HOUSE BILL No. 5498 March 8, 2000, Introduced by Rep. Shulman and referred to the Committee on Family and Civil Law. A bill to amend 1967 PA 224, entitled "Powers of appointment act of 1967," by amending section 4 (MCL 556.114). THE PEOPLE OF THE STATE OF MICHIGAN ENACT: 1 Sec. 4. Unless otherwise provided in the creating instru- 2 ment, an instrument manifests an intent to exercise the power if 3 the instrument purports to transfer an interest in the appointive 4 propertywhichTHAT the donee would have no power to transfer 5 except by virtue of the power, even though the power is not 6 recited or referred to in the instrument, or if the instrument 7 either expressly or by necessary implication from its wording, 8 interpreted in the light of the circumstances surrounding its 9 drafting and execution, manifests an intent to exercise the 10 power.If the creating instrument explicitly directs that no11instrument shall be effective to exercise the power unless it03358'99 b GWH 2 1contains a reference to the specific power, an instrument which2lacks such reference does not validly exercise the power.3 Subject to theforegoingOTHER PROVISIONS OF THIS SECTION, if 4 there is a general power exercisable by will with no express gift 5 in default in the creating instrument, a residuary clause or 6 other general language in the donee's will purporting to dispose 7 of all of the donee's estate or property operates to exercise the 8 power, but in all other cases such a clause or language does not 9 in itself manifest an intent to exercise a power exercisable by 10 will. 03358'99 b Final page. GWH