Deck 5: Types of Ownership

Question 1

A life estate cannot be inherited.
12 A life tenant who makes improvements on leased property which are considered fixtures has an absolute right to remove them within a reasonable time after terminating the life estate.

Answer 1

True

Question 2

The fee simple defeasible corresponds to what the average person thinks of today as ownership of real property.

Answer 2

False

Question 3

A tenancy in common, like a joint tenancy or tenancy by the entirety, can be created only by will or deed.

Answer 3

False

Question 4

The following is (are)considered a freehold estate(s):
(a)fee simple absolute.
(b)fee simple defeasible.
(c)life estate.
(d)all the above.
(e)none of the above.

Question 5

A joint tenancy requires all of the following "unities" except the unity of:
(a)severance.
(b)time.
(c)interest.
(d)possession.
(e)title.

Question 6

A owns a fee simple absolute estate.A later grants a life estate to B and when B dies to C.A now owns a reversionary interest.

Question 7

A buyer of real property who wishes to receive the best interest possible would prefer a fee simple absolute over a fee simple defeasible.

Question 8

A and B are joint tenants.A conveys his interest to C.B and C are now tenants in common.

Question 9

The key factor necessary to establish a partnership is the existence of a functioning business
(Answers in boldface are correct)

Question 10

The most important characteristic of the joint tenancy is the right of survivorship.

Question 11

A tenancy by the entirety:
(a)can only be created between husband and wife.
(b)can only be terminated by the joint action of the husband and wife.
(c)can only be seized by creditors if the debt was owed by both husband and wife.
(d)All of the above.
(e)None of the above.

Question 12

Which of the following is not a future estate?
(a)reversion.
(b)remainder.
(c)right of entry.
(d)defeasible fee.
(e)executory interest.

Question 13

In a trust arrangement, the beneficiary owns equitable title to the trust property.

Question 14

A limited liability can, as an entity, never be pierced by those seeking
to hold its members personally liability.

Question 15

A fee simple absolute:
(a)can be inherited.
(b)is subject to government regulations.
(c)provides ownership of the earth below and the sky above the boundaries of the owner's land.
(d)all of the above.
(e)none of the above.

Question 16

Property classified as community property may not be partitioned.

Question 17

Florian owns a life estate in Blackacre and Walter owns a remainder interest.
(a)Walter must pay the annual taxes and Florian the interest on any debts on Blackacre.
(b)if the county charges Blackacre a curb and sidewalk assessment, only Walter would have to pay it.
(c)Florian, since he presently occupies Blackacre, must by law pay the insurance on any buildings.
(d)Florian would have to pay for ordinary repairs, such as painting or window replacements and Walter would have to pay for extraordinary repairs such as replacing a furnace.

Question 18

A restraint on alienation is in direct conflict with certain social policies and might be invalid depending on the extent of the restriction.
10 A life estate pur autre vie is a future interest.

Question 19

Amy conveyed a deed to Carrie that created the following estates: "To Carrie provided that if the property is used for any uses other than recreation, grantor shall have the right to reenter the property and cause the grantee to forfeit the estate." Amy owns a ________ and Carrie owns a __________.
(a)possibility of reverter/fee simple subject to a condition subsequent.
(b)right of entry/fee simple determinable.
(c)reversion/fee tail.
(d)remainder/fee simple absolute.
(e)right of entry/fee simple subject to a condition subsequent.

Question 20

Estates generally fall into two categories: fee estates and freehold estates.

Question 21

Sonny and Cher have been married for forty years and live in Nevada, a community property state.Before their marriage, Sonny's only property was a winery in Pahrump, Nevada, worth 1 million dollars while Cher had 5 million dollars worth of property, including a ranch in northern Nevada.During their marriage Sonny and Cher accumulated an additional 6 million dollars worth of property, including 3 million dollars worth of property Sonny inherited from his uncle.The total amount of community property held by Sonny and Cher is:
(a)$6 million.
(b)$3 million.
(c)$7 million.
(d)$12 million.
(e)$11 million.

Question 22

Which of the following are incidents of a tenancy in a partnership:
(a)Interest in specific partnership property is assignable by an individual partner.
(b)A partner's right in specific property is not subject to attachment or execution.
(c)On the death of a partner, her interest in specific property passes to her heirs.
(d)A partner's right in specific property is not subject to dower.
(e)Two of the above.(b and d)