TF (Part 7)

Question 1

Real property that is located in another jurisdiction can be probated in that jurisdiction or the jurisdiction where the decedent was domiciled.

Answer 1

False

Question 2

Husband and Wife die simultaneously. Both died intestate with no children. Husband had a bank account holding $100,000, Wife had a bank account holding $200,000 and they held a joint account holding $300,000. Husband’s family should receive $250,000.

Answer 2

True

Question 3

For an individual to be disqualified under 755 ILCS 5/2-6 (Person Causing Death) there must be a criminal conviction. The probate court plays not role in this determination.

Answer 3

False

Question 4

Client, who lives in Illinois, can leave his caregiver $25,000 for her loyalty and service in his will.

Answer 4

False

Question 5

Beneficiaries of a trust have legal title to the trust property, which allows them to hold the trustee accountable for breach of the trustee’s fiduciary duty.

Answer 5

False

Question 6

A trustee who commingles trust property with his own is guilty of a breach of trust even if the trustee does not use the trust funds for his own purposes.

Answer 6

True

Question 7

A beneficiary of a spendthrift trust cannot transfer his beneficial interest and his creditors cannot attach it.

Answer 7

True

Question 8

The two core principles of a trustee’s fiduciary duty are 1) duty of prudent administration and 2) duty of confidentiality.

Answer 8

False

Question 9

Under the doctrine of cy pres, if a charitable trust’s specific purpose becomes illegal, impossible, or impracticable, the court may direct the application of the trust property to another charitable purpose that approximates the settlor’s general charitable intent.

Answer 9

True

Question 10

When property is divided into as many shares as there are living children of the designated person and deceased children who have descendants living; and the children of each deceased descendant represent their deceased parent are moved into their parent’s position beginning at the first generation below the designated person is an example of strict per stripes.

Answer 10

TRue

Question 11

Under the UPC, the four core formalities are –writing, signature, and attestation, and presence.

Answer 11

False. Under UPC its only three, writing, signature, and attestation.

Question 12

To revoke a will, it is enough to perform a Revocatory act on another document like the original, or an unexecuted copy.

Answer 12

False

Question 13

Lawyers may be entitled to compensation for serving as a fiduciary.

Answer 13

True

Question 14

An ademption by extinction is when a will includes a specific devise of an item of property, but the testator sells or gives the item away before death.

Answer 14

True

Question 15

An inter vivos trust created by a written instrument was presumed to be irrevocable unless there there was an express reservation by the settlor of a power to revoke the trust.

Answer 15

False, it can be express or implied.

Question 16

Either spouse can dispose of his or her half of the couple’s community property at death.

Answer 16

True

Question 17

The investment function involves reviewing the trust assets and then making and implementing an ongoing program of investment in light of the purpose of the trust and the circumstances of the beneficiaries.

Answer 17

True

Question 18

Diversifiable risk, under the prudent practice, deceases the risk of exposure to loss without any offsetting improvement in expected return.

Answer 18

False, it increases the risk.

Question 19

A trustee is not liable for a mistaken delivery of trust property to an ineligible person even if the trustee reasonably believed that the person was a proper recipient.

Answer 19

False, the trustee is liable.

Question 20

Upon death, the law of the state where you are domiciled governs the disposition of your property.

Answer 20

True

Question 21

A will passes all property the testator owns at death, including property acquired after execution of the will.

Answer 21

True

Question 22

Probate property passes either under a will or by intestacy.

Answer 22

True

Question 23

Non-probate property passes by a will substitute.

Answer 23

True

Question 24

Creditors do not need to be paid when closing an estate.

Answer 24

False

Question 25

An estate under $100,000.00 is classified as a small estate.

Answer 25

True

Question 26

If decedent dies testate, the will appoints an administrator?

Answer 26

False

Question 27

If the decedent dies intestate, the court will name a personal representative called the administrator.

Answer 27

True

Question 28

A core function of probate is to protect creditors by providing a procedure for payment of decedent debts.

Answer 28

True

Question 29

A testamentary trust passes through probate according to the will.

Answer 29

True