B 25-0219 — Uniform Powers of Appointment Act of 2023

creditorCreditor claim:

“§“19-1705.03. 19-1705.03.

“§“19-1705.04. 19-1705.04.

“§“19-1706.01. 19-1706.01.

“§“19-1706.02. 19-1706.02.

“§“19-1706.03. 19-1706.03.

ENROLLED ORIGINAL “(1) “Appointee” means a person to which a powerholder makes an appointment of appointive property.

ENGROSSED ORIGINAL “(A) Expressly uses the words “any power” in exercising any power of appointment the powerholder has;

ENGROSSED ORIGINAL “(11) “Permissible appointee” means a person in whose favor a powerholder may exercise a power of appointment.

ENROLLED ORIGINAL “(B) The term “presently exercisable power of appointment” includes a power of appointment not exercisable until the occurrence of a specified event, the satisfaction of an ascertainable standard, or the passage of a specified time only after:

ENGROSSED ORIGINAL “(C) The term “presently exercisable power of appointment” does not include a power of appointment exercisable only at the powerholder’s death.

“Unless the terms of the instrument creating a power of appointment manifest a contrary intent,intent: the law of the powerholder’s domicile at the relevant time governs:

ENGROSSED ORIGINAL “The common law and principles of equity supplement this chapter, except to the extent modified by this chapter or law of the District of Columbia other than this chapter.

ENROLLED ORIGINAL “(d) Subject to an applicable rule against perpetuities, a power of appointment may be created in an unborn or unascertained powerholder.

ENGROSSED ORIGINAL “A powerholder may not transfer a power of appointment.

ENGROSSED ORIGINAL “(b) If a powerholder may exercise a power of appointment only with the consent or joinder of an adverse party, the power is nongeneral.

ENROLLED ORIGINAL Ҥ 19-1703.02.

ENGROSSED ORIGINAL “(1) “Residuary clause” does not include a residuary clause containing a blanket- exercise clause or a specific-exercise clause.

and ENGROSSED ORIGINAL “(2) If the powerholder is also the donor of the power, the clause does not extend to the power unless there is no gift-in-default clause or the gift-in-default clause is ineffective.

ENGROSSEDENROLLED ORIGINAL “(1) Make an appointment in any form, including an appointment in trust, in favor of a permissible appointee;

or “(3) Create a nongeneral power in any person to appoint to one or more of the permissible appointees of the original nongeneral power.power;

and “(4) Create a nongeneral power in a permissible appointee to appoint to one or more persons if the permissible appointees of the new nongeneral power include the permissible appointees of the original nongeneral power.

ENGROSSED ORIGINAL “If a powerholder exercises a power of appointment in a disposition that also disposes of property the powerholder owns, the owned property and the appointive property must be allocated in the permissible manner that best carries out the powerholder’s intent.

ENGROSSEDENROLLED ORIGINAL “To the extent a powerholder releases or fails to exercise a general power of appointment other than a power to withdraw property from, revoke, or amend a trust:

or ENGROSSED ORIGINAL “(2) If there is no gift-in-default clause or to the extent the clause is ineffective, the unappointed property:

ENGROSSEDENROLLED ORIGINAL “A powerholder may revoke or amend an exercise of a power of appointment only to the extent that:

“As provided by Chapter 15:15 of this Title:

ENGROSSED ORIGINAL “(a) For the purposes of this section, the term “record” means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.

or ENGROSSED ORIGINAL “(2) To exercise the power if the contract when made does not confer a benefit on an impermissible appointee.

ENROLLED ORIGINAL “A powerholder of a power of appointment that is not presently exercisable may contract to exercise or not to exercise the power only if the powerholder:

ENGROSSED ORIGINAL “(c) Subject to subsection (b) of this section, appointive property subject to a general power of appointment created by the powerholder is not subject to a claim of a creditor of the powerholder or the powerholder’s estate to the extent the powerholder irrevocably appointed the property in favor of a person other than the powerholder or the powerholder’s estate.

and ENGROSSED ORIGINAL “(2) The powerholder’s estate, to the extent the estate is insufficient, subject to the right of a decedent to direct the source from which liabilities are paid.

“(b) Subject to § 19-1705.04(c), a power of appointment created by a person other than the powerholder which is subject to an ascertainable standard relating to an individual’s health, ENROLLED ORIGINAL education, support, or maintenance, within the meaning of 26 U.S.C.

ENGROSSED ORIGINAL “(b) Appointive property subject to a nongeneral power of appointment is subject to a claim of a creditor of the powerholder or the powerholder’s estate to the extent that the powerholder owned the property and, reserving the nongeneral power, transferred the property in violation of §§ 28-3101 to 28-3111.

§ 7001 et seq.), but does not modify, limit, or supersede §section 101(c) of that act (15 U.S.C.

§ 7001(c)), or authorize electronic delivery of any of the notices described in §section 103(b) of that act (15 U.S.C.

ENGROSSED ORIGINAL “(1) This chapter applies to a power of appointment created before, on, or after the effective date of this chapter;

ENROLLED ORIGINAL “(3) This chapter applies to a judicial proceeding concerning a power of appointment commenced before the effective date of this chapter unless the court finds that application of a particular provision of this chapter would interfere substantially with the effective conduct of the judicial proceeding or prejudice a right of a party, in which case the particular provision of this chapter does not apply and the superseded law applies;

ENGROSSED ORIGINAL The Council adopts the fiscal impact statement in the committee report as the fiscal impact statement required by section 4a of the General Legislative Procedures Act of 1975, approved October 16, 2006 (120 Stat.

This act shall take effect following approval by the Mayor (or in the event of veto by the Mayor, action by the Council to override the veto), and a 30-day period of congressional review as provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved December 24, 1973 (87 Stat.

24______________________________ Chairman Council of the District of Columbia _________________________________ Mayor District of Columbia 12