reglab/housing_qa huggingface dataset:
IN Code § 30-4-8-7 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 8. Legacy Trusts|30-4-8-7. Prohibited Causes of Action; Effect of Spendthrift Provision

Sec. 7. (a) Except as provided in section 8 of this chapter, no cause of action of any kind, including a cause of action to enforce a judgment, may be brought for:(1) an attachment or other provisional remedy against property that is the subject of a qualified disposition to a legacy trust; or(2) the avoidance of a qualified disposition to a legacy trust.The protections provided to a qualified disposition by this subsection apply notwithstanding any law to the contrary set forth outside this chapter.(b) If a court declines to apply Indiana law in determining the effect of a spendthrift provision in a legacy trust in an action brought against a legacy trust, the trustee of the legacy trust shall immediately resign and, without further order of any court, cease to be the trustee of the legacy trust. When a trustee resigns under this section, the trustee has the power only to convey the trust property to a successor trustee appointed under this section. A successor trustee shall succeed the resigning trustee in accordance with the terms of the legacy trust. If the trust does not provide for a successor trustee and the trust would otherwise be without a trustee, any beneficiary of the trust may petition an Indiana court to appoint a successor trustee. The Indiana court receiving the petition shall appoint a successor trustee to serve in accordance with the terms and conditions that the court determines are consistent with the purposes of the trust and this chapter.(c) A legacy trust and its property are protected under this section regardless of whether or not the transferor:(1) serves as an investment adviser under section 12 of this chapter; or(2) retains a power described in section 13 of this chapter.(d) To the maximum extent permitted by the United States Constitution and the Indiana Constitution, a court of this state shall exercise jurisdiction over a legacy trust or a qualified disposition and shall adjudicate a case or controversy brought before the court regarding, arising out of, or related to a legacy trust or a qualified disposition if that case or controversy is otherwise within the subject matter jurisdiction of the court. Subject to the United States Constitution and the Indiana Constitution, a court of this state shall not dismiss or otherwise decline to adjudicate a case or controversy described in this subsection on the grounds that a court of another jurisdiction has acquired or may acquire proper jurisdiction over, or may provide proper venue for, the case or controversy or the parties to the case or controversy. Nothing in this subsection shall be construed to do either of the following:(1) Prohibit a transfer or other reassignment of a case or controversy from one court of this state to another court of this state.(2) Expand or limit the subject matter jurisdiction of a court of this state.As added by P.L.221-2019, SEC.9. Amended by P.L.231-2019, SEC.29.
IN Code § 30-4-8-9 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 8. Legacy Trusts|30-4-8-9. Creditor's Claims

Sec. 9. (a) If a creditor's claim is allowed under section 8 of this chapter, the transferor's qualified disposition to a legacy trust is subject to the claim only to the extent necessary to satisfy the transferor's debt to the creditor making the allowed claim.(b) In the event the trustee participates in litigation brought by a lender to enforce its rights under section 1(b) of this chapter, the trustee may recover the fees and costs incurred in such litigation from the trust only after the lender has been paid in full.(c) If a creditor's claim is allowed under section 8 of this chapter and the creditor has not sought to enforce its rights under section 1(b) of this chapter, the claim is limited as follows:(1) If the court is satisfied that a qualified trustee has not acted in bad faith in accepting or administering the property that is the subject of the qualified disposition:(A) the qualified trustee has a first and paramount lien against the property that is the subject of the qualified disposition in an amount equal to the entire cost, including attorney's fees, properly incurred by the qualified trustee in the defense of the action or proceedings filed by the creditor;(B) the creditor's claim shall be allowed subject to the proper fees, costs, preexisting rights, claims, and interests of the qualified trustee and of any predecessor qualified trustee that has not acted in bad faith; and(C) it is presumed that the qualified trustee did not act in bad faith merely by accepting the property that is the subject of the qualified disposition.(2) If the court is satisfied that a beneficiary of a legacy trust has not acted in bad faith, and the distribution was made to the beneficiary before the creditor made the trustee aware of its claim or commenced an action to enforce its claim, the creditor's claim is subject to the right of the beneficiary to retain any distribution made upon the exercise of a trust power or the discretion vested in the qualified trustee that was properly exercised before the trustee was made aware of the claim or an action was commenced to enforce the claim.As added by P.L.221-2019, SEC.9. Amended by P.L.231-2019, SEC.31.
IN Code § 30-4-8-10 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 8. Legacy Trusts|30-4-8-10. Spendthrift Provisions

