Capture doctrine; disposition of ineffectively appointed property under general power.

§ 31D-3-309. Capture doctrine; disposition of ineffectively appointed property under general power. To the extent a power holder of a general power of appointment, other than a power to withdraw property from, revoke, or amend a trust, makes an ineffective appointment: (1) The gift-in-default clause controls the disposition of the ineffectively appointed property. (2) If there is no gift-in-default clause or to the extent the clause is ineffective, the ineffectively appointed property passes as follows: a. To the power holder if the power holder is a permissible appointee and living. b. If the power holder is an impermissible appointee or deceased, to the power holder's estate if the estate is a permissible appointee. c. If the power holder is an impermissible appointee or deceased and if the estate is not a permissible appointee, under a reversionary interest to the donor or the donor's transferee or successor in interest.