(760 ILCS 3/1319)
Disposition of unappointed property under released or unexercised general power.
To the extent a powerholder releases or fails to exercise a general power of appointment other than a power to revoke, amend, or withdraw property from a trust:
(1) the gift-in-default clause controls the
disposition of the unappointed property; or
(2) if there is no gift-in-default clause or to the
extent the clause is ineffective:
(A) except as otherwise provided in subparagraph
(B), the unappointed property passes to:
(i) the powerholder if the powerholder is a
permissible appointee and living; or
(ii) if the powerholder is an impermissible
appointee or not living, the powerholder's estate if the estate is a permissible appointee; or
(B) to the extent the powerholder released the
power, or if there is no taker under subparagraph (A), the unappointed property passes under a reversionary interest to the donor or the donor's transferee or successor in interest.
(Source: P.A. 101-48, eff. 1-1-20