640. (a) The exercise of a power of appointment requires a
manifestation of the donee's intent to exercise the power.
(b) A manifestation of the donee's intent to exercise a power of
appointment exists in any of the following circumstances:
(1) The donee declares, in substance, that the donee exercises
specific powers or all the powers the donee has.
(2) The donee purports to transfer an interest in the appointive
property that the donee would have no power to transfer except by
virtue of the power.
(3) The donee makes a disposition that, when considered with
reference to the property owned and the circumstances existing at the
time of the disposition, manifests the donee's understanding that
the donee was disposing of the appointive property.
(c) The circumstances described in subdivision (b) are
illustrative, not exclusive.
641. (a) A general residuary clause in a will, or a will making
general disposition of all the testator's property, does not exercise
a power of appointment held by the testator unless specific
reference is made to the power or there is some other indication of
intent to exercise the power.
(b) This section applies in a case where the donee dies on or
after July 1, 1982.
642. If a power of appointment existing at the donee's death, but
created after the execution of the donee's will, is exercised by the
will, the appointment is effective except in either of the following
(a) The creating instrument manifests an intent that the power may
not be exercised by a will previously executed.
(b) The will manifests an intent not to exercise a power