Which type of estate allows a property holder to have legal rights as long as they meet a specific condition?

The type of estate that allows a property holder to have legal rights contingent upon the fulfillment of a specific condition is the Fee Simple De-Feasible. This type of estate is defined by its conditional nature, where ownership can revert to a previous owner or a specified party if certain conditions outlined in the conveyance are not met. For example, if the grantee fails to use the property for a stipulated purpose, such as maintaining it for educational purposes, the original owner may reclaim ownership.

The significance of this estate lies in the unique blend of ownership and condition, making it distinct from other forms of estates. In contrast, a Fee Simple Absolute represents complete ownership with no conditions, while a Conventional Life Estate gives rights of use until the death of a designated person but does not involve specific conditional requirements. Lastly, a Life Estate grants use and enjoyment for the duration of a person's life but, like the conventional life estate, does not incorporate conditions that could lead to a reversion of the property. Understanding these distinctions is crucial for comprehending property rights and obligations in real estate.