Sec. 10. A spendthrift provision described in section 4(4) of this chapter is considered a restriction on the transfer of the transferor's beneficial interest in the trust that is enforceable under applicable nonbankruptcy law within the meaning of Section 541(c)(2) of the federal Bankruptcy Code (11 U.S.C. 541(c)(2)) or any successor provision of the federal Bankruptcy Code.As added by P.L.221-2019, SEC.9.
IN Code § 30-4-8-11 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 8. Legacy Trusts|30-4-8-11. Transferor's Rights and Authority

Sec. 11. Except as permitted by the terms of a legacy trust and by sections 12 and 13 of this chapter, the transferor may not have any rights or authority with respect to the principal or income of the legacy trust. An agreement or understanding purporting to grant or permit the retention of any greater rights or authority is void.As added by P.L.221-2019, SEC.9.
IN Code § 30-4-8-12 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 8. Legacy Trusts|30-4-8-12. Transferor's Service as an Investment Advisor

Sec. 12. A transferor who makes a qualified disposition may also serve as an investment adviser to the trust. However, the transferor may not serve as a trust director to a legacy trust except with respect to the retention of a veto right permitted by section 13(a)(1) of this chapter.As added by P.L.221-2019, SEC.9.
IN Code § 30-4-8-13 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 8. Legacy Trusts|30-4-8-13. Revocability

Sec. 13. (a) A legacy trust is not considered revocable because of the inclusion of one (1) or more of the following:(1) A transferor's power to veto a distribution from the trust.(2) A power of appointment (other than the power to appoint to the transferor, the transferor's creditors, the transferor's estate, or the creditors of the transferor's estate) that may be exercised by will or other written instrument of the transferor that is effective only upon the transferor's death.(3) The transferor's potential or actual receipt of income or principal, including a right to income retained in the trust.(4) The transferor's potential or actual receipt of income or principal from a charitable remainder unitrust or charitable remainder annuity trust (as those terms are defined in Section 664 of the Internal Revenue Code).(5) The transferor's potential or actual receipt of income or principal from a grantor retained annuity trust or grantor retained unitrust that is allowed under Section 2702 of the Internal Revenue Code.(6) The transferor's potential or actual receipt or use of principal when that potential or actual receipt or use results from a qualified trustee's acting:(A) in the qualified trustee's discretion;(B) under a standard that governs the distribution of principal and does not confer upon the transferor a power to consume, invade, or appropriate property for the benefit of the transferor unless the power of the transferor is limited by an ascertainable standard relating to health, education, support, or maintenance within the meaning of Section 2041(b)(1)(A) or 2514(c)(1) of the Internal Revenue Code; or(C) at the direction of a trust director described in section 14 of this chapter who acts:(i) in the trust director's discretion; or(ii) under a standard that governs the distribution of principal and does not confer upon the transferor a power to consume, invade, or appropriate property for the benefit of the transferor unless the power of the transferor is limited by an ascertainable standard relating to health, education, support, or maintenance within the meaning of Section 2041(b)(1)(A) or 2514(c)(1) of the Internal Revenue Code.(7) The transferor's right to remove a trustee or trust director and to appoint a new trustee or trust director as long as that right does not include the appointment of a person who is a related or subordinate party to the transferor within the meaning of Section 672(c) of the Internal Revenue Code.(8) The transferor's potential or actual use of real property held under a qualified personal residence trust (as defined in Section 2702(c) of the Internal Revenue Code).(b) For the purpose of subsection (a)(6)(A), a qualified trustee is presumed to have discretion with respect to the distribution of principal unless that discretion is denied to the qualified trustee by the terms of the legacy trust.As added by P.L.221-2019, SEC.9.
IN Code § 30-4-8-14 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 8. Legacy Trusts|30-4-8-14. Appointment of Trust Directors

Sec. 14. (a) A transferor may appoint one (1) or more trust directors who may have authority under the terms of the trust:(1) to remove and appoint qualified trustees or trust directors; and(2) to direct, consent to, or disapprove distributions from the trust.(b) Trust directors are not required to satisfy the requirements imposed upon trustees by section 6 of this chapter.As added by P.L.221-2019, SEC.9.
IN Code § 30-4-8-15 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 8. Legacy Trusts|30-4-8-15. Resignation of Qualified Trustee; Appointing Successor Trustees

