AB1038, s. 87
13Section
87. 853.32 (2) (am) of the statutes is created to read:
AB1038,32,1814
853.32
(2) (am) Another document under par. (a) is valid if it was signed in
15compliance with s. 853.03 (1) or with the law of the place where the document was
16signed, or where the testator resided, was domiciled, or was a national at the time
17the document was signed or at the time of death, even if it was not otherwise executed
18in compliance with s. 853.03 (2) or 853.05.
AB1038, s. 88
19Section
88. 853.32 (2) (b) of the statutes is renumbered 853.32 (2) (b) (intro.)
20and amended to read:
AB1038,32,2221
853.32
(2) (b) (intro.) Another document under par. (a) is valid even if
it any of
22the following applies:
AB1038,32,23
231. The document does not exist when the will is executed
, even if it.
AB1038,32,24
242. The document is changed after the will is executed
and even if it.
AB1038,33,2
13. The document has no significance except for its effect on the disposition of
2property by the will.
AB1038, s. 89
3Section
89. 854.01 of the statutes is renumbered 854.01 (intro.) and amended
4to read:
AB1038,33,5
5854.01 Definition Definitions. (intro.) In this chapter
, "governing
:
AB1038,33,11
6(2) "Governing instrument" means a will; a deed; a trust instrument; an
7insurance or annuity policy; a contract; a pension, profit-sharing, retirement
, or
8similar benefit plan; a marital property agreement under s. 766.58 (3) (f); a
9beneficiary designation under s. 40.02 (8) (a); an instrument under ch. 705; an
10instrument that creates or exercises a power of appointment
; or any other
11dispositive, appointive
, or nominative instrument that transfers property at death.
AB1038, s. 90
12Section
90. 854.01 (1) of the statutes is created to read:
AB1038,33,1513
854.01
(1) "Extrinsic evidence" means evidence that would be inadmissible
14under the common law parole evidence rule or a similar doctrine because the
15evidence is not contained in the governing instrument to which it relates.
AB1038, s. 91
16Section
91. 854.03 (2) (b) of the statutes is amended to read:
AB1038,33,2117
854.03
(2) (b) Except as provided in sub. (5), if property is transferred under
18a governing instrument that establishes 2 or more co-owners with
right of 19survivorship, and if
it is not established that at least one of the co-owners
survived 20did not survive the others by at least 120 hours, the property is transferred to the
21co-owners in proportion to their ownership interests.
AB1038, s. 92
22Section
92. 854.03 (5) of the statutes is renumbered 854.03 (5) (am), and
23854.03 (5) (am) 4., as renumbered, is amended to read:
AB1038,34,224
854.03
(5) (am) 4. The imposition of a 120-hour
survival requirement would
25cause a nonvested property interest or a power of appointment to fail to be valid, or
1to be invalidated, under s. 700.16 or under the rule against perpetuities of the
2applicable jurisdiction.
AB1038, s. 93
3Section
93. 854.03 (5) (am) 7. of the statutes is created to read:
AB1038,34,54
854.03
(5) (am) 7. The statute or governing instrument specifies that this
5statute, or one similar to it, does not apply.
AB1038, s. 94
6Section
94. 854.03 (5) (am) 8. of the statutes is created to read:
AB1038,34,97
854.03
(5) (am) 8. The imposition of a 120-hour survival requirement would
8be administratively cumbersome and would not change the identity of the ultimate
9beneficiaries of the property or the property that each beneficiary would receive.
AB1038, s. 95
10Section
95. 854.03 (5) (bm) of the statutes is created to read:
AB1038,34,1411
854.03
(5) (bm) If the transfer is made under a governing instrument and the
12person who executed the governing instrument had an intent contrary to any
13provision in this section, then that provision is not applicable to the transfer.
14Extrinsic evidence may be used to construe the intent.
AB1038, s. 96
15Section
96. 854.03 (7) of the statutes is repealed.
AB1038, s. 97
16Section
97. 854.04 (1) (a) of the statutes is amended to read:
AB1038,34,2317
854.04
(1) (a) Except as provided in subs. (5) and (6), if a statute or a governing
18instrument calls for property to be distributed to the issue or descendants of a
19designated person "by representation
",," "by right of representation
," or "per
20stirpes
",," the property is divided into equal shares for the
designated person's
21surviving children
of the designated person and for the designated person's deceased
22children who left surviving issue. Each surviving child and each deceased child who
23left surviving issue are allocated one share.
