Utah Code 75A-4-310. Disposition of unappointed property under released or unexercised general power
Current as of: 2024 | Check for updates
|
Other versions
To the extent a powerholder releases or fails to exercise a general power of appointment other than a power to withdraw property from, revoke, or amend a trust:
(1) the gift-in-default clause controls the disposition of the unappointed property; or
Terms Used In Utah Code 75A-4-310
- Appointee: means a person to which a powerholder makes an appointment of appointive property. See Utah Code 75A-4-102
- Donor: The person who makes a gift.
- Donor: means a person that creates a power of appointment. See Utah Code 75A-4-102
- Estate: means the same as that term is defined in Section
75-1-201 . See Utah Code 75A-4-102 - General power of appointment: means a power of appointment exercisable in favor of the powerholder, the powerholder's estate, a creditor of the powerholder, or a creditor of the powerholder's estate. See Utah Code 75A-4-102
- Gift-in-default clause: means a clause identifying a taker in default of appointment. See Utah Code 75A-4-102
- Impermissible appointee: means a person that is not a permissible appointee. See Utah Code 75A-4-102
- Permissible appointee: means a person in whose favor a powerholder may exercise a power of appointment. See Utah Code 75A-4-102
- Powerholder: means a person in whom a donor creates a power of appointment. See Utah Code 75A-4-102
- Property: means the same as that term is defined in Section
75-1-201 . See Utah Code 75A-4-102 - Trust: means the same as that term is defined in Section
75-1-201 . See Utah Code 75A-4-102
(2) if there is no gift-in-default clause or to the extent the clause is ineffective:
(2)(a) except as otherwise provided in Subsection (2)(b), the unappointed property passes to:
(2)(a)(i) the powerholder if the powerholder is a permissible appointee and is living; or
(2)(a)(ii) if the powerholder is an impermissible appointee or is deceased, the powerholder’s estate if the estate is a permissible appointee; or
(2)(b) to the extent the powerholder released the power, or if there is no taker under Subsection (2)(a), the unappointed property passes under a reversionary interest to the donor or the donor‘s transferee or successor in interest.