Changes to Property

Question 1

Changes to Property

Answer 1

1. Ademption by Extinction
2. Satisfication and Advancement
3. Increases
   4.

Question 2

Ademption by Extinction

Answer 2

1. Applies only to specific devises
2. If at the time of death the estate no longer contains that specific item, then that specific item has been adeemed, then beneficiary gets nothing
3. Partial ademption: beneficiary gets whatever is left ofer
4. Judicial ways to get around ademption by:
   
   1. awarding insurance proceeds, unpaid condemnation award, or purchase price to devisee;
   2. classifying devise as something other than specific devise; or
   3. construing clause at time of death rather than at execution

Question 3

Satisfaction (only applies to wills)

Answer 3

1. Where there is a general gift in a will, but after the will executed and prior to death, testator makes an intervivos gift to the devisee;
2. the inter vivos git will satisfy the gift left in the will, if:
   
   1. must be so stated in the will;
   2. writing signed by testator or beneficiary stating that this is meant to be in satisfaction; or
   3. other extrinsic evidence brought in that shows T intended this to be in satisfaction

Question 4

Advancement (only applies intestate)

Answer 4

Decedent’s prperty that he gave to an heir in his lifetime is treated as an advancement against the estate if:

• There is a contemporaneous writing by the decedent or acknowledged in writing by the heir as an advancement; OR
• decedent’s contemporaneous writing or the heir’s written acknowledgement indicates that the gift is to be taken into account in computing the division and distribution of the decedent’s intestate estate.

Result of an advancement:

• Reduces the amount of the heir’s intestate share by the value of the advancement

Question 5

Increases

(After will execution, but before decedent’s death)

Answer 5

Any increase in propert after will was written but before decent does doesn’t go to the devisee

Exception: Stock

• Any increase in a specific gift of stocks as a result of a stock split will pass to devisee
• If it’s general gift of stock, devisee does not get the increase

Question 6

Increases

(after death of testator, but before distribution)

Answer 6

1. A specific devisee gets those increases
2. A general or demonstrative devisee generally does not get the increase; the increase falls to the estate