AB1038, s. 98
24Section
98. 854.04 (3) (a) of the statutes is amended to read:
AB1038,35,8
1854.04
(3) (a) Except as provided in subs. (5) and (6), if a statute or a governing
2instrument calls for property to be distributed to the issue or descendants of a
3designated person "per capita at each generation
",
," the property is divided into
4equal shares at the generation nearest to the designated person that contains one or
5more surviving issue. Each survivor in that generation
is and each deceased person
6in that generation who left surviving issue are allocated one share
, and the. The 7shares of the deceased persons in that same generation who left surviving issue are
8combined for
distribution allocation under par. (b).
AB1038, s. 99
9Section
99. 854.04 (4) of the statutes is amended to read:
AB1038,35,1310
854.04
(4) Per capita. Except as provided in sub. (6), if a statute or governing
11instrument calls for property to be distributed to a group or class "per capita", the
12property is divided into as many shares as there are surviving members of the group
13or class, and each member
receives is allocated one share.
AB1038, s. 100
14Section
100. 854.04 (5) (intro.) of the statutes is amended to read:
AB1038,35,1615
854.04
(5) Certain individuals disregarded. (intro.) For the purposes of
this
16section subs. (1) to (3), all of the following apply:
AB1038, s. 101
17Section
101. 854.04 (5) (b) of the statutes is amended to read:
AB1038,35,1918
854.04
(5) (b) An individual who has a surviving ancestor who is an issue of the
19designated person is not
entitled to allocated a share.
AB1038, s. 102
20Section
102. 854.04 (6) of the statutes is amended to read:
AB1038,35,2521
854.04
(6) Contrary intent. This section does not apply if If the transfer is
22made under a governing instrument and
there is a finding of contrary intent of the
23person who executed the governing instrument
had an intent contrary to any
24provision in this section, then that provision is not applicable to the transfer.
25Extrinsic evidence may be used to construe
that the intent.
AB1038, s. 103
1Section
103. 854.05 (5) of the statutes is renumbered 854.05 (5) (a) and
2amended to read:
AB1038,36,73
854.05
(5) (a)
This section does not apply to the extent that a If the person who
4executed the governing instrument
, either expressly or as construed from extrinsic 5had an intent contrary to any provision in this section, then that provision is not
6applicable to the transfer. Extrinsic evidence
, provides otherwise may be used to
7construe the intent.
AB1038,36,9
8(b) A general directive to pay debts does not give rise to a presumption of
9exoneration.
AB1038, s. 104
10Section
104. 854.06 (1) (b) of the statutes is repealed.
AB1038, s. 105
11Section
105. 854.06 (4) (a) of the statutes is renumbered 854.06 (4) (a) (intro.)
12and amended to read:
AB1038,36,1413
854.06
(4) (a) (intro.)
This section
Subsection (3) does not apply if
there is a
14finding of contrary intent of the decedent any of the following applies:
AB1038,36,17
15(bm) If the person who executed the governing instrument had an intent
16contrary to any provision in this section, then that provision is not applicable to the
17transfer. Extrinsic evidence may be used to construe
that the intent.
AB1038, s. 106
18Section
106. 854.06 (4) (a) 1. of the statutes is created to read:
AB1038,36,2019
854.06
(4) (a) 1. The governing instrument provides that a transfer to a
20predeceased beneficiary lapses.
AB1038, s. 107
21Section
107. 854.06 (4) (b) of the statutes is renumbered 854.06 (4) (a) 2. and
22amended to read:
AB1038,37,323
854.06
(4) (a) 2.
If the The governing instrument designates one or more
24persons, classes
, or groups of people as contingent transferees,
in which case those
25transferees take in preference to those under sub. (3). But if none of the contingent
1transferees survives, sub. (3) applies to the first group in the sequence of contingent
2transferees that has one or more transferees specified in sub. (2) who left surviving
3issue.
AB1038, s. 108
4Section
108. 854.07 (3) of the statutes is amended to read:
AB1038,37,75
854.07
(3) If a governing instrument other than a will does not effectively
6dispose of an asset that is governed by the instrument, that asset shall be paid or
7distributed to the
decedent's transferor's probate estate.
AB1038, s. 109
8Section
109. 854.07 (4) of the statutes is amended to read:
AB1038,37,129
854.07
(4) This section does not apply if there is a finding of contrary intent of 10If the person who executed the governing instrument
had an intent contrary to any
11provision in this section, then that provision is inapplicable to the transfer. Extrinsic
12evidence may be used to construe
that the intent.
