IN Bar Property Law 2 — Questions and Answers
Question 1: A grantor conveys land "to A for life, then to B and her heirs." During A's lifetime, what interest does B hold?
- A vested remainder in fee simple (Correct answer)
- A contingent remainder
- An executory interest
- A reversion
Correct answer: A vested remainder in fee simple
B is an ascertained person with no condition precedent, so B holds a vested remainder in fee simple.
Question 2: In Indiana, a person claiming title by adverse possession must, in addition to the common-law elements, generally prove what statutory requirement?
- Payment of property taxes on the disputed land during the possession period (Correct answer)
- Recording of a quitclaim deed
- Written notice to the record owner
- A survey filed with the county recorder
Correct answer: Payment of property taxes on the disputed land during the possession period
Indiana Code 32-21-7-1 requires an adverse possessor to pay the taxes and special assessments falling due on the land during the possession period.
Question 3: A landlord fails to repair a broken heating system in winter, making an apartment uninhabitable. The tenant vacates after proper notice. What doctrine best supports the tenant's termination of the lease?
- Constructive eviction (Correct answer)
- Actual partial eviction
- Retaliatory eviction
- Surrender by operation of law
Correct answer: Constructive eviction
Constructive eviction applies when the landlord's wrongful conduct substantially interferes with use and enjoyment and the tenant vacates within a reasonable time.
Question 4: O conveys Blackacre "to A, but if the land is ever used for commercial purposes, O may re-enter and retake the premises." What interest does O retain?
- A right of entry (power of termination) (Correct answer)
- A possibility of reverter
- A reversion
- An executory interest
Correct answer: A right of entry (power of termination)
The conditional language coupled with the re-entry clause creates a fee simple subject to a condition subsequent, leaving O a right of entry.
Question 5: A buyer signs a contract to purchase a home, and before closing a tornado destroys the house through no fault of either party. Under the majority equitable conversion doctrine, who bears the risk of loss?
- The buyer, because equitable title passed at contract signing (Correct answer)
- The seller, because legal title has not yet transferred
- Both parties equally
- Neither party; the contract is automatically rescinded
Correct answer: The buyer, because equitable title passed at contract signing
Under equitable conversion, the buyer holds equitable title once the contract is signed and therefore bears the risk of loss before closing in majority jurisdictions.
Question 6: A deed is delivered to a grantee but is never recorded. The grantor later sells the same land to a second purchaser who pays value, has no notice of the first deed, and records immediately. Under a race-notice statute, who prevails?
- The second purchaser, who took without notice and recorded first (Correct answer)
- The first grantee, because delivery completed the conveyance
- The first grantee, because recording is optional
- The grantor, who retains title until a deed is recorded
Correct answer: The second purchaser, who took without notice and recorded first
Under a race-notice statute, a subsequent bona fide purchaser who records first prevails over a prior unrecorded conveyance.
Question 7: Neighbors A and B share a common driveway under a written easement benefiting A's parcel. A sells his parcel to C. May C use the driveway?
- Yes, because an appurtenant easement passes automatically with the dominant estate (Correct answer)
- No, because easements are personal to the original parties
- Only if B consents in writing
- Only if the deed to C expressly mentions the easement
Correct answer: Yes, because an appurtenant easement passes automatically with the dominant estate
An appurtenant easement runs with the dominant estate and transfers automatically to successors regardless of whether the deed mentions it.
IN Bar Property Law 2
A grantor conveys land "to A for life, then to B and her heirs." During A's lifetime, what interest does B hold?