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Quizzes > Business & Finance > Business & Industry

Can You Identify the True Fee Simple Defeasible Estate Statement?

Ready to master fee simple defeasible estates? Take the quiz and see if you know which statement is true!

Difficulty: Moderate
2-5mins
Learning OutcomesCheat Sheet
Paper art house key scales gavel for fee simple defeasible estates quiz on dark blue background

Use this quiz to spot the true statement about fee simple defeasible estates and see how conditions, limitations, and possibilities of reverter play out. It's a quick way to check gaps before the exam and build speed, with a related practice quiz and more real estate quizzes when you want extra reps.

Which phrase typically indicates a fee simple determinable?
provided that
but if
so long as
for life
The phrase "so long as" signals a fee simple determinable because it creates an automatic termination upon breach of the condition. Fee simple determinable estates automatically end and revert to the grantor when the stated event occurs. See .
A grant reads "to A and her heirs, but if A fails to maintain the property, grantor may reenter." What type of estate is created?
Fee simple determinable
Fee simple subject to condition subsequent
Fee simple subject to executory limitation
Life estate
The language "but if … may reenter" indicates a fee simple subject to condition subsequent where the grantor must take action to reclaim title. It does not terminate automatically but requires the grantor to exercise a right of entry. See .
Which future interest is held by the grantor after a fee simple determinable?
Executory interest
Possibility of reverter
Right of entry
Remainder
A fee simple determinable automatically reverts to the grantor upon breach, creating a possibility of reverter in the grantor. This future interest is inherent in the estate and requires no action by the grantor. See .
A grant conveys land "to A until B returns from war." This estate is best classified as:
Leasehold estate
Fee simple subject to condition subsequent
Life estate
Fee simple determinable
The word "until" implies an automatic end of the estate when the condition occurs, which is characteristic of a fee simple determinable. The grantor retains a possibility of reverter. See .
Which phrase indicates a fee simple subject to condition subsequent?
until
during
so long as
but if
The phrase "but if" signals that the grantor retains the right to reenter if the condition occurs, defining a fee simple subject to condition subsequent. The estate does not end automatically but requires affirmative action by the grantor. See .
What distinguishes a fee simple determinable from a fee simple subject to condition subsequent?
Is subject to the rule against perpetuities vs. not
Permits alienation vs. prohibits it
Duration measured by life vs. event
Automatic termination vs. grantor's action required
A fee simple determinable automatically ends on breach of its condition, whereas a fee simple subject to condition subsequent endures until the grantor exercises the right of entry. That key procedural difference is how the estates are distinguished. See .
Under a fee simple subject to executory limitation, the future interest in a third party is called a:
Executory interest
Remainder
Right of entry
Possibility of reverter
An executory interest is a future interest in a third party that divests the preceding estate when a condition is met. Unlike a remainder, it can cut short the prior estate. See .
Which of the following is NOT a fee simple defeasible estate?
Fee simple subject to executory limitation
Fee simple determinable
Life estate
Fee simple subject to condition subsequent
A life estate is a present interest measured by a life and has no defeasible quality. Fee simple defeasible estates contain future interests triggered by conditions. See .
What automatic effect occurs when a fee simple determinable's condition is violated?
Third party interest springs
Estate converts to a life estate
Estate ends and reverts to grantor
Grantor must reenter to reclaim
Violation of a fee simple determinable's condition causes immediate and automatic reversion to the grantor. No act of repossession is required. See .
Which phrase does NOT create a defeasible estate?
for a period of 99 years
for so long as
but if
during
"For a period of 99 years" creates a leasehold term, not a defeasible fee, because it ends at a fixed term rather than on a condition. Defeasible estates end upon the occurrence of a specified event. See .
If a grantor wants to retain a possibility of reverter, which estate should they use?
Fee simple subject to condition subsequent
Fee simple subject to executory limitation
Fee simple determinable
Life estate
Only a fee simple determinable carries a possibility of reverter in the grantor when its condition is breached. A condition subsequent requires a right of entry instead. See .
Under a fee simple subject to condition subsequent, what must the grantor do to reclaim title?
File a lis pendens
Obtain the grantee's waiver
Wait for automatic reversion
Exercise the right of entry
The grantor bears the burden of exercising the right of entry or power of termination to reclaim the estate after breach. There is no automatic reversion. See .
Which future interest follows a fee simple determinable?
Possibility of reverter
Reversion
Right of entry
Executory interest
The grantor retains a possibility of reverter after a fee simple determinable. This interest springs automatically upon breach of the condition. See .
A grant conveys "to A so long as no alcohol is sold." What happens if alcohol is sold?
B gains a right of entry
Estate ends automatically
A holds a remainder interest
Grantor must file a lawsuit
Because the estate is fee simple determinable, selling alcohol triggers automatic reversion to the grantor. No action is needed to terminate the estate. See .
Under a fee simple subject to executory limitation, the future interest is held by:
