Legal Definitions - determinable fee

A determinable fee is a type of property ownership where the ownership of land is granted to someone, but it automatically ends and reverts to the original grantor (the person who gave the land) or their heirs if a specific condition stated in the deed occurs or ceases to be met. The original grantor retains a future interest called a possibility of reverter. This means that the moment the condition is violated, ownership automatically transfers back without any further legal action required by the grantor.

Here are some examples to illustrate this concept:

• Imagine a wealthy donor who grants a large parcel of land to a local university "so long as the land is used exclusively for educational and research purposes." If, at some point in the future, the university decides to sell a portion of that land to a commercial developer to build a shopping center, the condition would be violated. At that exact moment, the ownership of the entire parcel would automatically revert back to the donor or their heirs, without the need for a lawsuit or any other legal action by the donor.

• Consider a town council that donates an old municipal building to a non-profit organization "while the building serves as a community center providing free services to residents." If the non-profit later decides to convert the building into private office spaces that charge rent, the condition would no longer be met. The ownership of the building would then automatically revert to the town council, allowing them to reclaim the property.

• A family might grant a historic estate to a distant relative "until the relative ceases to reside on the property for at least six months out of every year." If the relative subsequently moves out of the estate permanently and establishes residency elsewhere, the condition would be broken. The ownership of the historic estate would then automatically revert to the original family (or their designated heirs), ensuring the property stays within the family's control under the specified terms.