Deck 52: Wills and Trusts

Question 1

Ricardo's state does not allow a testamentary disposition to a pet; therefore,Ricardo should consider placing funds for his pet in a trust which would be allowed.

Answer 1

True
Explanation: A settlor can create a trust to protect an animal such as a beloved pet.

Question 2

A[n] ______ allows a person to transfer property to another person with the property to be used for the benefit of a third person.

A) Probate
B) Trust
C) Command
D) Executor
E) Allocation

Answer 2

B
Explanation: A trust allows a person to transfer property to another person, and this property is used for the benefit of a third person.

Question 3

Which of the following was the result in Mattison v.Social Security Commissioner,the case in the text involving the issue of whether twins conceived after the death of the father via artificial insemination using his sperm could inherit as children under state intestacy law thereby becoming entitled to social security survivors' benefits?

A) That because the twins were conceived and born after the father's death, they did not survive him as heirs legally and were not entitled to any succession rights.
B) That because the mother had permission from the father to use the sperm after his death, the twins were considered legal heirs and were entitled to succession rights.
C) That regardless of whether or not the mother had permission from the father to use the sperm after his death, the twins were considered legal heirs and were entitled to succession rights.
D) That because the twins were conceived within 30 days of the decedent's death, they were considered legal heirs and entitled to succession rights.
E) That because the mother was alive and the twins were conceived and born after the father's death, they did not survive him as heirs legally and were not entitled to any succession rights; otherwise, had the mother been deceased, the twins would have been entitled to succession rights in regard to the father as well as the mother.

Answer 3

A
Explanation: According to the court, because the twins "were conceived and born after Jeffery's [the father's] death, they did not survive him as his heirs in the eyes of the law.

Question 4

State laws vary regarding the amount a surviving spouse inherits when a spouse dies intestate.

Question 5

Which of the following is the appropriate term for the process by which an individual decides what to do with his or her real and personal property during and after life?

A) Life planning
B) Estate planning
C) Probate succession
D) Allocation planning
E) Asset allocation

Question 6

When a person dies without a will,it is said that he or she died _____.

A) Testate
B) Testacy
C) Intestate
D) Unwilled
E) Unprobated

Question 7

Which of the following was the result in the Case Opener,the case involving whether a bank account and cash passed to the sole beneficiary named in a will or through intestate succession when the will did not contain a residuary clause and did not specifically reference the land and bank account at issue?

A) That the land passed to the sole beneficiary named in the will because it was apparent that the deceased meant for him to receive her entire estate.
B) That the estate was partially intestate and that the bank account and land at issue passed through intestate succession.
C) That the land passed to the state because the disposition of it was unclear.
D) That the land would have passed through intestate succession if the decedent had any issue, meaning children or grandchildren; but that because she had no children or grandchildren, the land and bank account passed to the sole beneficiary of the will.
E) That the value of the land and bank account would be split on a 50/50 basis between the sole beneficiary named in the will and the relatives who would inherit through intestate succession.

Question 8

A person may change a will with a codicil only once afterwards which a completely new will must be written.

Question 9

A living will is a document by which a person expresses his or her wishes regarding medical treatment desired if an accident or illness prevents him or her from participating in medical decisions.

Question 10

A will is a legal document that outlines how a person wants his or her property distributed on death.

Question 11

In the U.S.,surgeons use a heart-lung standard rather than a brain-death standard in order to determine death.

Question 12

Federal law is the primary law governing wills.

Question 13

A personal representative of an estate makes sure that gifts of real and personal property go to the correct beneficiaries,persons who inherit under the will.

Question 14

A person may revoke a will by physically destroying it.

Question 15

The Uniform Anatomical Gifts Act (UAGA)provides that any individual age 21 or older may give all or any part of his or her body to a donee on death so long as the closest surviving next-of-kin does not object.

Question 16

As set forth in the case of Beckwith v.Dahl,which of the following is not an element to the tort of intentional interference with the expectation of inheritance?

A) Plaintiff's expectation of receiving an inheritance evidenced by writing.
B) An intentional interference with the expectation by a third party.
C) Proof the interference was wrongful.
D) But for the interference, the plaintiff would have received the inheritance.
E) Damages.

Question 17

State laws that outline how a person's property will be distributed if he or she dies without a will are called ______ statutes.

