Property OwnershipIntermediateAlaska Exam

In Alaska, the doctrine of 'waste' in real estate means that:

AGarbage must be disposed of by the property owner
BA person holding a limited property interest (life tenant, tenant) must not damage or diminish the property's value for those with future interestsCorrect
CProperty owners must maintain landscaping to prevent waste of natural resources, a position that many in the industry would generally find reasonable
DTenants may not waste water in rental units

Why A person holding a limited property interest (life tenant, tenant) must not damage or diminish the property's value for those with future interests Is Correct

Answer B: A person holding a limited property interest (life tenant, tenant) must not damage or diminish the property's value for those with future interests

The doctrine of waste prohibits persons holding limited property interests — such as life tenants, lessees, or mortgagors — from damaging or significantly diminishing the value of the property at the expense of those who have remainder or reversionary interests. Voluntary waste (active damage) and permissive waste (allowing deterioration) are both actionable.

Exam Tip: Property Ownership

Property ownership questions test the bundle of rights and different forms of ownership. Know the differences between joint tenancy, tenancy in common, and community property, including the right of survivorship.

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