BILL NUMBER: AB 1784 INTRODUCED
BILL TEXT
INTRODUCED BY Assembly Member Harman
JANUARY 14, 2002
An act to repeal Sections 1071 and 1073 of the Civil Code, to
amend Sections 221, 230, 250, 6130, 6205, 6409, 11640, 21101, 21102,
21103, 21104, 21105, 21107, 21108, 21109, 21110, 21111, 21112, 21114,
21115, 21117, 21118, 21120, 21121, 21122, 21131, 21133, 21134,
21135, 21139, and 21140 of, to repeal Sections 21106, 21113, 21116,
21136, 21137, and 21138 of, and to repeal and add Section 21132 to,
the Probate Code, relating to construction of instruments.
LEGISLATIVE COUNSEL'S DIGEST
AB 1784, as introduced, Harman. Construction of instruments.
Existing law provides rules for the interpretation of wills,
trusts, deeds, and other instruments, which are to be used as
interpretive aids where the intention of the transferor is not
indicated by the instrument.
This bill would revise the above-described rules for
interpretation by, among other things, clarifying the appropriate use
of extrinsic evidence to determine the intention of the transferor;
making changes in terminology; limiting the application of certain
rules to specified transfers; conforming certain rules with the
Uniform Probate Code; adding new provisions regarding securities;
repealing certain rules; eliminating redundant provisions; and making
technical and conforming revisions.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 1071 of the Civil Code is repealed.
1071. Where a future interest is limited by a grant to take
effect on the death of any person without heirs, or heirs of his
body, or without issue, or in equivalent words, such words must be
taken to mean successors, or issue living at the death of the person
named as ancestor.
SEC. 2. Section 1073 of the Civil Code is repealed.
1073. The law of this State does not include (1) the common law
rule of worthier title that a grantor cannot convey an interest to
his own heirs or (2) a presumption or rule of interpretation that a
grantor does not intend, by a grant to his own heirs or next of kin,
to transfer an interest to them. The meaning of a grant of a legal
or equitable interest to a grantor's own heirs or next of kin,
however designated, shall be determined by the general rules
applicable to the interpretation of grants. This section shall be
applied in all cases in which final judgment has not been entered on
its effective date.
SEC. 3. Section 221 of the Probate Code is amended to read:
221. (a) This chapter does not apply in any case where Section
103, 6146, 6211, or 6403 applies.
(b) This chapter does not apply in the case of a trust, deed, or
contract of insurance, or any other situation, where (1) provision is
made dealing explicitly with simultaneous deaths or deaths in a
common disaster or otherwise providing for distribution of property
different from the provisions of this chapter or (2) provision is
made requiring one person to survive another for a stated period in
order to take property or providing for a presumption as to
survivorship that results in a distribution of property different
from that provided by this chapter.
SEC. 4. Section 230 of the Probate Code is amended to read:
230. A petition may be filed under this chapter for any one or
more of the following purposes:
(a) To determine for the purposes of Section 103, 220, 222, 223,
224, 6146, 6147, 6211, 6242, 6243, 6244,
or 6403, 21109, 21110 or other provision of this
code whether one person survived another.
(b) To determine for the purposes of Section 1389.4 of
the Civil Code 673 whether issue of an appointee
survived the donee.
(c) To determine for the purposes of Section 24606
24611 of the Education Code whether a person has
survived in order to receive benefits payable under the system.
(d) To determine for the purposes of Section 21371
21509 of the Government Code whether a person
has survived in order to receive money payable under the system.
(e) To determine for the purposes of a case governed by former
Sections 296 to 296.8, inclusive, repealed by Chapter 842 of the
Statutes of 1983, whether persons have died other than
simultaneously.
SEC. 5. Section 250 of the Probate Code is amended to read:
250. (a) A person who feloniously and intentionally kills the
decedent is not entitled to any of the following:
(1) Any property, interest, or benefit under a will of the
decedent, or a trust created by or for the benefit of the decedent or
in which the decedent has an interest, including any general or
special power of appointment conferred by the will or trust on the
killer and any nomination of the killer as executor, trustee,
guardian, or conservator or custodian made by the will or trust.
