reglab/housing_qa huggingface dataset:
SC Code § 62-7-814 (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-814. Discretionary powers; tax savings.

 (a) Notwithstanding the breadth of discretion granted to a trustee in the terms of the trust, including the use of such terms as "absolute", "sole", or "uncontrolled", the trustee shall exercise a discretionary power in good faith and in accordance with the terms and purposes of the trust and the interests of the beneficiaries.  (b) A power whose exercise is limited or prohibited by subsection (c) may be exercised by a majority of the remaining trustees whose exercise of the power is not so limited or prohibited. If the power of all trustees is so limited or prohibited, the court may appoint a special fiduciary with authority to exercise the power.  (c) Subject to subsection (d), and unless the application of this section is clearly and convincingly negated in the will, the trust document, terms of the trust, or a written instrument appointing a fiduciary, expressly indicating that a rule in this subsection does not apply, any power conferred upon the fiduciary, in his capacity as a fiduciary (and not including any power conferred upon him in his capacity as a beneficiary), which would, except for this section, constitute, in whole or in part, a general power of appointment cannot be exercised by him in favor of himself, his estate, his creditors, or the creditors of his estate.  (1) The fiduciary can, however, exercise the power in favor of someone other than himself, his estate, his creditors and the creditors of his estate.  (2) If a power comes within subsection (c) and the power is conferred upon two or more fiduciaries, it can be exercised by the fiduciary or the fiduciaries who are not disqualified from exercising the power as if they were the only fiduciary or fiduciaries.  (3) If all of the serving fiduciaries are disqualified from exercising a power, the court that would have jurisdiction to appoint a fiduciary under the instrument, if there were no fiduciary currently serving, shall exercise, or shall appoint a special fiduciary whose only power is to exercise the power that cannot be exercised by the other fiduciaries by reason of subsection (c).  (4) A trustee may not exercise a power to make discretionary distributions to satisfy a legal obligation of support that the trustee personally owes another person.  (d) Subsection (c) does not apply to:  (1) a power held by the settlor's spouse who is the trustee of a trust for which a marital deduction, as defined in Section 2056(b)(5) or 2523(e) of the Internal Revenue Code, as amended, was previously allowed;  (2) any trust during any period that the trust may be revoked or amended by its settlor; or  (3) a trust if contributions to the trust qualify for the annual exclusion under Section 2503(c) of the Internal Revenue Code as amended.  HISTORY: 2005 Act No. 66, Section 1; 2010 Act No. 244, Section 53, eff June 7, 2010; 2013 Act No. 100, Section 2, eff January 1, 2014.  Effect of Amendment  The 2010 amendment substituted "(c)" for "(d)" following "subsection" in the first sentence.
SC Code § 62-7-815 (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-815. General powers of trustee.

 (a) A trustee, without authorization by the court, may exercise:  (1) powers conferred by the terms of the trust; and  (2) except as limited by the terms of the trust:  (A) all powers over the trust property which an unmarried competent owner has over individually owned property;  (B) any other powers appropriate to achieve the proper investment, management, and distribution of the trust property; and  (C) any other powers conferred by this part.  (b) The exercise of a power is subject to the fiduciary duties prescribed by this part.  HISTORY: 2005 Act No. 66, Section 1; 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-817 (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-817. Distribution upon termination.

 (a) Upon termination or partial termination of a trust, the trustee may send to the beneficiaries a proposal for distribution. The right of any beneficiary to object to the proposed distribution terminates if the beneficiary does not notify the trustee of an objection within 30 days after the proposal was sent but only if the proposal informed the beneficiary of the right to object and of the time allowed for objection.  (b) Upon the occurrence of an event terminating or partially terminating a trust, the trustee shall proceed expeditiously to distribute the trust property to the persons entitled to it, subject to the right of the trustee to retain a reasonable reserve for the payment of debts, expenses, and taxes.  (c) A release by a beneficiary of a trustee from liability for breach of trust is invalid to the extent:  (1) it was induced by improper conduct of the trustee; or  (2) the beneficiary, at the time of the release, did not know of the beneficiary's rights or of the material facts relating to the breach.  HISTORY: 2005 Act No. 66, Section 1; 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-818 (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-818. Powers and discretions of a trust protector.

