STEP Diploma in Trust and Estate Planning - Ireland

Under Section 78 of the Irish Succession Act 1965, which of the following is a strict statutory requirement for the execution of a valid will?

• AThe testator must sign the will in the presence of at least one witness who is a Commissi…
• BThe two witnesses must sign and attest the will in the presence of the testator, though n…
• CThe will must be dated and executed within the state of Ireland to be valid.
• DThe executors must sign the will at the foot of each page to demonstrate consent.

What is the legal effect under Section 82 of the Succession Act 1965 if a witness to a will, or their spouse, is named as a beneficiary under that will?

• AThe entire will is rendered void and the estate will distribute under intestacy rules.
• BThe gift to the witness or their spouse is void, but the rest of the will remains valid.
• CThe gift remains valid provided the total value of the bequest does not exceed €10,000.
• DThe gift is valid, but the witness is disqualified from acting as an executor of the esta…

According to Section 85 of the Succession Act 1965, in what circumstance is a will automatically revoked by operation of law?

• AUpon the testator entering into a subsequent marriage or civil partnership, unless the wi…
• BUpon the testator getting divorced or obtaining a decree of judicial separation.
• CUpon the birth or adoption of the testator's first child.
• DUpon the testator being declared bankrupt by the High Court.

A testator dies intestate in Ireland, leaving a surviving spouse and two children. How is the deceased's estate distributed under Section 67 of the Succession Act 1965?

• AThe surviving spouse receives the entire estate, and the children receive nothing.
• BThe surviving spouse receives one-half of the estate, and the children share the remainin…
• CThe surviving spouse receives two-thirds of the estate, and the remaining one-third is di…
• DThe surviving spouse receives one-third of the estate, and the remaining two-thirds is di…

Where a testator dies leaving a spouse but no children, what is the surviving spouse's Legal Right Share (LRS) under Section 111 of the Succession Act 1965?

• AOne-third of the net estate.
• BOne-half of the net estate.
• CTwo-thirds of the net estate.
• DThe entire estate up to a value of €500,000, and half of any residue.

What is the Legal Right Share (LRS) of a surviving spouse under Section 111 of the Succession Act 1965 if the testator dies leaving a spouse and surviving children?

• AOne-third of the net estate.
• BOne-half of the net estate.
• CTwo-thirds of the net estate.
• DOne-quarter of the net estate.

A child wishes to make an application under Section 117 of the Succession Act 1965, alleging that their deceased parent failed in their moral duty to make proper provision for them. What is the strict statutory time limit for bringing this application?

• ATwo years from the date of the testator's death.
• BSix months from the first taking out of representation (probate or letters of administrat…
• CTwelve months from the first taking out of representation to the estate.
• DSix years from the date of death, in line with the standard Statute of Limitations for co…

To establish a valid fully secret trust in Irish law, when must the testator communicate the terms of the trust and the identity of the beneficiaries to the primary trustee?

• AAt any time before the testator's death, whether before or after the execution of the wil…
• BStrictly before or at the time of the execution of the will.
• CWithin six months after the probate of the will has been granted.
• DOnly in writing attached as a codicil to the will.

Under the doctrine of ademption, what occurs if a testator makes a specific bequest of a particular asset (e.g., 'my 500 shares in CRH plc') in their will, but sells that asset prior to their death?

• AThe beneficiary is entitled to receive the cash equivalent of the asset from the general…
• BThe bequest fails completely (adeems), and the beneficiary receives nothing under that cl…
• CThe executors must purchase an identical asset using general estate funds to satisfy the…
• DThe bequest is treated as a general legacy, and the value is charged against the residuar…

Which of the following describes the statutory exception to the doctrine of lapse under Section 98 of the Succession Act 1965?

