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PERPETUITIES ACT (NORTHERN IRELAND) 1966

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - LONG TITLE

An Act to amend the law relating to the avoidance of future
interests in property on grounds of remoteness and certain matters
connected therewith.
[24th March 1966]
Power to specify perpetuity period.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 1

1.(1) Subject to subsection (2) and section 10(3), where the
instrument by which any disposition is made so provides, the
perpetuity period applicable to the disposition under the rule
against perpetuities, instead of being of any other duration, shall
be of a duration equal to such number of years not exceeding
eighty as is specified in that behalf in the instrument.

(2) Subsection (1) shall not have effect where the disposition is
made in exercise of a special power of appointment, but where a
period is specified under that subsection in the instrument creating
such a power the period shall apply in relation to any disposition
under the power as it applies in relation to the power itself.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 2
Presumption and evidence as to future parenthood.

2.(1) Where in any proceedings there arises on the rule against
perpetuities a question which turns on the ability of a person to
have a child at some future time, then

(a)subject to paragraph (b), it shall be presumed that a male can
have a child at the age of fourteen years or over, but not under
that age, and that a female can have a child at the age of
twelve years or over, but not under that age or over the age of
fifty-five years; but

(b)in the case of a living person evidence may be given to show
that he or she will or will not be able to have a child at the
time in question.

(2) Where any such question is decided by treating a person as
unable to have a child at a particular time, and he or she does
so, the High Court may on an application made to it make such
order as it thinks fit for placing the persons interested in the
property comprised in the disposition, so far as may be just, in
the position they would have held if the question had not been so
decided.

(3) Subject to subsection (2), where any such question is decided
in relation to a disposition by treating a person as able or
unable to have a child at a particular time, then he or she shall
be so treated for the purpose of any question which may arise on
the rule against perpetuities in relation to the same disposition in
any subsequent proceedings.

(4) In the foregoing provisions of this section references to having
a child are references to begetting or giving birth to a child,
but those provisions (except subsection (1)(b)) shall apply in
relation to the possibility that a person will at any time have a
child by adoption, legitimation or other means as they apply to his
or her ability at that time to beget or give birth to a child.

(5) Subsections (1) to (4) shall apply to any question as to the
right of beneficiaries to put an end to accumulations of income
under any disposition as they apply to any question arising on the
rule against perpetuities.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 3
Uncertainty as to remoteness.

3.(1) Where, apart from the provisions of this section and sections
4 and 5, a disposition would be void on the ground that the
interest disposed of might not become vested until too remote a
time, the disposition shall be treated, until such time, if any, as
it becomes established that the vesting must occur, if at all,
after the end of the perpetuity period, as if the disposition were
not subject to the rule against perpetuities; and its becoming so
established shall not affect the validity of anything previously done
in relation to the interest disposed of by way of advancement,
application of intermediate income or otherwise.

(2) Where, apart from the provisions mentioned in subsection (1), a
disposition consisting of the conferring of a general power of
appointment would be void on the ground that the power might not
become exercisable until too remote a time, the disposition shall be
treated, until such time, if any, as it becomes established that
the power will not be exercisable within the perpetuity period, as
if the disposition were not subject to the rule against
perpetuities.

(3) Where, apart from the provisions mentioned in subsection (1), a
disposition consisting of the conferring of any power, option or
other right would be void on the ground that the right might be
exercised at too remote a time, the disposition shall be treated as
regards any exercise of the right within the perpetuity period as
if it were not subject to the rule against perpetuities and,
subject to the said provisions, shall be treated as void for
remoteness only if, and so far as, the right is not fully
exercised within that period.

