Lapsed gift

A lapsed gift is a gift made in a will to a person who has died prior to the will-makers death.

Under the common law, such a gift would be included in the "residual estate" (that part of the estate not bequeathed to a specific person or entity). But if the person was to inherit part of the residual estate, then the rules of intestate succession apply ("no residue of a residue").

However, modern law has provided for some exceptions:

• Under the Uniform Probate Code (where adopted), if two or more people are bequeathed the residual estate, the share for the person deceased goes to the other(s) proportionally.
• If the Uniform Simultaneous Death Act applies, then the 120 hour rule goes into effect.
• Some jurisdictions have "anti-lapse" statutes, which allow for such bequests to go to the heirs of the original person; however, the testator can specify that the anti-lapse rule does not apply.