The state
A third party
The grantor
The grantee's heirs
A fee simple subject to executory limitation reserves an executory interest for a third party, not the grantor. This interest takes effect upon condition breach. See .
Which is an example of a fee simple subject to executory limitation?
"To A for life."
"To A and heirs, but if A dies, grantor may reenter."
"To A, but if the land is used for non-residential purposes, then to B."
"To A so long as used for residential purposes."
The shifting executory interest in B upon a condition breach indicates a fee simple subject to executory limitation. The estate is cut short by a third party's interest. See .
If a condition subsequent is violated but the grantor never exercises the right of entry, what happens?
The estate continues in grantee
It merges into a fee simple absolute
It automatically reverts
An executory interest takes effect
Without the grantor's exercise of the right of entry, the fee simple subject to condition subsequent remains with the grantee despite breach. There is no automatic termination. See .
Which future interest is NOT subject to the rule against perpetuities?
Shifting executory interest
Possibility of reverter
Executory interest
Springing executory interest
Possibilities of reverter are future interests retained by the grantor and are not subject to the rule against perpetuities. Only interests in third parties like executory interests are tested. See .
A grant reads "to A so long as the land is farmed; otherwise to B." What is B's interest?
Possibility of reverter
Contingent remainder
Shifting executory interest
Right of entry
Because B's interest divests A immediately upon condition breach, it is a shifting executory interest in a third party. A possibility of reverter would be held by the grantor, not B. See .
Which instrument usually creates defeasible fees?
Lease
Mortgage
Trust agreement
Deed
Defeasible fee estates are most commonly created by a deed when the grantor limits the fee by condition. Mortgages and leases do not ordinarily create fee simple defeasible estates. See .
A grant "to A, but if grain is ever shipped from the land, then to B." If grain is shipped, what happens?
B's executory interest expels A
A's estate becomes a life estate
A's estate lapses and is unowned
Grantor reenters
B holds a shifting executory interest which divests A automatically when grain is shipped. The grantor does not hold any future interest. See .
Which of these interests can be conveyed separately by the grantor?
Right of entry
Remainder
Executory interest
Possibility of reverter
A right of entry can be conveyed separately because it is an executory power held by the grantor. A possibility of reverter is generally not alienable in most jurisdictions. See .
How is a fee simple subject to executory limitation distinguished from a fee simple subject to condition subsequent?
It merges with reversion
It shifts to a third party automatically
It requires grantor action to terminate
It always lasts for life
A fee simple subject to executory limitation divests the grantee in favor of a third party automatically, while a condition subsequent requires grantor action. This automatic shift is the key difference. See .
A grantor conveys "to A on the condition that A not sell alcohol." A sells alcohol. Which interest converts?
Executory interest
Possibility of reverter
Right of entry
Reversion
Since this is a fee simple determinable, violating the condition triggers the grantor's possibility of reverter. There is no need for the grantor to reenter. See .
Which estate terminates only upon grantor's action and not automatically?
Fee tail
Fee simple subject to condition subsequent
Fee simple determinable
Fee simple subject to executory limitation
A fee simple subject to condition subsequent endures until the grantor exercises a right of entry after breach. Fee simple determinable and executory limitations terminate automatically. See .
A grant "to A, but if A ever paints the house blue, grantor may reenter." What future interest does the grantor hold?
Possibility of reverter
Reversion
Right of entry
Executory interest
The grantor's ability to reenter upon breach indicates a right of entry, characteristic of a fee simple subject to condition subsequent. There is no automatic reversion. See .
When drafting a defeasible estate, which term should be avoided if automatic termination is not desired?
but if
so long as
provided that
in the event that
Using "so long as" creates a fee simple determinable with automatic termination. To avoid that, drafters should use "but if" or "provided that". See .
Which defeasible fee is most likely subject to the rule against perpetuities for its future interest?
Fee simple subject to condition subsequent
Fee simple subject to executory limitation
Fee simple determinable
Fee tail
Executory interests are future interests in third parties and are therefore subject to the rule against perpetuities. Possibilities of reverter and rights of entry in the grantor are not. See .
Which scenario best illustrates a springing executory interest?
To A so long as A farms
To A, if A graduates law school
To A, but if A stops farming then to B
To A for life, then to B
A springing executory interest in A arises upon graduation, cutting short the preceding fee in the grantor. It "springs" into effect later rather than shifting from one grantee to another. See .
Which future interest follows a fee simple subject to executory limitation?
Reversion
Right of entry
Executory interest
Possibility of reverter
A fee simple subject to executory limitation reserves an executory interest for a third party, not the grantor. That interest divests the grantee automatically upon condition breach. See .
Under traditional rule, can a possibility of reverter be transferred by the grantor?
Only by will
Only with grantee's consent
Yes, always
No, never
Historically, possibilities of reverter were transferable by the grantor inter vivos or by will. Some jurisdictions have changed this rule, but traditionally they were alienable. See .
