Legal Question in Real Estate Law in Rhode Island

Re: Quit Claim Deed

First, I'm not clear whether this question pertains to California law or Rhode Island law. This answer is based on California kaw; Rhode Island law is very likely, but not necessarily, quite similar. Applicable law will depend upon where the property is.

A person who has rights arising from a will or deed to occupy property for his lifetime is called a "life tenant" and the interest he holds is called a "life tenancy." Some but not all life tenancies terminate if the life tenant moves out. Life tenants' rights and duties resemble those of owners during the life tenancy, e.g., they pay the property taxes, don't pay rent, and usually can't be evicted.

The ownership of real estate always adds up to a perpetual 100% fee simple when all the separate estates and interests are combined. Therefore, in addition to the life tenancy, there must be presently existing ownership rights covering a 100% ownership of this home from the death of the life tenant onward. The person or persons who hold ownership after the death of the life tenant are called remaindermen.

Analyzing your situation should start with determining exactly what rights existed prior to the 1995 deed. If your grandfather previously owned a fee simple absolute, it could be that the 1995 deed created a life tenancy and three remainder interests: yours, your brother's, and your mother's. (The deed would reflect whether these interests were joint tenancies or tenancies in common.) The deed would also reflect whether your grandfather retained any interest whatsoever. It is possible to put conditions in a deed, such that, if the conditions fail, the estate granted by the deed either reverts to the grantor automatically, or the grantor has the power to declare a reversion. So, these are possibilities that would be reflected by examining the 1995 deed.

Re: Quit Claim Deed

Since LawGuru answers cannot exceed 3000 characters, I've had to divide my answer into two parts. Here's the balance:

Another reason for examining the condition of title back in 1995 is that the 1995 deed is a quitclaim. A quitclaim deed is as effective as a grant deed to convey interests in real property, but it lacks the warranties of title, etc. that a grant deed provides. Therefore, one might suspect that perhaps grandfather was uncertain about the quality of his title, or maybe knew that there was a defect or unresolved issue with his title.

So, now in 2007 your grandfather is circulating another quitclaim deed and asking the 1995 grantees to convey their interests back to him. What, you ask, is the significance and effect of this?

Without a chance to read either the 1995 or the 2007 documents, the first thing that comes to mind is that he's had a change of heart. He is, in effect, trying to change his will. The information that might confirm this is given by the answer to the question "Who is the new grantee?" Who is to receive the property if everyone signs? A different family member? The life tenant? Someone else? His favorite charity?

Your final question involves why grandfather himself is listed as a grantee. The answer may be one or more of the following: (1) He may not have given up his entire interest in 1995. (2) The life tenancy may have a reversion to him upon failure of a condition subsequent (e.g., "I hereby grant you a life tenancy in Blackacre so long as you do not smoke inside it"). (3) The new grantee wants to be extra careful. (4) The legal description of the property may have been expanded.

Re: Quit Claim Deed

Usually, in this situation, there was a verbal agreement at the time of the first conveyance that the property would be conveyed back once the problem causing the conveyance was resolved (i.e. creditor problems). You say nothing about this. So, if there never was such an agreement, your portion of the property legally belongs to you. But if there was an agreement, then the property does not belong to you and you have to give it back. Whether the document is "legal" I cannot say because I would have to see it as well as all deeds in the chain of title to determine this. As far as whether your grandfather is required to sign, it sounds like he is. He does currently have an ownership interest in the property; a tenancy is an ownership interest.