Will Drafting - Gifts to Particular Beneficiaries

Question 1

What is a class gift?

Answer 1

A gift to a group described generally (e.g., “my children” or “my grandchildren”) rather than by naming individuals.

Question 2

What is the ‘class closing rule’?

Answer 2

A class closes when the first member of the class satisfies the contingency and becomes entitled in possession.

Question 4

When should class gifts be used over individual names?

Answer 4

When the testator wants to benefit future descendants born after the will is executed.

Question 5

What is a vested interest?

Answer 5

An absolute gift with no conditions. The beneficiary owns the gift even if they are under 18.

Question 6

What happens to a vested gift to a minor who dies before age 18?

Answer 6

The gift passes into their estate—it does not lapse.

Question 7

What is a contingent interest?

Answer 7

A gift that vests only if the beneficiary satisfies a condition (e.g., reaches age 21).

Question 8

What happens if a contingent beneficiary dies before satisfying the condition?

Answer 8

The gift lapses and does not pass into their estate.

Question 9

What happens to a gift if the beneficiary dies before the testator?

Answer 9

The gift lapses unless a substitution is provided or s.33 Wills Act 1837 applies.

Question 10

What is a substitutional gift?

Answer 10

A clause specifying who should receive the gift if the original beneficiary dies before the testator.

Question 11

What does s.33 Wills Act 1837 do?

Answer 11

It implies substitution in favour of the children of a testator’s issue who predecease, unless a contrary intention is expressed.

Question 12

What are the conditions for s.33 to apply?
A:

Answer 12

• The will contains a gift to a child or remoter descendant
• That person dies before the testator
• They leave issue alive at the testator’s death

Question 13

Does s.33 apply to gifts outside the testator’s issue?

Answer 13

No. It does not apply to gifts to siblings, nieces, nephews, etc.

Question 14

What should be included in a gift to a charity?

Answer 14

• Full name, address, and charity number
• Provision for name changes or dissolution
• Instructions on who can give valid receipt (e.g., treasurer)

Question 15

What is the effect of the cy-près doctrine?

Answer 15

If the named charity no longer exists, the gift can go to a charity with similar purposes under s.62 Charities Act 2011.