Question

Estate in remainder is similar to an estate in reversion in that the grantor separates his/her bundle of rights into two parts. However, in this case:

A. The rights go back to the grantor.
B. The rights go to a third party after a specified event.
C. The rights are forfeited to the state.
D. The rights are terminated.

Answer 1

In an estate in remainder, the rights go to a third party after a specified event.

Step-by-step explanation:

Estate in remainder is similar to an estate in reversion in that the grantor separates his/her bundle of rights into two parts. However, in this case, the rights go to a third party after a specified event. Unlike in an estate in reversion where the rights go back to the grantor, in an estate in remainder, the rights are passed on to someone else. This specified event could be the death of a particular person or the occurrence of a certain condition.