Study for the MBE Critical Pass Test. Enhance your knowledge with flashcards and multiple choice questions. Prepare thoroughly for your exam with detailed hints and explanations.

Multiple Choice

A remainder is contingent if created in favor of which type of person?

A remainder is contingent when the person who will take is not yet certain at the time the interest is created. If the beneficiary is unborn or unascertained, there’s no definite person to take the property when the prior estate ends, so the remainder depends on a future event or identification. For example, if a grant says “to A for life, then to B,” and B does not exist yet or cannot be identified at the time of the grant, the remainder is contingent because there is no definite person ready to take. In contrast, if the remainder is to someone who is already identifiable and exists, the remainder is not contingent. Being a minor does not by itself make a remainder contingent if the person is ascertainable; the key is whether the recipient is unborn or unascertained at the time of creation. Thus, a remainder created for an unborn or unascertained person is contingent.

A remainder is contingent when the person who will take is not yet certain at the time the interest is created. If the beneficiary is unborn or unascertained, there’s no definite person to take the property when the prior estate ends, so the remainder depends on a future event or identification. For example, if a grant says “to A for life, then to B,” and B does not exist yet or cannot be identified at the time of the grant, the remainder is contingent because there is no definite person ready to take. In contrast, if the remainder is to someone who is already identifiable and exists, the remainder is not contingent. Being a minor does not by itself make a remainder contingent if the person is ascertainable; the key is whether the recipient is unborn or unascertained at the time of creation. Thus, a remainder created for an unborn or unascertained person is contingent.