Fee Simple - Explained

The video tutorial explains the concept of fee simple, which is the transfer of maximum estate ownership under law. It covers two main categories: fee simple absolute, where the transfer is complete with no reserved rights or contingencies, and fee simple defeasible, where the transfer can be undone if certain conditions occur. An example is provided to illustrate fee simple defeasible, where land is transferred for use as a park, but reverts if used otherwise.

What does fee simple ownership entail?

• Complete ownership with all rights transferred

• Temporary ownership with conditions

• Partial ownership with some rights reserved

• Ownership with limited rights

Which of the following best describes a fee simple absolute?

• Complete ownership without any contingencies

• Ownership with conditions

• Temporary ownership

• Ownership with some rights reserved

In a fee simple absolute transfer, what rights does the original owner retain?

• Conditional rights

• No rights

• Some rights

• All rights

What is a key characteristic of fee simple defeasible?

• Ownership is permanent and unconditional

• Ownership is temporary and renewable

• Ownership can be revoked if certain conditions are met

• Ownership is shared with the original owner

In the example of fee simple defeasible, what happens if the land is not used as a park?

• The land is confiscated by the government

• The land remains with the new owner

• The land reverts to the original owner or another designated person

• The land is sold to a third party