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A will trust contains the following provision:
“My Trustees shall hold my property on trust to permit my mother to live in the property for the remainder of her life and after her death to hold the property upon trust for such of my nephew and niece as survive my mother and attain the age of 21 years in equal shares.”
The nephew is now aged 20 years and the niece is aged 22 years.
Which of the following statements best describes the beneficial interests in the trust fund?
A. The mother has a vested interest but the nephew and niece have contingent interests.
B. The mother has a contingent interest but the nephew and niece have vested interests.
C. The mother, nephew and niece all have contingent interests.
D. The mother, nephew and niece all have vested interests.
E. The mother and niece have vested interests but the nephew has a contingent interest.
A - The mother has a vested interest but the nephew and niece have contingent interests.
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