Tenement (law)
Encyclopedia
A tenement in law, is anything that is held, rather than owned. This usage is a holdover from feudalism
Feudalism
Feudalism was a set of legal and military customs in medieval Europe that flourished between the 9th and 15th centuries, which, broadly defined, was a system for ordering society around relationships derived from the holding of land in exchange for service or labour.Although derived from the...

, which still forms the basis of all real-estate law in the English-speaking world, in which the monarch
Monarch
A monarch is the person who heads a monarchy. This is a form of government in which a state or polity is ruled or controlled by an individual who typically inherits the throne by birth and occasionally rules for life or until abdication...

 alone owned the allodial title
Allodial title
Allodial title constitutes ownership of real property that is independent of any superior landlord, but it should not be confused with anarchy as the owner of allodial land is not independent of his sovereign...

 to all the land within his kingdom.

Under feudalism, land itself was never privately "owned" but rather was "held" by a tenant (from Latin teneo "to hold") as a fee, being merely a legal right over land known in modern law as an estate in land
Estate in land
An estate in land is an interest in real property that is or may become possessory.This should be distinguished from an "estate" as used in reference to an area of land, and "estate" as used to refer to property in general....

. This was held from a superior overlord, ( a mesne lord
Mesne lord
A mesne lord was a lord in the feudal system who had vassals who held land from him, but who was himself the vassal of a higher lord. A mesne lord did not hold land directly of the king, that is to say he was not a tenant-in-chief. His subinfeudated estate was called a "mesne estate"...

), or from the crown
The Crown
The Crown is a corporation sole that in the Commonwealth realms and any provincial or state sub-divisions thereof represents the legal embodiment of governance, whether executive, legislative, or judicial...

 itself in which case the holder was termed a tenant-in-chief
Tenant-in-chief
In medieval and early modern European society the term tenant-in-chief, sometimes vassal-in-chief, denoted the nobles who held their lands as tenants directly from king or territorial prince to whom they did homage, as opposed to holding them from another nobleman or senior member of the clergy....

, upon some manner of service under one of a variety of feudal land tenure
Feudal land tenure
Under the English feudal system several different forms of land tenure existed, each effectively a contract with differing rights and duties attached thereto. Such tenures could be either free-hold, signifying that they were hereditable or perpetual, or non-free where the tenancy terminated on the...

s. The thing held is called a tenement, the holder is called a tenant
Leasehold estate
A leasehold estate is an ownership of a temporary right to land or property in which a lessee or a tenant holds rights of real property by some form of title from a lessor or landlord....

, the manner of his holding is called a tenure
Tenure
Tenure commonly refers to life tenure in a job and specifically to a senior academic's contractual right not to have his or her position terminated without just cause.-19th century:...

, and the superior is called the landlord
Landlord
A landlord is the owner of a house, apartment, condominium, or real estate which is rented or leased to an individual or business, who is called a tenant . When a juristic person is in this position, the term landlord is used. Other terms include lessor and owner...

, or lord of the fee. These forms are still preserved in law, even though feudalism itself is extinct, because all real estate law has developed from them over centuries.

Feudal land tenure
Feudal land tenure
Under the English feudal system several different forms of land tenure existed, each effectively a contract with differing rights and duties attached thereto. Such tenures could be either free-hold, signifying that they were hereditable or perpetual, or non-free where the tenancy terminated on the...

 existed in many varieties. The sole surviving form in the United States is that species of freehold
Freehold
Freehold may refer to:*Freehold and fee simple: ownership of land and the buildings on such land...

  known as free socage
Socage
Socage was one of the feudal duties and hence land tenure forms in the feudal system. A farmer, for example, held the land in exchange for a clearly defined, fixed payment to be made at specified intervals to his feudal lord, who in turn had his own feudal obligations, to the farmer and to the Crown...

. Here the service to be performed is known and fixed, and not of a base or servile nature; the "lord of the fee" is the State itself, and the service due to this "lord" is payment of the taxes upon the real estate. The major consequences, in the modern world, of this feudal approach, as distinguished from ownership, are, first, the forfeiture of the tenement upon failure to perform the service (that is, non-payment of taxes), and second, the doctrine of eminent domain
Eminent domain
Eminent domain , compulsory purchase , resumption/compulsory acquisition , or expropriation is an action of the state to seize a citizen's private property, expropriate property, or seize a citizen's rights in property with due monetary compensation, but without the owner's consent...

, whereby the "lord of the fee" might take back the estate, provided he make just compensation
Just compensation
Just Compensation is required to be paid by the Fifth Amendment to the U.S. Constitution when private property is taken for public use...

. Also existing in a vestigial form is the concept of escheat
Escheat
Escheat is a common law doctrine which transfers the property of a person who dies without heirs to the crown or state. It serves to ensure that property is not left in limbo without recognised ownership...

, under which an estate of a holder without heirs returns to the ownership of the state.

An interesting side effect of this is that government entities do not pay real estate taxes to other government entities since government entities own the land rather than hold the land. Localities that depend on real estate taxes to provide services are often put at a disadvantage when the state or federal government acquires a piece of land. Sometimes, to mollify local public opinion, the state or federal government may volunteer to make payments in lieu of taxes (PILOT
PILOT (finance)
A PILOT is a payment in lieu of taxes , made to compensate a local government for some or all of the tax revenue that it loses because of the nature of the ownership or use of a particular piece of real property...

or PILT programs) to local governments.

Reference

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