(2) Any property of the decedent by intestate succession.
(3) Any of the decedent's quasi-community property the killer
would otherwise acquire under Section 101 or 102 upon the death of
the decedent.
(4) Any property of the decedent under Part 5 (commencing with
Section 5700) of Division 5.
(5) Any property of the decedent under Part 3 (commencing with
Section 6500) of Division 6.
(b) In the cases covered by subdivision (a):
(1) The property interest or benefit referred to in paragraph (1)
of subdivision (a) passes as if the killer had predeceased the
decedent and Section 21110 does not apply.
(2) Any property interest or benefit referred to in paragraph (1)
of subdivision (a) which passes under a power of appointment and by
reason of the death of the decedent passes as if the killer had
predeceased the decedent, and Section 1389.4 of the Civil
Code does 673 not apply.
(3) Any nomination in a will or trust of the killer as executor,
trustee, guardian, conservator, or custodian which becomes effective
as a result of the death of the decedent shall be interpreted as if
the killer had predeceased the decedent.
SEC. 6. Section 6103 of the Probate Code is amended to read:
6103. Except as otherwise specifically provided, Chapter 1
(commencing with Section 6100), Chapter 2 (commencing with Section
6110), Chapter 3 (commencing with Section 6120), Chapter 4
(commencing with Section 6130), Chapter 5 (commencing with
Section 6140), Chapter 6 (commencing with Section 6200),
and Chapter 7 (commencing with Section 6300) of this division,
and Part 1 (commencing with Section 21101) of Division 11, do
not apply where the testator died before January 1, 1985, and the law
applicable prior to January 1, 1985, continues to apply where the
testator died before January 1, 1985.
SEC. 7. Section 6205 of the Probate Code is amended to read:
6205. "Descendants" mean children, grandchildren, and their
lineal descendants of all generations, with the relationship of
parent and child at each generation being determined as provided in
Section 6152 21115 . A reference to
"descendants" in the plural includes a single descendant where the
context so requires.
SEC. 8. Section 6409 of the Probate Code is amended to read:
6409. (a) If a person dies intestate as to all or part of his or
her estate, property the decedent gave during lifetime to an heir is
treated as an advancement against that heir's share of the intestate
estate only if one of the following conditions is satisfied:
(1) The decedent declares in a contemporaneous writing
that the gift is to be deducted from the heir's share of the estate
or that the gift is an advancement against the heir's share
of the estate or that its value is to be deducted from the
value of the heir's share of the estate .
(2) The heir acknowledges in writing that the gift is to be so
deducted or is an advancement or that its value is to be
deducted from the value of the heir's share of the estate .
(b) Subject to subdivision (c), the property advanced is to be
valued as of the time the heir came into possession or enjoyment of
the property or as of the time of death of the decedent, whichever
occurs first.
(c) If the value of the property advanced is expressed in the
contemporaneous writing of the decedent, or in an acknowledgment of
the heir made contemporaneously with the advancement, that value is
conclusive in the division and distribution of the intestate estate.
(d) If the recipient of the property advanced fails to survive the
decedent, the property is not taken into account in computing the
intestate share to be received by the recipient's issue unless the
declaration or acknowledgment provides otherwise.
SEC. 9. Section 11640 of the Probate Code is amended to read:
11640. (a) When all debts have been paid or adequately provided
for, or if the estate is insolvent, and the estate is in a condition
to be closed, the personal representative shall file a petition for,
and the court shall make, an order for final distribution of the
estate.
(b) The court shall hear and determine and resolve in the order
all questions arising under Section 6174
21135 (ademption by satisfaction) or Section 6409
(advancements).
