Fact Pattern 8-1
Jill recently inherited money from her old aunt Maude. Jill decided to buy beach-front property in Beaufort, South Carolina. Jill's new property consists of 3 acres of land, with direct access to the ocean. When she bought the land there is no home on it, but she wants to build a beach home in the future. A year after she bought the lovely lot, the city of Beaufort rezones the land, prohibiting any building so that other residents can enjoy the view.
-Refer to Fact Pattern 8-1. Suppose that Jill builds a small cottage on her property (forget the city ordinance for a moment). The cottage is lovely and she hates to see it sit unused for many months of the year, so she rents the cottage for several weeks at a time to various people. Once it is rented the cottage is:
A) a retainer
B) a freehold
C) a leasehold
D) a conveyor
E) a tangible remainder

Question

Quizplus · Accepted Answer

Once Jill builds the cottage on her property and rents it to others, it becomes a leasehold. A leasehold is an estate in land that is held by a tenant for a specific period of time according to a lease agreement. Jill is the landlord and the renters are the tenants.

Fact Pattern 8-1 Jill Recently Inherited Money from Her Old Aunt Maude. Jill