The following sample bequest language is designed to help you arrange a bequest to the Dalhousie Medical Research Foundation. Please keep in mind that the Foundation is not providing legal advice through this document. You are urged to consult a lawyer to ensure your will is in proper legal form.
Type of Bequest
1) Specific bequest
a) Sum of money
“I give to the Dalhousie Medical Research Foundation [the sum of $XXX,000] to be used for the [general purposes of Dalhousie Medical Research Foundation].”
b) Particular property such as stocks, real estate, artwork, etc.
“I give to the Dalhousie Medical Research Foundation [500 shares of XYZ stock] for the [general purposes of Dalhousie Medical Research Foundation].”
2) Gift of the residue of an estate
Designates all or a portion of whatever remains in your estate after all debts, taxes, expenses and other bequests have been paid.
“I give to the Dalhousie Medical Research Foundation all [or a stated percentage, e.g. 50 per cent] of the rest, residue and remainder of my estate, both real and personal, for the [general purposes of Dalhousie Medical Research Foundation].”
3) Contingent bequest
Takes effect only under certain conditions.
“Should [name: e.g. spouse] not survive me or die within ninety (90) days of the date of my death, or as a result of a common disaster, then I give to the Dalhousie Medical Research Foundation [amount of cash, property, residue, etc.] for the [general purposes of Dalhousie Medical Research Foundation].
4) Testamentary trust
A designated portion of the estate property is used to fund the trust, which then pays the net income to the beneficiary(ies) identified in the your will. When the trust terminates (at the death of the beneficiary(ies) or at the end of a term of years), the trust principal is distributed to the Foundation.
“I direct that my executor raise out of the capital of my estate [the sum of $XXX,000] to be held and invested by my trustee and to pay to (name of spouse or other individual/s) all of the net income which accrues therefrom during (his, her, their) natural lifetime(s). Upon the death of [name of beneficiary(ies)], such trust fund shall be distributed to The Dalhousie Medical Research Foundation. I appoint [name of person or institution] as trustee of this trust.”
Purpose of the Bequest
A bequest may be designated for general purposes or for a particular use. It may also be restricted (e.g. permanently invested with only the annual investment return used) to establish an endowment. Below are sample “purpose” clauses that can be added to any of the bequests described above.
1) Undesignated use
“...to be used for the general purposes of The Dalhousie Medical Research Foundation.” [May also add, “... at the discretion of the Board of Directors.”]
2) Designated use
“...to be used for [detailed description of what the donor wants the bequest to accomplish].”
Examples:
“...to be used to purchase [a specific type of equipment].”
“...to be used to support [a specific research area e.g. cancer, cardiovascular, Alzheimer disease, etc.]”
Note: Make sure the terms of the designation are not overly restrictive. This will ensure that the gift is useful in the future.
3) Restricted to Establish a Named Endowment Fund
(Suggested minimum $25,000.00)
You may establish a permanent fund, perhaps named for yourself or for someone who has been influential in your life. Only the annual investment return is used. Here is an example of how you might word such a bequest:
“This gift may be merged with any of the investment assets of the Foundation, but it shall be entered in the Foundation’s books and records as the [John and Mary Jones Endowed Fund for…medical research, cancer research, research equipment, etc.]. The income from the endowment shall be used for [general medical research, etc…].”
Before writing specific language for an endowment, the donor or his/her lawyer is strongly urged to check with officials of the Dalhousie Medical Research Foundation to ensure that the proposed endowment is consistent with the mission of the Dalhousie Medical Research Foundation and that the amount of the bequest would be sufficient for the endowment.
‘Power to Vary’ Provision
If you are designating your bequest to a specific purpose, or restricting it to establish an endowed fund for a particular purpose, you should include a ‘power to vary’ clause in your will. This will ensure the long-term usefulness of your gift.
‘Power to Vary’ clause for a designated bequest or investment return from an endowed fund:
“If, in the opinion of the Board of Directors of The Dalhousie Medical Research Foundation, it should become impossible, inadvisable, or impractical to use [this gift] [the annual investment return from the endowed fund] for the specified purpose(s), then the Board may in their discretion use the [gift] [annual investment return] to the best advantage of the Foundation, keeping in mind the original wishes of the donor. In any such alternative application, the support provided by this bequest shall be clearly identified with the name of [the Donor].”
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