Rule Against Perpetuities

Question 1

Vesting of Class Gifts

Answer 1

vests when:

1. the class closes; and
2. all conditions for every member of the class are satisfied

Question 2

Modern Modifications to RAP (Wait and See Approach)

Answer 2

Some states - a gift is valid if it actually vests within 21 years after the death of a life in being at the time the interest was created

Question 3

Modern Modifications to RAP (Reduction of Age Contingencies)

Answer 3

some states - by statute, any age contingency that violates the rule is reduced to 21 years

Question 4

Rule Against Perpetuities (RAP)

Answer 4

a gift must vest within a life in being at the time of the grant plus 21 years