Power of Termination

Also found in: Financial.

Power of Termination

A future interest in real property whereby the grantor conveys an estate to another, called the grantee, subject to a particular condition, the breach of which forfeits the grantee's interest in the property.

For example, A, owner of Blackacre, might convey the land "To B, but if liquor is sold on the premises, then A may reenter and repossess." A has the power to terminate the interest of B in the land if the condition occurs.

A power of termination is also known as a right of reentry.


Right of Reentry.

References in periodicals archive ?
At this time, all SNTs should be structured to anticipate possible changes in SSA guidelines and permit the trustee to protect trust assets through the power of termination, if necessary.