Sec. 15. If:(1) a qualified trustee of a legacy trust ceases to meet the requirements of section 6 of this chapter; and(2) there remains no trustee of the legacy trust that meets the requirements of section 6 of this chapter;the qualified trustee described in subdivision (1) is considered to have resigned when the qualified trustee ceased to meet the requirements of section 6 of this chapter, and a successor trustee provided for in the legacy trust shall become a qualified trustee. If the legacy trust does not provide for a successor qualified trustee, a court shall appoint a successor qualified trustee upon the application of any interested party.As added by P.L.221-2019, SEC.9.
IN Code § 30-4-8-16 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 8. Legacy Trusts|30-4-8-16. Rights of a Lender; Notice of Transfer of Assets

Sec. 16. (a) Nothing in this chapter shall be construed to prohibit a lender from enforcing its rights in property identified in section 1(b) of this chapter and, to the extent necessary, naming the legacy trust or trustee of the trust as a defendant to the action or proceeding.(b) If an asset described in section 1(b)(1) of this chapter is transferred to a legacy trust or trustee of a legacy trust, the transferor of that asset must send written notice of the transfer to the pertinent lender within fifteen (15) days after that transfer. The transferor must send the notice by certified mail, return receipt requested, to the registered agent for the lender. If there is no registered agent for the lender, the transferor must send notice to one (1) of the following:(1) The last known address of the lender.(2) The last address specified by the lender for mailing payments on the obligations.(3) The address specified by the lender for general inquiries by customers.The notice must include the name of the transferor, a description of the asset transferred, the name of the trustee, and the date that the transfer was completed. Upon request, the transferor or trustee shall provide the lender with a certification of the trust under IC 30-4-4-5, the names and addresses of the qualified beneficiaries of the trust, and copies of the pages from the trust instrument that identify the current trustee and describe the trustee's administrative powers and duties.(c) Nothing in this chapter shall be construed to authorize any disposition that is prohibited by the terms of any agreements, notes, guaranties, mortgages, indentures, instruments, undertakings, or other documents. Any provisions that prohibit such transfer or disposition shall be binding and shall make this chapter inapplicable, so long as any indebtedness remains outstanding in connection with such agreements, notes, guaranties, mortgages, indentures, instruments, undertakings, or other similar documents.(d) In the event of a conflict between this section and any other provision of this chapter, this section shall control.As added by P.L.221-2019, SEC.9. Amended by P.L.231-2019, SEC.32; P.L.56-2020, SEC.14; P.L.32-2021, SEC.87.
IN Code § 30-4-9-1 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 9. Uniform Directed Trust Act|30-4-9-1. Short Title

Sec. 1. This chapter may be cited as the Uniform Directed Trust Act.As added by P.L.221-2019, SEC.10.
IN Code § 30-4-9-2 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 9. Uniform Directed Trust Act|30-4-9-2. Definitions

Sec. 2. As used in this chapter, the following definitions apply:(1) "Breach of trust" includes a violation by a trust director or trustee of a duty imposed on that director or trustee by the terms of the trust, this chapter, or the law of this state other than this chapter.(2) "Directed trust" means a trust for which the terms of the trust grant a power of direction.(3) "Directed trustee" means a trustee that is subject to a trust director's power of direction.(4) "Person" means an individual, estate, business or nonprofit entity, public corporation, government or government subdivision, agency, or instrumentality or other legal entity.(5) "Power of direction" means a power over a trust granted to a person by the terms of the trust to the extent the power is exercisable while the person is not serving as a trustee. The term includes a power over the investment, management, or distribution of trust property or other matters of trust administration. The term excludes the powers described in section 5(b) of this chapter.(6) "Settlor" means a person, including a testator, that creates, or contributes property to, a trust. If more than one (1) 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.(7) "State" means a state of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or any other territory or possession subject to the jurisdiction of the United States.(8) "Terms of a trust" means:(A) except as otherwise provided in clause (B), the manifestation of the settlor's intent regarding a trust's provisions as:(i) expressed in the trust instrument; or(ii) established by other evidence that would be admissible in a judicial proceeding; or(B) the trust's provisions as established, determined, or amended by:(i) a trustee or trust director in accordance with applicable law; or(ii) court order.(9) "Trust director" means a person that is granted a power of direction by the terms of a trust to the extent the power is exercisable while the person is not serving as a trustee. The person is a trust director whether or not the terms of the trust refer to the person as a trust director and whether or not the person is a beneficiary or settlor of the trust.(10) "Trustee" includes an original, additional, and successor trustee, and a cotrustee.(11) "Willful misconduct" means intentional wrongdoing, and not mere negligence, gross negligence, or recklessness.(12) "Wrongdoing" means malicious conduct or conduct designed to defraud or to seek an unconscionable advantage.As added by P.L.221-2019, SEC.10. Amended by P.L.156-2020, SEC.112.
IN Code § 30-4-9-3 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 9. Uniform Directed Trust Act|30-4-9-3. Application

