Source: http://dcmetrotrustcode.com/article/article-1/
Timestamp: 2017-07-23 16:42:13
Document Index: 212641885

Matched Legal Cases: ['§ 101', '§ 102', '§ 103', '§ 104', '§ 105', '§ 106', '§ 107', '§ 108', '§ 109', '§ 110', '§ 111', '§ 112', '§ 113', '§ 101', '§ 19', '§ 14', '§ 102', '§ 19', '§ 14', '§ 64', '§ 64', '§ 64', '§ 55', '§ 55', '§103', '§1301', '§64', '§14', '§14', '§ 103', '§ 2041', '§ 19', '§ 14', '§ 2041', '§ 14', '§ 14', '§ 14', '§ 2041', '§ 2503', '§ 2503', '§ 64', '§ 2041', '§ 104', '§ 19', '§ 14', '§ 64', '§105', '§19', '§19', '§19', '§19', '§105', '§14', '§14', '§105', '§203', '§19', '§14', '§64', '§105', '§64', '§64', '§64', '§64', '§ 105', '§ 19', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 64', '§ 106', '§ 19', '§ 14', '§ 64', '§ 107', '§ 19', '§ 14', '§ 64', '§108', '§108', '§64', '§64', '§ 108', '§ 19', '§ 14', '§ 64', '§ 64', '§109', '§14', '§14', '§14', '§ 109', '§ 19', '§ 14', '§ 64', '§ 64', '§ 110', '§ 19', '§ 14', '§ 14', '§ 14', '§ 64', '§ 64', '§ 64', '§14', '§14', '§ 111', '§ 19', '§ 14', '§ 64', '§ 64', '§1', '§ 112', '§ 14', '§ 1', '§ 1', '§ 113']

Article 1 Archives - DC Metro Trust CodeDC Metro Trust Code GO TO PASTERNAKFIDIS.COM
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§ 101 § 102 § 103 § 104 § 105 § 106 § 107 § 108 § 109 § 110 § 111 § 112 § 113
UTC § 101. Short title. This [Act] may be cited as the Uniform Trust Code.
§ 19-1301.01. Short title. This chapter may be cited as the "Uniform Trust Code".
§ 14.5–101. Short Title. This title may be cited as The Maryland Trust Act.
Omitted. Hide/Show UTC · Hide/Show DC · Hide/Show MD · Hide/Show VA
UTC § 102. Scope. This [Code] applies to express trusts, charitable or noncharitable, and trusts created pursuant to a statute, judgment, or decree that requires the trust to be administered in the manner of an express trust.
§ 19-1301.02. Scope. This chapter applies to express trusts, charitable or noncharitable, and trusts created pursuant to a statute, judgment, or decree that requires the trust to be administered in the manner of an express trust.
§ 14.5–102. Application of title. This title applies to express charitable or noncharitable trusts and trusts created in accordance with a statute (including the Maryland Discretionary Trust Act, unless otherwise provided by the statute), judgment, or decree that requires the trust to be administered in the manner of an express trust.
§ 64.2-700. Scope A. This chapter applies to express inter vivos trusts, charitable or noncharitable, and trusts created pursuant to a statute, judgment, or decree that requires the trust to be administered in the manner of an express trust. This chapter also applies to testamentary trusts, except to the extent that specific provision is made for them in Part A (§ 64.2-1200 et seq.) of Subtitle IV or elsewhere in the Code of Virginia, or to the extent it is clearly inapplicable to them. Section 64.2-775, which provides the duties of a trustee to inform and report to the trust's beneficiaries, shall apply to testamentary trusts. For purposes of this subsection, the word "trust" and the words "trustee" or "fiduciary," as used in Part A (§ 64.2-1200 et seq.) of Subtitle IV, shall be deemed to refer to testamentary trusts and testamentary trustees, except to the extent that the use of such words is clearly inapplicable to testamentary trusts and testamentary trustees. This chapter shall not apply to:
1. A trust that is primarily used for business, investment, or commercial transactions, including business trusts, land trusts (§ 55-17.1), deeds of trusts (Article 2 (§ 55-58 et seq.) of Chapter 4 of Title 55), voting trusts, common trust funds, security arrangements, liquidation trusts, trusts created by deposit arrangement in a financial institution, and trusts created for paying debts, dividends, interest, or profits.
2. A trust that is used primarily for employment including trusts created for paying salaries, wages, pen-sions, or employee benefits of any kind.
B. Notwithstanding subsection A, a court, in exercising jurisdiction over the supervision or administration of trusts, may determine that application of the policies, procedures, or rules of the Code is appropriate to resolution of particular issues.
UTC §103, DC §1301.03(18), and VA §64.2-701 define “spendthrift provision” as a term of a trust which restrains both the voluntary and involuntary transfer of a beneficiary’s interest. MD §14.5-103(w) includes that definition along with the following alternative: a trust term which restrains involuntary transfer of the interest of a beneficiary and permits voluntary transfer of the interest of a beneficiary only with the consent of a person that is not a beneficiary.
Under Maryland common law, it is well-settled that limited powers of appointment are not property and therefore are not subject to remedies for the benefit of the limited powerholder’s creditors. See, United State v. Baldwin, 283 Md. 586, 391 A.2d 844 (1978) and Mercantile Trust Co. v. Bergdorf & Goodman Co., 167 Md. 158, 173 A.2d 21 (1934). In order to explain and support the provisions of Subtitle 5 of the MTA, a number of definitions are included in MD §14.5-103 which are omitted from the UTC. Those definitions are “discretionary distribution provision,” “support provision,” “mandatory distribution provision,” “power of appointment,” “general power of appointment,” “power of withdrawal,” and “spendthrift provision.” Hide/Show UTC · Hide/Show DC · Hide/Show MD · Hide/Show VA
UTC § 103. Definitions. In this [Code]:
(2) “Ascertainable standard” means a standard relating to an individual’s health, education, support, or maintenance within the meaning of Section § 2041(b)(1)(A) or 2514(c)(1) of the Internal Revenue Code of 1986, as in effect on [the effective date of this [Code] [amendment] [, or as later amended].