 The powers and discretions of a trust protector are as provided in the governing instrument and may be exercised or not exercised, in the best interests of the trust, in the sole and absolute discretion of the trust protector and are binding on all other persons. These powers and discretion may include, but are not limited to, the following:  (1) modify or amend the trust instrument to achieve favorable tax status or respond to changes in the Internal Revenue Code, state law, or the rulings and regulations thereunder;  (2) increase or decrease the interests of any beneficiaries to the trust;  (3) modify the terms of any power of appointment granted by the trust. However, a modification or amendment may not grant a beneficial interest to any individual or class of individuals not specifically provided for under the trust instrument;  (4) remove and appoint a trustee, trust advisor, investment committee member, or distribution committee member;  (5) terminate the trust;  (6) veto or direct trust distributions;  (7) change situs or governing law of the trust, or both;  (8) appoint a successor trust protector;  (9) interpret terms of the trust instrument at the request of the trustee;  (10) advise the trustee on matters concerning a beneficiary; and  (11) amend or modify the trust instrument to take advantage of laws governing restraints on alienation, distribution of trust property, or the administration of the trust.  The powers referenced in items (5), (6) and (11) may be granted notwithstanding the provisions of Sections 62-7-410 through 62-7-412, inclusive.  HISTORY: 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-819 (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-819. Powers of a trust investment advisor.

 (a) Whenever a trust instrument provides that a trustee is to follow the direction of a trust investment advisor with respect to investment decisions or distribution decisions, then, except to the extent that the trust instrument provides otherwise, the trustee has no duty to:  (1) monitor the conduct of the trust investment advisor;  (2) provide advice to the trust investment advisor; or  (3) communicate with or warn or apprise any beneficiary or third party concerning instances in which the trustee would or might have exercised the trustee's own discretion in a manner different from the manner directed by the advisor.  (b) Absent clear and convincing evidence to the contrary, the actions of the trustee pertaining to matters within the scope of the trust investment advisor's authority, such as confirming that the trust investment advisor's directions have been carried out and recording and reporting actions taken at the trust investment advisor's direction, are presumed to be administrative actions taken by the trustee solely to allow the trustee to perform those duties assigned to the trustee under the governing instrument and these administrative actions are not deemed to constitute an undertaking by the trustee to monitor the trust investment advisor or otherwise participate in actions within the scope of the trust investment advisor's authority.  (c) For purposes of this section, "investment decision" means, with respect to any investment, the retention, purchase, sale, exchange, tender or other transaction affecting the ownership thereof, or rights therein.  HISTORY: 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-901 (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-901. Short title.

 This part may be cited as the South Carolina Uniform Principal and Income Act.  HISTORY: 2005 Act No. 66, Section 1; 2013 Act No. 100, Section 2, eff January 1, 2014.  Effect of Amendment  The 2013 amendment substituted "This part" for "Sections 62-7-901 through 62-7-932 of".
SC Code § 62-7-903 (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-903. Allocation of receipts and disbursements.

 (A) In allocating receipts and disbursements to or between principal and income, and with respect to any matter within the scope of Sections 62-7-905 through 62-7-909, a fiduciary:  (1) shall administer a trust or estate in accordance with the terms of the trust or the will, even if there is a different provision in the South Carolina Uniform Principal and Income Act;  (2) may administer a trust or estate by the exercise of a discretionary power of administration given to the fiduciary by the terms of the trust or the will, even if the exercise of the power produces a result different from a result required or permitted by the South Carolina Uniform Principal and Income Act;  (3) shall administer a trust or estate in accordance with the South Carolina Uniform Principal and Income Act if the terms of the trust or the will do not contain a different provision or do not give the fiduciary a discretionary power of administration; and  (4) shall add a receipt or charge a disbursement to principal to the extent that the terms of the trust and the South Carolina Uniform Principal and Income Act do not provide a rule for allocating the receipt or disbursement to or between principal and income.  (B) In exercising:  (1) the power to adjust pursuant to Section 62-7-904(A);  (2) a discretionary power in connection with the conversion or administration of a unitrust under Sections 62-7-904B through Section 62-7-904P; or  (3) a discretionary power of administration regarding a matter within the scope of the South Carolina Uniform Principal and Income Act, whether granted by the terms of a trust, a will, or the South Carolina Uniform Principal and Income Act,  a fiduciary shall administer a trust or estate impartially, based on what is fair and reasonable to all of the beneficiaries, except to the extent that the terms of the trust or the will clearly manifest an intention that the fiduciary shall or may favor one or more of the beneficiaries. A determination in accordance with the South Carolina Uniform Principal and Income Act is presumed to be fair and reasonable to all of the beneficiaries.  HISTORY: 2005 Act No. 66, Section 1; 2010 Act No. 244, Section 55, eff June 7, 2010; 2013 Act No. 100, Section 2, eff January 1, 2014.  Effect of Amendment  The 2010 amendment in subsection (A) substituted "through" for "and" following "62-7-905".  The 2013 amendment substituted "the South Carolina Uniform Principal and Income Act" for "this part" throughout; and rewrote subsection (B).
SC Code § 62-7-904D (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-904D. Petition by trustee or qualified beneficiary to convert an income trust, reconvert a total return unitrust, or change the percentage used to calculate the unitrust amount.

