As with security interests, other notions of exclusivity fail to account for future interests
. The very existence of future interests
is in tension with the Blackstonian view of property.
(36) We also divide land ownership temporally, with present interests and an almost bewilderingly complex system of future interests
. (37) Along a different axis, we recognize "legal" as distinct from "equitable" rights, with the latter deriving mainly from trust relationships.
The Seventh Circuit affirmed the Tax Court decision that the Hackls' gifts of LLC membership interests were gifts of future interests
and as such did not qualify for the annual gift tax exclusion.
Because the 16 $3,000 interests in decedent's residence did not entitle the children and grandchildren to immediate use, possession or enjoyment of the property, such interests were future interests
within the meaning of Section 2503(b).
2503(b), the first $11,000 of gifts (other than gifts of future interests
in property) made by a donor to any donee during a calendar year are excluded from the total gifts made during such year.
The means employed in well-drafted trusts to preserve a share for each descending line having a living member on the distribution date, while not benefiting a descending line that previously died out, is to craft future interests
in the form of multiple-generation class gifts with a survival requirement.
Under Section 167(r), no amortization deduction are allowed with respect to term interests vested or acquired after July 27, 1989, but only if the holders of the present and future interests
are "related" for tax purposes as defined in Section 267.
They cover lawyers, estates, and trusts; intestacy; wills; trusts; other nonprobate devices; planning for incapacity; changing the share; protecting the family; present and future interests
; powers of appointment; problems of interpretation; the rule against perpetuities; problems of administration; a sketch of federal wealth transfer taxes; and looking ahead.
For use in course or exam preparation, this volume aids law students in recognizing and understanding the basic principles and issues of wills, trusts, and future interests
. Averill (law, U.
The taxpayer argued that he had given up all his legal rights and had placed no restrictions on the interests gifted, so that the transfers involved no postponement of rights, powers or privileges that could cause the gifts to constitute future interests
. However, both the Tax Court and the Seventh Circuit upheld the IRS's position that restrictions in the LLC operating agreement failed to confer on the donees the requisite immediate and unconditional rights to use, possess or enjoy the property or the income therefrom; thus, the gifts did not convey any immediate economic benefit.
In a comprehensive remake of the law of remainders, section 2-707 provides that, unless the trust instrument provides otherwise, all future interests
in trust are contingent on the beneficiary's surviving the distribution date.
Section Two contains five chapters for an advanced two-credit course for students who have already taken a basic course in family property law; these chapters deal with substantive provisions of wills and trust instruments, with attention given to recurring construction problems and pitfalls in drafting, powers of appointment, the classification of estates and future interests
, and the impact of rules of policy on restricting the disposition of property.