City of Klamath Falls v. Bell

490 P.2d 515 (1971)

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City of Klamath Falls v. Bell

Oregon Court of Appeals
490 P.2d 515 (1971)

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Facts

Fred Schallock and Floy Daggett were the two shareholders of a corporation that owned land in the City of Klamath Falls (the city) (plaintiff). The corporation gifted the land to the city so long as the land was used for a library. Per the conveyancing deed, if the land ceased to be used as a library, then title passed to Schallock and Daggett or their heirs and assigns. The city operated a library for over 40 years. When the library closed, the corporation had been dissolved, and Schallock and Daggett had died. The city sued their heirs, Constance Bell, Marijane Flitcraft, and Caroline Crapo (defendants), seeking a declaration regarding the land’s ownership. Bell and Crapo conveyed any interest in the property to Flitcraft. The trial court concluded that the heirs’ executory interest was void under the rule against perpetuities and declared the city to hold fee simple title. The heirs appealed.

Rule of Law

Issue

Holding and Reasoning (Schwab, C.J.)

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