(1) The powerholder of a general power of appointment exercisable in favor of the powerholder or the powerholder’s estate or the powerholder of a broad limited power of appointment may represent and bind all persons, including permissible appointees and takers in default, whose interests may be eliminated by the exercise or nonexercise of the power. For purposes of this subsection, a general power of appointment does not include powers of appointment exercisable only in favor of the creditors of the powerholder, the creditors of the powerholder’s estate, or both.
(2) To the extent there is no conflict of interest between a powerholder and the persons represented with respect to the particular question or dispute, the powerholder of a nongeneral power of appointment other than a broad limited power of appointment may represent and bind all persons or all members of a class of persons, including permissible appointees and takers in default, whose interests may be limited by the exercise or nonexercise of the power.