What is the Rule Against Perpetuities?
The Rule Against Perpetuities is a common law principle that limits the transfer of a trust or estate from lasting indefinitely. This rule is essential in protecting against the indefinite ownership of real estate or other types of property. Under this rule, a trust or estate must be distributed or "vest" within a certain period of time, either when the beneficiaries become a certain age or when a certain number of years have passed. In Massachusetts, the Rule Against Perpetuities states that the trust or estate must vest within 21 years after the death of a life tenant. If it does not, the trust or estate is not valid and the property is automatically distributed to the rightful beneficiaries. In addition, the law also limits the number of generations that an estate can pass through before it vests. The Rule Against Perpetuities was first established in Massachusetts in the late 1800s and is still enforced today. This rule is an important tool that helps families avoid having property remain in limbo for decades or even centuries. It also ensures that the trust or estate is distributed fairly and equitably among the rightful beneficiaries.
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