• AA gift to a spouse who predeceases the testator is automatically redirected to the spouse…
• BA gift to a child of the testator who predeceases the testator leaving issue surviving at…
• CAll specific bequests that lapse are divided equally among the attesting witnesses.
• DIf a charity named in a will ceases to exist, the gift is automatically distributed under…

Which of the following represents the classic test for testamentary capacity established in Banks v Goodfellow (1870) and applied in Ireland?

• AThe testator must be of sound mind, which requires that they score at least 26 out of 30…
• BThe testator must understand the nature of the act and its effects, the extent of the pro…
• CThe testator must execute the will in the presence of a registered medical practitioner w…
• DThe testator must not suffer from any physical illness or age-related infirmity at the ti…

Under Section 5 of the Succession Act 1965, how does property devolve if two or more people die in circumstances where it is uncertain which of them survived the other (commorientes)?

• AThe elder is presumed to have survived the younger.
• BThey are deemed to have died simultaneously, and their estates are distributed accordingl…
• CThe younger is presumed to have survived the elder.
• DThe court will delay distribution for a period of seven years until survival can be deter…

What is the legal status of an 'executor de son tort' in the administration of an estate in Ireland?

• AAn executor who has formally renounced probate but is later appointed by the court.
• BAn individual who intermeddles with the assets of the deceased without legal authority, t…
• CAn executor appointed under a foreign will who has not yet obtained an Irish grant of rep…
• DAn executor who has committed a breach of trust (devastavit) and is removed by the High C…

If a will fails to strictly comply with the attestation and execution requirements of Section 78 of the Succession Act 1965, does the Irish High Court have a general statutory power to admit the will to probate?

• AYes, if the court is satisfied that the document expresses the true intentions of the dec…
• BYes, but only if the will was executed using an approved digital signature system.
• CNo, Ireland does not have a statutory dispensing power, and wills that fail to meet the f…
• DYes, provided the estate value is under €25,000.

What is the key principle behind the doctrine of 'dependent relative revocation' in succession law?

• AA revocation of a will is only effective if the testator's dependents consent to it in wr…
• BA revocation of a will is conditional; if the testator revokes a will with the intention…
• CA will is automatically revoked if a dependent child is excluded from the will without re…
• DAny revocation by a relative who is financially dependent on the testator is presumed to…

Under Section 115 of the Succession Act 1965, if a surviving spouse is left a gift in the testator's will, how do they exercise their right to the Legal Right Share (LRS)?

• AThey must elect to take either the gift under the will or their Legal Right Share; they c…
• BThey automatically receive both the LRS and the gift, unless the will explicitly excludes…
• CThey must apply to the High Court within three months of the death to claim the LRS.
• DThey can only claim the LRS if they first renounce their role as executor.

Under Section 56 of the Succession Act 1965, what right is granted to a surviving spouse in respect of the family home (dwelling house)?

• AThe right to reside in the house rent-free for their lifetime, regardless of who inherits…
• BThe right to require the personal representatives to appropriate the dwelling house in or…
• CAn automatic transfer of the sole legal title of the house to the spouse, free from any m…
• DThe right to veto any sale of the house by the executors for a period of up to ten years.

How does the onus of proof operate when undue influence is alleged in relation to the execution of a will in Ireland?

• AThere is an automatic presumption of undue influence if the will leaves assets to a solic…
• BThe onus of proof is always on the person alleging undue influence, and there is no presu…
• CThe executors must prove that the testator was completely free from undue influence befor…
• DThe onus shifts to the beneficiary of the gift if the gift exceeds 50% of the total estat…

To revoke a will by destruction under Section 85 of the Succession Act 1965, what elements must be present?

• AThe will must be burnt, torn, or otherwise destroyed by the testator, or by some person i…
• BThe testator must write 'Revoked' across the front page in the presence of one witness.
• CThe will must be registered as cancelled with the Probate Office.
• DThe executors must destroy the original will within 30 days of receiving a written instru…

Under the doctrine of satisfaction (ademption by portions), if a parent leaves a legacy of €50,000 to a child in their will, and later during their lifetime makes a gift of €50,000 to that same child as a portion (e.g., to buy a house), what is the presumption in Irish law?