(c) If debts remain unpaid or not adequately provided for or if,
for other reasons, the estate is not in a condition to be closed, the
administration may continue for a reasonable time, subject to
Chapter 1 (commencing with Section 12200) of Part 11 (time for
closing estate).
SEC. 10. Section 21101 of the Probate Code is amended to read:
21101. Unless the provision or context otherwise requires, this
part shall apply applies to a will,
trust, deed, and any other instrument.
SEC. 11. Section 21102 of the Probate Code is amended to read:
21102. (a) The intention of the transferor as expressed in the
instrument controls the legal effect of the dispositions made in the
instrument.
(b) The rules of construction expressed in this
part apply where the intention of the transferor is not indicated by
the instrument.
(c) Nothing in this section limits the use of extrinsic evidence,
to the extent otherwise authorized by law, to determine the intention
of the transferor.
SEC. 12. Section 21103 of the Probate Code is amended to read:
21103. The meaning and legal effect of a disposition in an
instrument shall be is determined by
the local law of a particular state selected by the transferor in the
instrument unless the application of that law is contrary to the
rights of the surviving spouse to community and quasi-community
property, to any other public policy of this state applicable to the
disposition, or, in the case of a will, to Part 3
(commencing with Section 6500) of Division 6.
SEC. 13. Section 21104 of the Probate Code is amended to read:
21104. As used in this part, "testamentary gift"
"at-death transfer" means a transfer in
possession or enjoyment that takes effect at or after death
that is revocable during the lifetime of the
transferor, but does not include a joint tenancy or joint account
with right of survivorship .
SEC. 14. Section 21105 of the Probate Code is amended to read:
21105. Except as otherwise provided in Sections 641
and 642, a will passes all property the testator owns at death,
including property acquired after execution of the will.
SEC. 15. Section 21106 of the Probate Code is repealed.
21106. A transfer of property to more than one person vests the
property in them as owners in common.
SEC. 16. Section 21107 of the Probate Code is amended to read:
21107. If an instrument directs the conversion of real property
into money at the transferor's death, the real property
and its proceeds shall be deemed personal property from the time of
the transferor's death.
SEC. 17. Section 21108 of the Probate Code is amended to read:
21108. The law of this state does not include (a) the common-law
rule of worthier title that a transferor cannot devise an interest to
his or her own heirs or (b) a presumption or rule of interpretation
that a transferor does not intend, by a transfer to his or her own
heirs or next of kin, to transfer an interest to them. The meaning
of a transfer of a legal or equitable interest to a transferor's own
heirs or next of kin, however designated, shall be determined by the
general rules applicable to the interpretation of instruments.
This section applies to all cases in which a final judgment
had not been entered as of September 18, 1959.
SEC. 18. Section 21109 of the Probate Code is amended to read:
21109. (a) A transferee who fails to survive
the transferor of an at-death transfer or until any future
time required by the instrument does not take under the instrument.
(b) If it cannot be established by clear and convincing evidence
that the transferee has survived the transferor, it is deemed that
the beneficiary did not survive the transferor.
(c) If it cannot be established by clear and convincing evidence
that the transferee survived until a future time required by the
instrument, it is deemed that the transferee did not survive until
the required future time.
SEC. 19. Section 21110 of the Probate Code is amended to read:
21110. (a) Subject to subdivision (b), if a transferee is dead
when the instrument is executed , or is treated as if the
transferee predeceased the transferor , or fails or is
treated as failing to survive the transferor or until a future
time required by the instrument, the issue of the deceased
transferee take in the transferee's place in the manner provided in
Section 240. A transferee under a class gift shall be a transferee
for the purpose of this subdivision unless the transferee's death
occurred before the execution of the instrument and that fact was
known to the transferor when the instrument was executed.
(b) The issue of a deceased transferee do not take in the
transferee's place if the instrument expresses a contrary intention
or a substitute disposition. A requirement that the initial
transferee survive for a specified period of time after the
death of the transferor constitutes a contrary intention.
