Nelson v. Parker
Indiana Supreme Court
687 N.E.2d 187 (Ind. 1997)
Shortly before his death, Russell Nelson executed a warranty deed conveying his property to his son Daniel (plaintiff) upon his death, but expressly reserving a life estate for Irene Parker (defendant), his longtime companion. After Russell died, Daniel sued to eject Parker, arguing the common-law rule barring a grantor from reserving an interest for a "stranger" to the deed made the reservation invalid; the trial court granted summary judgment to Parker, and the court of appeals, rejecting the old common-law rule as an outdated feudal relic, affirmed. Daniel appealed to the state supreme court.
Whether a grantor may reserve an interest in an estate for a third party through express language in the deed.