§ 558.68 — Perpetuities

Iowa § 558.68

• Jurisdiction: Iowa
• Title XIV: PROPERTY
• Ch. 558: CONVEYANCES

Text

1. A nonvested interest in property is not valid unless it must vest, if at all, within
twenty-one years after one or more lives in being at the creation of the interest and any
relevant period of gestation.
2. a. In determining whether a nonvested interest would violate the rule against
perpetuities in subsection 1, the period of the rule shall be measured by actual events
rather than by possible events, in any case in which that would validate the interest. For
this purpose, if an examination of the facts in existence at the time the period of the rule
begins to run reveals a life or lives in being within twenty-one years after whose deaths the
nonvested interest will necessarily vest, if it ever vests, that life or lives are the measuring
lives for purposes of the rule against perpetuities with respect to that nonvested interest and
that nonvested interest is valid under the rule.
b. If no such life or lives can be ascertained at the time the period of the rule begins to
run, the measuring lives for purposes of the rule are all of the following:

(1) The creator of the nonvested interest, if the period of the rule begins to run in the
creator’s lifetime.
(2) Those persons alive when the period begins to run, if reasonable in number, who have
beenselectedbythecreatoroftheinteresttomeasurethevalidityofthenonvestedinterestor,
if none, those persons, if reasonable in number, who have a beneficial interest whether vested
or nonvested in the property in which the nonvested interest exists, the grandparents of all
such beneficiaries and the issue of such grandparents alive when the period of the rule begins
to run, and those persons who are the potential appointees of a special power of appointment
exercisableoverthepropertyinwhichthenonvestedinterestsexistwhoarethegrandparents
or issue of the grandparents of the donee of the power and alive when the period of the rule
begins to run.
(3) Those other persons alive when the period of the rule begins to run, if reasonable
in number, who are specifically mentioned in describing the beneficiaries of the property in
which the nonvested interest exists.
(4) The donee of a general or special power of appointment if the donee is alive when the
period of the rule begins to run and if the exercise of that power could affect the nonvested
interest.
3. A nonvested interest that would violate the rule against perpetuities whether its period
is measured by actual or by possible events shall be judicially reformed to most closely
approximate the intention of the creator of the interest in order that the nonvested interest
will vest, even though it may not become possessory, within the period of the rule.
4. This section is applicable to all nonvested interests created on, before, or after July 1,
1983.
5. This section shall not impair the validity of an environmental covenant established
pursuant to chapter 455I.
6. This section shall not extinguish, limit, or impair the validity of a document or
instrument specified in section 499A.23 or 499B.21, or any property interests created by
such document or instrument.

Legislative History

[C51, §1191; R60, §2199; C73, §1920; C97, §2901; C24, 27, 31, 35, 39, §10127; C46, 50, 54, 58, 62, 66, 71, 73, 75, 77, 79, 81, §558.68]