Future Interests
A shifting executory interest cuts short someone other than the grantor.
Comes up against rules 3 and 4
- A to B for life but if B marries C then to D in fee simple
- Shift in fee simple
- Remainder designed to take effect in D's possession by cutting short B's prior estate
- Void by rule 3
- Escapes rule 3 bc determinable event ("until")
- Caught by rule 4
Springing Interests
Policy: Avoid gap in seisin
Courts looked at the time the gift was created and said if gift caused a gap in seisin, a future interest in possession springing up would be void.
- A to B in fee simple if B reaches 21
- B is not 21 so there is a gap in seisin, violates rule 1
- No gap at the time of creation. Court said we will wait and see if it becomes a problem (rule 2)
- No possibility of meeting rule 2
Inter Vivos vs. Testamentary Disposition
- Court will imply the words "to the use of" to save intent to shift (creates equitable title)
- "To the use of" must be used explicitly to create executory limitation
Validity of Conditions
- Undue restraint on alienation
- Undue restraint on marriage (not considered in detail here)
- Allowed to give property "while unmarried" in the sense of helping out a single woman. Not interpreted as intending to punish marriage
- Racial or religious conditions can be void for uncertainty [Re Tuck]
- Sex, race, creed, colour, nationality, ancestry, or place of origin [Land Title Act, s 222]
- Religion, marital status, family status, disability, sexual orientation, gender identity or expression, age [Human Rights Act]
- Broader but maybe less applicable to the property context: Applies to purchase, tenancy, employment, but dispositions in general?
- If event expressed in condition subsequent, condition is invalid, leaving the disposition to have effect
Restraints on Alienation