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PROPERTY Rule Against Perpetuities Professor Joan C. Williams Spring 2007

Rule against perpetuities. In 2000, O grants

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PROPERTY Rule Against Perpetuities Professor Joan C. Williams Spring 2007

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    1. PROPERTY Rule Against Perpetuities Professor Joan C. Williams Spring 2007

    2. Rule against perpetuities In 2000, O grants “to A for life, then to A’s first child to reach the age of 25.” A is alive and childless. A ?life estate First child of A to reach 25? contingent remainder in fee O ? reversion Scenario that violates RAP O dies immediately after the January 2000 grant A has a child Zed in May 2000, then dies -- last measuring life: all lives in being have ended It will take Zed until 2025 to reach the age of 25 – more than 21 years after all lives in being at time of grant A has a child 5 years later A dies A’s first child turns 21 16 years after A’s death A has a child 5 years later A dies A’s first child turns 21 16 years after A’s death

    3. RAP: what’s possible, not what happened What if A did not die til the child turned 5, so the child turned 25 only twenty years after A’s death? RAP is a rule of logical proof – it does not matter what actually happens in the real world

    4. RAP O grants “to A for life, then to A’s first child to reach the age of 21.” A is alive and childless. First child of A to reach 21 ? contingent remainder in fee O ? reversion No possible scenario that violates RAP A’s first child will necessarily reach 21 within 21 years of A’s death, because that child will necessarily be born during A’s life

    5. RAP: slothful executor The trust “to cease and determine at noon five years after the probate court signs its final order.” Lucas v. Hamm, 56 Cal. 2d 583 (1961) Scenario in which RAP is violated Suppose it takes 5000 years for the probate court to sign its final order. That is later than lives in being plus 21. Parties inherited $75,000 less than they would have because this grant was struck down. Suppose it takes 5000 years for the probate court to sign its final order. That is later than lives in being plus 21. Parties inherited $75,000 less than they would have because this grant was struck down.

    6. RAP and conditional fees “To A provided that no pesticides are ever used on the land; if they are, then to B.” B ? shifting executory interest A ? fee simple subject to an executory interest Scenario in which RAP is violated…

    7. RAP: when an interest is struck down “To A provided that no pesticides are ever used on the land; if they are, then to B.” O ? right of entry A ? fee simple subject to a condition subsequent

    8. PROPERTY Landlord/tenant statutes Spring 2007

    9. Delivery of possession statute Va. Ann. Code § 55.248.22 (Michie 1994) If the landlord willfully fails to deliver possession..., rent abates until possession is delivered and the tenant may: terminate the [lease] upon at least 5 days’ written notice to the landlord and upon termination, the landlord shall return all prepaid rent and security; or demand performance…by the landlord, and if the tenant elects, maintain an action for possession…against the landlord or any person wrongfully in possession and recover the damages sustained by him. If a person’s failure to deliver possession is willful and not in good faith, an aggrieved person may recover from that person the actual damages sustained by him and reasonable attorneys’ fees.

    10. Virginia If the landlord willfully fails to deliver possession..., rent abates until possession is delivered and the tenant may: terminate the [lease] upon at least 5 days’ written notice to the landlord and upon termination, the landlord shall return all prepaid rent and security; or demand performance…by the landlord, and if the tenant elects, maintain an action for possession…against the landlord or any person wrongfully in possession and recover the damages sustained by him. If a person’s failure to deliver possession is willful and not in good faith, an aggrieved person may recover from that person the actual damages sustained by him and reasonable attorneys’ fees.

    11. Delivery of possession statutes Md. Code Ann., Real Prop. § 8-204 (1994) Abatement of rent for failure to deliver. If the landlord fails to provide the tenant with possession of the dwelling unit at the beginning of the term of the lease, the rent payable under the lease shall abate before possession is delivered. The tenant, on written notice to the landlord before possession is delivered, may terminate, cancel, and rescind the lease. Liability of landlord. On termination of the lease under this section, the landlord is liable to the tenant for all money or property given as prepaid rent, deposit, or security. (e) Consequential damages. If the landlord fails to provide the tenant with possession of the dwelling unit at the beginning of the term of any lease, whether or not the lease is terminated under this section, the landlord is liable to the tenant for consequential damages actually suffered by him….

    12. Maryland Abatement of rent for failure to deliver. If the landlord fails to provide the tenant with possession of the dwelling unit at the beginning of the term of the lease, the rent payable under the lease shall abate before possession is delivered. The tenant, on written notice to the landlord before possession is delivered, may terminate, cancel, and rescind the lease.

    13. Maryland (d) Liability of landlord. On termination of the lease under this section, the landlord is liable to the tenant for all money or property given as prepaid rent, deposit, or security.

    14. Maryland (e) Consequential damages. If the landlord fails to provide the tenant with possession of the dwelling unit at the beginning of the term of any lease, whether or not the lease is terminated under this section, the landlord is liable to the tenant for consequential damages actually suffered by him….

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