404. Interests determinable on bankruptcy.

404.     Interests determinable on bankruptcy.

An interest in property, determinable and passing away to another person on the possessor's bankruptcy, does not become divisible among the bankrupt's creditors, if the settlor or person creating the interest is someone other than the bankrupt1.

The rule is that the owner of property may, on alienation, qualify the interest of his alienee by a condition to take effect on the alienee's bankruptcy; but he cannot, by contract or otherwise, qualify his own interest by a similar condition, determining or controlling it in the event of his own bankruptcy to the disappointment