Family law
What are the two void marriages?
Too closely related and bigamy
Does the Rule Against Perpetuities apply to trusts?
Yes, except charitable trusts
Define Ademption
A failed bequest of personal property, because the property is no longer in the estate.
What is the biggest difference between S-Corp and C-Corp?
S-corps have no income tax at the entity level. C-Corps pay double taxes.
What are the different classifications of collateral?
Consumer Goods
Inventory
Equipment
Farm Product
Intangibles
Fixtures
Chattel Paper- not tested
What are the two steps in property division?
Classification (marital or separate) and division (equitable)
What are the requirements to create a trust?
Intent, beneficiaries, purpose, and cash money baby
Trustee would be nice too, but court can appoint one
What 2 grounds for will contests are most popular?
Lack of Capacity
Undue Influence
What 4 things must be in Articles of Incorporation?
Name of Corp (including appropriate abbrev.)
Name and address of incorporators
registered agent
Stock, number of shares, voting rights
What effect does a change in the use of collateral have on the attachment of a security interest?
No effect.
What is the standard to modify child support?
A substantial and continuing change of circumstances affecting the needs of the child or the ability of the parent to pay
What does a spend thrift clause do?
Precludes the beneficiary from voluntarily or involuntarily transferring their interest in the trust, and the beneficiary’s creditors are precluded from reaching it to satisfy their claims
What 2 things create a presumption of undue influence?
Confidential relationship
Beneficiary participated in will execution.
What are the 3 requirements to bring a derivative suit?
Stock ownership
Representation of Corps' interests
Written demand/ notice to Corp.- 90 days typically
What 3 things make up Attachment?
Value
Writing/Contract
Debtor's rights to collateral
What is the doctrine of necessities?
Duty to support can make one spouse liable to third parties for the other spouse’s purchases for necessary expenses, such as food, clothing, and health care.
What is the cy pres doctrine?
if the trust's charitable purpose no longer possible, court will try and modify your trust to seek an alternative charitable purpose (will try and pick something as close as possible to your original purpose). Settlor's intent matters.
Explain the UPC Per Capita Intestate Model
Start at Child Generation
Allocate 1 share for each child that is either alive or has issue surviving them.
Distribute
Combine all remaining shares and divide equally amongst next generation.
What are the 5 Fundamental Corporate Changes?
Amending Articles
Mergers/Consolidation
Transfer of all/most assets
Conversion
Dissolution
When does a security interest attach for After-acquired Property?
When the debtor acquires the interest in the collateral.
Name the standard in child custody/visitation cases and 3 factors
Best interest of the child
Factors: parents' wishes, child's preference, child's relationship with family, child's adjustment (to home, school, etc.), mental and physical health of parties, and primary caregiver
What can terminate a trust? Name at least 3
Trust expires, trust purpose has become illegal/impossible, trust purpose satisfied, runs out of money, or settlor revokes if revocable/settlor and beneficiaries agree to terminate if irrevocable
Define Dependent Relevant Revocation
Equitable doctrine where the court may disregard revocation if it is determined that the revocation was premised on mistake of fact, and otherwise would not have been revoked.
What are the 5 steps of winding up?
Provide notice to creditors and in newspaper
gather cash
liquidate assets
pay creditors
distribute remaining sums to shareholders
Name the top 4 secured parties in order of priority.
Purchase Momey Security Interest (PMSI)
Buyer in Ordinary Course (BIOC)
Perfected Attached Creditor
Lien Creditor