Fee Simple Defeasible

A fee simple defeasible is a type of ownership of real property that is subject to certain conditions or limitations. It is also known as a qualified fee simple or a fee simple subject to a condition subsequent. It grants the owner the right to use and dispose of the property, but with the understanding that the ownership will be terminated if a specific condition or event occurs. For example, if a property is granted as a fee simple defeasible “so long as it is used as a school,” if the property is no longer used as a school, the ownership will be terminated and the property reverts back to the grantor or a designated party. It’s an estate of ownership that can be terminated by the grantor or a designated party if a certain condition is not met.