Application of rule against perpetuities
I11Application of the rule
1
The rule against perpetuities applies (and applies only) as provided by this section.
2
If an instrument limits property in trust so as to create successive estates or interests the rule applies to each of the estates or interests.
3
If an instrument limits property in trust so as to create an estate or interest which is subject to a condition precedent and which is not one of successive estates or interests, the rule applies to the estate or interest.
4
If an instrument limits property in trust so as to create an estate or interest subject to a condition subsequent the rule applies to—
a
any right of re-entry exercisable if the condition is broken, or
b
any equivalent right exercisable in the case of property other than land if the condition is broken.
5
If an instrument which is a will limits personal property so as to create successive interests under the doctrine of executory bequests, the rule applies to each of the interests.
6
If an instrument creates a power of appointment the rule applies to the power.
7
For the purposes of subsection (2) an estate or interest includes an estate or interest—
a
which arises under a right of reverter on the determination of a determinable fee simple, or
b
which arises under a resulting trust on the determination of a determinable interest.
8
This section has effect subject to the exceptions made by section 2 and to any exceptions made under section 3.
9
In section 4(3) of the Law of Property Act 1925 (c. 20) (rights of entry affecting a legal estate) omit the words from “but” to the end.