• AThe child is entitled to receive both the lifetime gift and the legacy under the will.
• BThe legacy in the will is presumed to be satisfied (extinguished) by the lifetime gift, u…
• CThe lifetime gift is treated as an interest-free loan that the child must repay to the es…
• DThe entire will is rendered void, and the estate must be distributed under intestacy.

Which of the following describes the requirements of the 'three certainties' established in Knight v Knight (1840) for the creation of a valid express trust in Ireland?

• ACertainty of the trust deed, certainty of the trustee's identity, and certainty of the st…
• BCertainty of intention (words), certainty of subject matter (property), and certainty of…
• CCertainty of the date of execution, certainty of the perpetuity period, and certainty of…
• DCertainty of the settlor's capacity, certainty of the witness's signatures, and certainty…

In Ireland, what is the formal requirement for the creation of an express trust of land (immovable property) under the Statute of Frauds (Ireland) 1695?

• AThe trust must be created orally in the presence of at least three independent witnesses.
• BThe trust must be registered with the Land Registry within 30 days of creation to have an…
• CThe trust must be manifested and proved by some writing signed by the party who is by law…
• DThe trust must be executed by deed under seal and stamped by the Revenue Commissioners.

Under Section 10 of the Trustee Act 1893, who has the primary statutory power to appoint new trustees if a trustee dies, remains out of Ireland for more than 12 months, or desires to be discharged?

• AThe beneficiaries, by passing an ordinary resolution at a general meeting.
• BThe person or persons nominated for the purpose of appointing new trustees by the instrum…
• CThe Registrar of the High Court, upon a summary application.
• DThe Minister for Justice and Equality, through the Charities Regulator.

What is the standard of care required of an ordinary trustee when managing trust investments in Irish law?

• AA subjective standard based on the trustee's own personal business acumen and education.
• BThe standard of an ordinary prudent business person managing their own affairs, or a prof…
• CAn absolute liability standard where the trustee is responsible for any drop in trust ass…
• DA standard of gross negligence only, meaning they are only liable for extreme recklessnes…

Which of the following correctly describes the power of trustees to delegate their duties and powers under Irish law?

• ATrustees have an unrestricted statutory right to delegate all of their fiduciary duties,…
• BTrustees are generally not permitted to delegate their fiduciary decision-making powers (…
• CDelegation is permitted only if the delegates are close relatives of the settlor.
• DTrustees may delegate their powers, but only for a maximum period of 30 days in any calen…

When exercising their powers of investment, what statutory obligation is placed on trustees in Ireland under the Trustee (Authorised Investments) Act 1958 (as amended)?

• ATrustees must invest all trust funds exclusively in Irish Government bonds.
• BTrustees must invest only in assets listed on the Irish Stock Exchange (Euronext Dublin).
• CTrustees must exercise care, diligence, and prudence, take appropriate advice, and ensure…
• DTrustees are prohibited from investing in any property outside the European Union.

What does the rule in Saunders v Vautier (1841) allow beneficiaries of a trust to do?

• ATo sue the trustees for breach of trust if the investment returns are lower than the rate…
• BTo terminate the trust and compel the trustees to transfer the legal title of the trust p…
• CTo replace the trustees with a professional trust corporation without needing a court ord…
• DTo unilaterally change the terms of the trust to reduce their exposure to Capital Acquisi…

Unlike the United Kingdom, Ireland does not have a general Variation of Trusts Act. Under what statutory framework can the Irish courts approve a variation of a trust on behalf of minors or unborn beneficiaries?

• AThe Charities Act 2009.
• BSections 137 to 141 of the Land and Conveyancing Law Reform Act 2009.
• CThe Succession Act 1965.
• DThe Civil Partnership and Certain Rights and Obligations of Cohabitants Act 2010.

