Final answer:
The key difference is that a legal life estate is created by statute for the protection of certain family members, while a conventional life estate is created by a grant according to an individual's wishes, often detailed in estate planning documents like trusts.
Step-by-step explanation:
The difference between a legal life estate and a conventional life estate lies in their creation and purpose. A legal life estate is established by statute, meaning it is provided for by specific laws within a jurisdiction. These statutes typically aim to protect the rights of surviving spouses or certain family members by granting them the right to use property during their lifetime. This type of life estate cannot be altered, and the stipulations are set forth by law rather than by the grantor. Conversely, a conventional life estate is created by a grant, which means it is set up through the owner's intentions, typically detailed in a trust or as part of another legal document. The owner, or grantor, determines the terms of the life estate, and upon their death, a trustee manages the transfer of assets to the beneficiaries as outlined in the grant. This is generally part of estate planning and is customizable to the grantor's wishes.