(3) “Beneficiary” means a person that:
(A) has a present or future beneficial interest in a trust, vested or
contingent; or
(4) “Charitable trust” means a trust, or portion of a trust, created for a charitable purpose described in Section 405(a).
(5) “[Conservator]” means a person appointed by the court to administer the estate of a minor or adult individual.
(7) “[Guardian]” means a person appointed by the court [, a parent, or a spouse] to make decisions regarding the support, care, education, health, and welfare of a minor or adult individual. The term does not include a guardian ad litem.
(10) “Person” means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, government; governmental subdivision, agency, or instrumentality; public corporation, or any other legal or commercial entity.
(11) “Power of withdrawal” means a presently exercisable general power of appointment other than a power:
(A) exercisable by a trustee and limited by an ascertainable standard; or
(B) exercisable by another person only upon consent of the trustee or a person holding an adverse interest.
(12) “Property” means anything that may be the subject of ownership, whether real or personal, legal or equitable, or any interest therein.
(13) “Qualified beneficiary” means a beneficiary who, on the date the beneficiary’s qualification is determined:
(B) would be a distributee or permissible distributee of trust income or principal if the interests of the distributees described in subparagraph (A) terminated on that date without causing the trust to terminate; or
(14) “Revocable,” as applied to a trust, means revocable by the settlor without the consent of the trustee or a person holding an adverse interest.
(15) “Settlor” means a person, including a testator, who creates, or contributes property to, a trust. If more than one person creates or contributes property to a trust, each person is a settlor of the portion of the trust property attributable to that person’s contribution except to the extent another person has the power to revoke or withdraw that portion.
(16) “Spendthrift provision” means a term of a trust which restrains both voluntary and involuntary transfer of a beneficiary’s interest.
(17) “State” means a State of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States. The term includes an Indian tribe or band recognized by federal law or formally acknowledged by a State.
(18) “Terms of a trust” means the manifestation of the settlor’s intent regarding a trust’s provisions as expressed in the trust instrument or as may be established by other evidence that would be admissible in a judicial proceeding.
(19) “Trust instrument” means an instrument executed by the settlor that contains terms of the trust, including any amendments thereto.
(20) “Trustee” includes an original, additional, and successor trustee, and a cotrustee.
§ 19-1301.03. Definitions. For the purposes of this chapter, the term:
(1) "Action," with respect to an act of a trustee, includes a failure to act.
[MISSING "ACSERTAINABLE STANDARD"]
(2) "Beneficiary" means a person that:
(3) "Charitable trust" means a trust, or portion of a trust, created for a charitable purpose described in section 19-1304.05(a).
(4) "Conservator" means a person appointed by the court to administer the estate of a minor or adult individual.
(5) "Distributee" means a beneficiary who is currently entitled to receive a distribution from a trust.
(6) "Environmental law" means a federal, state, or local law, rule, regulation, or ordinance relating to protection of the environment.
(7) "Guardian" means a person appointed by the court, a parent, or a spouse to make decisions regarding the support, care, education, health, and welfare of a minor or adult individual. The term "guardian" does not include a guardian ad litem.
(8) "Interests of the beneficiaries" means the beneficial interests provided in the terms of the trust.
(9) "Jurisdiction," with respect to a geographic area, includes a State or country.
(10) "Permissible distributee" means a beneficiary who is currently eligible to receive a distribution from a trust.
(11) "Person" means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, government; governmental subdivision, agency, or instrumentality; public corporation, or any other legal or commercial entity.
(12) "Power of withdrawal" means a presently exercisable general power of appointment other than a power [MISSING UTC11(A)] exercisable [MISSING "BY ANOTHER PERSON"] only upon consent of the trustee or a person holding an adverse interest.
(13) "Property" means anything that may be the subject of ownership, whether real or personal, legal or equitable, or any interest therein.
(14) "Qualified beneficiary" means a beneficiary who, on the date the beneficiary's qualification is determined:
(B) Would be a distributee or permissible distributee of trust income or principal if the interests of the distributees described in subparagraph (A) of this paragraph terminated on that date; [MISSING "WITHOUT CAUSING THE TRUST TO TERMINATE"] or
(15) "Revocable," as applied to a trust, means revocable by the settlor without the consent of [MISSING "TRUSTEE OR"] a person holding an adverse interest.
(16) "Settlor" means a person, including a testator, who creates, or contributes property to, a trust. If more than one person creates or contributes property to a trust, each person is a settlor of the portion of the trust property attributable to that person's contribution except to the extent another person has the power to revoke or withdraw that portion.
(17) "Settlor's successors in interest" means the residuary beneficiaries under the settlor's will, or if none, the settlor's heirs.
(18) "Spendthrift provision" means a term of a trust which restrains both voluntary and involuntary transfer of a beneficiary's interest.
(19) "State" means a State of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States. The term "state" includes an Indian tribe or band recognized by federal law or formally acknowledged by a State.
(20) "Terms of a trust" means the manifestation of the settlor's intent regarding a trust's provisions as expressed in the trust instrument or as may be established by other evidence that would be admissible in a judicial proceeding.
(21) "Trust instrument" means an instrument executed by the settlor that contains terms of the trust, including any amendments thereto.
(22) "Trustee" includes an original, additional, and successor trustee, and a cotrustee.
