Applicability of act to certain personal property; scope of trust.

Sec. 4. (1) This act applies only to a nonvested interest in, or power of appointment over, personal property held in a trust that is either revocable on, or created after, May 28, 2008, and only to the extent that the trust is not a special appointee trust. (2) For purposes of this section, both of the following apply: (a) A trust that is created by the exercise of a power of appointment is created when the power has been irrevocably exercised or when a revocable exercise becomes irrevocable. (b) A trust is a "special appointee trust" to the extent it includes assets that were held in a trust that was irrevocable on September 25, 1985, and both of the following apply to the assets: (i) The assets have continuously been held in trust since September 25, 1985. (ii) The assets have not become subject to a general power of appointment since September 25, 1985.