Probate Code section 681

(a)

Except as provided in subdivision (b), property covered by a special power of appointment is not subject to the claims of creditors of the powerholder or of the powerholder’s estate or to the expenses of the administration of the powerholder’s estate.

(b)

Property subject to a special power of appointment shall be subject to the claims of creditors of the powerholder or of the powerholder’s estate or the expenses of administration of the powerholder’s estate under either of the following circumstances:

(1)

To the extent that the powerholder owned the property and, reserving the special power, transferred the property in violation of the Uniform Voidable Transactions Act (Chapter 1 (commencing with Section 3439) of Title 2 of Part 2 of Division 4 of the Civil Code).

(2)

If the initial gift in default of the exercise of the power is to the powerholder or the powerholder’s estate.

Source: Section 681, https://leginfo.­legislature.­ca.­gov/faces/codes_displaySection.­xhtml?lawCode=PROB§ionNum=681.­ (updated Jan. 1, 2017; accessed Dec. 15, 2025).

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Dec. 15, 2025

§ 681's source at ca​.gov