Abatement and Ademption: Property Changes and Your Kids’ Inheritance

Sometimes your situation changes after you make your will. Perhaps your financial situation has changed, you have acquired new assets or disposed of old ones, or your circumstances have simply changed to the point that your will no longer accurately reflects your wishes.

Circumstances and property changes can affect the ability of your executor to fulfill your wishes after your death. In this post, I will discuss a variety of situations that can affect the inheritance of your heirs.

Ademption by Extinction

In a previous post, I discussed the possibility that a bequest could lapse—that is, there could be property with no heir. Ademption by extinction is the opposite of lapsing; there is an heir with no property.

Ademption by extinction occurs when there is simply no property to give. So, for example, if your will provides that your son is to inherit your 1956 Ford Mustang but you sell it prior to your death, it is not available for him to inherit.

To fully understand when an ademption by extinction may occur, you must first have an understanding of the different types of bequests. There are four different types of bequests:

1. The specific bequest: A specific bequest is a bequest of a specific piece of property—for example, “my 1956 Ford Mustang,” “my baseball card collection,” etc.
2. The demonstrative bequest: A demonstrative bequest is a bequest of general benefit, payable from a specific source—for example, “$10,000 from my checking account,” “$20,000 from the sale of my GE stock,” etc.
3. The general bequest: A general bequest is a bequest of a general benefit, such as a dollar amount from no specific source—for example, “$10,000 to my son Jerry.”
4. The residuary bequest: A residuary bequest is a bequest of the remainder of the estate—that is, the part of the estate not otherwise disposed of by the will. (For more, see Your Will and Residuary Estate.)

Ademption by extinction may only occur with respect to specific bequests. If there is not a bequest of a specific piece of property, there cannot be ademption by extinction.

Courts, however, have a bias against ademption by extinction and will often do whatever they can to avoid this result. Some courts, for example, will allow the beneficiary to receive property procured by the sale of the specific bequest. Others will classify the bequest as a general bequest, thereby allowing the estate to purchase the property in order to distribute it.

The potential property changes that may occur after the execution of a will are innumerable. Courts will nonetheless do what they can—without reforming the will—to avoid an ademption by extinction.

Ademption by Satisfaction

Ademption by satisfaction can occur with both general and demonstrative bequests. Ademption by satisfaction occurs when gifts the testator made to the beneficiary during his or her life are counted against the beneficiary’s later inheritance.

As I discussed in an earlier post, however, there is a presumption that lifetime gifts made after the execution of a will are not meant to constitute an advancement of inheritance. Consequently, ademption by satisfaction will not occur without the explicit intent of the giver of the gift. In the closely related intestacy context, Ark. Code § 28-9-216 requires a writing—either acknowledged by the donee or declared by the decedent—before a lifetime transfer will be treated as an advancement against a share of the estate.

Exoneration of Liens

While not directly related to the issue of post-will execution property changes, many people question how their mortgage will affect their children’s inheritance. So, for example, what happens if a testator leaves his home to his children when there is still an outstanding mortgage on the property?

At common law—the judge-made law the United States inherited from England—the testator’s estate would pay off the mortgage. Property would be taken from other parts of the estate to satisfy the lien.

The Uniform Probate Code, by contrast, reverses this default: UPC § 2-607 provides that a specific devise of real property passes subject to any mortgage existing at the testator’s death, without a right to exoneration from the residuary estate. Arkansas, however, has not adopted the Uniform Probate Code, and no Arkansas statute has displaced the common-law exoneration rule. This is something worth considering while making your estate plan: if you want your children to take the home free of its mortgage, say so in the will; if you want them to take subject to the mortgage, say that instead.

Abatement

Abatement occurs when property is taken from other parts of the estate to satisfy a general bequest. Abatement generally occurs when there aren’t enough assets in the estate to satisfy all the gifts made in the will, which can easily occur when the claims of creditors deplete the estate prior to the distribution to heirs.

In Arkansas, the order of abatement is codified at Ark. Code § 28-53-107(a). Absent contrary provisions in the will, debts and expenses are paid out of the estate in the following order:

1. If there is a partial intestacy, property is first taken out of the intestate property;
2. Out of the residuary estate;
3. Out of general bequests; and
4. Out of specific bequests.

For purposes of abatement, demonstrative bequests are treated as specific bequests to the extent of the value of the specific property, and as general bequests to the extent of any excess. That rule is likewise codified in Ark. Code § 28-53-107(b).

So, for example, if a will states, “$25,000 to my daughter to be paid from the proceeds of the sale of my GE stock,” but the GE stock is only worth $15,000 at the testator’s death, the bequest would be treated as a specific bequest as to the $15,000, and as a general bequest for the remaining $10,000.

Property Changes and Planning

For these reasons, it is important to have a clear understanding of your assets and liabilities when making your will. Because of potential property changes, it is also important to keep your estate plan up to date to ensure that the probate court does not have to cancel some gifts to your heirs to satisfy others.

Frequently Asked Questions

Does Arkansas follow the Uniform Probate Code?

No. Arkansas has not enacted the Uniform Probate Code. It remains on the common-law side of the split for exoneration-of-liens and relies on Title 28 of the Arkansas Code (including § 28-53-107) for its abatement order. When you read secondary sources describing the UPC’s rules on ademption or exoneration, remember that those rules are not automatically Arkansas law.

What happens if my home has a mortgage when I leave it in my will?

Under the Arkansas common-law rule, your estate will pay off the mortgage from other assets, and your beneficiary will take the home free and clear. Under UPC § 2-607, by contrast, the beneficiary would take the home subject to the mortgage. You can override either default by saying explicitly in your will whether you want the home to pass with or without the mortgage.

Can I prevent ademption by extinction with specific will language?

Often, yes. You can direct that the beneficiary of a specific bequest receive replacement property (for example, the proceeds from the sale of the identified asset, or a substitute vehicle) if the original property has been sold or destroyed before your death. Arkansas courts already disfavor ademption by extinction and will try to find that a specific bequest survives where the testator’s intent is clear, but a well-drafted will removes the ambiguity.

If I give my son $10,000 after writing my will, does it count against his inheritance?

Usually, no. There is a presumption that a lifetime gift is not an advancement against the donee’s share of the estate. For intestacy, § 28-9-216 requires a writing before a lifetime transfer will be treated as an advancement, and Arkansas courts approach ademption by satisfaction in testate estates in the same spirit: without a clear indication that the testator meant the lifetime gift to offset the later bequest, the bequest stands in full.

Which bequests get paid first when the estate isn’t big enough?

Specific bequests are the last to abate, so they get paid first in practice. Under § 28-53-107(a), debts and expenses come out of intestate property first, then the residuary estate, then general bequests, and only last from specific bequests. Demonstrative bequests sit between general and specific: specific as to the value of the designated fund, general as to any excess.

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This post is a general overview of Arkansas common-law and statutory probate doctrine as of April 2026 and is not legal advice. Probate rules vary by state, and the application of ademption, abatement, and exoneration doctrines to a particular estate turns on facts, will language, and statutory provisions that a general article cannot address. Consult a competent Arkansas probate attorney before drafting or relying on a will.

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See Also

• Issues of Inheritance Planning
• Parts of a Will