 (A) If a trustee desires to:  (1) convert an income trust to a total return unitrust;  (2) reconvert a total return unitrust to an income trust; or  (3) change the percentage used to calculate the unitrust amount or the method used to determine the fair market value of the trust assets but does not have the ability to or elects not to do it under Section 62-7-904C, the trustee may petition the court for an order as the trustee considers appropriate. If there is only one trustee of the trust and the trustee is an interested trustee or if there are two or more trustees of the trust and a majority of them are interested trustees, the court, in its own discretion or on the petition of the trustee or trustees or any person interested in the trust, may appoint a disinterested person who, acting in a fiduciary capacity, shall present information to the court as necessary to enable the court to make its determinations under Sections 62-7-904B through 62-7-904P.  (B) A qualified beneficiary or a representative of a qualified beneficiary may request the trustee to:  (1) convert an income trust to a total return unitrust;  (2) reconvert a total return unitrust to an income trust; or  (3) change the percentage used to calculate the unitrust amount or the method used to determine the fair market value of the trust. If the trustee does not take the action requested, the qualified beneficiary or a representative of the qualified beneficiary may petition the court to order the trustee to take the action.  (C) All proceedings under this section must be conducted as provided in Part 2 of this article.  HISTORY: 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-904E (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-904E. Fair market value of trust assets.

 (A) The fair market value of the trust assets must be determined at least annually, using a valuation date selected by the trustee in its discretion. The trustee, in its discretion, may use an average of the fair market value on the same valuation date for the current fiscal year and not more than three preceding fiscal years, if the use of this average appears desirable to the trustee to reduce the impact of fluctuations in market value on the unitrust amount. Assets for which a fair market value cannot be readily ascertained must be valued using valuation methods as are considered reasonable and appropriate by the trustee. Assets, such as a residence or tangible personal property, used by the trust beneficiary may be excluded by the trustee from the fair market value for computing the unitrust amount.  (B) The percentage to be used by the trustee in determining the unitrust amount must be a reasonable current return from the trust, but not less than three percent nor more than five percent, taking into account the intentions of the settlor of the trust as expressed in the terms of the trust, the needs of the beneficiaries, general economic conditions, projected current earnings and appreciation for the trust assets, and projected inflation and its impact on the trust.  (C) Following the conversion of an income trust to a total return unitrust, the trustee:  (1) shall consider the unitrust amount as paid from net accounting income determined as if the trust were not a unitrust;  (2) shall then consider the unitrust amount as paid from ordinary income not allocable to net accounting income;  (3) may, in the trustee's discretion, consider the unitrust amount as paid from net short-term gain described in Section 1222(5) of the Code and then from net long-term capital gain described in Section 1222(7) of the Code so long as the discretionary power is exercised consistently and in a reasonable and impartial manner, but the amount so paid from net capital gains may not be greater than the excess of the unitrust amount over the amount of distributable net income as defined in Section 643(a) of the Code without regard to Section 1.643(a)-3(b) of the Treasury Regulations, as amended from time to time; and  (4) shall then consider the unitrust amount as coming from the principal of the trust.  HISTORY: 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-904F (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-904F. Administration of a total return unitrust.

 In administering a total return unitrust, the trustee may, in its sole discretion but subject to the terms of the trust, determine:  (1) the effective date of the conversion;  (2) the timing of distributions, including provisions for prorating a distribution for a short year in which a beneficiary's right to payments commences or ceases;  (3) whether distributions are to be made in cash or in kind or partly in cash and partly in kind;  (4) if the trust is reconverted to an income trust, the effective date of the reconversion; and  (5) any other administrative issues as may be necessary or appropriate to carry out the purposes of Sections 62-7-904B through 62-7-904P.  HISTORY: 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-904G (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-904G. Distribution of unitrust amount considered distribution of income and not of principal.

