%a"er".
1. An! re6'ire0ent t%at a co2enant to'c% # concern t%e and i" '"'a!
"ati"&ied
c. Ne*ati2e co2enant" re"trictin* '"e are a0o"t awa!" %ed to to'c% #
concern t%e and a" are a&&ir0ati2e co2enant" to ,a! d'e" to a %o0eowner"
a""ociation.
7. Re*'ation" inc'ded in t%e deed" or decaration o& t%e co00on intere"t de2eo,.
a. Awa!" en&orced 'ne"" 2ioate ,'1ic ,oic! or i& t%e re"triction" are
ar1itrar! 41earin* no rationa reation"%i, to t%e ,rotection9 ,re"er2ation9
o,eration9 or ,'r,o"e o& t%e a&&ected and5.
?. Re*'ation" "'1"e6'ent! ado,ted 1! ,ro, owner" a""oc. &or co00'nit! *o2ernance
a. Rea"ona1e Standard a,,ied ( 1aancin* t%e 'tiit! o& t%e ,'r,o"e "er2ed 1!
t%e re"traint a*ain"t t%e %ar0 t%at i" i$e! to &ow &ro0 it" en&orce0ent
B. Cooperatives
1. Tite to and # 1'idin* i" %ed 1! a cor,oration
7. Re"ident" own a t%e "%are" o& "toc$ in t%e cor,. # contro it t%r' eected 1oard
?. Eac% re"ident a"o %a" a on*.ter0 renewa1e ea"e o& an a,t. 'nit
F. T%'" re"ident" are 1ot% owner" o& t%e coo,erati2e cor,. # tenant" o& t%e cor,.
!usiness #udgment )ule ,ro%i1it" D'dicia in6'ir! into action" o& cor,orate director"
ta$en in *ood &ait% # t%e e8erci"e o& an %one"t D'd*0ent in t%e aw&' &'rt%erance o&
cor,orate ,'r,o"e".
<Pace" t%e owner "ee$in* re2iew t%e 1'rden to de0on"trate a 1reac% o& t%e
1oard)" &id'ciar! d't!
<Rea"ona1ene"" te"t re6'ire" t%e 1oard to de0on"trate t%at it" deci"ion wa"
rea"ona1e.
+I. KONINJ
A. #!e )tructure of Aut!orit0 Underl0in 8onin
1. Ena1in* Le*i"ation
a. Standard State Konin* Act
1. Ji2e" ,oice ,ower to t%e di"trict"
c. ='"t %a2e a co0,re%en"i2e ,an
d. Konin* need" to 1e rea"ona1e # i0,artia
7. How do !o' en&orce Lonin* re"triction";
a. Con"tr'ction ,er0it"
1. Certi&ication" o& occ',anc!
?. T%e Co0,re%en"i2e Pan
a. Konin* Co00i""ion ( reco00end" ,an # cit! co'nci a,,ro2e"
1. Coard o& Konin* A,,ea" ( i"ten" to ar*'0ent" &or a0end0ent" #
2ariance"
c. Hei*%t # area re"triction"
?G
B. #!e Nonconformin Use
1. A aw&' noncon&or0in* '"e e"ta1i"%e" in t%e ,ro, owner a 2e"ted ,ro, ri*%t
w%ic% cannot 1e a1ro*ated or de"tro!ed 'ne""3
a. Yo' %a2e a1andoned 4%ere9 non'"e can e6'a a1andon0ent5
1. It i" a n'i"ance
c. Or t%e *o2)t %a" ta$en # owe" !o' D'"t co0,en"ation
7. A0ortiLation
a. Period" o& ,a!0ent o2er ti0e
1. Ji2e" certain a0o'nt o& ti0e to re.coo, # tr! to *et 1ac$ w%at !o' ,'t into
it and &ind an aternate '"e &or t%e ,ro,ert!.
c. Peo,e 41'!er"5 are *oin* to tr! to ta$e ad2anta*e o& !o'r 0i"&ort'ne9 "o
a0ortiLation "',,o"ed to *i2e !o' ti0e to ne*otiate
C. Flexi.ilit0 in 8onin
1. /ariance3
a. An ad0ini"trati2e! a't%oriLed de,art're &ro0 t%e ter0" o& t%e Lonin*9
*ranted in ca"e" o& 'ni6'e # indi2id'a %ard"%i,9 in w%ic% a "trict
a,,ication o& t%e ter0" o& t%e ordinance wo'd 1e 'ncon"t.
1. ='"t %a2e e8ce,tiona # 'nd'e %ard"%i, # %a2e tried to a0eiorate t%r'
ot%er 0ean" # i& *ranted wo'd not 1'rden Lonin* ,an
7. S,ecia E8ce,tion"3
a. I" a '"e ,er0itted 1! t%e ordinance in a di"t. in w%ic% it i" not nece""ari!
inco0,ati1e9 1't w%ere it 0i*%t ca'"e %ar0 i& not watc%ed.
1. E8ce,tion" are a't%oriLed 'nder condition" w%ic% wi in"'re t%eir
co0,ati1iit! w- "'rro'ndin* '"e".
c. E8ce,tion i" 0ade ri*%t &ro0 t%e 1e*innin* &or '"e" t%at 0eet certain criteria
d. ='"t "%ow3 '"e not ad2er"e9 ,'r,o"e ',%ed9 2a'e 0aintained.
ANote3 Per"ona circ'0"tance" don)t D'"ti&! ,ractica %ard"%i,
E8i"tin* 2ioation" don)t D'"ti&! 0ore 2ioation" or contin'in* 2ioation"
P'rc%a"e w- $nowed*e o& a %ard"%i, doe" not ,rec'de i""'ance o& a 2ariance 1't it
0i*%t 0a$e it e"" i$e! 1-c to'*%er 1'rden to "%ow t%at ,ro, can)t 1e '"ed &or
an!t%in* e"e.
%. 8onin Amendments
1. S,ot Konin*
I" a a1e a,,ied to certain Lonin* a0end0ent" in2aidated a" e*i"ati2e act"
'n"',,orted 1! an! rationa 1a"i" reated to ,ro0otin* ,'1ic we&are. A,,ie"
to "0a ,ot" o& and t%at create an i"and o& noncon&or0in* '"e w-in a ar*er
Loned di"trict # w%ic% dra0atica! red'ce t%e 2a'e &or '"e" ",eci&ied in t%e
Lonin* ordinance.
7. Foatin* Kone" ac%ie2e" &e8i1iit! 1! de&inin* a Lone 1't re"er2in* t%e deci"ion
a1o't it" ocation &or t%e &'t're.
?. PUBS Panned Unit Be2eo,0ent" *enera! conte0,ate a 0i8 o& re"identia
co00ercia9 and e2en ind'"tria '"e". In2o2e area # '"e 2ariation".
F. C'"ter Kone" A &e8i1iit! de2ice w%ere1! a de2eo,er i" ,er0itted to con"tr'ct
dwein*" in a ,attern not in itera co0,iance w- t%e area re"triction" o& a Lonin*
ordinance. In2o2e area 2ariation".
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