Which of the following represents the core principle established in Milroy v Lord (1862) regarding the constitution of trusts?

• AEquity will treat a defective gift as a valid declaration of trust if the donor intended…
• BIn order to render a voluntary settlement valid and effectual, the settlor must have done…
• CA trust is automatically constituted as soon as the trust deed is signed, regardless of w…
• DThe court will retrospectively validate a trust if the settlor's estate would otherwise p…

Where a couple executes mutual wills pursuant to an agreement not to revoke them, what type of trust is created over the property of the survivor upon the death of the first partner?

• AAn express discretionary trust.
• BA constructive trust.
• CA resulting trust.
• DA statutory trust under the Succession Act.

A person is appointed as a trustee in a will but does not wish to accept the office. How should they protect themselves from assuming trustee liabilities?

• AThey must wait for two years, after which the appointment lapses automatically.
• BThey must execute a formal disclaimer before performing any act that could be construed a…
• CThey must write to the Revenue Commissioners requesting a tax waiver.
• DThey must assign their duties to their oldest child.

Following the Privy Council decision in Schmidt v Rosewood (2003), which has been followed in Ireland, how is a beneficiary's right to inspect trust documents characterised?

• AAs a strict proprietary right in the trust assets.
• BAs an aspect of the court's inherent jurisdiction to supervise the administration of trus…
• CAs an absolute statutory right that cannot be restricted by the trust deed.
• DAs a right reserved only for beneficiaries who hold at least a 25% share in the trust cap…

Under general principles of Irish trust law, what is the rule regarding the remuneration of trustees?

• ATrustees are entitled to charge a standard commission of 2.5% of the trust's annual incom…
• BTrustees must act gratuitously and are not entitled to payment for their services, unless…
• CProfessional trustees are legally entitled to charge double their standard fee if they ac…
• DTrustees are paid by the state out of the National Treasury.

What is the liability of trustees who commit a breach of trust resulting in a loss to the trust estate in Ireland?

• AThey are only liable up to the value of their personal contribution to the trust setup.
• BThey are jointly and severally liable, meaning a beneficiary can recover the full loss fr…
• CThe liability is limited to the fees they charged for acting as trustees.
• DOnly the trustee who physically held the trust bank account can be held liable.

Under Section 49 of the Trustee Act 1893, when may the court relieve a trustee from personal liability for a breach of trust?

• AIf the trustee can show that the beneficiaries also made a profit from a different, unrel…
• BIf the court is satisfied that the trustee acted honestly and reasonably, and ought fairl…
• COnly if the trustee is a relative of the settlor and was acting without legal advice.
• DIf the trustee agrees to resign immediately and pay a nominal fine of €100.

Which of the following is NOT a charitable purpose under Section 3 of the Charities Act 2009 in Ireland?

• AThe advancement of education.
• BThe promotion of a political party or candidate.
• CThe prevention or relief of poverty or economic hardship.
• DThe advancement of religion.

How does the 'presumption of advancement' operate in Irish resulting trust law when a husband transfers property to his wife?

• AThe property is presumed to be held by the wife on resulting trust for the husband.
• BThe transfer is presumed to be an outright gift (advancement) to the wife, though this pr…
• CThe transfer is automatically void under family law rules.
• DThe wife is presumed to hold the property as a tenant in common with the husband's siblin…

What is the key feature of a 'Quistclose trust' as recognised in Irish commercial equity?

• AIt is a trust created automatically whenever a company goes into liquidation.
• BIt arises when a creditor advances money to a debtor for a specific sole purpose (e.g., t…
• CIt is a trust designed to protect family farm assets from division during a divorce.
• DIt is a statutory trust created under the Irish Land Commission.

Under the statutory powers of maintenance and accumulation in Ireland (historically under Section 43 of the Conveyancing Act 1881), what can trustees do with the income of trust property held for a minor beneficiary?