A) Testate
B) Testacy
C) Intestacy
D) Will
E) Probate

Question 18

Which of the following is a uniform law proposed by the National Conference of Commissioners on Uniform State Laws that provides guidance in the area of estate planning?

A) The Uniform Probate Code
B) The National Will Act
C) The Uniform Will Act
D) The Federal Probate and Will Act
E) The National Probate Code

Question 19

Which of the following was the result on appeal in In re the Estate of Charles Kuralt,the case in the text involving whether a letter the deceased sent to a companion was effective to convey property?

A) The court ruled that although extrinsic evidence was not admissible, the letter in and of itself was effective as a matter of law to establish a holographic will and that the companion was entitled to the land at issue.
B) The court ruled that the letter was ineffective as a matter of law to establish a holographic will, that extrinsic evidence was inadmissible, and that the companion was not entitled to the land at issue.
C) After considering the extrinsic evidence at issue which was ruled admissible, the court ruled that the letter was ineffective as a matter of law to establish a holographic will and that the companion was not entitled to the land at issue.
D) After considering the extrinsic evidence at issue which was ruled admissible, the court ruled that the letter was effective as a matter of law to establish a holographic will and that the companion was entitled to the land at issue.
E) The court remanded the case for a trial on the issue of whether, in light of the extrinsic evidence, the decedent intended that the letter at issue effect a testamentary disposition of the land at issue.

Question 20

Usually,express trusts are written and are called trust instruments or agreements.

Question 21

Which of the following occurs when a testator relied on false statements when he or she made a will?

A) Undue influence
B) Fraud
C) Negligence
D) Recklessness
E) Misinformation

Question 22

When someone dies,a[n] ______ chosen by the testator collects the testator's property,pays debts and taxes,and makes sure the remainder of the will is distributed.

A) Inheritance devisor
B) Inheritance regulator
C) Trustee
D) Personal representative
E) Personal devisee

Question 23

The requirement that a witness ______ to the will means that the witness must witness the signing of the will and then sign as a witness at the end of the document.

A) Approve
B) View
C) Acknowledge
D) Attest
E) Review

Question 24

A ______ is a gift of personal property by will.

A) Behest
B) Grant
C) Bestowment
D) Devise
E) Bequeath

Question 25

Which of the following is the proper term for canceling a will?

A) Revoking
B) Rescinding
C) Leaving
D) Terminating
E) Discharging

Question 26

The process of settling an estate is known as _____.

A) Settlement
B) Review
C) Granting
D) Probate
E) Devise

Question 27

Which of the following is a will that the testator writes and signs in his or her own handwriting?

A) Invalid
B) Holographic
C) Penciled
D) Penned
E) Pencil and penned

Question 28

A person who creates a trust is knows as a _____.

A) Benefactor
B) Trustor
C) Trustee
D) Settlor
E) Settlee

Question 29

Which of the following,if any,is property of a decedent that is not part of a probate estate?

A) Exempt
B) Nonbequeathable
C) Nondevisable
D) Nonprobate
E) All property of a decedent is part of the probate estate.

Question 30

Which of the following is false regarding the trust system in India?

A) There are legal constructs, similar to trusts, allowing families to pass wealth from generation to generation.
B) Civil law governs the trust system in India.
C) The family waqf resembles a trust, although the beneficiary of a family waqf must have a religious, pious, or charitable purpose.
D) Waqfs and trusts have some similarities.
E) Some legal scholars have suggested that the religious roots of the waqf have made this construct less flexible and responsive to change over time than the trust, with its secular roots.

Question 31

Wills are ______,meaning that testators can change them.

A) Changeable
B) Revocable
C) Retrievable
D) Rescuable
E) Ambulatory

Question 32

A[n] ______ trust is a trust created while the settlor is alive or by will.

A) Actual
B) Express
C) Implied
D) Resulting
E) Congruent

Question 33

A person with an interest in a will,such as that of a potential beneficiary is said to have _____.

A) Standing
B) Vesting
C) Heirship
D) Acknowledgement
E) Consideration

Question 34

Distribution ______ means distributing an estate by the individual.

A) Per behest
B) Per stirpes
C) Per capita
D) Per clear
E) Per ambulatory

Question 35

Which of the following is a will that two or more testators execute in which they leave property to each other as long as the survivor agrees that when he or she dies,the remaining property will be distributed according to a plan created by all testators?

A) A planned will
B) An estate will
C) A mutual will
D) A co-will
E) A presumptive will

Question 36

Distribution ______ means distributing an estate by class or representation.