A requirement that the initial transferee survive until a future time
that is related to the probate of the transferor's will or
administration of the estate of the transferor constitutes a contrary
intention.
(c) As used in this section, "transferee" means a person who is
kindred of the transferor or kindred of a surviving, deceased, or
former spouse of the transferor.
SEC. 20. Section 21111 of the Probate Code is amended to read:
21111. Except as provided in Section 21110:
(a) If a transfer, other than a residuary gift or a transfer of a
future interest, (a) Except as provided in subdivision
(b) and subject to Section 21110, if a transfer fails for any
reason, the property is transferred as follows:
(1) If the transferring instrument provides for an alternative
disposition in the event the transfer fails, the property is
transferred according to the terms of the instrument.
(2) If the transferring instrument does not provide for an
alternative disposition but does provide for the transfer of a
residue, the property becomes a part of the residue transferred under
the instrument.
(3) If the transferring instrument does not provide for an
alternative disposition and does not provide for the transfer of a
residue, or if the transfer is itself a residuary gift,
the property is transferred to the decedent's estate.
(b) If Subject to Section 21110, if
a residuary gift or a future interest is transferred to two or more
persons and the share of a transferee fails for any reason, and
no alternative disposition is provided, the share passes to the
other transferees in proportion to their other interest in the
residuary gift or the future interest.
(c) A transfer of "all my estate" or words of similar import is a
residuary gift for purposes of this section.
(d) If failure of a future interest results in an intestacy, the
property passes to the heirs of the transferor determined pursuant to
Section 21114.
SEC. 21. Section 21112 of the Probate Code is amended to read:
21112. A condition in a transfer of a present or future interest
that refers to a person's death "with" or "without" issue, or to a
person's "having" or "leaving" issue or no issue, or a condition
based on words of similar import, is construed to refer to that
person's being dead at the time the transfer takes effect in
enjoyment and to his or her that person
either having or not having, as the case may be, issue who are alive
at the time of enjoyment.
SEC. 22. Section 21113 of the Probate Code is repealed.
21113. (a) A transfer of a present interest to a class includes
all persons answering the class description at the transferor's
death.
(b) A transfer of a future interest to a class includes all
persons answering the class description at the time the transfer is
to take effect in enjoyment.
(c) A person conceived before but born after the transferor's
death or after the time the transfer takes effect in enjoyment takes
if the person answers the class description.
SEC. 23. Section 21114 of the Probate Code is amended to read:
21114. A transfer of a present or future interest to the
transferor's or another (a) If a statute or an
instrument provides for transfer of a present or future interest to,
or creates a present or future interest in, a designated person'
s "heirs," "heirs at law," "next of kin," "relatives," or
"family," or to "the persons entitled thereto under the
intestate succession laws," or to persons described by words of
similar import, is a transfer to those who would be the transferor's
or other designated person's heirs, their identities and respective
shares shall be determined as if the transferor or other designated
person were to die intestate at the time when the transfer is to take
effect in enjoyment and according to the California statutes of
intestate succession of property not acquired from a predeceased
spouse in effect at that time words of similar import,
the transfer is to the persons, including the state under Section
6800, and in the shares, that would succeed to the designated person'
s intestate estate under the intestate succession law of the
designated person's domicile if the designated person died when the
transfer is to take effect in enjoyment . If the designated
person's surviving spouse is living but is remarried at the time the
transfer is to take effect in enjoyment, the surviving spouse is not
an heir of the designated person for purposes of this section.
(b) As used in this section, "designated person" includes the
transferor.
SEC. 24. Section 21115 of the Probate Code is amended to read:
21115. (a) Except as provided in subdivision (b), halfbloods,
adopted persons, persons born out of wedlock, stepchildren, foster
children, and the issue of these persons when appropriate to the
class, are included in terms of class gift or relationship in
accordance with the rules for determining relationship and
inheritance rights for purposes of intestate succession.
