N.Y. Estates, Powers & Trusts Law § 3-1.3: Who may receive testamentary dispositions of property;

§ 3-1.3 Who may receive testamentary dispositions of property;

testamentary dispositions to unincorporated associations

(a) A testamentary disposition of property may be made to any person

having capacity to acquire and hold such property.

(b) When a will disposes of property to an association which lacks

capacity to receive such property by will because it is unincorporated

and the association may become incorporated under the law of this state

or of the jurisdiction in which it has its principal office, such

disposition is valid despite the lack of capacity of the beneficiary if

within three years after probate of the will such beneficiary becomes

incorporated with capacity to take such disposition, subject to the

following:

(1) This section does not limit the power of the court to give effect

to the intention of the testator and to preserve dispositions for the

use and benefit of unincorporated associations.

(2) In the case of a testamentary disposition of property to an

unincorporated association in such manner that the estate may lawfully

vest in such association, as provided in paragraph (b), at a future

time, the estate shall be treated as immediately vested either in the

trustee in whom any estate preceding such disposition is vested or, if

there is no such precedent trust, in the personal representative of the

decedent's estate as trustee, subject to any intermediate estate created

by the will. The trust herein created is subject to the direction and

control of the surrogate's court as if it had been created by express

provision in the will. If the association is incorporated and empowered

to receive the disposition, the trustee shall transfer the property

disposed of to the corporation so formed, but if the association is not

incorporated, the trustee shall transfer the property to such persons as

are entitled thereto.

(3) If a testamentary disposition to an association is made in such

manner as to take effect upon the incorporation of such association, as

provided in paragraph (b), and no disposition is made of the rents,

profits or other income accruing prior to such incorporation, the will

shall be construed as directing the trustee described in subparagraph

(2) to receive the rents, profits or other income and to hold them for

the benefit of the corporation when formed or, if such corporation is

not formed within the time prescribed by paragraph (b), for the benefit

of the persons entitled to the property upon the failure of such

disposition.

(4) Notwithstanding any other law of this state governing (A) the

purposes for which trusts may be created, (B) the rule against

perpetuities or (C) the accumulation of income, a trust as provided in

subparagraph (2) is valid.

(5) During the continuance of any trust authorized by subparagraph

(2), the unincorporated association to which the disposition is made may

enforce such trust, and any such association has capacity as such,

despite the fact that it is not incorporated, to exercise such right and

to take such proceedings as may be appropriate for the exercise or

waiver of such right or, in the manner permitted by law for renunciation

by a testamentary beneficiary, to renounce the disposition. In the event

of any such renunciation, the trust provided for in subparagraph (2)

shall terminate and the property, including accumulations, shall vest in

the persons otherwise entitled thereto as if no such disposition had

been made.

(6) This section does not limit the effectiveness of 8-1.1 with

respect to a disposition to which that section applies.