Final answer:
The term fee simple defeasible does refer to a conditional right of ownership in a freehold estate, allowing the owner to use, enjoy, and transfer the property but with certain conditions that, if breached, can affect ownership.
Step-by-step explanation:
The term fee simply defeasible in the context of a freehold estate does indeed refer to a conditional right of ownership. This type of estate is designed such that the perpetual ownership is subject to certain conditions or events. If the condition is violated or the event occurs, ownership can be affected or terminated. Entering into contracts with respect to one's property is a fundamental right of ownership.
For individuals or firms to enter into contracts concerning their property, they must possess an ownership stake that is recognized legally. This ensures that they have the authority to bind the property to certain terms and conditions. With a fee simply defeasible, the rights to use, enjoy, and transfer the property are intact but are coupled with specific stipulations that if not adhered to can change the course of ownership.