(b) In construing a transfer by a transferor who is not the
natural parent, a person born to the natural parent shall not be
considered the child of that parent unless the person lived while a
minor as a regular member of the household of the natural parent or
of that parent's parent, brother, sister, spouse, or surviving
spouse. In construing a transfer by a transferor who is not the
adoptive parent, a person adopted by the adoptive parent shall not be
considered the child of that parent unless the person lived while a
minor (either before or after the adoption) as a regular member of
the household of the adopting parent or of that parent's parent,
brother, sister, or surviving spouse.
(c) Subdivisions (a) and (b) shall also apply in determining:
(1) Persons who would be kindred of the transferor or kindred of a
surviving, deceased, or former spouse of the transferor under
Section 21110.
(2) Persons to be included as issue of a deceased transferee under
Section 21110.
(3) Persons who would be the transferor's or other designated
person's heirs under Section 21114.
(d) The rules for determining intestate succession under this
section are those in effect at the time the transfer is to take
effect in enjoyment.
SEC. 25. Section 21116 of the Probate Code is repealed.
21116. A testamentary disposition by an instrument, including a
transfer to a person on attaining majority, is presumed to vest at
the transferor's death.
SEC. 26. Section 21117 of the Probate Code is amended to read:
21117. Testamentary gifts At-death
transfers are classified as follows:
(a) A specific gift is a transfer of specifically identifiable
property.
(b) A general gift is a transfer from the general assets of the
transferor that does not give specific property.
(c) A demonstrative gift is a general gift that specifies the fund
or property from which the transfer is primarily to be made.
(d) A general pecuniary gift is a pecuniary gift within the
meaning of Section 21118.
(e) An annuity is a general pecuniary gift that is payable
periodically.
(f) A residuary gift is a transfer of property that remains after
all specific and general gifts have been satisfied.
SEC. 27. Section 21118 of the Probate Code is amended to read:
21118. (a) If an instrument authorizes a fiduciary to satisfy a
pecuniary gift wholly or partly by distribution of property other
than money, property selected for that purpose shall be valued at its
fair market value on the date of distribution, unless the instrument
expressly provides otherwise. If the instrument permits the
fiduciary to value the property selected for distribution as of a
date other than the date of distribution, then, unless the instrument
expressly provides otherwise, the property selected by the fiduciary
for that purpose shall have an aggregate fair market value
on the date or dates of distribution that, when added to any cash
distributed, will amount to no less than the amount of the pecuniary
gift as stated in, or determined by, the instrument
fairly reflect net appreciation and depreciation (occurring between
the valuation date and the date of distribution) in all of the assets
from which the distribution could have been made .
(b) As used in this section, "pecuniary gift" means a transfer of
property made in an instrument that either is expressly stated as a
fixed dollar amount or is a dollar amount determinable by the
provisions of the instrument.
SEC. 28. Section 21120 of the Probate Code is amended to read:
21120. The words of an instrument are to receive an
interpretation that will give every expression some effect, rather
than one that will render any of the expressions inoperative.
Preference is to be given to an interpretation of an instrument that
will prevent intestacy failure of a transfer
, rather than one that will result in an intestacy
failure of a transfer .
SEC. 29. Section 21121 of the Probate Code is amended to read:
21121. All the parts of an instrument are to
be construed in relation to each other and so as, if possible, to
form a consistent whole. If the meaning of any part of an instrument
is ambiguous or doubtful, it may be explained by any reference to or
recital of that part in another part of the instrument.
SEC. 30. Section 21122 of the Probate Code is amended to read:
21122. The words of an instrument are to be given their ordinary
and grammatical meaning unless the intention to use them in another
sense is clear and their intended meaning can be ascertained.
Technical words are not necessary to give effect to a disposition in
an instrument. Technical words in an instrument
are to be considered as having been used in their technical sense
unless (a) the context clearly indicates a contrary intention or (b)
it satisfactorily appears that the instrument was drawn solely by the
transferor and that the transferor was unacquainted with the
technical sense.