(4) Where this section applies to a disposition and the duration of
the perpetuity period is not determined by virtue of section 1 or
section 10(3), it shall be determined as follows:

(a)where any persons falling within subsection (5) are individuals in
being and (except in the case of a spouse within subsection (5)(f))
ascertainable at the commencement of the perpetuity period the
duration of the period shall be determined by reference to their
lives and no others, but so that the lives of any description of
persons falling within paragraph (b) or paragraph (c) of that
subsection shall be disregarded if the number of persons of that
description is such as to render it impracticable to ascertain the
date of death of the survivor;

(b)where there are no lives under paragraph (a) the period shall be
twenty-one years.

(5) The said persons are as follows:

(a)the person by whom the disposition was made;

(b)a person to whom or in whose favour the disposition was made,
that is to say

(i)in the case of a disposition to a class of persons, any member
or potential member of the class;

(ii)in the case of an individual disposition to a person taking
only on certain conditions being satisfied, any person as to whom
some of the conditions are satisfied and the remainder may in time
be satisfied;

<(iii)in the case of a special power of appointment exercisable in favour of members of a class, any member or potential member of the class;

<(iv)in the case of a special power of appointment, exercisable in favour of one person only, that person or, where the object of the power is ascertainable only on certain conditions being satisfied, any person as to whom some of the conditions are satisfied and the remainder may in time be satisfied;

(v)in the case of any power, option or other right, the person on
whom the right is conferred;

(c)a person having a child or grandchild within sub-paragraphs (i)
to (iv) of paragraph (b), or any of whose children or
grandchildren, if subsequently born, would by virtue of his or her
descent fall within those sub-paragraphs, or any of whose
grandchildren, if subsequently born, would by virtue of his or her
birth take a vested interest under the disposition;

(d)any person on the failure or determination of whose prior
interest the disposition is limited either mediately or immediately
to take effect;

(e)a person having a child or grandchild within paragraph (d);

(f)a spouse of any person within paragraph (b)(i) to (iv).

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 4
Reduction of age and exclusion of class members to avoid remoteness.

4.(1) Where a disposition is limited by reference to the attainment
by any person or persons of a specified age exceeding twenty-one
years, and it is apparent at the time the disposition is made or
becomes apparent at a subsequent time

(a)that the disposition would, apart from this section, be void for
remoteness; but

(b)that it would not be so void if the specified age had been
twenty-one years;

(2) Where in the case of any disposition different ages exceeding
twenty-one years are specified in relation to different persons

(a)the reference in subsection (1)(b) to the specified age shall be
construed as a reference to all the the specified ages; and

(b)that subsection shall operate to reduce each such age so far as
is necessary to save the disposition from being void for remoteness.

(3) Where the inclusion of any persons, being potential members of
a class or unborn persons who at birth would become members or
potential members of the class, prevents the foregoing provisions of
this section from operating to save a disposition from being void
for remoteness, those persons shall thenceforth be deemed for all
the purposes of the disposition to be excluded from the class, and
the said provisions shall thereupon have effect accordingly.

(4) Where, in the case of a disposition to which subsection (3)
does not apply, it is apparent at the time the disposition is made
or becomes apparent at a subsequent time that, apart from this
subsection, the inclusion of any persons, being potential members of
a class or unborn persons who at birth would become members or
potential members of the class, would cause the disposition to be
treated as void for remoteness, those persons shall, unless their
exclusion would exhaust the class, thenceforth be deemed for all the
purposes of the disposition to be excluded from the class.

(5) Where this section has effect in relation to a disposition to
which section 3 applies, the operation of this section shall not
affect the validity of anything previously done in relation to the
interest disposed of by way of advancement, application of
intermediate income or otherwise.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 5
Condition relating to death of surviving spouse.

5. Where a disposition is limited by reference to the time of
death of the survivor of a person in being at the commencement of
the perpetuity period and any spouse of that person, and that time
has not arrived at the end of the perpetuity period, the
disposition shall be treated for all purposes, where to do so would
save it from being void for remoteness, as if it had instead been
limited by reference to the time immediately before the end of that
period.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 6
Saving and acceleration of expectant interests.