• AThey must pay the entire income directly to the minor, regardless of age or circumstances.
• BThey may pay to the parent or guardian, or otherwise apply for the minor's maintenance, e…
• CThey must invest all income in gold bullion until the minor reaches the age of 21.
• DThey must pay the income to the Revenue Commissioners as withholding tax.

What is the consequence under the 'self-dealing rule' if a trustee purchases trust property from the trust?

• AThe transaction is valid if the trustee paid the full market value.
• BThe transaction is voidable 'ex debito justitiae' (as of right) at the instance of any be…
• CThe trustee is subject to automatic criminal prosecution and a mandatory prison sentence.
• DThe transaction is valid if approved by a majority of the trustees.

In estate planning, what is the crucial legal distinction between holding real property as joint tenants versus tenants in common in Ireland?

• AJoint tenants can sell their share without consent, whereas tenants in common cannot.
• BThe right of survivorship (jus accrescendi) applies to joint tenancy, meaning the propert…
• CTenants in common are jointly liable for property mortgages, while joint tenants are only…
• DJoint tenancy is only available to married couples, whereas tenancy in common is open to…

Under Section 30 of the Land and Conveyancing Law Reform Act 2009, what is required to legally sever a joint tenancy in land in Ireland?

• AThe unilateral registration of a notice of severance in the Land Registry.
• BThe consent in writing of the other joint tenant or tenants.
• CA physical partition of the land by a licensed surveyor.
• DThe passage of a period of 12 years since the joint tenancy was established.

The Assisted Decision-Making (Capacity) Act 2015 introduced major reforms to Enduring Powers of Attorney (EPAs) in Ireland. Under the new system, which body is responsible for registering and supervising EPAs?

• AThe Probate Office of the High Court.
• BThe Decision Support Service (DSS).
• CThe Law Society of Ireland.
• DThe National Safeguarding Office of the HSE.

Under the Nursing Home Support Scheme (Fair Deal Scheme) rules, what is the '3-year cap' (or 15% rule) in relation to the principal private residence?

• AThe state will only pay for a maximum of 3 years of nursing home care.
• BThe contribution based on the value of the resident's principal private residence is capp…
• CAny asset transfers made more than 3 years before entering a nursing home are completely…
• DThe resident's family must sell the house within 3 years of the resident entering care.

To qualify for Agricultural Relief from Capital Acquisitions Tax (CAT) on a gift or inheritance of land in Ireland, what is the '80% test' (or 'farmer test') that the beneficiary must satisfy?

• AAt least 80% of the land must be zoned for agricultural use by the local authority.
• BNot less than 80% of the beneficiary's total gross assets (after taking the agricultural…
• CThe beneficiary must prove that 80% of their annual income is derived directly from farmi…
• DThe transfer must reduce the donor's landholding by at least 80%.

In addition to the 80% asset test, what 'active farmer' requirement must a beneficiary satisfy to retain Agricultural Relief on a gift or inheritance of farm property?

• AThey must live on the farm for a period of ten years.
• BThey must either farm the land themselves for at least 6 years (holding a Teagasc Green C…
• CThey must register as a organic farmer with the Department of Agriculture within 12 month…
• DThey must not engage in any off-farm employment during the 6-year post-transfer period.

What is the minimum period for which a donor must have owned 'relevant business property' prior to a transfer to qualify the beneficiary for Business Relief from Capital Acquisitions Tax (CAT) on an inheritance?

• A1 year.
• B2 years.
• C5 years.
• D10 years.

How does the 'CGT / CAT interaction relief' (Section 63 of CATCA 2003) benefit an estate planning client making a lifetime transfer of a chargeable asset?

• AIt exempts the transaction from stamp duty entirely.
• BIt allows the Capital Gains Tax (CGT) paid by the donor on the disposal to be credited ag…
• CIt allows the donor to write off the CAT against their personal income tax liability.
• DIt automatically reduces the CGT rate to 10%.