SEC. 31. Section 21131 of the Probate Code is amended to read:
21131. A specific gift passes the property transferred subject to
any mortgage, deed of trust, or other lien existing at the date of
death, without right of exoneration, regardless of a general
directive to pay debts contained in the instrument of
transfer .
SEC. 32. Section 21132 of the Probate Code is repealed.
21132. (a) If the transferor intended a specific gift of certain
securities rather than the equivalent value thereof, the beneficiary
of the specific gift is entitled only to:
(1) As much of the transferred securities as is a part of the
estate at the time of the transferor's death.
(2) Any additional or other securities of the same entity owned by
the transferor by reason of action initiated by the entity excluding
any acquired by exercise of purchase options.
(3) Securities of another entity owned by the transferor as a
result of a merger, consolidation, reorganization or other similar
action initiated by the entity.
(4) Any additional securities of the entity owned by the
transferor as a result of a plan of reinvestment if it is a regulated
investment company.
(b) Distributions prior to death with respect to a security
specifically given and not provided for in subdivision (a) are not
part of the specific gift.
SEC. 33. Section 21132 is added to the Probate Code, to read:
21132. (a) If a transferor executes an instrument that makes an
at-death transfer of securities and the transferor then owned
securities that meet the description in the instrument, the transfer
includes additional securities owned by the transferor at death to
the extent the additional securities were acquired by the transferor
after the instrument was executed as a result of the transferor's
ownership of the described securities and are securities of any of
the following types:
(1) Securities of the same organization acquired by reason of
action initiated by the organization or any successor, related, or
acquiring organization, excluding any acquired by exercise of
purchase options.
(2) Securities of another organization acquired as a result of a
merger, consolidation, reorganization, or other distribution by the
organization or any successor, related, or acquiring organization.
(3) Securities of the same organization acquired as a result of a
plan of reinvestment.
(b) Distributions in cash before death with respect to a described
security are not part of the transfer.
SEC. 34. Section 21133 of the Probate Code is amended to read:
21133. A recipient of an at-death transfer of a
specific gift has the right to the remaining property
specifically given a right to the property
specifically given, to the extent the property is owned by the
transferor at the time the gift takes effect in possession
or enjoyment, and all
of the following:
(a) Any balance of the purchase price (together with any security
interest) agreement) owing from a
purchaser to the transferor at death the time
the gift takes effect in possession or enjoyment by reason of
sale of the property.
(b) Any amount of an eminent domain award for the taking of the
property unpaid at death the time the gift
takes effect in possession or enjoyment .
(c) Any proceeds unpaid at death the time
the gift takes effect in possession or enjoyment on fire or
casualty insurance on or other recovery for injury to the
property.
(d) Property owned by the transferor at death
the time the gift takes effect in possession or enjoyment and
acquired as a result of foreclosure, or obtained in lieu of
foreclosure, of the security interest for a specifically
given obligation.
(e) Real or tangible personal property owned by the transferor at
the time the gift takes effect in possession or enjoyment that the
transferor acquired as a replacement for specifically given real or
tangible personal property.
SEC. 35. Section 21134 of the Probate Code is amended to read:
21134. (a) Except as otherwise provided in this section, if
specifically given property is sold or mortgaged by a
conservator or by an agent acting within the authority of a
durable power of attorney for an incapacitated principal , the
beneficiary transferee of the specific
gift has the right to a general pecuniary gift equal to the net sale
price of , or the amount of the unpaid loan on, the
property.
(b) Except as otherwise provided in this section, if an eminent
domain award for the taking of specifically given property is paid to
a conservator or to an agent acting within the authority of a
durable power of attorney for an incapacitated principal , or
if the proceeds on fire or casualty insurance on , or recovery
for injury to, specifically gifted property are paid to a
conservator or to an agent acting within the authority of a
durable power of attorney for an incapacitated principal , the
recipient of the specific gift has the right to a general pecuniary
gift equal to the eminent domain award or the insurance proceeds
or recovery .
