PROPERTY D SLIDES

1. PROPERTY D SLIDES 3-3-16 National Cold Cuts Day

2. Thursday March 3 Music: Isaac Stern, 60th Anniversary Celebration (1981)New York Philharmonic Orchestra; Violins: Isaac Stern, Itzhak Perlman, PinchasZucherman1982 Grammy Award for Best Classical Performance (Soloists with Orchestra) SEQUOIA Critique of Rev. Prob . 3K Due Today @ 10 a.m.

3. WHITEv. BROWNcontinued

4. Whitev. Brown (S73-77)Interprets Jessie Lide’s Will I wish Evelyn White to have my home to live in and not to be sold. I also leave my personal property to Sandra White Perry. My house is not to be sold. Issue: What Interest in the Home Does This Language Create?

5. Olympic: DQ 4.03-4.04 EEL GLACIER

6. Whitev. Brown: Possible CharacterizationsI wish Evelyn White to have my home to live in and not to be sold. • Fee Simple • Life Estate • Conditional Fee • So long as not sold • So long as E lives there • Conditional Life Estate

7. Whitev. BrownOlympic: DQ4.03 MAJORITY ARGUMENTS (FEE SIMPLE) • Presumption: Grant Conveys Whole Estate • JL had FSA, so presume she gave FSA to EW • Same idea as “default estate today is fee simple” • No Gift Over (Will describes no interest in home after EW’s death) • Partial Intestacy Disfavored (Try to read will to address all of JL’s property)

8. Whitev. BrownOlympic: DQ4.03 WHAT ARE THE DISSENT’S ARGUMENTSTHAT MS. LIDE INTENDED TO CREATE A LIFE ESTATE?

9. Whitev. BrownOlympic: DQ4.03 DISSENT ARGUMENTS (LIFE ESTATE) • Presumption: All Language Used Has Meaning (same idea re statutes, contracts, etc.) • Language Here Consistent with Life Estate: • Says: “to live in” • Says: “not to be sold” • Contrast Language in Gift to Niece: No Limits (standard construction argument: different language=different meaning)

10. Whitev. BrownOlympic: DQ4.03 I wish Evelyn White to have my home to live in and not to be sold. I also leave my personal property to Sandra White Perry. My house is not to be sold. Whose Arguments Seem Stronger?

11. Whitev. BrownHolds Interest is Fee Simple Absolute • Could you Read Grant as Fee Simple Conditioned on Land Not Being Sold? • No. Restraints on Alienation are Inconsistent with Fee Simple. • Even if Condition Explicit, Court Would Pencil It Out as Against Public Policy. THUS…

12. Whitev. BrownHolds Interest is Fee Simple Absolute Result: The Property Can Be Sold!!!

13. Whitev. BrownOlympic: DQ4.04 Imagination Exercise: Possible Relevant Facts Not in Opinion • Legal Relevance Here: • Both Sides Rely on “Presumptions” • Means Can Use Other Facts to Overcome/Rebut • Important Exam Skill • Big Part of Lawyering Q • Can Use for Short Problems/Issue-Spotter • If Consistent with Rest of Facts • If Relevant to Issues Raised

14. Whitev. BrownOlympic: DQ4.04 Imagination Exercise: Possible Relevant Facts Not in Opinion • To Add Weight to Majority Position (Fee Simple)? • To Add Weight to Dissent Position (Life Estate)?

15. Whitev. BrownWhat Actually Happened? • EW had stroke, moved in w daughter • Probably wants to sell house b/c rental income not much • Significance of case: • If life estate, most of value goes to nieces/nephews • If fee simple (as court held), EW gets money for medical & living expenses

16. Whitev. BrownGrantor’s Intent v. “Channeling” Function • Recurring problem with estates/future interests: laypeople don’t know relevant categories. • Thus, they don’t know how to signal what they wish to future court. • Important roles that lawyers play in helping with wills: • Ask Qs to discern client wishes (“What if Evelyn gets sick?”) • Channelclient desires into language that gives legal effect to those wishes.

