Under the Doctrine of Cy Pres, When the Settlor Has

question 11

Multiple Choice

Under the doctrine of cy pres, when the settlor has not specifically provided for a substitute beneficiary, the:

• A) trust will automatically fail.
• B) court will direct the application of the property to some charitable purpose that falls within the settlor's general charitable intention.
• C) court will direct that the property be handed over to the government for administrative purposes.
• D) original beneficiaries can use the property for a charitable purpose.

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Definitions:

Underfilling

Refers to the process or instance of not filling a container or space to its capacity, often used in a manufacturing or packaging context.

Z Statistic

A statistical measure used in hypothesis testing, representing the number of standard deviations a data point is from the mean.

Normal Distribution

A bell-shaped data distribution that is symmetric about the mean, representing a common pattern in which most occurrences take place near the average and fewer occur as you move away.

Two-tailed Test

A hypothesis test where the area of interest is in both tails of the probability distribution, allowing for investigating deviations in two opposite directions.