A) Per behest
B) Per stirpes
C) Per capita
D) Per clear
E) Per ambulatory

Question 37

Which of the following is false a trust?

A) Interest may be generated by a trust.
B) Income may be paid to a person identified as an income beneficiary.
C) A person entitled to income must be the person entitled to the trust corpus.
D) A trust may be created to protect a pet.
E) A trust may be created for tax reasons.

Question 38

Which of the following occurs when a testator wrote a will under circumstances in which a person the testator trusted took advantage of the testator's weak physical or emotional condition to persuade the testator to write the will in a particular way?

A) Undue influence
B) Fraud
C) Negligence
D) Recklessness
E) Misinformation

Question 39

A ______ is a gift of real property by will.

A) Behest
B) Grant
C) Bestowment
D) Devise
E) Bequeath

Question 40

Which of the following is true regarding a party that cannot be a witness to a will?

A) A beneficiary may not be a witness to a will.
B) A spouse may not be a witness to a will.
C) An adult child may not be a witness to a will.
D) An adult child may be a witness to a will, but no other relative may be a witness to a will.
E) A spouse may be a witness to a will, but no other relative may be a witness to a will.

Question 41

An implied trust is also called a[n] ______ trust.

A) Untrue
B) Involuntary
C) Reviewed
D) Judicial
E) Trustless

Question 42

Which of the following is true regarding Bruce's statement that the revision to the will meant nothing?

A) Regardless of whether or not the change was made by a lawyer, it was ineffective because in order to revise a will, the initial will must be revoked and a completely new will written.
B) The revision to the will was ineffective because it was not done by a lawyer.
C) The revision to the will was ineffective, not because it was done by Carol, but because it improperly expressed personal opinion of an individual which by law must be absent from a will.
D) Assuming other requirements are met, the change to the will is not objectionable on the basis that it was done by Carol or on the basis that it expressed a personal opinion regarding Bruce.
E) The change to the will is not objectionable so long as Amy can prove by a preponderance of the evidence that Bruce was indeed having an affair with Sharon.

Question 43

A[n] ______ trust is created by a court to hold property in trust for its rightful owner.

A) Real
B) Constructive
C) Resulting
D) Validating
E) Actual

Question 44

Which of the following is false regarding organ donation in Japan?

A) Japan now has a nationwide Organ Transplant Law.
B) Prior to passage of the Organ Transplant Law, death in Japan was official only when the heart stopped beating.
C) Japanese law requires that organs be donated under certain circumstances even if the family of a decedent objects and the decedent had given no indication that he or she desired transplantation.
D) Japan has one of the lowest rates of organ transplantation in the developed world.
E) Japanese law permits potential donors to note their consent on medical insurance cards and driver's licenses.

Question 45

Which of the following is true regarding Linda's claim that Candy was entitled to nothing because Willy was suffering from a mental illness and did not know what he was doing when he stated that Candy should take everything?

A) Whether he was suffering from a mental illness is irrelevant because for other reasons, his statement granting Candy any possessions is invalid.
B) Linda is correct if Willy had undergone any treatment for any form of mental illness within the last year.
C) Linda is correct if Willy had undergone any treatment for any form of mental illness within the last six months.
D) Linda is incorrect because the existence of mental illness is irrelevant to a person's capacity to make a will.
E) Linda is correct if it can be established that Willy had a serious enough mental illness that he was not of sound mind and lacked capacity to make a will.

Question 46

A ______ is a written document executed when the principal is in good mental health that allows an agent to make medical decisions for the principal at some later date when the principal can no longer make decisions.

A) Durable power of attorney
B) Medical care proxy
C) Medical decision contract
D) Medical agent proxy
E) Living health proxy

Question 47

A[n] ______ trust is created by a court when an express trust fails and the court can imply a trust from certain behavior.

A) Real
B) Constructive
C) Resulting
D) Validating
E) Actual

Question 48

Which of the following,if any,identifies the type of trust Gracie set up to encourage her family members to go to school or work?

A) This type of trust would be identified as an illegal trust because it would not be enforced.
B) Relative review
C) Relative pushing
D) Family encouragement
E) Family incentive

Question 49

Which of the following,if any,is the correct term for a document that changes a will?

A) A testament
B) A documentary revision
C) A codicil
D) A revision
E) There is no document that changes or adds to a will because to revise a will, the initial will must be revoked and a completely new will written.