17. Whitev. Brown Test Note #1: Test Will Include At Least One Grant (Yielding Multiple Questions) That Could Be Either Fee Simple or Life Estate, So You Need to Know Arguments Distinguishing the Two QUESTIONS?

18. LOGISTICS: Completion of Chapter 3 • I’ll Give You Write-Up of Vezey& Expectations re Rest of Assigned Material by End of Break • Additional Chapter 3 Review Problems Assigned for Dean’s Fellow March 22 & 25

19. LOGISTICS: Chapter 4 Test Preparation • I’ll Post by Wednesday of Break: • General Test Info & Instructions Page; E-Mail Me if Qs • Assignments for Classes after Break including • Additional Instructions for Problems 4I & 4O • Additional Instructions for DQs following Shapira • Bank of Sample Qs & Entire Fall 2007 Test Along with: • List of Qs That Require Material We’ll Cover After Break • Answers to Qs You’re Ready For

20. LOGISTICS: Chapter 4 Test Preparation • I’ll Post by Afternoon of Thurs. 3/17: • Rest of Answers to Already Posted Qs (that We are Covering) • Additional Tests & Answers • In Addition to Regular Office Hours 3/15-3/17, I’ll Post & Hold Additional Office Hours: • Thurs afternoon 3/!7 • Fri afternoon 3/18 • Sat afternoon 3/19 • Sun afternoon  early evening 3/20

21. OTHER LOGISTICS I’ll Post on Course Page During Break: • Chapter 5 Materials & Updated Syllabus • Updated Assignment Sheet Covering the Rest of March • Info Memo on Chapter 1 • More Old Exam Qs with Comments/Best Answers Additional Final Exam Preparation • Instructions to Submit Sample Exam Answers Posted; E-Mail Me if Qs • Reminder: If you want to submit more than one, first submission must be e-mailed to me by Noon on Wednesday of Spring Break

22. Vested v.ContingentRemainders

23. FUTURE INTERESTS THAT FOLLOW FINITE ESTATES REMAINDER Future interest in a third party that follows naturally upon the termination of a finite estate. It is always expressly conveyed by the grantor.

24. VESTED REMAINDER • Grantee is living ascertainable person (can presume this if granted to a named individual.)

25. VESTED REMAINDER • Grantee is living ascertainable person AND • Clause creating the remainder contains no condition on grantee taking the property except expiration of prior estate.

26. VESTED REMAINDER • Grantee is living ascertainable person AND • Clause creating the remainder contains no condition on grantee taking the property except expiration of prior estate Example: To Aaron for life, then to Oona and her heirs.

27. CONTINGENT REMAINDER • Grantee is presently unborn or unascertainable *OR* • Clause creating the remainder contains a condition on grantee taking the property

28. REMAINDERS: EXAMPLES “To Fred for life, then to Fred’s firstborn child.” • Fred has Life Estate • Interest in Child • Follows Life Estate, so it’s a Remainder • If Fred presently has no children, grantee is unborn, so Remainder is Contingent.

29. Suppose Fred has a child, Pebbles…

30. REMAINDERS: EXAMPLES “To Fred for life, then to Fred’s firstborn child.” • Fred has Life Estate • Interest in Child • Follows Life Estate, so it’s a Remainder • Once Fred fathers his first child, grantee is born and ascertainable, so Remainder is now Vested. • Thus, we say that, at the birth of Pebbles, the Contingent Remainder “Vests”

31. REMAINDERS: EXAMPLES “To Fred for life, then to Fred’s oldest child living at Fred’s death.” • Fred has Life Estate • Interest in Child • Follows Life Estate, so it’s a Remainder • Even if F has living children now, can’t know which of the children will be alive at F’s death, so grantee is unascertainable, so Remainder is Contingent .

32. REMAINDERS: EXAMPLES “To Fred for life, then to Wilma and her heirs if Dino survives Fred.” • Fred has Life Estate • Interest in Wilma • Follows Life Estate, so it’s a Remainder • Condition must be met before Wilma can take, so Remainder is Contingent.

