Which term is defined as the right to future possession that reverts to the grantor if a condition is not met?

Which term is defined as the right to future possession that reverts to the grantor if a condition is not met?

• A. Reversionary Interest
• B. Future Interest
• C. Remainder
• D. Present Interest

Answer: (A)

Reversionary interest is the future interest kept by the grantor when land is transferred but not in its entirety. It becomes possessory again when the granted estate ends or a condition fails. For example, if A conveys Blackacre to B for life, the property will revert to A when B dies; A holds a reversionary interest. In defeasible estates, the grantor may also have a right that kicks in if a condition isn’t met, which is still part of the grantor’s reversionary interests. This differs from a remainder, which would go to someone else after the prior estate ends, and from a present interest, which is current possession. While the broader term Future Interest covers this idea, the specific term for the described right is reversionary interest.

Reversionary interest is the future interest kept by the grantor when land is transferred but not in its entirety. It becomes possessory again when the granted estate ends or a condition fails. For example, if A conveys Blackacre to B for life, the property will revert to A when B dies; A holds a reversionary interest. In defeasible estates, the grantor may also have a right that kicks in if a condition isn’t met, which is still part of the grantor’s reversionary interests. This differs from a remainder, which would go to someone else after the prior estate ends, and from a present interest, which is current possession. While the broader term Future Interest covers this idea, the specific term for the described right is reversionary interest.