Legal Definitions - words of limitation

Words of limitation are specific phrases used in legal documents, such as deeds, wills, or trust instruments, that precisely define the type, extent, and duration of an ownership interest (known as an "estate") being granted in property. These words clarify the nature of the recipient's rights, determining how long they can hold the property, whether it can be inherited, or if it comes with specific conditions. Importantly, while these phrases might mention other individuals, their primary purpose is to describe the characteristics of the primary grantee's interest, rather than granting a direct, present interest to those other individuals.

• Example 1: Granting a Life Estate in a Will

  Imagine a will that states: "I leave my vacation home to my brother, Mark, for the duration of his natural life, and upon his death, the home shall pass to my niece, Sarah."

  The phrase "for the duration of his natural life" constitutes the words of limitation. These words define Mark's ownership as a life estate, meaning he has the right to possess and use the property only for as long as he lives. He cannot sell the property outright or pass it on in his own will. The words clearly delineate the time limit and nature of his ownership, rather than granting any immediate rights to Sarah during Mark's lifetime.

• Example 2: Conveying a Fee Simple Absolute in a Deed

  Consider a property deed that reads: "The Grantor hereby conveys to Emily Chen, her heirs and assigns forever, the property located at 456 Oak Avenue."

  The phrase "her heirs and assigns forever" serves as the words of limitation. While it mentions Emily's "heirs," this does not mean her heirs receive a direct, present interest in the property. Instead, these words signify that Emily is receiving a fee simple absolute – the most complete form of ownership. This means Emily has full, unrestricted rights to the property, can sell it, mortgage it, or pass it on to anyone she chooses (including her heirs) without any conditions or time limits. The phrase clarifies the inheritable and unrestricted nature of Emily's ownership.

• Example 3: Establishing a Conditional Estate in a Trust

  Suppose a trust document specifies that a commercial building is to be held "for my daughter, Lisa, so long as the property is used exclusively for charitable purposes."

  The words "so long as the property is used exclusively for charitable purposes" are the words of limitation. They define a conditional estate for Lisa. Her ownership interest is tied to a specific condition; if the property ceases to be used for charitable purposes, her interest could terminate. These words do not grant rights to any other party directly but precisely describe the qualifications and potential limitations on Lisa's ability to hold and use the property, thereby defining the nature of her estate.