Sec. 3. (a) This chapter applies to a trust, whenever created, that has its principal place of administration in Indiana, subject to the following:(1) If the trust was created before July 1, 2019, this chapter applies only to a decision or action occurring after June 30, 2019.(2) If the principal place of administration of the trust is changed to Indiana after June 30, 2019, this chapter applies only to a decision or action occurring on or after the date of the change.(b) Without precluding other means to establish a sufficient connection with the designated jurisdiction in a directed trust, the terms of the trust that designate the principal place of administration of the trust 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;(2) a trust director's principal place of business is located in or a trust director is a resident of the designated jurisdiction; or(3) all or part of the administration occurs in the designated jurisdiction.As added by P.L.221-2019, SEC.10.
IN Code § 30-4-9-4 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 9. Uniform Directed Trust Act|30-4-9-4. Applicable Law

Sec. 4. The common law and principles of equity supplement this chapter, except to the extent modified by this chapter or law of Indiana other than this chapter.As added by P.L.221-2019, SEC.10.
IN Code § 30-4-9-5 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 9. Uniform Directed Trust Act|30-4-9-5. Powers of Appointment

Sec. 5. (a) As used in this section, "power of appointment" means a power that enables a person acting in a nonfiduciary capacity to designate a recipient of an ownership interest in or another power of appointment over trust property.(b) This chapter does not apply to a:(1) power of appointment;(2) power to appoint or remove a trustee or trust director;(3) power of a settlor over a trust to the extent the settlor has a power to revoke the trust;(4) power of a beneficiary over a trust to the extent the exercise or nonexercise of the power affects the beneficiary interest of:(A) the beneficiary; or(B) another beneficiary represented by the beneficiary with respect to the exercise or nonexercise of the power; or(5) power over a trust if:(A) the terms of the trust provide that the power is held in a nonfiduciary capacity; and(B) the power must be held in a nonfiduciary capacity to achieve the settlor's tax objectives under the Internal Revenue Code.(c) Unless the terms of a trust provide otherwise, a power granted to a person to designate a recipient of an ownership interest in or power of appointment over trust property that is exercisable while the person is not serving as a trustee is a power of appointment and not a power of direction.As added by P.L.221-2019, SEC.10.
IN Code § 30-4-9-6 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 9. Uniform Directed Trust Act|30-4-9-6. Powers of Direction

Sec. 6. (a) Subject to section 7 of this chapter, the terms of the trust may grant a power of direction to a trust director.(b) Unless the terms of a trust provide otherwise:(1) a trust director may exercise any further power appropriate to the exercise or nonexercise of a power of direction granted to the director under subsection (a); and(2) trust directors with joint powers must act by majority decision.As added by P.L.221-2019, SEC.10.
IN Code § 30-4-9-7 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 9. Uniform Directed Trust Act|30-4-9-7. Rules Relating to Payback Provisions; Charitable Interest

Sec. 7. A trust director is subject to the same rules as a trustee in a like position and under similar circumstances in the exercise or nonexercise of a power of direction or further power under section 6(b)(1) of this chapter regarding:(1) a payback provision in the terms of a trust necessary to comply with the reimbursement requirements under 42 U.S.C. 1396p(d)(4)(A); or(2) a charitable interest in the trust, including notice regarding the interest to the attorney general under IC 30-4-6-6.As added by P.L.221-2019, SEC.10.
IN Code § 30-4-9-8 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 4. Trust Code|Chapter 9. Uniform Directed Trust Act|30-4-9-8. Duties and Liabilities of a Trust Director

Sec. 8. (a) Subject to subsection (b), with respect to a power of direction or further power under section 6(b)(1) of this chapter:(1) a trust director has the same fiduciary duty and liability in the exercise or nonexercise of the power:(A) if the power is held individually, as a sole trustee in a like position and under similar circumstances; or(B) if the power is held jointly with a trustee or another trust director, as a cotrustee in a like position and under similar circumstances; and(2) the terms of the trust may vary the director's duty or liability to the same extent the terms of the trust could vary the duty or liability of a trustee in a like position and under similar circumstances.(b) Unless the terms of a trust provide otherwise, if a trust director is licensed, certified, or otherwise authorized or permitted by law other than this chapter to provide health care in the ordinary course of the director's business or practice of a profession, to the extent the director acts in that capacity, the director has no duty or liability under this chapter.(c) The terms of a trust may impose a duty or liability on a trust director in addition to the duties and liabilities under this section.As added by P.L.221-2019, SEC.10.