Old Law, Some Still Vital

1
Old Law, Some Still Vital

• Destructibility Abolished
• Worthier Title Abolished
• Restraints on Alienation
• What does it prohibit?
• Anything else?
• What about shall not sell for 5 years?
• Why?

2
Rule in Shelleys Case

• Shelleys Case
• To Bob for life then to Bobs heirs becomes
  what?
• Why?
• Abolished
• Estate of Hendrickson a case about far more
  than RISC.

3
Hendrickson (760)

• Wycoff grants to Earle for life, then to such
  person or persons as shall be his sole heir or
  heirs in FSA
• Earles will Eliz Nancy
• Earles heirs other people
• If RISC applies, who wins?
• If RISC doesnt apply, who wins?
• What happens why?

4
50 cent aint got nothing on the original RAP

• Rule Against Perpetuities

5
The Rule

• No interest is valid unless it must vest, if at
  all, no later than 21 years after the death of a
  life in being at the creation of the interest

6
Why RAP

• Prevents dead hand control that restricts
  current use of property
• Why? Society can use property for more valued
  use
• But rule permits some ability to control future
  use.
• Why?

7
Scope

• Applies to these grantee interests
• Executory interests (to A, so long as used for
  hospital, then to B)
• Contingent remainders (to A for life, then to B
  if B graduates)
• Vested remainders subject to open (to A for
  life, then to As children where A has at least
  one kid)
• Does not apply to
• These interests in grantee
• Vested remainders (to A for life, then to B)
• Vested remainders subject to divestment (to A
  for life, then to B, but if ...)
• These interests in grantor
• Reversions (to A for life)
• Possibility of Reverter (to A, so long as used
  for a hospital.)
• Right of Re-entry (O to A for use as hospital,
  but if not, then O has right to enter)