Capture doctrine: disposition of ineffectively appointed property under general power

Wis. Stat. § 702.309
in effect
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To the extent a powerholder of a general power of appointment, other than a power to withdraw property from, revoke, or amend a trust, makes an ineffective appointment, all of the following apply: (1) The gift-in-default clause controls the disposition of the ineffectively appointed property. (2) (a) If there is no gift-in-default clause or to the extent the gift-in-default clause is ineffective, the ineffectively appointed property passes to one of the following: 1. If the powerholder is a permissible appointee and living, the powerholder. 2. If the powerholder is an impermissible appointee or deceased, the powerholder’s estate if the estate is a permissible appointee. (b) If there is no taker under par. (a), the ineffectively appointed property passes under a reversionary interest to the donor or the donor’s transferee or successor in interest.
Source: WI Statutes (Official Site)URL: https://docs.legis.wisconsin.gov/document/statutes/702.309Fetched: 10/7/2026