Idaho Real Estate Practice Exam

Which term refers to the legal right to occupy land owned by another person under certain conditions?

1. Leasehold

2. Easement

3. Adverse possession

4. License

The correct answer is: Adverse possession

The correct answer is related to the definition of "leasehold." This term describes a legal arrangement where one party (the lessee) is granted the right to occupy and use land or property owned by another party (the lessor) for a specified period, under specific conditions outlined in a lease agreement. It establishes a legal relationship between landlord and tenant, detailing the rights, responsibilities, and obligations of each party. While adverse possession does involve occupying land under certain conditions, it refers to a legal doctrine allowing a person to claim ownership of land after openly occupying it for a statutory period without the permission of the original owner. An easement pertains to a right to use another's property for a specific purpose, but it does not confer ownership or the right to occupy the property. A license grants permission to use property but can be revoked at any time and does not create a possessory interest in the land. Understanding this distinction highlights why the concept of a leasehold is crucial in real estate, as it defines a tenant's rights within a legal framework that protects both parties involved.