§ 14.5–103. Definitions. A	(a) In this title the following words have the meanings indicated.
(b) “Action”, with respect to an act of a trustee, includes a failure to act.
(c) “Ascertainable standard” means a standard relating to an individual’s health, education, support, or maintenance within the meaning of
§ 2041(b)(1)(A) or 2514(c)(1) of the Internal Revenue Code of 1986, as in effect on January 1, 2015.
(d) “Beneficiary” means a person that:
(2) In a capacity other than that of a trustee, holds a power of appointment over trust property.
(e) “Charitable trust” means a trust, or portion of a trust, created for a charitable purpose described in § 14–301(b) of this article.
[MISSING "CONSERVATOR." MARYLAND USES PHRASE "GUARDIAN OF THE PROPERTY" INSTEAD. FUTURE OMISSIONS OF "CONSERVATOR" OR "CONSERVATORSHIP" IN THE MARYLAND CODE WILL NOT BE ACKNOWLEDGED.]
(f) (1) “Discretionary distribution provision” means a provision in a trust that provides that the trustee has discretion, or words of similar import, to determine one or more of the following:
(i) Whether to distribute to or for the benefit of an individual or a class of beneficiaries the income or principal or both of the trust;
(ii) The amount, if any, of the income or principal or both of the trust to distribute to or for the benefit of an individual or a class of beneficiaries;
(iii) Which, if any, among a class of beneficiaries will receive income or principal or both of the trust;
(iv) Whether the distribution of trust assets is from income or principal or both of the trust; or
(v) When to pay income or principal, except that a power to determine when to distribute income or principal within or with respect to a calendar or taxable year of the trust is not a discretionary distribution provision if the distribution must be made.
(2) “Discretionary distribution provision” includes a provision in a trust instrument that:
(i) Provides one or more standards or other guidance for the exercise of the discretion of the trustee; or
(ii) Contains a spendthrift provision. (g) (1) “Environmental law” means a federal, State, or local law, rule, regulation, or ordinance that relates to the protection of the environment.
(2) “Environmental law” includes title 16 of the Environment Article. [MD(g),(1),(2) RE-ENACTS FORMER MD E&T 14-108(a)]
(h) “General power of appointment”, subject to § 14.5–507(B)(7) of this title, means a power of appointment that:
(1) By the terms of the trust specifically authorizes the holder to direct trust property to the holder, the estate of the holder, or the creditors of the holder;
(2) Is held in a capacity other than as a trustee;
(3) Is not limited by an ascertainable standard; and
(4) Is exercisable by the holder or holders without the consent of another person. (i) (1) “Guardian of the person” means a person appointed by the court [MISSING "[PARENT OR A SPOUSE]"] or, in the case of a minor with no living parent, by the probated will of a parent of the minor, to make decisions regarding the support, care, education, health, and welfare of a minor or an adult individual.
(2) “Guardian of the person” does not include a guardian ad litem.
(j) “Guardian of the property” means a person appointed by the court to administer the estate of a minor or an adult individual.
(k) “Incapacitated” means the state of having an incapacity.
(l) “Incapacity” means the inability of an individual to manage the individual’s property or financial affairs effectively due to:
(9) Disappearance.
(m) “Interests of the beneficiaries” means the beneficial interests provided in the terms of the trust.
(n) “Jurisdiction”, with respect to a geographic area, includes a state or country.
[MTA 103(o) BELOW FOUND AT UTC 506(a)]
(o) (1) “Mandatory distribution provision” means a provision in a trust that requires the trustee to make a distribution of income or principal to a beneficiary, including a distribution on termination of the trust.
(2) “Mandatory distribution provision” does not include a provision in a trust that allows the trustee to make a distribution subject to the exercise of the discretion of the trustee even if:
(i) The discretion is expressed in the form of a standard of distribution; or
(ii) The terms of the trust authorizing a distribution couple language of discretion with language of direction.
(p) “Person” means:
(3) A business trust;
(4) An estate;
(6) A partnership;
(7) A limited liability company;
(8) An association;
(9) A joint venture;
(10) A government;
(11) A governmental subdivision;
(12) An agency;
(13) An instrumentality;
(14) A public corporation; or
(15) Any other legal or commercial entity.
(q) “Power of appointment” means the authority to designate the recipient or recipients of beneficial interests in property. (r) “Power of withdrawal”, subject to § 14.5–507(B) of this title, means a presently exercisable [MISSING "GENERAL"] power [MISSING "OF APPOINTMENT"] to withdraw trust property from a trust for the use or benefit of the power holder, other than a power:
(1) Exercisable by a trustee and limited by an ascertainable standard;
(2) Exercisable by another person only on consent of the trustee or a person holding an adverse interest; or
(3) Exercisable only with respect to trust property having a value that is less than or equal to the greatest of:
(i) The amount specified in § 2041(b)(1)(A) or 2514(c)(1) of the Internal Revenue Code of 1986, as amended:
(ii) The amount specified in § 2503(b) of the Internal Revenue Code of 1986, as amended, if the donor of the property subject to the power of withdrawal is unmarried at the time of the transfer of the property to the trust; or
(iii) twice the amount specified in § 2503(b) of the Internal Revenue Code of 1986, as amended, if the donor of the property subject to the power of withdrawal is married at the time of the transfer of the property to the trust.
(s) “Property” means anything that may be the subject of ownership, whether real or personal, legal or equitable, or an interest in the thing.
(t) (1) “Qualified beneficiary” means a beneficiary that on the date the qualification of the beneficiary is determined:
(i) Is a distributee or permissible distributee of trust income or principal; (ii) Would be a distributee or permissible distributee of trust income or principal if the interests of the distributees described in item (i) of this paragraph terminated on that date without causing the trust to terminate; or
(iii) Would be a distributee or permissible distributee of trust income or principal if the trust terminated on that date and no power of appointment was exercised.
