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reversion

Last modified: Thu Feb 23 16:37:37 2006

This term is used as both a noun and a verb. When an EstateInLand is granted that is less than the entire interest (that is, not FeeSimple Freehold), then it is expected that the whole interest will `revert' to the original grantor at some point. For example, when a Leasehold Tenancy expires, there is typically a reversion to the freehold owner. During the period of the lease, the freeholder is thus said to `own the reversion'. A reversion is a form of title and may be income-generating. It can therefore be assigned (i.e., sold) as such.

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