Question 4 a landowner owned a 100 acre parcel of

Question 4
A landowner owned a 100-acre parcel of land near a nuclear power plant. The landowner sold a 10-acre strip of land, located in the middle of
the larger parcel, to the electric company that owns the plant, so the electric company could erect a transmission line across the larger parcel.
The deed contained the following language: “To the electric company, its successors and assigns, as long as the premises are used for the
transmission of electricity.” Subsequently, a regulatory commission discovered serious deterioration of the plant during a routine inspection.
The commission ordered the plant closed permanently. The transmission lines from the plant were dismantled. Because there was a
substantial amount of radioactive waste stored on the site, the state took all land within one-half mile of the plant site, including the 10-acre
strip, by eminent domain. Is the electric company entitled to any compensation for the taking of any interest it has in the 10-acre strip?
A. No, because the landowner's possibility of reverter is possessory.
B. No, because an easement holder is not entitled to compensation in an eminent domain proceeding.
C. Yes, because the electric company may again use the premises for electrical transmission purposes.
D. Yes, because the holder of an easement is entitled to compensation for the value of the lost easement right.

Question 4
A landowner owned a 100-acre parcel of land near a nuclear power plant. The landowner sold a 10-acre strip of land, located in the middle of
the larger parcel, to the electric company that owns the plant, so the electric company could erect a transmission line across the larger parcel.
The deed contained the following language: “To the electric company, its successors and assigns, as long as the premises are used for the
transmission of electricity. ” Subsequently, a regulatory commission discovered serious deterioration of the plant during a routine inspection.
The commission ordered the plant closed permanently. The transmission lines from the plant were dismantled. Because there was a
substantial amount of radioactive waste stored on the site, the state took all land within one-half mile of the plant site, including the 10-acre
strip, by eminent domain. Is the electric company entitled to any compensation for the taking of any interest it has in the 10-acre strip?

Explanation

Fee simple
determinable
• Future interest retained by grantor/testator 
possibility of reverter
•
Future interest in 3