In-depth Notes on Acts of the Property Holder and Beneficiaries' Actions

Actions taken by property holders before death can significantly influence property distribution.
Key doctrines: advancements, satisfaction, and divorce.

Defining Advancements:
- Gifts that a donor intends to affect a recipient's share of the estate after their death.
- Example: Eva gives $10,000$ to Tamara and $5,000$ to Krysti. Does this affect the division of her estate?
Characterizing Advancements:
- Determining donor's intention is crucial:
1. Did the donor consider the gift as part of the donee's inheritance?
2. Was it a loan or an addition to their share?
- Evidence of intention is often circumstantial but presumed in some jurisdictions for substantial gifts.
- Many states require explicit acknowledgments such as writings or contemporaneous declarations.
Impact on Heirs' Shares:
- Common Law Approach: A hotchpot calculation determines the estate's total value, including advancements, and then divides the amount among heirs accordingly.
- Sales, distributions, and how advancements affect shares are critical to the calculations.
- Example Calculation:
- Eva’s estate: $60,000$ (probate) + $10,000$ (Tamara) + $5,000$ (Krysti) = $75,000$ total. Each child’s share calculated accordingly.

Definition of Satisfaction:
- Similar to advancements but specifically pertains to gifts meant to satisfy a testamentary bequest.
- Courts may presume lifetime gifts satisfy will bequests depending on donor intent.
Example Case:
- Hugh’s will grants $5,000$ to Melanie; if he gives her that amount later, how does it affect her inheritance? If recognized, she will be credited for what she received.
Broader Coverage:
- Satisfaction has a wider application than advancements as it includes gifts to beneficiaries of wills, even non-heirs, when such intention is clear.

Impact of Divorce on Wills:
- Commonly, wills become ineffective toward a former spouse post-divorce unless specified otherwise.
- Questions arise about what actions trigger statutory changes (divorce vs. property settlements).
- Example: Rae's will leaves everything to Ollie; after divorce, statutory provisions typically bar Ollie from inheriting.

Denial of Shares Due to Misconduct:
- Beneficiaries may lose shares due to their misconduct, voluntary disclaimers of inheritance, or assignments of expectancies.
Disclaimers:
- Refusing to accept a gift to modify estate distribution, often made post-mortem to save tax or to favor other beneficiaries.
- A disclaimer acts as if the disclaimant predeceased the donor, causing the property to pass directly to remaining heirs.
Assignment of Expectancies:
- Expectancies relate to anticipated inheritances, which can be transferred but are risky as they depend on future outcomes (e.g., whether the will changes).

Example Scenarios:
- Inheritance can be contested based on wrongdoings such as homicide. Statutes exist in many jurisdictions to disallow benefits to those who unlawfully kill the decedent.
- Courts may impose a constructive trust to transfer property away from wrongdoers instead.

Liabilities and Effects:
- Each state's laws vary significantly regarding disclaimers, assignments, and misconduct restrictions affecting how property is distributed and who is barred from receiving shares.
- Pennsylvania and UPC (Uniform Probate Code) have specific guidelines for how advancements and satisfaction are treated against the inheritance shares.

The dynamics of property distribution upon death involve complex interactions among the actions of property holders (advancements and satisfaction) and the behaviors of beneficiaries (disclaimers and misconduct). Understanding local laws and documentation specifics is critical for fair distribution in estate planning.