The Rule Against Perpetuities

Question 0

What does the RAP apply to?

Answer 0

Contingent remainders, executory interests, vested remainders subject to open.

Question 1

Rule against perpetuities Rule:

Answer 1

No interest is valid unless it must surely vest, if at all, not later than 21 years after the death of some life in being at the creation of the interest.

Question 2

How to determine the measuring life?

Answer 2

1) must be alive at the time of the creation of the interest
2) must affect the vesting of the interest.

Question 3

What happens if a term violates the RAP?

Answer 3

The term is void Ab Initio (at the point of creation) and is immediately void. If this occurs, it will simply be stricken from the conveyance and the transfer will occur as if it never existed.

Question 4

Charity to Charity exception under the RAP

Answer 4

When both interests are charities (present and transfer) both are always valid under this exception.

Question 5

RAP notes on:
Remoteness-
Classes-

Answer 5

Remoteness- if there is any possibility of the interest beating too remotely, the interest is void, even if it might have no vested outside the allowed time. 
Class- if there is a gift to a class, and the interest of one potential member of the class can violate the rule, the entire class gift is void/

Question 6

Reform to the RAP:

Wait and See-

Answer 6

Rather than invalidate the interest at conveyance because it might be invalid, these styles will wait and see if it vests or not in a reasonable amount of time.

Question 7

Reform of the RAP:

Uniform Rule Against Perpetuities

Answer 7

Uses a flat 90 years, if the interest will vest in 90 years it is valid. If it doesn’t then it is voided. This is done Ab Initio as well.