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Real Property • The Rule Against Perpetuities
PROP#034
Legal Definition
The Rule Against Perpetuities does not apply to: (1) vested interests, (2) charity-to-charity transfers, (3) options to purchase (held by a current tenant), and (4) a grantor's interests.
Plain English Explanation
The Rule Against Perpetuities ("RAP") doesn't apply to vested interests because they are already vested and figured out. Additionally, note that courts do not apply RAP to charity interests (if an interest is given to a charity, and it happens to violate RAP, that's okay).
Related Concepts
What are common statutory reforms to the Rule Against Perpetuities?
What are common violations to the Rule Against Perpetuities?
What happens to a transfer if it violates the Rule Against Perpetuities?
What is the Rule Against Perpetuities?
When does the Rule Against Perpetuities begin to run?
Which types of interests does the Rule Against Perpetuities commonly apply to?
