390.320 Creditor claim – General power created by powerholder.

250 words·~1 min read·/ky/chapter-390/390-320

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

(1)As used in this section, "power of appointment created by the powerholder"

includes a power of appointment created in a transfer by another person to the

extent the powerholder contributed value to the transfer.

(2)Appointive property subject to a general power of appointment created by the

powerholder is subject to a claim of a creditor of the powerholder or of the

powerholder's estate to the extent provided in KRS Chapter 378A.

(3)Subject to subsection

(2)of this section, appointive property subject to a general

power of appointment created by the powerholder is not subject to a claim of a

creditor of the powerholder or the powerholder's estate to the extent the

powerholder irrevocably appointed the property in favor of a person other than the

powerholder or the powerholder's estate.

(4)Subject to subsections

(2)and

(3)of this section, and notwithstanding the presence

of a spendthrift provision or whether the claim arose before or after the creation of

the power of appointment, appointive property subject to a general power of

appointment created by the powerholder is subject to a claim of a creditor of:

(a)The powerholder, to the same extent as if the powerholder owned the

appointive property, if the power is presently exercisable; and

(b)The powerholder's estate, to the extent the estate is insufficient to satisfy the

claim and subject to the right of a decedent to direct the source from which

liabilities are paid, if the power is exercisable at the powerholder's death.