THE RULE AGAINST PERPETUITIES:
INTERESTS EXEMPT FROM THE RULE
The charity to charity gift over rule allows a gift to vest because of a remote event as long as both parties are charities.
Vested interests are not subject to the rule. Thus, a devise "to A for life, then to A's children for life, then to Bin fee simple," is valid because B's interest is a vested remainder.
**Vested remainders in a class, however, are subject to the Rule so long as the class remains open.
Reversions, possibilities of reverter, and rights of entry are all vested in interest and hence not subject to the Rule.
Possibilities of reverter and rights of entry, which are exempt from the Rule, must be carefully distinguished from executory interests, which are subject to the Rule. Remember that executory interests are created in transferees; possibilities of reverter and rights of entry are created only in the grantor.