§ 11-102. Exceptions to rule against perpetuities
West's Annotated Code of MarylandEstates and TrustsEffective: October 1, 2020
Effective: October 1, 2020
MD Code, Estates and Trusts, § 11-102
§ 11-102. Exceptions to rule against perpetuities
(a) In this section, “usufructuary” means a person having a usufruct or right to enjoy a thing in which the person has no property interest.
(b) Subject to §§ 4-409 of this article and 11-103 of this subtitle, the common-law rule against perpetuities as now recognized in the State is preserved, but the rule does not apply to the following:
(1) A legacy or inter vivos conveyance having a value of $5,000 or less, or of any burial lot of any value, in trust or otherwise, for the purpose of providing for the perpetual care or keeping in good order and condition, or making repairs to, any lot, vault, mausoleum, or other place of sepulture belonging to any individual or several individuals in any cemetery or graveyard, the lots in which are intended for the burial of members of the family, family connections, relatives, or friends of the owners, or their successors in ownership;
(3) A trust created by an employer as part of a pension, stock bonus, disability, death benefit, profit-sharing, retirement, welfare, or other plan for the exclusive benefit of some or all of the employees of the employer or their beneficiaries, to which contributions are made by the employer or employees, or both the employer and employees, for the purpose of making distributions to or for the benefit of employees or their beneficiaries out of the income or principal or both the income and principal of the trust, or for any other purposes set out in the plan;
(5) A trust in which the governing instrument states that the rule against perpetuities does not apply to the trust and under which the trustee, or other person to whom the power is properly granted or delegated, has the power under the governing instrument, applicable statute, or common law to sell, lease, or mortgage property for any period of time beyond the period that is required for an interest created under the governing instrument to vest, so as to be good under the rule against perpetuities;
(10) A right or privilege, including an option, warrant, pre-emptive right, right of first refusal, right of first option, right of first negotiation, call right, exchange right, or conversion right, to acquire an interest in a domestic or foreign joint venture, partnership, limited liability partnership, limited partnership, limited liability limited partnership, corporation, cooperative, limited liability company, business trust, statutory trust, or similar enterprise, whether the interest is characterized as a joint venture interest, partnership interest, limited partnership interest, membership interest, security, stock, or otherwise;
Credits
Added by Acts 1974, c. 11, § 2, eff. July 1, 1974. Amended by Acts 1998, c. 694, § 1, eff. Oct. 1, 1998; Acts 2007, c. 381, § 1, eff. Oct. 1, 2007; Acts 2008, c. 36, § 1, eff. April 8, 2008; Acts 2009, c. 132, § 1, eff. Oct. 1, 2009; Acts 2010, c. 609, § 1, eff. Oct. 1, 2010; Acts 2010, c. 610, § 1, eff. Oct. 1, 2010; Acts 2010, c. 611, § 2, eff. June 1, 2010; Acts 2014, c. 585, § 1, eff. Jan. 1, 2015; Acts 2020, c. 50, § 1, eff. Oct. 1, 2020; Acts 2020, c. 51, § 1, eff. Oct. 1, 2020.
Formerly Art. 93, § 11-102.
MD Code, Estates and Trusts, § 11-102, MD EST & TRST § 11-102
Current with all legislation from the 2023 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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