Kerley v. Nu-West, Inc.

OPINION

KLEINSCHMIDT, Judge.

This case presents questions of whether an agreement to sell land and a consulting agreement are invalid because they constitute an unreasonable restraint on alienation or because they violate the rule against perpetuities. We hold that the agreements are valid.

THE AGREEMENTS

L.C. Jacobson and Resorco, Inc. had an interest in a subdivision known as Pinetop Lakes. In 1980, acting through a trustee, they sold fifteen acres of land in the subdivision to Robert Kerley. They retained their interest in adjoining land.

The transaction was set forth in two separate but…