This section is from the book "Real Estate Principles And Practices", by Philip A. Benson, Nelson L. North. Also available from Amazon: Real Estate Principles and Practices.
These are very common and a simple example of "fee splitting." A man gives land to A for his life and at A's death it is to go to B. A, who is known as the life tenant, takes a life estate, that is the full right in the property for life, and B takes a remainder - the right to receive and use the property at A's death. When A dies the fee is reunited in B who is then the owner of a fee simple in the land. The life interest may be measured by the life tenant's own life or by that of any other person. The remainder may be so created that the remainderman cannot be known until the termination of the life estate. If it can be determined the remainder is vested, if not, contingent. For example: Gift to A for life remainder to B. B has a remainder and since his right to succeed is fixed, his possession merely being suspended till A's death, he has a vested remainder. But suppose the gift were to A and his children after death, but provided that if he left no children then B should take. In this case B has a remainder, however, whether or not he will ever be entitled to possession, and enjoyment of the land cannot be ascertained till the time of A's death; and he will take no rights if A leaves children. Consequently B's remainder is contingent.
 
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