Changes in Beneficiaries and Property After Will's Execution Flashcards
What happens when a will beneficiary dies during the testator’s lifetime?
When does VA’s anti-lapse statute change the outcome?
The gift lapses (fails).
When the beneficiary was a grandparent or lineal descendant of the testator’s grandparents, in which case the statute operates to save the testamentary gift (whether for the beneficiary or her descendants).
What happens when a residuary gift lapses?
The residual beneficiaries who survive the testator take the deceased beneficiaries share in proportion to their interest in the residue.
Subject to Anti-Lapse Statute.
What happens if a will makes a gift to a beneficiary who was dead at the time the will was executed?
The gift is void, subject to the anti-lapse statute.
What happens when specifically bequeathed property is not in testator’s estate at death?
The bequest is adeemed (it fails).
This applies ONLY to specifically devises and bequeaths. It does not apply to interests in property, only the property itself.
What is the difference between a general legacy and a demonstrative legacy?
To which does ademption apply?
The former is a bequest of a dollar amount that is payable out of the general assets of the estate without a claim on any particular source of payment.
The latter is a gift of a vernal amount that identifies a particular asset as the primary source of payment.
Demonstrative legacies, if the property is specifically identifies (e.g. “my 200 shares)
What are the statutory exceptions to the ademption doctrine?
1) Sale by guardian or conservator: beneficiary entitled to general legacy equal to the net sale price or insurance proceeds
2) After death of testator, specific devisees have a right to (a) condemnation awards for taking by eminent domain; (b) any proceeds from fire or casualty insurance on the property
3) Specific devisees are entitled to securities of another corporation owned by the testator as a result of merger, etc.
What happens if a cash legacy is not paid within one year?
The beneficiary is entitled to interest until it is paid.
