What do intestacy laws dictate regarding a deceased's property?

Prepare for the CFP Estate Planning Evaluation. Utilize flashcards and multiple choice questions, each with hints and explanations. Ensure your success on the exam!

Intestacy laws govern the distribution of a deceased person's assets when they die without a valid will. These laws vary by jurisdiction, but they generally follow a predetermined hierarchy for inheritance. The correct answer highlights a crucial aspect of intestacy: it is possible for the distribution of property to not align with the deceased's wishes or intentions.

In many cases, intestacy laws favor immediate family members and may prioritize children, spouses, or parents, depending on the state laws. This structure can result in property being distributed to individuals who the deceased may not have wished to inherit it, such as distant relatives or even state authorities if no relatives can be found. Thus, intestacy laws can lead to situations where heirs not contemplated by the deceased receive assets, illustrating that the distribution does not always reflect the deceased's preferences.

The other choices, while they touch on aspects of intestacy laws, do not accurately encapsulate the broader consequence of these laws—namely, that they can lead to unintended heirs receiving property.

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