(2) “Qualified beneficiary” does not include an appointee under the will of a living person or the object of an unexercised inter vivos power of appointment. (u) “Revocable”, as applied to a trust, means revocable by the settlor without the consent of the trustee or a person holding an adverse interest.
(v) (1) “Settlor” means a person, including a testator, that creates or contributes property to a trust.
(2) “Settlor” includes a person that, with other settlors, creates or contributes property to a trust in which case each such person is a settlor of the portion of the trust property attributable to the contribution of that person except to the extent another person has the power to revoke or withdraw that portion.
(w) “Spendthrift provision” means a term of a trust that:
(1) restrains both voluntary and involuntary transfer of the interest of a beneficiary; or
(2) restrains involuntary transfer of the interest of a beneficiary and permits voluntary transfer of the interest of a beneficiary only with the consent of a person that is not a beneficiary.
(x) (1) “state” means a state of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States.
(2) “State” includes a Native American Tribe or Band recognized by federal law or formally acknowledged by a state.
(y) (1) “Support provision” means a mandatory distribution provision in a trust that provides that the trustee shall distribute income or principal or both for the health, education, support, or maintenance of a beneficiary, or language of similar import.
(2) “Support provision” does not include a provision in a trust that provides that a trustee has discretion whether to distribute income or principal or both for the purposes under paragraph (1) of this subsection or to select from among a class of beneficiaries to receive distributions in accordance with the trust provision.
(z) “Terms of a trust” means the manifestation of the intent of the settlor regarding the provisions of a trust as expressed in the trust instrument or as may be established by other evidence that would be admissible in a judicial proceeding.
(aa) “Trust instrument” means an instrument executed by the settlor that contains terms of the trust, including amendments to the trust.
(bb) “Trustee” includes an original, an additional, and a successor trustee and a cotrustee.
§ 64.2-701. Definitions In this chapter:
"Ascertainable standard" means a standard relating to an individual's health, education, support, or maintenance within the meaning of
§ 2041(b)(1)(A) or 2514(c)(1) of the Internal Revenue Code of 1986. [MISSING EFFECTIVE DATE]
"Beneficiary" means a person that (i) has a present or future beneficial interest in a trust, vested or contingent; or (ii) in a capacity other than that of trustee, holds a power of appointment over trust property.
"Conservator" means a person appointed by the court to administer the estate of an [MISSING "MINOR"] adult individual.
"Guardian" means a person appointed by the court [MISSING "[PARENT OR SPOUSE]"] to make decisions regarding the support, care, education, health, and welfare of a minor or adult individual. The term does not include a guardian ad litem.
"Person" means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, government, governmental subdivision, agency, or instrumentality, public corporation, or any other legal or commercial entity.
"Qualified beneficiary" means a living or then-existing beneficiary who, on the date the beneficiary's qualification is determined, (i) is a distributee or permissible distributee of trust income or principal; (ii) would be a distributee or permissible distributee of trust income or principal if the interests of the distributees described in clause (i) terminated on that date, but the termination of those interests would not cause the trust to terminate; or (iii) would be a distributee or permissible distributee of trust income or principal if the trust terminated on that date.
"Settlor" means a person, including a testator, who creates, or contributes property to, a trust. If more than one person creates or contributes property to a trust, each person is a settlor of the portion of
the trust property attributable to that person's contribution except to the extent another person has the power to revoke or withdraw that portion.
"Terms of a trust" means the manifestation of the settlor's intent regarding a trust's provisions as expressed in the trust instrument or as may be established by other evidence that would be admissible in a judicial proceeding.
"Trust instrument" means an instrument executed by the settlor that contains terms of the trust, including any amendments thereto.
UTC § 104. Knowledge. (a) Subject to subsection (b), a person has knowledge of a fact if the person:
§ 19-1301.04. Knowledge. (a) Subject to subsection (b) of this section, a person has knowledge of a fact if the person:
§ 14.5–104. Person with knowledge of facts. [MISSING "SUBJECT TO SUBSECTION (b)"] A person has knowledge of a fact if the person:
(1) Has actual knowledge of the fact;
(2) Has received a notice or notification of the fact; or
(3) From all the facts and circumstances known to the person at the time, knows or should know the fact [SUBSTITUTED FOR "HAS REASON TO KNOW IT"].
§ 64.2-702. Knowledge A. Subject to subsection B, a person has knowledge of a fact if the person:
B. An organization that conducts activities through employees has notice or knowledge of a fact involving a trust only from the time the information was received by an employee having responsibility to act for the trust, or would have been brought to the employee's attention if the organization had exercised reasonable diligence. An organization exercises reasonable diligence if it maintains reasonable routines for communicating significant information to the employee having responsibility to act for the trust and there is reasonable compliance with the routines. Reasonable diligence does not require an employee of the organization to communicate information unless the communication is part of the individual's regular duties or the individual knows a matter involving the trust would be materially affected by the information.
Generally, UTC §105 provides that the terms of a trust cannot alter the duty of the trustee to respond to the request of a [qualified] beneficiary age 25 or older of an irrevocable trust for trustee’s reports and other information reasonably related to the administration of the trust. DC §19-1301.05(b)(9) omits the bracketed word “qualified,” with the effect that any beneficiary can request reports and other information from the trustee. However, DC §19-1301.05(c) allows the settlor to waive or modify the duties of a trustee to give notice, information and reports to beneficiaries by (1) waiving or modifying such duties during the lifetime of the settlor or the lifetime of the settlor’s surviving spouse, (2) specifying a different age at which a beneficiary of class of beneficiaries must be notified under DC §19-1308.13(b)(2) and (3), or (3) designating a person or persons to act in good faith to protect the interest of beneficiaries to receive any notice, information or reports in lieu of providing such notice, information or reports (under DC §19-1308.13) to the beneficiaries.
