Real Property
The MBE tests real property: estates, future interests, landlord-tenant, conveyancing, mortgages, recording, easements, and covenants. Know the Rule Against Perpetuities and recording statutes.
Estates and future interests
- Fee simple absolute, life estate, fee tail, leasehold. Future interests: reversion, remainder, executory interest.
- Rule Against Perpetuities: no interest is valid unless it must vest, if at all, within 21 years after a life in being. Applies to contingent remainders and executory interests.
- Landlord-tenant: lease types (term of years, periodic, at will). Tenant duties: pay rent, avoid waste. Landlord duties: quiet enjoyment, implied warranty of habitability (residential).
Conveyancing and recording
- Deed: must be in writing, identify parties, land, intent to convey, signature of grantor. Delivery required.
- Recording statutes: race, notice, race-notice. Bona fide purchaser without notice prevails under notice/race-notice.
- Mortgages: lien theory vs title theory. Foreclosure.
Worked example
O conveys Blackacre 'to A for life, then to B if B survives A, otherwise to C.' A is alive. B has a contingent remainder because it is conditioned on surviving A. C has an executory interest. The interest to B and C violates the RAP? No, because B's interest will vest or fail at A's death, a life in being. So valid. If the grant were 'to A for life, then to B's first child who reaches 25,' that might violate RAP if B has no child at 25.
Traps
- RAP: apply only to contingent remainders and executory interests; not to vested remainders or reversions.
- Notice/race-notice: BFP must record first under race-notice; under notice, BFP prevails even if not first.
- Easements: appurtenant vs in gross; express, implied, prescriptive.
- Covenants: touch and concern, intent, notice, privity.