1. Modern Real Estate Practice In Illinois Eighth Edition Chapter 7: Interests in Real Estate ©2014 Kaplan, Inc.

2. Government Powers Police Power Eminent Domain Taxation Escheatment

3. In Illinois Equity in Eminent Domain Act –effective in Illinois on January 1, 2007 –the government must prove an area is blighted before forcing property owners to sell their property for private development projects –helps property owners receive fair market value for their property; requires relocation costs for displaced residents and businesses

4. Estates in Land Fee Simple Estate Fee Simple Defeasible Life Estate –Conventional life estate –Life Estate pur autre vie –Remainder and reversion –Legal life estate –Homestead

5. Estates in Land Life Estate –Homestead – homeowners in Illinois are entitled to a homestead estate up to $15,000 in land and buildings occupied as principal residence –Protection against unsecured creditors

6. Encumbrances Liens Restrictions Easements Licenses Encroachments

7. Easements Appurtenant –dominant and servient tenement Party wall Necessity Prescription In Gross / Commercial easements

8. Nature and Water: Rights and Restrictions Riparian rights –rights of owners of land along the course of a river, stream, or similar body of water Littoral rights –the rights of owners whose land borders commercially navigable lakes, seas, and oceans

9. Nature and Water: Rights and Restrictions Accretion –increase in land resulting from soil deposit by the water’s action (called alluvion or alluvium); if water recedes, new land is acquired by reliction Erosion –the gradual wearing away of the land by natural forces Avulsion –the sudden removal of soil by an act of nature

10. Nature and Water: Rights and Restrictions Doctrine of Prior Appropriation –right to use any water, with the exception of limited domestic use –is controlled by the state rather than by the landowner whose property lies adjacent to the water –to secure water rights, landowners must show a state agency that they plan a beneficial use of the water