What is the Rule Against Perpetuities – and How Does it Work in Florida?

The term “rule against perpetuities” is something you are unlikely to encounter unless you are in the midst of some kind of estate building, probate issue, or in the middle of a law school classroom. As we have discussed in previous articles, several items in our modern-day law are evolutions of ideas and concepts that existed in days of old – in what is referred to as the “common law.”

Common Law and Rule Against Perpetuities

The rule against perpetuities originated in order to create a limit to the power a long-dead property owner could have over property, long after they had passed away. The original rule against perpetuities provided that you could not utilize a legal instrument to create an interest in property that would vest more than 21 years after the death of a person alive when the instrument at issue was created.

What that means, in lay man’s terms, is that you could not use something like a will to dictate a property interest that would vest far into the future. A simple hypothetical example: Mom drafts and signs a last will and testament that specifies that her daughter Ann will inherit their beach house, and that any future child of Ann’s will inherit a share of the property when they turn 30. If mom died in the year 2000 and Ann had a child in 2005, that child’s property interest would not vest until 2035 – when that individual turns 30 years old. Because 2035 is more than 21 years after mom’s death, the rule against perpetuities would bar them claiming this inheritance.

Florida Law

Under current Florida law, the hypothetical descendent WOULD be able to inherit. Through the years, Florida has adapted their interpretation of the rule against perpetuities. Florida’s adaptation of the law allows for interests created via a last will and testament to vest up to 90 years after the interest is created. If we are talking about an interest created in a trust – the interest does not have to vest until 1,000 years after it is created!

Conflict of Law

Floridians hail from all over the U.S. – this is particularly true of retirees and those who may seriously be considering how to maximize their estate plan. It is important to remember that even if you live in Florida, depending on the details of your life and estate portfolio, there may be aspects of other states’ laws that could come into play during the probate process. Many states do follow a more restrictive interpretation of the rule against perpetuities, for example. Often, the resolution to a dispute – or the key to avoiding problems all together – is in understanding the intersection of law between Florida and other legal jurisdictions. That is where the work of an experienced will & probate lawyer can be invaluable.

Contact Suncoast Civil Law

The Sarasota wills & probate attorneys at Suncoast Civil Law have both the critical knowledge to guide you in your estate and probate questions, and the experience to ensure that you come to the best possible outcome in your case. Whether you need help building an initial estate plan, or a keen advisor on how to interpret a contentious dispute, our esteemed attorneys can help. Contact our office today.

Sources:

leagle.com/decision/inflco20240717110#

abajournal.com/news/article/king-charles-clause-limits-new-board-overseeing-disney-world-put-in-place-after-desantis-feud