Estate of Sarah E. Greve, deceased, Charles E. Greve & David R. Greve, Co-Executors - Page 18

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          pal of the testamentary trust, decedent had a special power of              
          appointment.  We reject the estate’s position.                              
               The testamentary trust created under Ms. Wright’s will                 
          provided in pertinent part as follows:                                      
               Upon the death of any of my said children leaving                      
               issue, him or her surviving, the income arising from                   
               that portion of th[e] [p]rincipal to which said child                  
               [was] entitled to receive the income at the time of his                
               or her death shall be paid over equally among such                     
               surviving issue for and during the full term of their                  
               natural lives * * * [.] Upon the death of any issue of                 
               a deceased child of mine while such issue may be enti-                 
               tled to receive a portion of income herefrom, the                      
               principal of the fund represented by that portion of                   
               the income which such issue was receiving at the time                  
               of his or her death shall be paid over free and dis-                   
               charged of any trust to such persons and in such manner                
               as he or she shall by his or her Last Will and Testa-                  
               ment designate and appoint, and in the absence of such                 
               testamentary disposition it shall be paid over to those                
               persons who are then his or her heirs under the then                   
               existing Intestate Laws of the Commonwealth of Pennsyl-                
               vania.  [Emphasis added.]                                              
                The above-quoted underscored language in the testamentary             
          trust gave decedent the unlimited power to appoint through her              
          will one-sixth of the principal of that trust in favor of whom-             
          ever decedent desired.  We conclude that the foregoing power is a           
          general power of appointment (i.e., a power of appointment                  
          exercisable in favor of decedent’s estate, decedent’s creditors,            
          or the creditors of decedent’s estate).  See sec. 2041(b)(1);               
          Martin v. United States, 780 F.2d 1147, 1148 (4th Cir. 1986); see           
          also sec. 20.2041-1(c)(1)(a) and (b), Estate Tax Regs.  As                  
          discussed supra note 9, the estate acknowledges that if the Court           






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