Generally, UTC §105 provides that the terms of a trust cannot alter the duty of the trustee to respond to the request of a [qualified] beneficiary age 25 or older of an irrevocable trust for trustee’s reports and other information reasonably related to the administration of the trust. MD §14.5-813(a) and (c) entitle only “qualified” beneficiaries to information and reports from the trustee upon request. MD §14.5-105(10) contains a mandatory rule omitted from the UTC; it provides that the terms of the trust cannot alter the duty of the trustee to notify the “qualified” beneficiaries (age 25 or older) of an irrevocable trust of their rights to: know of the existence of a trust; know the identity of the trustee; request reports; request a copy of the trust instrument; and, receive other information reasonably related to the trust administration.
UTC §105(b)(14) provides that the terms of a trust cannot alter the subject-matter jurisdiction of the court and venue for commencing a proceeding as provided in §§203 and 204. DC §19-1301.05, MD §14.5-105 and VA §64.2-703(B) do not include this mandatory rule, which suggests that the terms of a trust can alter the subject-matter jurisdiction of the court and venue for commencing a proceeding. Generally, UTC §105 provides that the terms of a trust cannot alter the duty of the trustee to respond to the request of a [qualified] beneficiary age 25 or older of an irrevocable trust for trustee’s reports and other information reasonably related to the administration of the trust. VA §64.2-703(B) does not prohibit the terms of a trust from altering or negating the duty of the trustee (under VA §64.2-775) to respond to beneficiaries’ requests for reports and other information. In addition, VA §64.2-703(B) omits the UTC provision prohibiting the terms of a trust from waiving the trustee’s duty (under VA §64.2-775) to notify qualified beneficiaries (age 25 or older) of an irrevocable trust of the existence of the trust, the identity of the trustee, and of their right to request trustee’s reports.
UTC § 105. Default and mandatory rules. (a) Except as otherwise provided in the terms of the trust, this [Code] governs the duties and powers of a trustee, relations among trustees, and the rights and interests of a beneficiary.
§ 19-1301.05. Default and mandatory rules. A	(a) Except as otherwise provided in the terms of the trust, this chapter governs the duties and powers of a trustee, relations among trustees, and the rights and interests of a beneficiary.
§ 14.5–105. Terms of trust prevail -- Exceptions. A	[MISSING UTC(a)]
(4) The power of the court to modify or terminate a trust under §§ 14.5–410, § 14.5–411, § 14.5–413, and § 14.5–414 of this title;
(5) [MISSING "THE EFFECT OF A SPENDTHRIFT TRUST PROVISIONS AND"] The rights of certain creditors and assignees to reach a trust as provided in subtitle 5 of this title;
(6) The power of the court under § 14.5–702 of this title to require, dispense with, modify or terminate a bond;
(7) The subject matter jurisdiction and venue for commencing a proceeding as provided by the laws of this State;
(8) The power of the court under § 14.5–708(a) of this title to increase or decrease the commissions [SUBSTITUTED FOR "COMPENSATION"] of a trustee [MISSING "SPECIFIED IN THE TERMS OF THE TRUST WHICH IS UNREASONABLY LOW OR HIGH"]; (9) The duties to provide information, copies, and notices specified under § 14.5–813(a) and (c) of this title;
(10) The duty under § 14.5–813(a) and (b) of this title to:
(11) The effect of an exculpatory term under § 14.5–906 of this title;
(12) The rights under §§ 14.5–908 through § 14.5–910 of this title of a person other than a trustee or beneficiary; and
[MISSING UTC(b)(12) AND (b)(14)]
(13) The power of the court to take an action and exercise jurisdiction as may be necessary in the interests of justice.
§ 64.2-703. Default and mandatory rules A	A. Except as otherwise provided in the terms of the trust, this chapter governs the duties and powers of a trustee, relations among trustees, and the rights and interests of a beneficiary.
UTC § 106. Common law of trusts; principles of equity. The common law of trusts and principles of equity supplement this [Code], except to the extent modified by this [Code] or another statute of this State.
§ 19-1301.06. Common law of trusts; principles of equity. The common law of trusts and principles of equity supplement this chapter, except to the extent modified by this chapter or another statute of the District of Columbia.
§ 14.5–106. Common law of trusts and principles of equity are supplemental. The common law of trusts and principles of equity supplement this title, except to the extent modified by this title or another statute of this State.
§ 64.2-704. Common law of trusts; principles of equity The common law of trusts and principles of equity supplement this chapter, except to the extent modified by this chapter or another statute of the Commonwealth.
UTC § 107. Governing law. The meaning and effect of the terms of a trust are determined by:
§ 19-1301.07. Governing law. The meaning and effect of the terms of a trust are determined by:
(1) The law of the jurisdiction designated in the terms unless the designation of that jurisdiction's law is contrary to a strong public policy of the jurisdiction having the most significant relationship to the matter at issue; or
§ 14.5–107. RESERVED.
§ 64.2-705. Governing law The meaning and effect of the terms of a trust are determined by:
1. The law of the jurisdiction designated in the terms unless the designation of that jurisdiction's law is contrary to a strong public policy of the jurisdiction having the most significant relationship to the matter at issue; or
UTC §108(b) provides: A trustee is under a continuing duty to administer the trust at a place appropriate to its purposes, it administration, and the interest of the beneficiaries. This provision is included in the DC UTC and the MTA, but not in the VA UTC. This provision has prompted concern that a trustee might be held liable for failing to determine the best jurisdiction in the United States, and possibly elsewhere, that is the best place to administer the trust.
