Also known as: demonstrative devises · demonstrative legacy
Written by attorneys · grounded in primary & secondary sources — see below
A testamentary disposition, usually of a specified amount of money or quantity of property, that is primarily payable from a designated source but is secondarily payable from the general assets of the estate to the extent that the primary source is insufficient.
Ethan's will left Carla $150,000 from the proceeds of his grain sales. After Ethan sold the grain and reinvested the money in mutual funds, the designated source no longer existed as a separate fund. The personal representative paid Carla the full amount from other estate assets because the gift qualified as demonstrative.
Liam's will directed $250,000 to be paid first from his construction receivables. At death the receivables totaled far less than that sum, but the estate held ample liquid assets. The personal representative satisfied the shortfall from the general estate assets after exhausting the designated receivables.
Select any source to read its text and confirm it supports the definition.
A specific devise requires delivery of a particular identified asset and fails if that asset is gone. A demonstrative devise instead directs payment of a fixed amount from a preferred source but permits satisfaction from general estate assets when the source proves insufficient or unavailable.
Supporting sources
The gift is demonstrative. The fixed dollar amount combined with a designated primary source triggers the hybrid treatment that allows secondary payment from general assets if the named fund is inadequate.
Supporting sources
Demonstrative devises are treated as specific devises to the extent the designated source is sufficient and as general devises to the extent the source is insufficient and payment must come from general assets.
Supporting sources
No. The gift remains demonstrative unless the will expressly limits payment to the designated source alone. Words such as if that much money is on hand convert the gift into a specific devise.
Supporting sources