ENGR. H. B. NO. 1553 Summary

• Creates the "Statutory Rule Against Perpetuities Act" codified in 60 O.S. 2011, establishing statutory limits on perpetual trusts and property interests effective November 1, 2013

• Restricts nonvested property interests and powers of appointment to either vest within 21 years after death of a living individual or within 500 years of creation; allows court reformation of dispositions that violate this rule

• Excludes certain transactions from the rule including nondonative transfers (marriage-related arrangements, employment benefit plans), fiduciary powers, charitable gifts, and properties previously exempted under state law

• Amends sections 31, 32, and 172 of Title 60 to clarify that power of alienation is not suspended when a trustee has power to sell trust property and modifies express trust duration requirements

• Repeals 60 O.S. 2011, Section 175.47 regarding suspension of power of alienation and provides for reformation of pre-November 1, 2013 trusts found to violate prior perpetuities rules