Treats all future interests created through a chain of non-general or testamentary powers of appointment as if they were created at the time of the first such power.
Established rule of construction for interests subject to the rule against perpetuities.
A nonvested property interest is invalid unless when interest is created, it is certain to vest or terminate no later than 21 years after the death of an individual then alive.
Or, unless the interest either vests or terminates within 90 years after its creation.
Time creation of nonvested property interest determined under property law principles.
If someone can exercise power created by governing instrument, nonvested property appointment is created when power of unqualified beneficial owner terminates.
Nonvested property interest or power of appointment created by exercise of power of appointment is created when power is irrevocably exercised, becomes irrevocable.
With respect to validity of interest within rule against perpetuities, as a rule of construction it be presumed that transferor of interest intended that interest be valid.
As to any trust created on or after Jul. 1, 2025, Art. 1A shall apply to a nonvested property interest or power of appointment contained in a trust by substituting 1,000 years in place 23 of 90 years in each place such term appears in this article.
Unless terms of trust require interests in trust vest or terminate within lesser period.
Legislative History
On Feb. 20, 2025, bill delivered to House; on Mar. 12, 2025, bill was passed in House.
On Mar. 13, 2025, bill introduced in Senate; on Apr. 8, 2025, bill passed in Senate.
On Apr. 9, 2025, bill returned to House; on Apr. 14, 2025, bill delivered to governor.
Effectiveness
Bill becomes effective 90 days from approval.
Apr. 2025 WV LEG Governor Approval
On Apr. 25, 2025, WV LEG reported governor approved bill, effective on Jul. 7, 2025.
Jun. 2025 Editorial Update
On Jun. 11, 2025, Reg-Track made an editorial update to change rule type to final.