AB1038, s. 110
13Section
110. 854.08 (5) (title) of the statutes is repealed and recreated to read:
AB1038,37,1514
854.08
(5) (title)
Property under guardianship, conservatorship, or power of
15attorney.
AB1038, s. 111
16Section
111. 854.08 (5) of the statutes is renumbered 854.08 (5) (b) and
17amended to read:
AB1038,38,218
854.08
(5) (b) Subject to
pars. (c) and (d) and sub. (6), if property that is the
19subject of a specific gift is sold
or mortgaged by a guardian
or, conservator
, or agent
20of the person who executed the governing instrument, or if a condemnation award
21or insurance proceeds are paid to a guardian
or, conservator
, or agent, the specific
22beneficiary has the right to a general pecuniary transfer equivalent to the proceeds
23of the sale
or the, mortgage, condemnation award, or
the insurance proceeds, reduced
24by any amount expended or incurred to restore or repair the property
or to reduce
1the indebtedness on the mortgage, if the funds are available under the governing
2instrument.
This provision
AB1038,38,10
3(c) Paragraph (b) does not apply
if the person who executed the governing
4instrument with respect to a guardian or conservator if, subsequent to the sale
or,
5mortgage, award
, or receipt of insurance proceeds,
the person who executed the
6governing instrument is adjudicated competent and survives such adjudication for
7a period of one year; but in such event
a sale by a guardian or conservator within 2
8years of that person's death is a sale by that person for purposes of sub. (2) the rights
9of the specific beneficiary shall be determined as though the proceeds were paid to
10the owner under sub. (2), (3), or (4).
AB1038, s. 112
11Section
112. 854.08 (5) (a) of the statutes is created to read:
AB1038,38,1312
854.08
(5) (a) In this subsection, "agent" means an agent under a durable power
13of attorney, as defined in s. 243.07 (1) (a).
AB1038, s. 113
14Section
113. 854.08 (5) (d) of the statutes is created to read:
AB1038,38,1915
854.08
(5) (d) Paragraph (b) does not apply with respect to an agent if the
16person who executed the governing instrument is competent at the time of the sale,
17mortgage, award, or receipt of insurance proceeds but in such event the rights of the
18specific beneficiary shall be determined as though the proceeds were paid to the
19owner under sub. (2), (3), or (4).
AB1038, s. 114
20Section
114. 854.08 (6) (a) (intro.) and 2. of the statutes are consolidated,
21renumbered 854.08 (6) (ag) and amended to read:
AB1038,39,222
854.08
(6) (ag) This section is inapplicable if
any of the following applies: 2.
23The the person who executed the governing instrument gives property during the
24person's lifetime to the specific beneficiary with the intent of satisfying the specific
1gift
. Extrinsic evidence may be used to construe that intent and the requirement
2under s. 854.09 (1) is satisfied.
AB1038, s. 115
3Section
115. 854.08 (6) (a) 1. of the statutes is renumbered 854.08 (6) (ar) and
4amended to read:
AB1038,39,95
854.08
(6) (ar)
The If the person who executed the governing instrument
, either
6expressly or as construed from extrinsic evidence, shows the had an intent
that a 7contrary to any provision in this section, then that provision is inapplicable to the 8transfer
fail under the particular circumstances. Extrinsic evidence may be used to
9construe the intent.
AB1038, s. 116
10Section
116. 854.09 (3) of the statutes is amended to read:
AB1038,39,1611
854.09
(3) If the transferee fails to survive the person who executed the
12governing instrument
, the gift is treated as a full or partial satisfaction of the
13transfer and his or her issue take a substitute transfer under intestacy or under a
14governing instrument, the issue receive the same transfer that the named transferee
15would have received had the transferee survived, unless the transferor
has declared
16otherwise in a document, either expressly or as construed from extrinsic evidence.
AB1038, s. 117
17Section
117. 854.11 (4) of the statutes is amended to read:
AB1038,39,2118
854.11
(4) Contrary intent. This section does not apply if there is a finding of
19contrary intent of If the person who executed the governing instrument
had an intent
20contrary to any provision in this section, then that provision is inapplicable to the
21transfer. Extrinsic evidence may be used to construe
that the intent.
