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6324(a)(2) is in the nature of a direct and primary obligation
created by Federal statute. Groetzinger v. Commissioner, supra
at 314.
First, petitioner asserts that the Marital Trust assets
"passed free of the trust" when decedent exercised her general
power of appointment. Second, petitioner asserts that the
Marital Trust was terminated on decedent's death (rather than
created on decedent's death), and petitioner was relieved of
possession (rather than came into possession) of the Marital
Trust property on decedent's death by the exercise of the power
of appointment.
Decedent's estate's exercise of the power of appointment did
not automatically dissolve the trust or vest the ownership of the
trust property in Charles L. Govern II, the appointee. A trust
continues for a reasonable period during which the trustee has
the power to perform necessary acts to wind up the affairs of the
trust. Govern v. Hall, supra at 877 (citing In re McLaughlin's
Trust, 361 N.W.2d 43, 46 (Minn. 1985)); Bogert, Trust & Trustees,
sec. 1010, at 448 (2d ed. 1983). Petitioner acted in her
capacity as trustee of the Marital Trust property for several
years after decedent's death. Although decedent died in October
of 1983, petitioner did not execute and deliver a deed conveying
the Marital Trust property to Charles L. Govern II, the
appointee, until February of 1992. Moreover, petitioner filed
decedent's estate's Federal estate tax return, in which she
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