Legal term
Fee simple determinable
The answer is Fee simple determinable. It is a present freehold estate that ends automatically when a stated event occurs; the grantor retains a possibility of reverter. ([law.cornell.edu](https://www.law.cornell.edu/wex/fee_simple_determinable)) It is signaled by durational phrasing and, unlike a fee simple subject to condition subsequent, no entry is required. ([law.cornell.edu](https://www.law.cornell.edu/wex/fee_simple_determinable)) When language is ambiguous, courts often disfavor forfeiture and construe restrictions as covenants or conditions subsequent rather than automatic termination. ([law.cornell.edu](https://www.law.cornell.edu/supremecourt/text/261/236?utm_source=openai))
Rule to remember
Fee simple determinable: a defeasible fee that automatically terminates upon a stated event and reverts to the grantor, who holds a possibility of reverter.
Key elements and checks
- Durational language in the grant creates the limitation (e.g., “until,” “while,” “so long as”).
- Ends automatically upon the stated event; no action is required to divest.
- Grantor’s future interest is a possibility of reverter.
- Distinguished from a fee simple subject to condition subsequent (requires exercise of right of entry).
- Distinguished from a fee simple subject to an executory limitation (automatic shift to a third party).
- Ambiguity is often resolved against forfeiture; many courts construe unclear clauses as covenants/conditions subsequent, not automatic termination.
In the source’s words
“ownership will immediately and automatically return to the grantor”
fee simple determinable | Wex | US Law | LII / Legal Information Institute
“A fee simple determinable and corresponding possibility of a reverter are created by grants that use durational language,”
fee simple determinable | Wex | US Law | LII / Legal Information Institute
State law controls deed-construction canons and recognition of forfeiture; check local statutes and cases. Many jurisdictions strictly construe conditions subsequent and avoid forfeiture where language is doubtful.