Wills & Trusts

Front 1

Doctrine of Advancement

Back 1

Lifetime gift to one child and promise to do same for others. T dies intestate; the Lifetime gift is presumed an advancement on that child's inheritance

Front 2

Doctrine of Advancement in PA

Back 2

No gift is and advancement unless declared in contemporaneous writing as such by heir

Front 3

Extrinsic Evidence is allowed to prove __________ but not T's ____________

Back 3

Ambiguities

Ts Declaration

Front 4

Children =

Back 4

Adopted/foster/step/non-marital

Front 5

Anti-Lapse

Back 5

If B dies before T, then gift lapses unless Anti-Lapse

Front 6

If B dies before T and there is anti-laps who gets her gift?

Back 6

if she is a blood relative to T, then her issues (children) split unless another beneficiary is is Ts wife or children.

If B2 is Ts wife or children then gift as to B1 lapses

Front 7

Class Gift Rule

Back 7

Surviving members (children/nephew/nieces) take the gift. If you leave gift to blood relative then it passes to their heir

Front 8

In PA if Residuary Estate is devised to 2+ people and 1 gift fails for any reason, survivor takes ____________ in ___________ to assets in residue

Back 8

Entire estate

Proportion

Front 9

Abatement

Back 9

Decrease Bs gift due to omitted spouse/child

Front 10

Order for Abatement

Back 10

Sell Intestate Property
Residuary Estate
General Gifts
Demonstrative/Specific Gifts

Front 11

"my" = ________ gift

Back 11

Specific

Front 12

Increases in Value of Devisee

Back 12

Specific Devisee takes any additional/other securities of same entity owned by T (1) because of action Initiated by Entity (Not purchase options) or (2) where Entity merges/Consolidates/ Reorganizes

Front 13

NO Exoneration Rule

Back 13

Property devised is subject to all encumberances (mortgages) unless otherwise stated. For title to pass this must be paid off and you may not use the residuary estate to do this unless will clearly intends

Front 14

If 2 people die at the same time, then they are treated as having died ________ which generates _______ unless will provision states otherwise

Back 14

Simultaneously--Predeceasing each other

Lapse

Front 15

120 Hour Rule

Only applies to ___________

Back 15

You must survive 5 days after decedent otherwise you are treated as predeceased

Intestate wills

Front 16

PA Intestacy

Survived by Spouse ONLY then ____ to spouse

Survived by Spouse and Parent then ________ + ______ to spouse

Survived by Spouse & Issue of both of you then ____ and _____ to spouse

If Not issue of both then ______ to spouse

Back 16

ALL

30K + 1/2

30K + 1/2

1/2

Front 17

If will was written _______ marriage then surviving spouse gets ____________ share unless will gives spouse _______ share or it appears that the will was executed in _____________ of marriage

This is known as : ________ Spouse

Back 17

Before

Intestate

Greater

Contemplation

Pretermitted

Front 18

Elective Estate = Net ______ Estate and includes___________, ___________, ______________

Back 18

Testamentary

Revocable Trusts
Joint Bank Accounts
Transfers over 3K with last year of Ds life

Front 19

Elective Share is _____ of Elective Estate but is in lieu of all other interests in Ds property passing under will/trust/insurance policy/pension plan/property given by D during lifetime

Back 19

1/3

Front 20

Elective share right to take can be ____________ after fair disclosure in writing

Back 20

waived

Front 21

Spouse can elect to keep what is left under Ds estate plan, but then must ___________ the elective share value of any devise she _________

No double dip

Back 21

reduce

keep

Front 22

Pretermitted Child =

Back 22

Child born or adopted after the will is executed & where will does not name the child & no codicil

Front 23

Pretermitted Child gets __________ share, but this can not be paid out of Ds _________'s property unless omission is _____________

Back 23

Intestate

Spouse

Intentional

So if mother and child survive and child is not named and he leaves her everything then child gets nothing

Front 24

Adopted children can inherit from _____________ and they can inherit from him, but Adopted child can NOT inherit from ___________. May be able to inherit from __________ of birth mother if there is maintained relationship

Back 24

Adoptive Parents
Birth Mother
Kin

Front 25

Trust is a ________ that holds _____________ for benefit of the ____________

Back 25

Written Agreement
Legal Title to Property
Beneficiary

Front 26

Trust can NOT be created by using:

Back 26

Wishful/Hopeful/Desires

Front 27

Power of Appointment:

Donor =
Donee=
Takers in Fault=

Back 27

1. Person whose will creates power of property in trust

2. Person who is appointed testamentary power to distribute property how they wish

3. If donee does not take property or execute power by death then power goes to her decedents by terms of will

Front 28

Power of appointment will pass to donee's decedents by __________ if she makes no reference to power in will unless donor's will says donee must make specific reference in her will for it to pass

Back 28

Presumption

Front 29

Totten Trust

Back 29

Not a true trust, more like will substitute

Front 30

Totten Trusts always involve a

Back 30

Bank Account where upon Ts death B takes what is left

Front 31

Depositors creditors can reach a ____________ during his lifetime

Back 31

Totten Trust

Front 32

Totten Trusts can be revoked during life by ________ or _____________

Back 32

Intent

Depositor's Will

Front 33

Totten Trust: If B dies before T then bank account becomes _________ and there is automatic ____________

Back 33

Regular

Revocation

Front 34

Charitable Trusts are created for _________ benefit and must be __________ charitable; B must be _____________

Back 34

Public
100%
Indefinite

Front 35

Doctrine of Cy Pres

Back 35

"As Near As possible"

if specific purpose of charitable trust can no longer be accomplished then court may reform it

Front 36

How to Reform under Doctrine of Cy Pres: Look at Primary Intent and Specific Direction. If Primary is no longer possible then trust is ___________ and distributed to ____________, but if secondary purpose can be generalized then __________________ "as near as possible" to original intet

Back 36

Terminated
Heirs
Dedicate to New Charity

Front 37

Charitable Trusts are NOT subject to the rules of:

Back 37

Rule Against Perpetuities

Rule Against Accumulation

Front 38

Spendthrift Trust

Back 38

B can't transfer right to future payments of income/principle and creditors can not attack if settlor's intent is clear

Front 39

Spendthrift Trust Exceptions

Back 39

If B doesn't need whole thing to live off of

If there is no intent to bar creditors then creditor must get ct order

Alimony

Child Support

Creditors who provide Necessities

State/US Claims

Front 40

Duties of Trustee

Back 40

Supervise agents, Avoid Self Dealing, Follow instructions, Earmark Assets, Act with Skill, Diversity Assets/Make Trust Productive

Front 41

If Trustee breaches: B may seek (1) __________ or ________, which is called surcharge; there is NO _____________ (2) _________ and absolve or (3) if there is self dealing _______________

Back 41

Seek Damages
Removal
Defense
Ratify
Trace and Recover

Front 42

How to measure damages: ____________ + ________at the time of suit

Back 42

Actual Loss to Trust

Interest