Escolar Documentos
Profissional Documentos
Cultura Documentos
Class 1 – 9/25
Gallanis
Went here for JD
Transfer of Wealth
1. Deal
a. Contracts (not this course)
2. Misconduct
a. Criminal, torts (not this course)
3. Donative intention
a. Inter vivos (between living persons)
i. Gift (first year contracts)
ii. Trust
b. At death (this is the focus of our class)
i. Trust
ii. Will/intestacy/nonprobate mechanism
Chapter 1 Topics:
Introductory Material
Probate vs. nonprobate transfers
o Probate is synonym for administrative
Succession of property by administrative process of the probate
court
o Nonprobate transfers
By some mechanism set up before death that enables the transfer of
property
Example: pension account, joint bank accounts, life insurance
Donative freedom and its limit
Pure vs. imperfect will substitutes
Wills are revocable and ambulatory (walk with donor, and take effect at the time
of the donor’s death)
Will substitute has the same
Joint tenancy is classically imperfect
o Not revocable and not ambulatory
Ambulatory
Amble like walking
Imagine property walking along with owner, and not being transferred until the
owner dies
9/27 – Class 2
Problems
1. No heirs of the living, only heirs of the dead
2. Relevant code: UPC 2-102 (heirs are the relevant parties that can challenge a will)
10/2 Class
10/4 Class
Will execution
We’ve been focusing on standard wills, which require
o Writing
Advent of electronic wills
o Signature
McKellar
o Attestation
Peters
What are various kinds of nonprobate transfers and how do they work?
Revocable trusts
Life insurance
To what extent should nonprobate transfers be governed by the same rules as wills?
Revocation upon divorce
Antilapse
Simultaneous or near simultaneous death
Revocation by homicide (slayer rule)
To what extent should nonprobate transfers be governed by the same rules as wills?
Revocation upon divorce
o ERISA
Antilapse
o Anthony: traditional approach
If beneficiary fails to survive, there’s no lapse
o Button: opposite approach
Imposed requirement of survivorship
o UPC Statute 2-707
Future interests under the terms of a trust
“To A for life, remainder to ____”
Yes conditioned on survivorship
Gives constructive gift to those who don’t survive but do have
descendants
o UPC 2-706 applies to other types of will substitutes
Simultaneous or near simultaneous death
Revocation by homicide (slayer rule)
Exam Overview
Ask questions for all of class
3 hours, proctored
3 questions
o 2 questions are typical law school exam type questions (issue spotting)
o 1 policy question
Exam is limited open book
o Exam assumes that you will have your textbook and your rule book
Won’t be a full-out practice exam because he’s changing it
No calculators
Reading list?
Actual words of the statute matter
Overview
A creditor husband was injured in a car accident with the debtor, an uninsured
motorist who was intoxicated. As a result of the creditors' tort action, the
creditors were awarded a large judgment in compensatory and punitive damages.
The debtor had no assets other than his interest as beneficiary of two spendthrift
trusts established by his mother before her death. The debtor was the lifetime
beneficiary of the two trusts, which each had two remaindermen. The creditors
filed a request for garnishment of the trust assets on the trustee bank, which filed
a motion to dismiss. The chancellor granted the motion, ruling that the
spendthrift trusts were not subject to the claims of debtor's creditors. The court
reversed the chancellor's finding, ruling that the policies in favor of enforcing
spendthrift trust provisions do not outweigh the claims of involuntary tort
creditors. The interests of the remaindermen also do not overcome the creditors'
claims where the remaindermen's interest is subject to defeasance by the terms of
the trust. The court held that the beneficiary's interest in a spendthrift trust
should not be attached until all of his other assets have been exhausted.
Outcome
The court reversed and rendered the dismissal of the creditors' complaint.
Exam
3 questions
2 issue spotters
1 policy question
Limited open book
Reading list for course will be attached to exam
Monday, December 4 and Tuesday, December 5
o 9:30am – 11:30am