Devises To Classes Flashcards
What is a class gift?
A class gift boasts three defining characteristics:
- The gift is slated for a group of people;
- Each member of the group takes a fraction of the whole; AND
- Both the beneficiaries’ identities and their fractional shares of the overall gift can change over time. (leave by death or enter by birth)
How does a term of relationship pertain to a class gift?
A donor creates a class gift by using a term of relationship, like children, or a group label, such as the players on the local football team.
(A class gift mustn’t be confused with a gift to multiple, specific recipients whose identities and shares are fixed. This sort of gift isn’t a class gift.)
What is the rule of convenience?
Under the rule of convenience, no new members can enter a class once the first class member becomes eligible to take. The class is said to close to new members at that time.
For gifts by will, when does a class normally close?
For gifts by will, the class normally closes on the testator’s death.
For future interests, when does a class close?
As to future interests, the class normally closes when the interest ripens into possession.
When does a class, based on age, close?
In the case of a gift to class members who reach a certain age, the class usually closes once the first class member attains the required age after the instrument creating the gift becomes effective. Any existing class members at that time will take once they reach the required age, but no new members can enter the class going forward.
What is the rule pertaining to class members in gestation?
A class member in gestation when the class closes can normally take alongside the other class members, provided she’s ultimately born viable. The Uniform Probate Code requires a class member in gestation at the class’s closing to survive for 120 hours after birth to take anything under the gift.
What is a single generation class gift?
A single-generation class gift is one that, by its terms, can span only one generation of lineal descendants. Common examples include gifts to brothers, sisters, grandchildren, and so on.
What is a multiple-generation class gift?
A multiple-generation class gift can vest in members across several generations, for instance, gifts to someone’s issue, relatives, descendants, and similar terms.
How is a single generation class gift distributed?
As a default rule, a single-generation class gift goes to each member in equal shares. This mode of distribution is called per capita distribution.
How is a multiple-generation class gift distributed?
A multiple-generation class gift is normally divided
1.among living class members by representation
- according to the members’ degree of relationship.