A grant "to A for so long as X trusts in property law, then to B." Which is true?
A has a fee simple determinable; B has a shifting executory interest
A has a life estate; B has a reversion
A has a fee simple absolute; no interest for B
A has a leasehold; B has a remainder
The clause "for so long as" creates a fee simple determinable in A, and upon its breach title shifts to B via a shifting executory interest. This reflects automatic divestment rather than grantor reentry. See .
Which of the following is subject to the rule against perpetuities?
Grantor's right of entry
A's defeasible fee
Grantor's possibility of reverter
B's executory interest in "to A so long as…, then to B"
Executory interests in third parties must vest within the perpetuities period or they are void. Grantor-retained interests like possibilities of reverter are not tested. See .
When does merger doctrine eliminate a defeasible limitation?
When two successive vested interests in the same party meet
When the grantor dies
Upon court order
When condition is satisfied
Under the merger doctrine, a lesser vested estate merges into a larger vested estate held by the same person, potentially extinguishing a defeasible limitation. This eliminates the future interest that supported the limitation. See .
A grant "to A, but if A ever cuts timber then to B." What is the nature of A's estate after timbering?
B's executory interest divests A
Grantor holds possibility of reverter
A's estate becomes a fee tail
A retains a defeasible fee
Because B's executory interest shifts title upon breach, A's estate is cut short and B takes possession. The grantor holds no future interest. See .
How does a court interpret ambiguous language in a defeasible fee grant?
Favoring defeasible fee
Turning it into a lease
Invalidating the grant
Favoring fee simple absolute
Courts construe ambiguities against creating defeasible estates and favor a fee simple absolute to avoid restraints on alienation. This clear-statute preference prevents uncertain conditions. See .
If a fee simple determinable is conveyed by will, what future interest follows?
Right of entry
Possibility of reverter in the testator's estate
Executory interest
Reversion
Testators can create fee simple determinable estates in their wills, and the possibility of reverter remains in the testator's estate until distribution. No affirmative act is needed for reversion. See .
Which defect can cause a defeasible fee grant to be void for uncertainty?
Absence of grantor's signature
Use of "for life" language
Indefinite condition without clear trigger
Grant to a minor
Courts require definite conditions in defeasible estates. An indefinite or vague condition can render the estate void for uncertainty. See .
Under modern statutes, which future interest is sometimes treated like a fee simple determinable's possibility of reverter?
Right of entry
Fee tail
Executory interest
Contingent remainder
Some modern jurisdictions allow grantors to assign a right of entry, making it resemble a possibility of reverter in transferability. This statutory innovation merges characteristics of both interests. See .
Which doctrine restricts prolonged defeasible limitations on land?
Doctrine of laches
Doctrine of merger
Doctrine of waste
Rule against perpetuities
The rule against perpetuities limits future interests that might vest too remotely, including executory interests in defeasible fees. This prevents indefinite conditions on land ownership. See .
How can a grantor eliminate a possibility of reverter in a defeasible grant?
By explicit release
By filing an ejectment
By merging estates
By inaction after breach
A grantor may release a possibility of reverter through a deed or other conveyance. Mere inaction does not eliminate the future interest. See .
Under the common law, what happens if both a fee simple determinable and a possibility of reverter are conveyed to the same party?
They convert to a leasehold
They form a life estate
They merge into a fee simple absolute
They remain separate interests
When the fee simple determinable and possibility of reverter vest in the same person, the merger doctrine operates to create a fee simple absolute. This eliminates the defeasible quality. See .
Which jurisdictional rule might void a shifting executory interest in a defeasible grant?
Doctrine of worthier title
Doctrine of merger
Rule against perpetuities
Rule in Shelley's Case
Shifting executory interests are subject to the rule against perpetuities, which can void interests that vest too remotely. The other doctrines do not typically apply to executory limitations. See .
Which policy concern underlies courts' reluctance to create defeasible fees without explicit language?
Protecting creditors
Maximizing tax revenue
Preventing restraints on alienation
Encouraging lifelong ownership
Defeasible fees can unduly restrain alienation of property, so courts require clear language before imposing conditions. This promotes marketability of land. See .
How can a fee simple subject to condition subsequent become a fee simple absolute by operation of law?
Failure to exercise right of entry within statutory period
Renunciation by grantee
Automatic vesting at grantee's death
Merger with a vested remainder
Some statutes impose a timeframe for exercising the right of entry; failure to act extinguishes the condition and converts the estate to fee simple absolute. This statutory limitation on reentry protects grantees. See .
In a multi-generational trust, which defeasible limitation is favored to maintain flexibility for beneficiaries?
Fee simple subject to executory limitation
Fee simple subject to condition subsequent
Fee simple determinable
Life estate
Trust draftsmen often prefer shifting executory interests to allow third-party beneficiaries to step in automatically. This maintains flexibility across generations. See .
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Study Outcomes

