CODE OF VIRGINIA

DISPOSITION OF UNAPPOINTED PROPERTY UNDER RELEASED OR UNEXERCISED GENERAL POWER
(§ 64.2-2722)

To the extent that 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:

   1.  The gift-in-default clause controls the disposition of the unappointed
   property; or

   2.  If there is no gift-in-default clause or to the extent that the clause is
   ineffective:
               
            

      a.  Except as otherwise provided in subdivision 2 b, the unappointed
      property passes to:
                     
                  

         (1.  The powerholder if the powerholder is a permissible appointee and
         living; or

         (2.  If the powerholder is an impermissible appointee or deceased, the
         powerholder’s estate if the estate is a permissible appointee; or

      b.  To the extent that the powerholder released the power, or if there is no
      taker under subdivision 2 a, the unappointed property passes under a
      reversionary interest to the donor or the donor’s transferee or
      successor in interest.

HISTORY: 2016, c. 266.