This bill aims to amend the Code of West Virginia by repealing the common law rule against perpetuities and extending its application to all trusts for a duration of 1,000 years. Specifically, it modifies several sections of Article 1A, including 36-1A-1, which outlines the validity of nonvested property interests and powers of appointment. The bill introduces new language that allows trusts created on or after July 1, 2025, to substitute the existing 90-year limit with a 1,000-year limit for nonvested property interests or powers of appointment, unless the trust terms specify a shorter vesting period.

Additionally, the bill includes provisions for the application of the new rules, stating that they will apply to nonvested property interests or powers of appointment created on or after July 1, 2025, and also to unexercised powers of appointment created before that date. It establishes a framework for judicial proceedings regarding interests that may violate the previous rule against perpetuities, allowing courts to reform dispositions to align with the transferor's intent. The bill is designed to modernize West Virginia's trust law and ensure uniformity in its application across states that adopt similar measures.

Statutes affected:
Introduced Version: 36-1A-1, 36-1A-2, 36-1A-5, 36-1A-6, 36-1A-7