6. A disposition shall not be treated as void for remoteness by
reason only that the interest disposed of is ulterior to and
dependent upon an interest under a disposition which is so void,
and the vesting of an interest shall not be prevented from being
accelerated on the failure of a prior interest by reason only that
the failure arises because of remoteness.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 7
Powers of appointment.

7.(1) Subject to subsection (2), for the purposes of the rule
against perpetuities, a power of appointment shall be treated as a
special power unless

(a)in the instrument creating the power it is expressed to be
exercisable by one person only; and

(b)it could, at all times during its currency when that person is
of full age and capacity, be exercised by him so as immediately to
transfer to himself the whole of the interest governed by the power
without the consent of any other person or compliance with any
other condition, not being a formal condition relating only to the
mode of exercise of the power.

(2) For the purpose of determining whether a disposition made under
a power of appointment exercisable by will only is void for
remoteness, the power shall be treated as a general power where it
would have fallen to be so treated if exercisable by deed.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 8
Administrative powers of trustees.

8.(1) The rule against perpetuities shall not operate to invalidate
a power conferred on trustees or other persons to sell, lease,
exchange or otherwise dispose of any property for full consideration,
or to do any other act in the administration (as opposed to the
distribution) of any property, and shall not prevent the payment to
trustees or other persons of reasonable remuneration for their
services.

(2) Subsection (1) shall apply for the purpose of enabling a power
to be exercised at any time after the passing of this Act
notwithstanding that the power is conferred by an instrument which
took effect before that passing.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 9
Other restrictions on the perpetuity rule.

9.(1) It is hereby declared that the rule against perpetuities does
not apply, and never applied, to

(a)any power to distrain on or to take possession of land or the
income thereof given by way of indemnity against a rent, whether
charged upon or payable in respect of any part of that land or
not; or

(b)any rentcharge created only as an indemnity against another
rentcharge, although the indemnity rentcharge may arise or become
payable only on breach of a condition or stipulation; or

(c)any power, whether exercisable on breach of a condition or
stipulation or not to retain or withhold payment of any instalment
of a rentcharge as an indemnity against another rentcharge; or

(d)any grant, exception, or reservation of any right of entry on,
or user of, the surface of land or of any easements, rights, or
privileges over or under land for the purpose of

(i)winning, working, inspecting, measuring, converting, manufacturing,
carrying away, and disposing of mines and minerals;

(ii)inspecting, grubbing up, felling and carrying away timber and
other trees, and the tops and lops thereof;

<(iii)executing repairs, alterations, or additions to any adjoining land, or the buildings and erections thereon;

<(iv)constructing, laying down, altering, repairing, renewing, cleansing, and maintaining sewers, water-courses, cesspools, gutters, drains, water-pipes, gas-pipes, electric wires or cables or other like works.

(2) Subsection (1) shall apply to instruments coming into operation
before or after the passing of this Act.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 10
Options relating to land.

10.(1) The rule against perpetuities shall not apply to a
disposition consisting of the conferring of an option to acquire for
valuable consideration an interest reversionary (whether directly or
indirectly) on any lease if

(a)the option is exercisable only by the lessee or his successors
in title; and

(b)it ceases to be exercisable at or before the expiration of one
year following the determination of the lease.

(2) Subsection (1) shall apply in relation to an agreement for a
lease as it applies in relation to a lease, and "lessee" shall be
construed accordingly.

(3) In the case of a disposition consisting of the conferring of
an option to acquire for valuable consideration any interest in land
(other than such a disposition as is mentioned in subsection (1)),
the perpetuity period under the rule against perpetuities shall be
twenty-one years, and section 1 shall not apply.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 11
Avoidance of contractual and other rights in cases of remoteness.

