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This entry was published on 2014-09-22
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Who may receive testamentary dispositions of property;
Estates, Powers & Trusts (EPT) CHAPTER 17-B, ARTICLE 3, PART 1
§ 3-1.3 Who may receive testamentary dispositions of property;

testamentary dispositions to unincorporated associations

(a) A testamentary disposition of property may be made to any person
having capacity to acquire and hold such property.

(b) When a will disposes of property to an association which lacks
capacity to receive such property by will because it is unincorporated
and the association may become incorporated under the law of this state
or of the jurisdiction in which it has its principal office, such
disposition is valid despite the lack of capacity of the beneficiary if
within three years after probate of the will such beneficiary becomes
incorporated with capacity to take such disposition, subject to the

(1) This section does not limit the power of the court to give effect
to the intention of the testator and to preserve dispositions for the
use and benefit of unincorporated associations.

(2) In the case of a testamentary disposition of property to an
unincorporated association in such manner that the estate may lawfully
vest in such association, as provided in paragraph (b), at a future
time, the estate shall be treated as immediately vested either in the
trustee in whom any estate preceding such disposition is vested or, if
there is no such precedent trust, in the personal representative of the
decedent's estate as trustee, subject to any intermediate estate created
by the will. The trust herein created is subject to the direction and
control of the surrogate's court as if it had been created by express
provision in the will. If the association is incorporated and empowered
to receive the disposition, the trustee shall transfer the property
disposed of to the corporation so formed, but if the association is not
incorporated, the trustee shall transfer the property to such persons as
are entitled thereto.

(3) If a testamentary disposition to an association is made in such
manner as to take effect upon the incorporation of such association, as
provided in paragraph (b), and no disposition is made of the rents,
profits or other income accruing prior to such incorporation, the will
shall be construed as directing the trustee described in subparagraph
(2) to receive the rents, profits or other income and to hold them for
the benefit of the corporation when formed or, if such corporation is
not formed within the time prescribed by paragraph (b), for the benefit
of the persons entitled to the property upon the failure of such

(4) Notwithstanding any other law of this state governing (A) the
purposes for which trusts may be created, (B) the rule against
perpetuities or (C) the accumulation of income, a trust as provided in
subparagraph (2) is valid.

(5) During the continuance of any trust authorized by subparagraph
(2), the unincorporated association to which the disposition is made may
enforce such trust, and any such association has capacity as such,
despite the fact that it is not incorporated, to exercise such right and
to take such proceedings as may be appropriate for the exercise or
waiver of such right or, in the manner permitted by law for renunciation
by a testamentary beneficiary, to renounce the disposition. In the event
of any such renunciation, the trust provided for in subparagraph (2)
shall terminate and the property, including accumulations, shall vest in
the persons otherwise entitled thereto as if no such disposition had
been made.

(6) This section does not limit the effectiveness of 8-1.1 with
respect to a disposition to which that section applies.