What distinguishes possessory interest in property?

Possessory interest in property is characterized primarily by the physical control or occupation of the property, which is not tied to a specific duration of ownership. The term "indeterminate duration" indicates that the rights associated with possessory interest can be held for an indefinite period, dependent on various factors like lease agreements, life estates, or adverse possession claims. This distinguishes possessory interest from other types of property interests that may have defined terms or conditions associated with their duration.

The other choices may imply certain rights or limitations, but they do not accurately reflect the essence of possessory interest. While agricultural purposes might limit use, possessory interest itself is broader than that. Similarly, the concept of transferring ownership can vary, as a possessory interest can sometimes be transferred depending on the ownership structure. The idea of unrestricted development oversimplifies the legal nuances that govern possessory rights, as various zoning and land use regulations can restrict how property may be developed, even if one has a possessory interest. Understanding these nuances underscores why the notion of indeterminate duration is key to defining possessory interests in property law.