UTC §108(c) provides that the trustee may transfer the trust’s principal place of administration to another state or to a jurisdiction outside of the U.S. without precluding the right of the court to order, approve, or disapprove such a transfer. VA §64.2-706(B) allows the trustee to transfer the principal place of administration of an inter vivos trust, but not a testamentary trust. VA §64.2-706(F) expressly provides that the court, for good cause shown, may transfer the principal place of administration of a testamentary trust to another state or to a jurisdiction outside of the U.S. upon such conditions, if any, as it may deem appropriate. The UTC, the MTA, and the DC UTC do not differentiate between inter vivos and testamentary trusts in connection with the transfer of a trust’s principal place of administration. Hide/Show UTC · Hide/Show DC · Hide/Show MD · Hide/Show VA
UTC § 108. Principal place of administration. (a) Without precluding other means for establishing a sufficient connection with the designated jurisdiction, terms of a trust designating the principal place of administration are valid and controlling if:
(c) Without precluding the right of the court to order, approve, or disapprove a transfer, the trustee, in furtherance of the duty prescribed by subsection (b), may transfer the trust’s principal place of administration to another State or to a jurisdiction outside of the United States.
(f) In connection with a transfer of the trust’s principal place of administration, the trustee may transfer some or all of the trust property to a successor trustee designated in the terms of the trust or appointed pursuant to Section 704.
§ 19-1301.08. Principal place of administration. (a) Without precluding other means for establishing a sufficient connection with the designated jurisdiction, terms of a trust designating the principal place of administration are valid and controlling if:
(c) Without precluding the right of the court to order, approve, or disapprove a transfer, the trustee, in furtherance of the duty prescribed by subsection (b) of this section, may transfer the trust's principal place of administration to another State or to a jurisdiction outside of the United States.
(d) The trustee shall notify the qualified beneficiaries of a proposed transfer of a trust's principal place of administration not less than 60 days before initiating the transfer. The notice of proposed transfer must include:
(f) In connection with a transfer of the trust's principal place of administration, the trustee may transfer some or all of the trust property to a successor trustee designated in the terms of the trust or appointed pursuant to section 19-1307.04.
§ 14.5–108. Principal place of administration. (a) Without precluding other means for establishing a sufficient connection with the designated jurisdiction, terms of a trust designating the principal place of administration are valid and controlling if:
(1) The principal place of business of a trustee is located in or a trustee is a resident of the designated jurisdiction; or
(2) All or part of the administration of the trust occurs in the designated jurisdiction.
(b) A trustee is under a continuing duty to administer the trust at a place appropriate to its purposes, its administration, and the interests of the beneficiary.
(c) Without precluding the right of the court to order, approve, or disapprove a transfer, the trustee, in furtherance of the duty under subsection (b) of this section, may transfer the principal place of administration of the trust to another state or a jurisdiction outside the United States.
(d) (1) the trustee shall notify the qualified beneficiaries of a proposed transfer of a trust’s principal place of administration not less than 60 days before initiating the transfer.
(2) The notice of proposed transfer under paragraph (1) of this subsection must include:
(iv) The date on which the proposed transfer is anticipated to occur; and (v) The date, not less than 60 days after the giving of the notice, by which the qualified beneficiary must notify the trustee of an objection to the proposed transfer.
§ 64.2-706. Principal place of administration A	A. Without precluding other means for establishing a sufficient connection with the designated jurisdiction, terms of an inter vivos trust designating the principal place of administration are valid and controlling if:
1. A trustee's principal place of business is located in or a trustee is a resident of the designated jurisdiction; or
[VA(B) BELOW COMBINES UTC(b) AND (c), BUT IS MISSING "A TRUSTEE IS UNDER A CONTINUING DUTY TO ADMINISTER THE TRUST AT A PLACE"]
B. Without precluding the right of the court to order, approve, or disapprove a transfer, the trustee of an inter vivos trust may transfer the trust's principal place of administration to another state or to a jurisdiction outside of the United States that is appropriate to the trust's purposes, its administration, and the interests of the beneficiaries.
D. The authority of a trustee under this section to transfer a trust's principal place of administration to another state or to a jurisdiction outside of the United States terminates if a qualified beneficiary notifies the trustee of an objection to the proposed transfer on or before the date specified in the notice.
E. In connection with a transfer of the trust's principal place of administration, the trustee may transfer some or all of the trust property to a successor trustee designated in the terms of the trust or appointed pursuant to § 64.2-757.
UTC §109(a) permits notice to a person by first class mail, personal delivery, delivery to the person’s last know place of residence or place of business or a properly directed electronic message.
MD §14.5-109(a)(2) omits reference to “a properly directed electronic message.” N.B. that MD §14.5-109(a)(3) requires a trustee to provide notice to a person that any of the six actions listed in the statute by personal service or otherwise by certified mail, postage prepaid, return receipt requested. MD §14.5-109(c) provides that the person to whom notice must be provided can waive – “in writing” – the right to receive notice. None of the UTC, the DC UTC, and the VA UTC contains an “in writing” requirement. Hide/Show UTC · Hide/Show DC · Hide/Show MD · Hide/Show VA
UTC § 109. Methods and waiver of notice. (a) Notice to a person under this [Code] or the sending of a document to a person under this [Code] must be accomplished in a manner reasonably suitable under the circumstances and likely to result in receipt of the notice or document. Permissible methods of notice or for sending a document include first-class mail, personal delivery, delivery to the person’s last known place of residence or place of business, or a properly directed electronic message.
(b) Notice otherwise required under this [Code] or a document otherwise required to be sent under this [Code] need not be provided to a person whose identity or location is unknown to and not reasonably ascertainable by the trustee.
