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Real Property • Restraints on Alienation
PROP#044
Legal Definition
Courts will not enforce restraints on certain races, religions, or ethnicities because it constitutes discriminatory state action.
Plain English Explanation
Don't be racist or a bigot. It's pretty much that simple when it comes to conveying property. If you find a restraint on transferring interest in property that is based either on someone's race, or their nationality, or their religion, then you can cross that restriction out because it cannot be upheld by the court, since courts are an operation of the state, and under the 14th Amendment and the federal Fair Housing Act, the state cannot participate in aiding discrimination based on race, religion, or ethnicity.
Hypothetical
Hypo 1: Oz conveys Blackacre "to Amy and her heirs, but if she ever allows a nonwhite person to step foot on the premises, then to Bob." Result: Amy has received a fee simple subject to a condition subsequent from Oz. The condition subsequent is a nonwhite person stepping foot on Blackacre. If that happens, Blackacre transfers to Bob. However, though Oz has the personal right to be an asshole, the courts will not aid him in his attempt to restrict Blackacre from having nonwhite guests. As a result, the condition subsequent is effectively stricken and Amy will receive Blackacre in fee simple absolute.
Related Concepts
How are restraints on alienation generally dealt with by courts?
What are the most common, valid restraints on alienation?
What is the result of a disabling restraint?
What is the result of a forfeiture restraint?
What is the result of an absolute restraint on a fee simple estate?
What is the result of a promissory restraint?
What is the result of restraints on alienation on Life Estates and Future Interests?
