Capture doctrine; disposition of ineffectively appointed property under general power (§ 64.2-2721)

§ 64.2-2721 – Capture doctrine; disposition of ineffectively appointed property under general power

To the extent that a powerholder 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; or

2. If there is no gift-in-default clause or to the extent that the clause is ineffective, the ineffectively appointed property: a. 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. If there is no taker under subdivision 2 a, passes under a reversionary interest to the donor or the donor’s transferee or successor in interest.