A power holder of a power of appointment that is not presently exercisable may contract to exercise or not to exercise the power only if the power holder both:

(1) Is also the donor of the power.

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Terms Used In North Carolina General Statutes 31D-4-406

  • Contract: A legal written agreement that becomes binding when signed.
  • Donor: The person who makes a gift.
  • Revocable trust: A trust agreement that can be canceled, rescinded, revoked, or repealed by the grantor (person who establishes the trust).

(2) Has reserved the power in a revocable trust. (2015-205, s. 3(a).)