Legal Question in Wills and Trusts in Nevada

If the estate was depleted by claims of creditors, then there truly was nothing to disburse to intended beneficiaries. If, however, there were funds and property to satisfy some beneficiaries and not others (including your daughter), I certainly would question how the executor determined the allocation of assets. If, indeed, there was nothing to distribute to the decedent's grand-daughter, it is a very nice thing that your sister is offering. Under the law, if there is no money, there are no disbursements.

If your daughter's aunt wants to give her a gift and restrict it to educational purposes only, she is legally entitled to do that. If she is making it from HER OWN money (and not still disbursing Grandma's assets in accordance with the will), the money can only be used for the purposes stated with the conditional gift.