What system allows for land to be privately owned?

The allodial system is the correct answer as it refers to a land tenure system where land is owned privately and free from any obligations to a sovereign entity, such as taxes or feudal duties. Under this system, property rights are held without the condition of tribute or service to a higher authority, allowing for complete and unrestricted ownership of land. This concept contrasts significantly with systems like public land or state ownership, where land is governed or controlled by governmental entities and is not entirely privately owned.

Understanding the allodial system is important because it highlights the foundational principles of land ownership in jurisdictions that recognize individual property rights strongly. Through this system, landowners have the autonomy to use, sell, or transfer their property as they wish, which is a critical aspect of real estate and title insurance practices.