Question 50

A document that outlines the principal-agent relationship that allows an agent to make medical decisions for a principal who is unable to participate in medical decisions is called a _____.

A) Living will
B) Health care proxy
C) Medical decision contract
D) Medical agent proxy
E) Living health proxy

Question 51

Assuming he was of sound mind,which of the following is true regarding the effect of Willy's statement that Candy should take everything?

A) Because a will must be in writing, his statement has no effect.
B) Because a will is not usually required to be in writing, his statement was effective to revoke any prior will.
C) His statement was ineffective to revoke his prior will only because he was angry when he made it.
D) His statement was ineffective to revoke his prior will only because he believed he was dying at the time he made it.
E) His statement would likely be upheld as an oral will because he made the statement during his last illness in front of witnesses who later wrote down his wishes.

Question 52

Which of the following is true regarding Monique's claim that Linda unfairly coerced Willy into naming her as a beneficiary in the written will and that the written will is ineffective?

A) The written will is ineffective if Willy wrote it under circumstances by which Linda took advantage of his weak physical or emotional condition to persuade him to write the will leaving her everything.
B) The written will is ineffective only if a witness is available who will testify that Willy admitted that he would never have left all his possessions to Linda if he were not dependent on her for his wellbeing.
C) There is a presumption of undue influence based upon the age difference between Linda and Willy.
D) Linda is legally entitled to a presumption of no undue influence because she was Willy's girlfriend at the time the will was written.
E) Linda is legally entitled to a presumption of no undue influence only if she can establish through the testimony of a disinterested witness that Willy had asked her to marry him.

Question 53

Which of the following is true regarding the effectiveness of Betsy's signature?

A) It is not an effective attestation because she did not witness Carol sign the will.
B) It is effective.
C) It is effective only if Betsy had seen Carol's signature before and could identify the signature as Carol's.
D) It is effective only because a change to a will is involved which has less stringent requirements for the signature of a witness than that required for an original will.
E) It is ineffective only because Carol's attempted change is ineffective.

Question 54

A[n] ______ trust is a type of trust created by a court,not a settlor.

A) Implied
B) Untrue
C) Limited
D) Reduced
E) Protection

Question 55

Which of the following identifies the document that Gracie wanted giving Marcy the power to handle her affairs should she become unable to do so herself?

A) Power of attorney
B) Durable power of attorney
C) Disciplined trust
D) Acknowledged power of conveyance
E) Undisciplined trust authority

Question 56

When a trust is terminated,which of the following is the appropriate term for a person or entity that receives a portion of the trust corpus?

A) Terminator
B) Ender
C) Receiver
D) Transferor
E) Remainderman

Question 57

Which of the following is false regarding trusts?

A) A settlor may revoke a trust at any time.
B) Settlors may create trusts to prevent individuals from getting access to certain assets.
C) Trusts may be set up to make "awards" to family members who make significant contributions in certain fields, such as education, science, law, or medicine.
D) A trust document may state that the trust will terminate when an event happens, such as when the remainderman reaches a certain age.
E) A court can place assets of a partnership in a constructive trust if it discovers that one partner is engaging in fraudulent or unconscionable conduct that might negatively affect the interests of another partner.

Question 58

The term ______ covers a variety of legal instruments a person can use to express his or her wishes about efforts to prolong life.

A) Medical directives
B) Prolonging directives
C) Advance instructions
D) Advance directives
E) Actual prohibitions

Question 59

Which of the following is true regarding adoption of the Uniform Anatomical Gifts Act?

A) It has been adopted by every state in the U.S.
B) It has been adopted by 40 states in the U.S.
C) It has been adopted by half the states in the U.S.
D) It has been adopted by 13 states in the U.S.
E) At this point, it has not been adopted by any state in the U.S.

Question 60

List four reasons discussed in the text as to why individuals engage in estate planning.

Question 61

What are the four requirements needed for a valid will?

Question 62

List the two components that are usually components of trusts and discuss their function.

Question 63

As set forth in the text,under what two circumstances are wills usually contested?

Question 64

Wallace's only daughter,Bernice,married Donny,a young man that Wallace intensely disliked.Wallace believes that Bernice and Donny will divorce,but perhaps not before Wallace's death.Wallace would like to prevent Donny from obtaining any stock in Wallace's company.What should Wallace consider?