Gifts (& failure of Gifts)

Question 1

What are the 4 main types of Gifts in a will?

Answer 1

(1) SPECIFC gifts
(2) GENERAL gifts
(3) DEMONSTRATIVE gifts
(4) RESIDUARY gifts

Question 2

What are ‘SPECIFIC Gifts’?

Answer 2

PARTICULAR Item given to a person

Question 3

What are ‘GENERAL Gifts’?

Answer 3

Items NOT DISTINGUISHED from each other
(e.g. 300 shares in a company)

Question 4

What are ‘DEMONSTRATIVE’ Gifts?

Answer 4

GENERAL Gift BUT paid from a SPECIFIC FUND
(e.g. £100 to X from HSBC Account)

Question 5

What are ‘RESIDUARY gifts?

Answer 5

Anything in the ESTATE NOT otherwise disposed of

Question 6

What word is used to describe a gift that NO LONGER exists on T’s death?

Answer 6

Ademption

Question 7

Gifts that are ‘Adeeemed’ (i.e. no longer exist on T’s death) will Fail / Void.

(1) What 1 type of gift does this rule apply to?
(2) What 2 types of gifts do the rules NOT apply to

Answer 7

(1) SPECIFIC gifts
(2)
(a) GENERAL gifts
(b) DEMONSTRATIVE gifts

Question 8

An asset that has changed in NATURE may be ‘Adeemed’. (1) What is the test used to determine this?
(2) Will this test be met for:
(a) Change in NAME
(b) CHANGE in SUBSTANCE

Answer 8

TEST - Is the Asset ‘SUBSTANTIALLY THE SAME’?
(a) Change in NAME - YES
(b) Change in SUBSTANCE - NO