To the extent a powerholder releases, ineffectively exercises, or fails to exercise a nongeneral power of appointment:

1. (1) The gift-in-default clause controls the disposition of the unappointed property; or

2. (2) If there is no gift-in-default clause or to the extent the clause is ineffective, the unappointed property:

   1. (a) Passes to the permissible appointees if:

      1. (i) The permissible appointees are defined and limited; and
      2. (ii) The terms of the instrument creating the power do not manifest a contrary intent; or
   2. (b) If there is no taker under (a) of this subsection, passes under a reversionary interest to the donor or the donor's transferee or successor in interest.

[ 2021 c 140 s 3311.]