33. Contingent v. Vested Remainders:Memory/Comprehension Aids • Meaning/Derivation of Vested Right • Clearly Established Right that’s Hard to Undo • E.g., “Vested” Employee Benefits • Derivation: Putting on Robes of Office (Investment) • Analogy: • Vested Remainder Theater Ticket • Contingent Remainder  Lottery Ticket

34. Life Estate + Vested Remainder To Fred for Life, then to Wilma and her heirs.

35. Life Estate + Contingent Remainder Barney “to Fred for Life,then to Wilma and her heirs if Dino survives Fred.” I’ll Show Contingency by Drawing Dotted Line, Off of the Primary Time Line, that Begins at the End of the Finite Estate

36. Life Estate + Contingent Remainder Barney “to Fred for Life,then to Wilma and her heirs if Dino survives Fred.” What happens to property when Fred dies if Dino doesn’t survive Fred? Someone must get it!

37. Life Estate + Contingent Remainder Barney “to Fred for Life, then to Wilma and her heirs if Dino survives Fred.” What happens to property when Fred dies if Dino doesn’t survive Fred? If grant doesn’t distribute some of the available rights, then those rights are retained by the grantor.

38. Life Estate + Contingent Remainder Barney “to Fred for Lifethen to Wilma and her heirs if Dino survives Fred.” Barney retains a reversion. HINT: If there’s a contingent remainder, the grantor always retains a reversion.

39. REMAINDERS “IN …” : • “To Fred for life, then to Wilma for life.” Wilma has a vested remainderin life estate • “To Fred for life, then to Wilma and her heirs if Dino survives Fred. Wilma has a contingent remainderin fee simple absolute

40. TERMINOLOGY: ME v. WORKBOOK • Workbook: Describes all present possessory estates (Fee Simple Absolute, Life Estate, etc.) as a “Possessory Estate in …”

41. TERMINOLOGY: ME v. WORKBOOK • Workbook: Describes all present possessory estates (Fee Simple Absolute, Life Estate, etc.) as a “Possessory Estate in …” • My Test Questions: Will not use the italicized phrase.

42. TERMINOLOGY: ME v. WORKBOOK • Workbook: Describes all present possessory estates (Fee Simple Absolute, Life Estate, etc.) as a “Possessory Estate in …” • Maybe there to help you remember important rule: You can have only one present possessory estate at any given time with respect to a particular parcel of land.

43. TERMINOLOGY: ME v. WORKBOOK • Workbook: Adds language to define nature of future interests in grantor. E.g., • Reversion in Fee Simple Absolute • Possibility of Reverter in Fee Simple Absolute

44. TERMINOLOGY: ME v. WORKBOOK • Workbook: Adds language to define nature of future interests in grantor. E.g., • Reversion in Fee Simple Absolute • Poss. Of Reverter in Fee Simple Absolute • My Test Questions: Only will add this sort of language for remainders

45. Acadia: Problems 4A-4D Acadia Sunrise

46. Acadia: (4A) O conveys Baconacre "to Mayer and her heirs” Mayer's only child, Armour, runs up large bills. Can Armour's creditors reach any interest of Armour in Baconacre?

47. Acadia: (4A) O conveys B-Acre "to Mayer and her heirs” Point of 4Ais meaning of “and her heirs” • Clarifies that M has a Fee Simple • Creates no interest in anyone else • Presumptive heirs have a “mere expectancy”

48. Acadia: (4A) O conveys Baconacre "to Mayer and her heirs” Mayer wishes to sell Baconacre and use the proceeds to take a trip around the world. Can Armour prevent Mayer from doing this?

49. Acadia: (4B) Kermit “to Ernie for life, then to Burt forever.” (Common Law) • Ernie?

50. Acadia: (4B) Kermit “to Ernie for life, then to Burt forever.” (Common Law) • Ernie: Life Estate • Burt: ?