  1. Identify the True Statement -

    Pinpoint which statement regarding fee simple defeasible estates is true to reinforce your grasp of conditional ownership rights in real estate.

  2. Define Fee Simple Defeasible Estates -

    Understand and articulate the fee simple defeasible estates definition, including its key characteristics and legal nuances.

  3. Distinguish Defeasible Estate Types -

    Differentiate between fee simple determinable, fee simple subject to condition subsequent, and fee simple subject to executory limitation.

  4. Analyze Real Estate Scenarios -

    Evaluate examples of fee simple defeasible estates through practical quiz questions to identify correct and incorrect statements.

  5. Apply Legal Concepts -

    Use your knowledge of real estate defeasible estates quiz content to assess conditional ownership arrangements in hypothetical cases.

  6. Strengthen Knowledge Gaps -

    Review quiz feedback to target and improve areas of uncertainty in your understanding of defeasible estates.

Cheat Sheet

  1. Definition of Fee Simple Defeasible -

    Fee simple defeasible estates definition refers to a fee simple estate that can end upon the happening of a specified event or condition, creating a future interest for the grantor or a third party. This category of conditional ownership is described in the Restatement (First) of Property § 2.7 and in Cornell Law School's Legal Information Institute resources.

  2. Fee Simple Determinable -

    A fee simple determinable ends automatically when a stated durational language - such as "so long as," "while," or "until" - is breached, and the property reverts to the grantor by possibility of reverter. Mnemonic trick: remember all D-words (durational, determinable, and automatic Dispossession).

  3. Fee Simple Subject to Condition Subsequent -

    This estate uses conditional language like "but if," "provided that," or "on condition that," and does not terminate automatically; the grantor must affirmatively exercise a right of re-entry. According to Black's Law Dictionary, this subtle distinction can impact timing and enforceability of forfeiture.

  4. Fee Simple Subject to Executory Limitation -

    Here, violation of a condition automatically shifts the estate to a third party (not the grantor) via an executory interest. An example is "to A, but if the property is used commercially, then to B" - an arrangement detailed in modern property law casebooks at major law schools.

  5. Mnemonic for Quick Recall -

    Use "DURATION" for determinable (automatic end) and "SUB" for subject to condition subsequent (requires SUBmission/re-entry) to recall which statement regarding fee simple defeasible estates is true. This simple phrase is endorsed by several university real estate curricula as an effective study aid.

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