(c) Notice under this [Code] or the sending of a document under this [Code] may be waived by the person to be notified or sent the document.
§ 19-1301.09. Methods and waiver of notice. (a) Notice to a person under this chapter or the sending of a document to a person under this chapter must be accomplished in a manner reasonably suitable under the circumstances and likely to result in receipt of the notice or document. Permissible methods of notice or for sending a document include first-class mail, personal delivery, delivery to the person's last known place of residence or place of business, or a properly directed electronic message.
§ 14.5–109. Notice. A	(a) (1) Notice to a person under this title or the sending of a document to a person under this title shall be accomplished in a manner reasonably suitable under the circumstances and likely to result in receipt of the notice or document.
(2) Permissible methods of notice to a person or for sending a document to a person under this title include first–class mail, personal delivery, or delivery to the last known place of residence or place of business of the person. [MISSING "OR A PROPERLY DIRECTED ELECTRONIC MESSAGE"]
(3) (i) This paragraph applies to:
1. The proposed termination of a trust;
2. The proposed modification of the administrative or dispositive terms of a trust;
3. The proposed combination of two or more trusts into a single trust;
4. The proposed division of a trust into two or more separate trusts;
5. The proposed resignation of a trustee or cotrustee; or
6. The proposed transfer of the principal place of administration of a trust.
(ii) Notwithstanding paragraphs (1) and (2) of this subsection, a trustee shall provide notice to a person under this title:
2. By certified mail, postage prepaid, return receipt requested. (b) Notice otherwise required under this title or a document otherwise required to be sent under this title need not be provided to a person whose identity or location is unknown to and not reasonably ascertainable by the trustee.
(c) Notice under this title or the sending of a document under this title may be waived in writing by the person to be notified or sent the document.
(d) Notice of a judicial proceeding under this title shall be given as provided in the applicable rules of civil procedure.
§ 64.2-707. Methods and waiver of notice A. Notice to a person under this chapter or the sending of a document to a person under this chapter shall be accomplished in a manner reasonably suitable under the circumstances and likely to result in receipt of the notice or document. Permissible methods of notice or for sending a document include first-class mail, personal delivery, delivery to the person's last known place of residence or place of business, or a properly directed electronic message.
D. Notice of a judicial proceeding shall be given as provided in § 64.2-713.
UTC § 110. Others treated as qualified beneficiaries. (a) Whenever notice to qualified beneficiaries of a trust is required under this [Code], the trustee must also give notice to any other beneficiary who has sent the trustee a request for notice.
(b) A charitable organization expressly designated to receive distributions under the terms of a charitable trust has the rights of a qualified beneficiary under this [Code] if the charitable organization, on the date the charitable organization’s qualification is being determined:
(B) would be a distributee or permissible distributee of trust income or
principal upon the termination of the interests of other distributees or permissible distributees then receiving or eligible to receive distributions; or
(c) A person appointed to enforce a trust created for the care of an animal or another noncharitable purpose as provided in Section 408 or 409 has the rights of a qualified beneficiary under this [Code].
[(d) The [attorney general of this State] has the rights of a qualified beneficiary with respect to a charitable trust having its principal place of administration in this State.]
§ 19-1301.10. Others treated as qualified beneficiaries. (a) Whenever notice to qualified beneficiaries of a trust is required under this chapter, the trustee must also give notice to any other beneficiary who has sent the trustee a request for notice.
[DC(b) BELOW COMBINES UTC(b) AND (c), BUT EXCLUDES UTC(b)(A), (B), AND (C)]
(b) A charitable organization expressly designated to receive distributions under the terms of a charitable trust or a person appointed to enforce a trust created for the care of an animal or another noncharitable purpose as provided in section 19-1304.08 or section 19-1304.09 has the rights of a qualified beneficiary under this chapter [MISSING "ON THE DATE THE CHARITABLE ORGANIZATION’S QUALIFICATION IS BEING DETERMINED . . . IF THE TRUST TERMINATED ON THAT DATE."] (c) The Corporation Counsel [NOW ATTORNEY GENERAL] of the District of Columbia has the rights of a qualified beneficiary with respect to a charitable trust having its principal place of administration in the District of Columbia.
§ 14.5–110. Qualified beneficiaries. (a) Whenever notice to qualified beneficiaries of a trust is required under this title, the trustee shall also give notice to any other beneficiary that has sent the trustee a request for notice.
(b) A charitable organization expressly designated to receive distributions under the terms of a charitable trust has the rights of a qualified beneficiary under this title if the charitable organization on the date the qualification of the charitable organization is being determined:
(2) Would be a distributee or permissible distributee of trust income or principal on the termination of the interests of other distributees or permissible distributees then receiving or eligible to receive distributions; or
(c) A person appointed to enforce a trust created for the care of an animal as provided in § 14.5–407 of this title or another noncharitable purpose as provided in § 14.5–408 of this title has the rights of a qualified beneficiary under this title.
(d) The State’s Attorney General has the rights of a qualified beneficiary with respect to a charitable trust having the principal place of administration of the charitable trust in this State.
§ 64.2-708. Others treated as qualified beneficiaries A. Whenever notice to qualified beneficiaries of a trust is required under this chapter, the trustee shall also give notice to any other beneficiary who has sent the trustee a request for notice.
2. Would be a distributee or permissible distributee of trust income or principal upon the termination of the interests of other distributees or permissible distributees then receiving or eligible to receive
distributions; or
C. A person appointed to enforce a trust created for the care of an animal or another noncharitable purpose as provided in § 64.2-726 or 64.2-727 has the rights of a qualified beneficiary under this chapter.
D. The Attorney General has the rights of a qualified beneficiary with respect to a charitable trust having its principal place of administration in the Commonwealth but need not be given notices or information required under §§ 64.2-758 and 64.2-775 unless otherwise requested.