AB1038, s. 118
22Section
118. 854.12 of the statutes is created to read:
AB1038,39,25
23854.12 Debt to transferor. (1) Heir under intestacy. (a) If an heir owes a
24debt to the decedent, the amount of the indebtedness shall be offset against the
25intestate share of the debtor heir.
AB1038,40,7
1(b) In contesting an offset under par. (a), the debtor heir shall have the benefit
2of any defense that would be available to the debtor heir in a direct proceeding by the
3personal representative for the recovery of the debt, except that the debtor heir may
4not defend on the basis that the debt was discharged in bankruptcy or on the basis
5that the relevant statute of limitations has expired. If the debtor fails to survive the
6decedent, the court may not include the debt in computing any intestate shares of the
7debtor's issue.
AB1038,40,13
8(2) Transferee under revocable governing instrument. (a) Subject to par.
9(c), if a transferee under a revocable governing instrument survives the transferor
10and is indebted to the transferor, the amount of the indebtedness shall be treated as
11an offset against the property to which the debtor transferee is entitled. If multiple
12revocable governing instruments transfer property to the debtor, the debt shall be
13equitably allocated against the various instruments.
AB1038,40,2014
(b) Subject to par. (c), in contesting an offset under par. (a), the debtor shall have
15the benefit of any defense that would be available to the transferee in a direct
16proceeding for the recovery of the debt, except that the transferee may not defend on
17the basis that the debt was discharged in bankruptcy, unless that discharge occurred
18before the execution of the governing instrument, or on the basis that the relevant
19statute of limitations has expired. If the transferee fails to survive the decedent, the
20debt may not be included in computing the entitlement of alternate beneficiaries.
AB1038,40,2321
(c) If the person who executed the governing instrument had an intent contrary
22to any provision in this subsection, then that provision is not applicable to the
23transfer. Extrinsic evidence may be used to construe the intent.
AB1038,41,2
24(3) Property not distributed because of offset. The property not distributed
25to the debtor becomes part of the residue of the entity that holds the debt. If the debt
1is not held by an entity, then the property not distributed to the debtor becomes part
2of the residue of the decedent's probate estate.
AB1038, s. 119
3Section
119. 854.13 (title) of the statutes is amended to read:
AB1038,41,4
4854.13 (title)
Disclaimer of transfers at death.
AB1038, s. 120
5Section
120. 854.13 (2) (a) of the statutes is renumbered 854.13 (2) (a) 2.
AB1038, s. 121
6Section
121. 854.13 (2) (a) 1. of the statutes is created to read:
AB1038,41,87
854.13
(2) (a) 1. In this paragraph, "person" includes a person who is unborn
8or whose identity is unascertained.
AB1038, s. 122
9Section
122. 854.13 (2) (gm) of the statutes is created to read:
AB1038,41,1410
854.13
(2) (gm)
Disclaimer by trustee. The trustee of a trust named as a
11recipient of property under a governing instrument may disclaim that property on
12behalf of the trust if the trust authorizes disclaimer by the trustee. If the trust does
13not authorize disclaimer by the trustee, the trustee's power to disclaim is subject to
14the approval of the court.
AB1038, s. 123
15Section
123. 854.13 (2) (h) of the statutes is amended to read:
AB1038,41,2116
854.13
(2) (h)
After death. A person's right to disclaim survives the person's
17death and may be exercised by the person's personal representative or special
18administrator upon receiving approval from the court having jurisdiction of the
19person's estate after hearing upon notice to all persons interested in the disclaimed
20property, if the personal representative or special administrator has not taken any
21action
which that would bar the right to disclaim under sub.
(11) (11g).
AB1038, s. 124
22Section
124. 854.13 (2) (i) of the statutes is created to read:
AB1038,41,2523
854.13
(2) (i)
Disclaimer of inter vivos transfers. A person who is a recipient
24of property under an inter vivos governing instrument, as defined in s. 700.27 (1) (c),
25may disclaim the property as provided in s. 700.27.
AB1038, s. 125
1Section
125. 854.13 (4) (c) of the statutes is amended to read:
AB1038,42,52
854.13
(4) (c)
Future right to income or profits principal. Notwithstanding
3pars. (a) and (b), an instrument disclaiming the future right to receive
discretionary
4or mandatory distributions of income or
profits
principal from any source may be
5executed and delivered at any time.
AB1038, s. 126
6Section
126. 854.13 (7) (title) of the statutes is amended to read:
AB1038,42,77
854.13
(7) (title)
Devolution in general.