A Fee simple defeasible title is the second most powerful means of owning property. The only exceptions which exist are the basic four government regulations, which are taxation, escheat, eminent domain, and police power, and, or a covenants (restrictions) on a deed. A condition on a deed refers to a previous owner creating conditions on the deed that restrict or limit the use of property from a specific use. 

A property initially becomes a fee simple defeasible once there is a covenant on the deed. An example of a restriction on a deed is if a previous owner restricted the sale of alcohol. During this violation, whether the current owner is aware of it or not, the sale or purchase of alcohol becomes prohibited. Since the deeds follow the land, if the sale of alcohol does take place, either the previous owner or any of his lineal descendants may seize the land immediately.

In this given example, since there is the sale of alcohol, most probably this means there is a liquor license on hand. This is a clear violation of a covenant on the deed, and therefore the property title can immediately be confiscated and given to the previous owner or his or her descendants. Not only is the property going to be taken, but since there must be a liquor license on hand that goes with the property, the liquor license is automatically forfeited as well. 

The new owner of the liquor license would be the same individual who has now acquired the title of the property due to the violation of a covenant on the deed. The township or state cannot enforce the violation, only the previous owner or his/her descendants can do so.

A real life example of an issue relating to the violation of a deed was Evans v. Abney, 396 U.S. 435 (1970), argued 12–13 Nov. 1969, decided 29 Jan. 1970 by vote of 6 to 2. Evans is one of a series of Supreme Court decisions that have considered racially discriminatory land‐use covenants and other, privately created, racial land‐use limits. This case dealt a covenant on the deed stating the park can only be used by Whites.

The covenant stayed strong until it collided with the Civil Rights Act when it was created. The conclusion of the trial came forth when the defendant agreed and said “yes, the law states you cannot discriminate against one group different from the other, but, it would not be discrimination if we took the park away as a whole.” 

This statement held valid, not only because it was a loophole that was used, but also because testate law will always hold more importance than property law itself. Looking at the above examples clearly comes to show how important testate law is, and to what extent it is respected. As long as the testate laws do not violate or breach any regulations or rules set by any form of the government, it will be held as a priority.

Fee simple absolute is the powerful form of ownership in a freehold estate. It is the most common way of owning real estateownershipencumbrances 

In a fee simple interest, not only could you enjoy your property during your lifetime, but you may also determine who will receive the property after your death. Between the owner and his or her successors, fee simple is known to have an infinite duration. 

The term fee simple interest, when defined in the aspect of law, stands for: “fee”- the legal right to use land, and “simple”- in the unconstrained sense. There are two applications to this term, first one being without limit to the inheritance of hairs, and the second: it is unrestricted as far as the transfer of ownership is concerned. Overall, there is a hierarchy of ranks, which determine the powers given to each form of freehold estate ownership. Fee simple absolute being on top, fee simple defeasible being right below it, life estate, tenancy for years, and then tenancy at will. Each one has its own specifications from state to state. On a nationwide level, however, they are ranked in the order listed above.

Life estates are based upon a measured life in being. It is usually limited to the life of an individual who currently holds the life estate. If, and when the individual passes away, the property 

Life estates are usually measured by the life of the individual who was given the property, or by the life of another. Life estates are most commonly created in one of two circumstances. First one being, when the owner of property transfers his or her interest to another person, based on the life of a third individual. In this case, if Pavel transfers land to Sergei during the life of Alexander, then Sergei owns the land for the remainder of Alexanders life. 

If Sergei dies before Alexander, Sergei’s heirs will inherit the property, and will continue to own it for as long as Alexander lives. Second circumstance is if Pavel transferred land to Alexander for life, Alexander can then sell the life estate to Sergei. In this event, Sergei and his heirs will be able to consume the land until Alexander passes away. In both scenarios, once Alexander passes away, the ownership of the property will be transferred back to Pavel, and once he passes away, his heirs will inherit the land. These tend to be known as “remainder interest”.

The process involved in creating a life estate deals with the transfer of property through a deed 

All in all, it is more of a benefit for the conveyor, rather than the conveyed. There is also a huge benefit for the remaindermen as well. The individual being conveyed to never gets to own the property, but must pay taxes and other fees applicable with the ownership. 

If affordable, they can purchase their own house rather than living on a life estate, which is like a ticking clock. Life estates are usually catered towards individuals on medicaid, or individuals who do not have the proper qualifications needed in order to own their own land.