As originally enacted, the MTA did not provide for nonjudicial settlement agreements. On April 26, 2016, however, Governor Lawrence J. Hogan Jr. approved passage of a nonjudicial settlement agreements law (new MD §14.5-111) that became effective on October 1, 2016. New MD §14.5-111 provides that “interested persons” can enter into a binding, nonjudicial agreement with respect to the following matters:
•	Interpretation or construction of trust terms;
•	Approval of an accounting;
•	Granting the trustee a necessary or desirable power;
•	Transfer of the principal place of administration;
•	Resignation or appointment of a trustee and determinations of trustee compensation; and
•	Liability of a trustee for an action relating to the trust.
UTC § 111. Nonjudicial settlement agreements. (a) For purposes of this section, “interested persons” means persons whose consent would be required in order to achieve a binding settlement were the settlement to be approved by the court.
(b) Except as otherwise provided in subsection (c), interested persons may enter into a binding nonjudicial settlement agreement with respect to any matter involving a trust.
(c) A nonjudicial settlement agreement is valid only to the extent it does not violate a material purpose of the trust and includes terms and conditions that could be properly approved by the court under this [Code] or other applicable law.
(e) Any interested person may request the court to approve a nonjudicial settlement agreement, to determine whether the representation as provided in [Article] 3 was adequate, and to determine whether the agreement contains terms and conditions the court could have properly approved.
§ 19-1301.11. Nonjudicial settlement agreements. (a) For the purposes of this section, the term "interested persons" means persons whose consent would be required in order to achieve a binding settlement were the settlement to be approved by the court.
§ 14.5–111. Nonjudicial settlement agreements. A	(a) In this section, “interested person” means a person whose consent would be required in order to achieve a binding settlement were the settlement to be approved by the court.
(b) Except as otherwise provided in subsection (c) of this section, on or after October 1, 2016, interested persons may enter into a binding nonjudicial settlement agreement with respect to a matter involving a trust.
(c) A nonjudicial settlement agreement is valid only to the extent the settlement does not violate a material purpose of the trust and includes terms and conditions that could be properly approved by the court under this title or other applicable law.
(2) The approval of a report or accounting of a trustee;
(3) Direction to a trustee to refrain from performing a particular act or the grant to a trustee of a necessary or desirable power;
(4) The resignation or appointment of a trustee and the determination of the compensation of a trustee;
(e) An interested person may request the court to:
(1) [MISSING "APPROVE A NONJUDICIAL SETTLEMENT AGREEMENT"]
Determine whether the representation as provided in Subtitle 3 of this title was adequate; and
(2) Determine whether the agreement contains terms and conditions the court could have properly approved.
§ 64.2-709. Nonjudicial settlement agreements A. For purposes of this section, "interested persons" means persons whose consent would be required in order to achieve a binding settlement were the settlement to be approved by the court.
2. The approval of a trustee's report or accounting;
4. The resignation or appointment of a trustee and the determination of a trustee's compensation;
5. Transfer of a trust's principal place of administration; and
E. Any interested person may petition the court to approve a nonjudicial settlement agreement, to determine whether the representation as provided in Article 3 (§ 64.2-714 et seq.) was adequate, and to determine whether the agreement contains terms and conditions the court could have properly approved.
MD 14.5-112 provides that the rules of construction contained in MD EST & TRUSTS §§1-202 through 1-210.1 (applicable to estates and wills) are also applicable in construing the terms of inter vivos trusts. These rules of construction relate to the terms “surviving spouse,” “children,” “issue,” and “per stirpes,” as well as other terms. Hide/Show UTC · Hide/Show DC · Hide/Show MD · Hide/Show VA
UTC [§ 112. Rules of construction.] [The rules of construction that apply in this State to the interpretation of and disposition of property by will also apply as appropriate to the interpretation of the terms of a trust and the disposition of the trust property.]
Omitted. MD
§ 14.5–112. Inter vivos trust -- Applicability of other sections. A	***Former MD E&T 14-102 re-enacted***
(a) In the absence of express language to the contrary, the rules contained in §§ 1–202, 1–203, 1–204, 1–205, 1–206, 1–207, 1–208, 1–209, and 1–210.1 of this article shall be applied in construing the terms of an inter vivos trust.
(b) Whenever a provision in §§ 1–202, 1–203, 1–204, 1–205, 1–206, 1–207, 1–208, 1–209, and 1–210.1 of this article refers to a “will”, “estate”, or a similar term relevant primarily to wills and estates or a taker under a will or an estate, the term shall be modified to mean “trust instrument”, “trust”, or a similar term to reflect the application of the principles of those provisions to an inter vivos trust.
UTC [§ 113. Insurable interest of trustee.] [(a) In this section, “settlor” means a person that executes a trust instrument. The term includes a person for which a fiduciary or agent is acting.
(b) A trustee of a trust has an insurable interest in the life of an individual insured under a life insurance policy that is owned by the trustee of the trust acting in a fiduciary capacity or that designates the trust itself as the owner if, on the date the policy is issued:
(1) the insured is:
(A) a settlor of the trust; or
(B) an individual in whom a settlor of the trust has, or would have had if living at the time the policy was issued, an insurable interest; and
(2) the life insurance proceeds are primarily for the benefit of one or more trust beneficiaries that have[:
(A)] an insurable interest in the life of the insured [; or
(B) a substantial interest engendered by love and affection in the continuation of the life of the insured and, if not already included under subparagraph (A), who are:
(i) related within the third degree or closer, as measured by the civil law system of determining degrees of relation, either by blood or law, to the insured; or
(ii) stepchildren of the insured].]
Omitted. VA
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