Property Ownership
A Nebraska property deed states 'to John Smith and his heirs.' This conveys:
AA life estate
BA fee tail
CA fee simple absolute✓ Correct
DA fee simple defeasible
Explanation
The words 'and his heirs' in a Nebraska deed are words of limitation indicating fee simple absolute — the highest form of ownership. Modern deeds often simply name the grantee without the 'and heirs' language and still convey fee simple.
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Key Terms to Know
Fee Simple
The highest and most complete form of property ownership — absolute ownership with the right to use, sell, or pass the property to heirs.
DeedA written legal instrument used to transfer ownership of real property from one party (grantor) to another (grantee).
Life EstateA freehold interest in real property that lasts only for the duration of a specified person's life.
Deed of TrustA security instrument used in many states instead of a mortgage, involving three parties: borrower (trustor), lender (beneficiary), and a neutral trustee.
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