Legal Definitions - lapse statute

A lapse statute (sometimes referred to as an anti-lapse statute) is a legal rule that helps interpret a will when an intended recipient of a gift dies before the person who made the will (the testator). Without such a statute, if a will-maker leaves property to someone who then passes away before the will-maker, that specific gift would typically "lapse" or fail. This means the property would not go to the deceased recipient's family but would instead be distributed according to default state laws for property not covered by a will, or to the will's residual beneficiaries.

Lapse statutes are designed to prevent this outcome by assuming the will-maker would have wanted the gift to go to the deceased recipient's direct descendants (such as their children or grandchildren) instead. This reflects an effort to honor the likely intentions of the will-maker. However, these statutes are "rules of construction," meaning they only apply if the will itself doesn't state a different plan. If the will clearly specifies what should happen if a beneficiary dies, the lapse statute will not override those explicit instructions. The specific relatives whose descendants are covered by lapse statutes can vary significantly from state to state.

• Example 1: Gift to a Niece's Children

  Imagine Aunt Carol's will states, "I leave $50,000 to my beloved niece, Sarah." Sarah has two children, Ben and Chloe. Tragically, Sarah passes away a year before Aunt Carol. Without a lapse statute, the $50,000 gift to Sarah would "lapse," meaning it would not go to Ben and Chloe, but would instead become part of Aunt Carol's remaining estate to be distributed to other beneficiaries or according to intestacy laws. However, because of a lapse statute, the law presumes Aunt Carol would have wanted Sarah's children to receive the gift. Therefore, Ben and Chloe would inherit the $50,000, preventing the gift from failing and ensuring it stays within the family line as likely intended.

• Example 2: Gift to a Sibling's Descendants

  Consider Mr. Henderson's will, which bequeaths his vacation cabin to his sister, Maria. Maria has a daughter, Sofia. Maria dies five years before Mr. Henderson. In many states, lapse statutes extend beyond just children or grandchildren to cover other close relatives, such as siblings. If the applicable state's lapse statute includes siblings, then Sofia, as Maria's descendant, would inherit the vacation cabin. This demonstrates how lapse statutes prevent a gift to a close family member from failing and instead direct it to their lineage, aligning with the presumed intent of the will-maker.

• Example 3: When a Lapse Statute Does Not Apply (Explicit Override)

  Suppose Ms. Chen's will states, "I leave my antique clock collection to my friend, Robert. If Robert predeceases me, the collection shall instead go to the local Historical Society." Robert passes away before Ms. Chen. In this scenario, even though Robert died before Ms. Chen, the lapse statute would not apply. Ms. Chen's will explicitly provided an alternative plan for the antique clock collection if Robert were to die first. Since the will clearly expressed her specific intention for this contingency, the lapse statute, which is a default rule, is overridden. The collection would therefore go to the Historical Society as Ms. Chen directed, rather than to Robert's descendants.