A Crummey power is a form of what type of power of appointment?

A Crummey power is a form of what type of power of appointment?

• A. Special
• B. Limited
• C. General
• D. Testamentary

Answer: (C)

A Crummey power is a withdrawal right given to a beneficiary that lets them demand a distribution from the trust for their own benefit within a limited time. Because this right allows the beneficiary to obtain the use of trust assets for their own advantage, it behaves like a broad, general power of appointment rather than a narrowly constrained or restricted power. It is exercised during the beneficiary's lifetime and is not a testamentary power, which would only take effect at death. Therefore, in the common categorization of powers of appointment, a Crummey power is treated as a general power of appointment.

A Crummey power is a withdrawal right given to a beneficiary that lets them demand a distribution from the trust for their own benefit within a limited time. Because this right allows the beneficiary to obtain the use of trust assets for their own advantage, it behaves like a broad, general power of appointment rather than a narrowly constrained or restricted power. It is exercised during the beneficiary's lifetime and is not a testamentary power, which would only take effect at death. Therefore, in the common categorization of powers of appointment, a Crummey power is treated as a general power of appointment.