Sec. 1320

760 ILCS 3/1320 — under Illinois Trust Code.

760 ILCS 3/1320

(760 ILCS 3/1320)

Sec. 1320. Disposition of unappointed property under released or unexercised nongeneral power. To the extent a powerholder releases, ineffectively exercises, or fails to exercise a nongeneral power of appointment:

(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 the clause is ineffective, the unappointed property: (A) passes to the permissible appointees if:

(i) the permissible appointees are defined and limited; and (ii) the terms of the instrument creating the power do not manifest a contrary intent; or (B) if there is no taker under subparagraph (A), passes under a reversionary interest to the donor or the donor's transferee or successor in interest. (Source: P.A. 101-48, eff. 1-1-20.)