11. Where a disposition inter vivos would fall to be treated as
void for remoteness if the rights and duties thereunder were capable
of transmission to persons other than the original parties and had
been so transmitted, it shall be treated as void as between the
person by whom it was made and the person to whom or in whose
favour it was made or any successor of his, and no remedy shall
lie in contract or otherwise for giving effect to it or making
restitution for its lack of effect.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 12
Rights for enforcement of rentcharges.

12.(1) Notwithstanding anything in section 13 the rule against
perpetuities shall not apply to any powers or remedies for
recovering or compelling the payment of an annual sum to which
section 44 of the Conveyancing and Law of Property Act 1881 and
section 6 of the Conveyancing Act 1911 apply, or otherwise becoming
exercisable or enforceable on the breach of any condition or other
requirement relating to that sum.

Subs.(2) rep. by SLR 1973; subs.(3) amends s.6(2) of 1911 c.37

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 13
Conditions subsequent, possibilities of reverter, etc.

13.(1) Subject to the succeeding provisions of this section, the
following rights shall not be exercisable after the end of the
perpetuity period:

(a)a right of entry in respect of a fee simple exercisable on
condition broken or for any other reason; or

(b)in relation to property other than land, any right equivalent to
the right mentioned in paragraph (a).

(2) Subsection (1)(a) does not apply to any right conferred by
section 52 of the Landlord and Tenant Law Amendment Act, Ireland,
1860.

(3) Where a disposition creates

(a)a possibility of reverter on the determination of a determinable
fee simple; or

(b)a possibility of a resulting trust on the determination of any
other determinable interest in property;

(4) Where

(a)a disposition is subject to any exception or reservation or to
any condition subsequent giving rise, on breach thereof, to any such
right as is mentioned in subsection (1); or

(b)a disposition creates any such possibility as is mentioned in
subsection (3);

(5) Subsection (1)(b) shall apply to instruments coming into
operation before or after the passing of this Act.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 14
Contingent remainders.

14.(1) The rule against perpetuities shall not be inapplicable to a
disposition by reason only that it creates a contingent remainder.

(2) Subsection (1) shall apply to a disposition by way of the
exercise of a power of appointment whether the power is created
before or after the passing of this Act.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 15
Abolition of the double possibility rule.

15. The rule of law prohibiting the limitation, after a life
interest to an unborn person, of an interest in land to the unborn
child or other issue of an unborn person is hereby abrogated, but
without prejudice to the rule against perpetuities.

PERPETUITIES ACT (NORTHERN IRELAND) 1966 - SECT 16
Short title and interpretation.

16.(1) This Act may be cited as the Perpetuities Act (Northern
Ireland) 1966.

(2) In this Act

"disposition" includes the conferring of a power of appointment and
any other disposition of an interest in or right over property, and
references to the interest disposed of shall be construed
accordingly;

"in being" means living or en ventre sa me0re;

"power of appointment" includes any discretionary power to transfer a
beneficial interest in property without the furnishing of valuable
consideration;

"will" includes a codicil;

(3) For the purposes of this Act a person shall be treated as a
member of a class if in his case all the conditions identifying a
member of the class are satisfied, and shall be treated as a
potential member if in his case some only of those conditions are
satisfied but there is a possibility that the remainder will in
time be satisfied.

(4) Nothing in this Act shall affect the operation of the rule of
law rendering void for remoteness certain dispositions under which
property is limited to be applied for purposes other than the
benefit of any person or class of persons in cases where the
property may be so applied after the end of the perpetuity period.

(5) The foregoing sections shall apply (except as provided in
section 8(2), section 9(2), section 13(5) and section 14(2)) only in
relation to instruments taking effect after the passing of this Act,
and in the case of an instrument made in the exercise of a
special power of appointment shall apply only where the instrument
creating the power takes effect after that passing, so however that
section 7 shall apply in all cases for construing the foregoing
reference to a special power of appointment.

(6) This Act shall apply in relation to a disposition made
otherwise than by an instrument as if the disposition had been
contained in an instrument taking effect when the disposition was
made.