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Real Property • Future Interests
PROP#020
Legal Definition
A vested remainder subject to open is a future interest held by a class of persons that is certain to become possessory, but is subject to diminution.
Plain English Explanation
A vested remainder subject to open means that the future interest is being given to a group of people, and as that group of people increases, each person's slice of the pie decreases. For example, if you convey property to your friend's children, "children of your friend" is the class and, depending on how often your friend procreates, the class can increase with members.
Hypothetical
Hypo 1: Oz conveys Blackacre "to Amy for life, then to Amy's children in equal shares." Amy has no children. Result: Amy has a life estate. There is a contingent remainder in Amy's unborn children. Oz has a reversion, which will kick in if Amy dies without ever having children.
Hypo 2: Oz conveys Blackacre "to Amy for life, then to Amy's children in equal shares." Amy has no children when the conveyance occurred, but later has a son, Bob. Result: Amy has a life estate. Bob has a vested remainder subject to open. Bob's remainder interest is vested because he is alive and can be identified and there are no attached contingencies to the conveyance. Bob's interest is subject to open because Amy could have another child.
Hypo 2: Oz conveys Blackacre "to Amy for life, then to Amy's children in equal shares." Amy has no children when the conveyance occurred, but later has a son, Bob. Result: Amy has a life estate. Bob has a vested remainder subject to open. Bob's remainder interest is vested because he is alive and can be identified and there are no attached contingencies to the conveyance. Bob's interest is subject to open because Amy could have another child.
Visual Aids
Related Concepts
At common law, how was a contingent remainder destroyed?
In assessing a contingent remainder what is the doctrine of merger?
What are future interests?
What is a class gift?
What is a contingent remainder?
What is an executory interest?
What is an indefeasibly vested remainder?
What is a remainder?
What is a shifting executory interest?
What is a springing executory interest?
What is a vested remainder subject to total divestment?
What is the Doctrine of Worthier Title?
What is the Rule in Shelley's Case?
What is the Rule of Convenience?