 Conversion to a total return unitrust under Sections 62-7-904B through 62-7-904P does not affect any other provision of the terms of the trust, if any, regarding distributions of principal. For purposes of Sections 62-7-904B through 62-7-904P, the distribution of a unitrust amount is considered a distribution of income and not of principal.  HISTORY: 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-904H (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-904H. Limitation of liability.

 No trustee or disinterested person who in good faith takes or fails to take any action under Sections 62-7-904B through 62-7-904P is liable to any person affected by the action or inaction, regardless of whether the person received written notice as provided in Sections 62-7-904B through 62-7-904P and regardless of whether the person was under a legal disability at the time of the delivery of the notice. The exclusive remedy for any person affected by such action or inaction is to obtain an order of the court directing the trustee to:  (1) convert an income trust to a total return unitrust;  (2) reconvert from a total return unitrust to an income trust; or  (3) change the percentage used to calculate the unitrust amount.  HISTORY: 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-904I (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-904I. Applicability of Sections 62-7-904B through 62-7-904P.

 Sections 62-7-904B through 62-7-904P apply to all trusts in existence on, or created after the effective date of Sections 62-7-904A through 62-7-904P unless:  (1) the governing instrument contains a provision clearly expressing the settlor's intention that the current beneficiary or beneficiaries are to receive an amount other than a reasonable current return from the trust;  (2) the trust is a trust described in Section 170(f)(2)(B), Section 664(d), Section 2702(a)(3), or Section 2702(b) of the Code;  (3) the trust is a trust under which any amount is, or has been in the past, set aside permanently for charitable purposes unless the income from the trust also is devoted permanently to charitable purposes; or  (4) the governing instrument expressly prohibits use of Sections 62-7-904B through 62-7-904P by specific reference to Sections 62-7-904B through 62-7-904P or expressly states the settlor's intent that net income not be calculated as a unitrust amount.  A provision in the terms of the trust that "the provisions of Sections 62-7-904B through 62-7-904P of this part or any corresponding provision of future law, must not be used in the administration of this trust," or "the trustee shall not determine the distributions to the income beneficiary as a unitrust amount," or similar words reflecting that intent is sufficient to preclude the use of Sections 62-7-904B through 62-7-904P.  HISTORY: 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-904M (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-904M. Unitrust amount to be distributed by the express total return unitrust.

 (A) The unitrust amount to be distributed by the express total return unitrust may be determined by the terms of the unitrust governing instrument by reference to the net fair market value of the trust's assets determined annually or averaged on a multiple-year basis.  (B) The terms of an express total return unitrust governing instrument may provide that:  (1) any assets of such a unitrust for which a fair market value cannot be readily ascertained must be valued using valuation methods that the trustee considers reasonable and appropriate;  (2) any assets of such a unitrust, such as a residence property or tangible personal property, used by the trust beneficiary entitled to the unitrust amount may be excluded by the trustee from the net fair market value for computing the unitrust amount.  HISTORY: 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-904N (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-904N. Distribution from an express total return unitrust.

 The distribution from an express total return unitrust of a unitrust amount equal to a fixed percentage of not less than three percent nor more than five percent reasonably apportions between the income beneficiaries and the remainder of the total return of an express total return unitrust.  HISTORY: 2013 Act No. 100, Section 2, eff January 1, 2014.
SC Code § 62-7-904O (2021)
2021 South Carolina Code of Laws|Title 62 - South Carolina Probate Code|Article 7 - South Carolina Trust Code|Section 62-7-904O. Express total return unitrust governing instrument; changing the unitrust percentage; converting from a unitrust to an income trust; reconversion of an income trust to a unitrust.

 (A) The terms of an express total return unitrust governing instrument may provide the method similar to the method provided under Section 62-7-904C for changing the unitrust percentage or for converting from a unitrust to an income trust or for a reconversion of an income trust to a unitrust, or for all of these actions.  (B) If the terms of an express total return unitrust governing instrument do not specifically or by reference to Section 62-7-904C grant a power to the trustee to change the unitrust percentage or change to an income trust, the trustee shall not have that power.  HISTORY: 2013 Act No. 100, Section 2, eff January 1, 2014.