Fideicommissary Substitutions

Fideicommissary Substitutions

Fideicommissary substitutions were, before the French revolution, a devise whereby a grantor could transfer property to his grantee with the condition that the grantee would transfer the property to a third party upon the happening of a certain condition. This restriction on property transfers is known in the Common law as the problem of mortmain or “dead hand” control, which the Common law regulated via the Rule Against Perpetuities. The Civil Code similarly bans fideicommissary substitutions. Substitutions that are prohibited are generally termed “substitutions.” They are different from vulgar substitutions, and are prohibited, except as permitted under laws relating to trusts.

Vulgar Substitutions/ Instituted heir or legatee – A vulgar substitution, which is allowed, is a direct substitution in which a testator provides for a substitute legatee, in the event that the first legatee, called the instituted heir or legatee, does not accept the legacy (or if the instituted heir predeceases the testator).

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