(c) This For the purpose of the references
in this section to a conservator, this section does not apply
if, after the sale, mortgage, condemnation, fire, or
casualty, or recovery, the conservatorship is terminated
and the transferor survives the termination by one year.
(d) For the purpose of the references in this section to an
agent acting with the authority of a durable power of attorney for an
incapacitated principal, (1) "incapacitated principal" means a
principal who is an incapacitated person, (2) no adjudication of
incapacity before death is necessary, and (3) the acts of an agent
within the authority of a durable power of attorney are presumed to
be for an incapacitated principal.
(e) The right of the beneficiary
transferee of the specific gift under this section shall be
reduced by any right the beneficiary
transferee has under Section 21133.
SEC. 36. Section 21135 of the Probate Code is amended to read:
21135. (a) Property given by a transferor during his or her
lifetime to a beneficiary person is
treated as a satisfaction of a testamentary gift
an at-death transfer to that person in whole or in part
only if one of the following conditions is satisfied:
(1) The instrument provides for deduction of the lifetime gift
from the testamentary gift at-death transfer
.
(2) The transferor declares in a contemporaneous writing that the
transfer is to be deducted from the testamentary
gift or is in satisfaction of the
testamentary gift at-death transfer or that its value
is to be deducted from the value of the at-death transfer .
(3) The transferee acknowledges in writing that the gift is in
satisfaction of the testamentary gift
at-death transfer or that its value is to be deducted from the value
of the at-death transfer .
(4) The property given is the subject of a specific gift of that
property to that person.
(b) Subject to subdivision (c), for the purpose of partial
satisfaction, property given during lifetime is valued as of the time
the transferee came into possession or enjoyment of the property or
as of the time of death of the transferor, whichever occurs first.
(c) If the value of the gift is expressed in the contemporaneous
writing of the transferor, or in an acknowledgment of the transferee
made contemporaneously with the gift, that value is conclusive in the
division and distribution of the estate.
(d) If the transferee fails to survive the transferor, the gift is
treated as a full or partial satisfaction of the gift, as
appropriate, in applying Sections 21110 and 21111 unless the
transferor's contemporaneous writing provides otherwise.
SEC. 37. Section 21136 of the Probate Code is repealed.
21136. If the transferor after execution of the transfer
instrument enters into an agreement for the sale or transfer of
specifically given property, the beneficiary of the specific gift has
the right to the property subject to the remedies of the purchaser
or transferee.
SEC. 38. Section 21137 of the Probate Code is repealed.
21137. If the transferor after execution of the transfer
instrument places a charge or encumbrance on specifically given
property for the purpose of securing the payment of money or the
performance of any covenant or agreement, the beneficiary of the
specific gift has the right to the property subject to the charge or
encumbrance.
SEC. 39. Section 21138 of the Probate Code is repealed.
21138. If the transferor after execution of the transfer
instrument alters, but does not wholly divest, the transferor's
interest in property that is specifically given by a conveyance,
settlement, or other act, the beneficiary of the specific gift has
the right to the remaining interest of the transferor in the
property.
SEC. 40. Section 21139 of the Probate Code is amended to read:
21139. The rules stated in Sections 21133 to 21138
21135 , inclusive, are not exhaustive, and
nothing in those sections is intended to increase the incidence of
ademption under the law of this state.
SEC. 41. Section 21140 of the Probate Code is amended to read:
21140. (a) Except as otherwise provided and subject to
subdivision (b), this This part applies to all
instruments, regardless of when they were executed.
(b) The repeal of former Sections 1050, 1051, 1052, and 1053 and
the amendment of former Section 1054, by Chapter 842 of the Statutes
of 1983, do not apply to cases where the decedent died before January
1, 1985. If the decedent died before January 1, 1985, the case is
governed by the former provisions as they would exist had Chapter 842
of the Statutes of 1983 not been enacted.