72-7-201. Creation of power of appointment. (1) A power of appointment is created only if:
     (a) the instrument creating the power:
     (i) is valid under applicable law; and
     (ii) except as otherwise provided in subsection (2), transfers the appointive property; and
     (b) the terms of the instrument creating the power manifest the donor's intent to create in a powerholder a power of appointment over the appointive property exercisable in favor of a permissible appointee.
     (2) Subsection (1)(a)(ii) does not apply to the creation of a power of appointment by the exercise of a power of appointment.
     (3) A power of appointment may not be created in a deceased individual.
     (4) Subject to an applicable rule against perpetuities, a power of appointment may be created in an unborn or unascertained powerholder.

     History: En. Sec. 5, Ch. 293, L. 2015.