Jackson set up a trust for his seven children. Most of the assets in the trust consisted of stock in the two newspapers owned and run by Jackson. Over the course of 18 years, Jackson transferred all but two shares of voting stock in the newspapers. The trustee was given full power to manage the assets in the fund and sell or otherwise dispose of the newspaper stock. State law places a strict 10-year limit on voting trusts.
The plaintiffs claimed that the trust, which had lasted 18 years, was no longer valid, having passed the 10-year limit. The defendants claimed that the 10-year limit did not apply to this trust. Were the defendants correct? Explain.
Jackson v. Jackson, 402 A.2d 893 (CT).