To the extent a powerholder releases or fails to exercise a general power of appointment other than a power to withdraw property from, revoke or amend 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 paragraph (b), the unappointed property passes to:
(1) The powerholder if the powerholder is a permissible appointee and living; or
(2) If the powerholder is an impermissible appointee or deceased, 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 paragraph (a), the unappointed property passes under a reversionary interest to the donor or the donor’s transferee or successor in interest.
(Added to NRS by 2017, 1376)