Which of the following is a type of vested remainder?

• A. Indefeasibly vested remainder
• B. Remainder subject to complete defeasance
• C. Remainder subject to open
• D. Contingent remainder

Answer: (B)

A vested remainder is a future interest that is certain to become possessory when the preceding estate ends, though it may be defeasible by specific conditions. The form that is being highlighted is the remainder that is certain to take effect but can be completely defeated by a future condition—this is called a remainder subject to complete defeasance. Here the remainderman is identifiable and the interest will vest in the future unless the defeasance condition occurs, which would wipe it out entirely. This distinguishes it from a contingent remainder (which depends on a condition precedent to vest) and from an indefeasibly vested remainder (which cannot be defeated by any condition). So, the remainder subject to complete defeasance fits as a type of vested remainder because vesting is guaranteed unless a specified defeasance condition occurs.