LIFE TENANT. A life tenant is the per son who has a right or interest in landed property for his life, or during the life of some other person (called an estate pur autre vie). If on the death of a life tenant the property returns to the grantor of the life interest, or his heirs, the grantor is said to hold the reversion, but if it does not revert to him but passes to another person, that person holds the remainder, and is called the remainderman.
.k life tenant may hold the deeds of the property, but he cannot give a charge thereon to any greater extent than the life interest he has in the property.
By the Settled Land Acts a tenant for life has, under certain conditions, power to sell the settled land, to exchange it for other property, to grant certain leases and to mortgage it where the money is required for enfranchisement or for equality of exchange ; but money arising from the exercise of such powers must not be used for the personal benefit of the life tenant. The money,
called capital money in the Act of 1882, " shall be paid either to the trustees of the settlement or into Court." Where a life tenant gives a banker a charge upon the land in which he holds a life interest, it is customary, seeing that the security may disappear at any moment by the death of the tenant, to require a policy upon his life to be assigned to the bank, for an amount sufficient to cover the amount of the advance. ( Of course the banker must see that the rents from the property are sufficient, in the event of the borrower's failure, to pay both the interest upon the debt and the premiums upon the life policy. The banker should see that the premiums are duly paid.