738. Forfeiture.

738.     Forfeiture.

An annuity1 may be liable to extinguishment by forfeiture if the will or other instrument by which it was granted so provides2.

The annuity will not, however, be extinguished if the trusts on which it is held are such that the effect of a forfeiture would be merely to terminate the annuitant's original interest3, and the annuity continues to be payable for the benefit of any class of beneficiaries4.