Alienation: O's interest is freely transferable. This type of future interest can only follow the fee simple determinable. The vesting of the future interest is determinable at the time of the grant, because reverter is automatic if the condition is broken—a possibility of reverter, therefore, is not subject to the Rule Against Perpetuities. Right of entry (or power of termination) This type of future interest follows a fee simple subject to a condition subsequent. A grantor has the power of termination when an estate may return to the grantor if a condition is violated and the grantor decides to reclaim the estate. This type of grant may occur when the grantor wants the option of deciding the severity of the violation. Example: "O grants Blackacre to A, on condition that A refrains from drinking alcohol." Analysis: If A never drinks after the grant (and never sells the property), then Blackacre will belong to A at O's death, and be distributed according to the rules of probate. If A does drink after the grant, then A's rights in Blackacre end, although A is still in possession of Blackacre. Language used: Conditional. Examples include "on condition", "if used for", and "provided that". Alienation: O's interest is vested. This interest is never subject to the rule against perpetuities. O's interest cannot be transferred inter vivos ("between living people"); can only be transferred by will or by intestate succession upon death of the grantor. This type of future interest follows a fee simple subject to a condition subsequent. To see why, consider that in order to retain Blackacre, A must continue to perform under the terms of the grant (by not drinking). If A fails to "not drink", that condition will trigger the subsequent loss of A's rights in Blackacre. Future interests in a transferee Remainders A remainder is a future interest in a third party that vests upon the natural conclusion of the grant to the original grantee. It is the interest in the property that is "left over", or remains, after the original grantee is finished possessing it. For example, O's grant "to A for life, then to B" creates a remainder in B. There are two types of remainders: vested and contingent. Vested remainders A vested remainder is created when property is granted to both a direct grantee and a named third party, and is not subject to a condition precedent