Under the majority rule, an advancement is deemed an advancement or present satisfaction of a legacy.

Under the majority rule, an advancement is deemed an advancement or present satisfaction of a legacy.

• A. True
• B. False
• C. Only if the donor and donee sign a contemporaneous writing
• D. Only if the gift is cash

Answer: (A)

In this area of wills and estates, an advancement is a lifetime gift to a potential legatee that the donor intends to count against that legatee’s eventual share. Under the majority rule, such an advancement is presumed to be present satisfaction of the legacy. In other words, the value given during life is treated as already having been received toward the legacy, and it will be charged against the legatee’s portion when the estate is distributed. The donor can rebut this presumption if there is evidence showing the gift was not meant as present satisfaction (for example, a contemporaneous written declaration by the donor that the transfer is to be in addition to the legacy). However, absent such evidence, the default is that lifetime gifts to a potential heir are considered advancements. Note that the advancement can be cash or other property, not limited to cash.

In this area of wills and estates, an advancement is a lifetime gift to a potential legatee that the donor intends to count against that legatee’s eventual share. Under the majority rule, such an advancement is presumed to be present satisfaction of the legacy. In other words, the value given during life is treated as already having been received toward the legacy, and it will be charged against the legatee’s portion when the estate is distributed. The donor can rebut this presumption if there is evidence showing the gift was not meant as present satisfaction (for example, a contemporaneous written declaration by the donor that the transfer is to be in addition to the legacy). However, absent such evidence, the default is that lifetime gifts to a potential heir are considered advancements. Note that the advancement can be cash or other property, not limited to cash.