chapter 8

Question 1

Intestate

Answer 1

To die without a will

Question 2

Estate

Answer 2

Entirety of a persons assets and liabilities

Question 3

Probate

Answer 3

Process of determining will is valid, appointing of administrator

Question 4

Decedent

Answer 4

Person who has died

Question 5

Per Capita

Answer 5

Per Person

Question 6

Per Stripes

Answer 6

Per Family Line

Question 7

Administrator

Answer 7

Person appointed to manage estate

Question 8

Executor

Answer 8

Person appointed to manage an estate

Question 9

Testator

Answer 9

Person appointed to manage as estate

Question 10

Bond

Answer 10

A security to guarantee performance

Question 11

Testamentary Trust

Answer 11

Trust created in a will

Question 12

Inter vivos trust

Answer 12

Trust created during settler’s lifetime also called a living trust

Question 13

Pour-over Will

Answer 13

Transfers assets to a trust

Question 14

Elective Share

Answer 14

Also called forced inheritance legal requirement that spouse inherit percentage

Question 15

Attestation

Answer 15

Witnessing the signing of a will and signing as verification

Question 16

Holographic

Answer 16

In testator’s own handwriting

Question 17

Nuncupative

Answer 17

Oral, spoken to another person, generally only valid for those in the armed services

Question 18

Self-Proving

Answer 18

Witnesses have signed sworn statement testimony in court may be excused

Question 19

Affidavit

Answer 19

Sworn Statement

Question 20

Mystic

Answer 20

Sealed until testator’s death

Question 21

Reciprocal

Answer 21

Wills with mirror terms as an agreement between testators

Question 22

Interested Witnesses

Answer 22

Person who stands to benefit by some provision in the will

Question 23

Codicil

Answer 23

Amendment or Addition to the will

Question 24

Incorporation by reference

Answer 24

Making an outside document part of the current document by description

Question 25

Ancillary Administration

Answer 25

Additional probate process because descendant owned property in another state

Question 26

Step-Up Basis

Answer 26

Readjustment of “beginning” value of property upon inheritance

Question 27

Capital Gains

Answer 27

Tax on difference between sales price and acquisition price

Question 28

Carry Over Basis

Answer 28

Beneficiary inherits property subject to gain during testator’s lifetime

Question 29

In Terrorem Clause

Answer 29

Provision threatening that anyone challenging legality of will or any part of it will be cut off or given a dollar amount instead of the gift provided in the will

Question 30

Undue Influence

Answer 30

Domination such that victim cannot exercise free will

Question 31

Fraud

Answer 31

False Statement of material fact, made with intent to deceive on which the victim reasonably relied

Question 32

Duress

Answer 32

Compulsion by Threat

Question 33

Trust

Answer 33

Property is held in mane of trustee for benefit of beneficiaries

Question 34

Trustee

Answer 34

One who holds property for the benefit of another

Question 35

Grantor

Answer 35

Person who creates trust

Question 36

Settlor

Answer 36

Person who creates trust

Question 37

Beneficiaries

Answer 37

Person who receives benefits of trust assets

Question 38

Revocable

Answer 38

Trust in which settlor can terminate trust and regain control of assets

Question 39

Life Estate

Answer 39

Ownership that terminates with death