Sec. 1333. Creditor claim: general power not created by powerholder.

167 words·~1 min read·/il/chapter-760/act-3/1333

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)Except as otherwise provided in subsection (b), appointive property subject to a general power of appointment created by a person other than the powerholder is subject to a claim of a creditor of:

(1)the powerholder, to the extent the powerholder's property is insufficient, if the

power is presently exercisable; and

(2)the powerholder's estate if the power is exercised at the powerholder's death, to

the extent the estate is insufficient, subject to the right of the deceased powerholder to direct the source from which liabilities are paid.

(b)Subject to subsection

(c)of Section 1335, a power of appointment created by a person other than the powerholder that is subject to an ascertainable standard relating to an individual's health, education, support, or maintenance within the meaning of Section 2041(b)(1)(A) of the Internal Revenue Code or Section 2514(c)(1) of the Internal Revenue Code, as amended, is treated for purposes of this Article as a nongeneral power.