reglab/housing_qa huggingface dataset:
NE Code § 30-3882 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3882 - (UTC 817) Distribution upon termination.

30-3882.  (UTC 817) Distribution upon termination.(UTC 817) (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 thirty 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.(d) The changes made to this section by Laws 2019, LB593, shall apply retroactively to August 30, 2015.Source  Laws 2003, LB 130, § 82;  Laws 2015, LB72, § 3;  Laws 2017, LB268, § 6;  Laws 2019, LB593, § 4.  Annotations  Pursuant to subsection (b) of this section, after a trust has been terminated, a trustee must expeditiously exercise the powers appropriate to wind up the administration of the trust and distribute the trust property to the persons entitled to it. In re Estate of Barger, 303 Neb. 817, 931 N.W.2d 660 (2019). Under this section, a trustee's duty to pay the settlor's debts, expenses, and taxes does not normally justify a trustee's failure to make distributions. An unduly delayed distribution is a breach of the duty of care unless the trustee shows that some realistic complication prevented the trustee from determining in a timely manner a reasonable sum to reserve for winding-up costs. In re Estate of Hedke, 278 Neb. 727, 775 N.W.2d 13 (2009).
NE Code § 30-3883 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3883 - Prudent investor rule.

30-3883.  Prudent investor rule.(a) Except as otherwise provided in subsection (b) of this section, a trustee who invests and manages trust assets owes a duty to the beneficiaries of the trust to comply with the prudent investor rule set forth in sections 30-3883 to 30-3889.(b) The prudent investor rule, a default rule, may be expanded, restricted, eliminated, or otherwise altered by the provisions of a trust. A trustee is not liable to a beneficiary to the extent that the trustee acted in reasonable reliance on the provisions of the trust.Source   Laws 1997, LB 54, § 2;   R.S.1943, (1997), § 8-2202;  Laws 2003, LB 130, § 83.
NE Code § 30-3884 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3884 - Standard of care; portfolio strategy; risk and return objectives.

30-3884.  Standard of care; portfolio strategy; risk and return objectives.(a) A trustee shall invest and manage trust assets as a prudent investor would, by considering the purposes, terms, distribution requirements, and other circumstances of the trust. In satisfying this standard, the trustee shall exercise reasonable care, skill, and caution.(b) A trustee's investment and management decisions respecting individual assets must be evaluated not in isolation but in the context of the trust portfolio as a whole and as a part of an overall investment strategy having risk and return objectives reasonably suited to the trust.(c) Among circumstances that a trustee shall consider in investing and managing trust assets are such of the following as are relevant to the trust or its beneficiaries:(1) General economic conditions;(2) The possible effect of inflation or deflation;(3) The expected tax consequences of investment decisions or strategies;(4) The role that each investment or course of action plays within the overall trust portfolio, which may include financial assets, interests in closely held enterprises, tangible and intangible personal property, and real property;(5) The expected total return from income and the appreciation of capital;(6) Other resources of the beneficiaries;(7) Needs for liquidity, regularity of income, and preservation or appreciation of capital; and(8) An asset's special relationship or special value, if any, to the purposes of the trust or to one or more of the beneficiaries.(d) A trustee shall make a reasonable effort to verify facts relevant to the investment and management of trust assets.(e) A trustee may invest in any kind of property or type of investment consistent with the standards of the prudent investor rule set forth in sections 30-3883 to 30-3889.Source   Laws 1997, LB 54, § 3;   R.S.1943, (1997), § 8-2203;  Laws 2003, LB 130, § 84.
NE Code § 30-3885 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3885 - Diversification.

30-3885.  Diversification.A trustee shall diversify the investments of the trust unless the trustee reasonably determines that, because of special circumstances, the purposes of the trust are better served without diversifying.Source   Laws 1997, LB 54, § 4;   R.S.1943, (1997), § 8-2204;  Laws 2003, LB 130, § 85.
NE Code § 30-3886 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3886 - Duties at inception of trusteeship.

30-3886.  Duties at inception of trusteeship.Within a reasonable time after accepting a trusteeship or receiving trust assets, a trustee shall review the trust assets and make and implement decisions concerning the retention and disposition of assets, in order to bring the trust portfolio into compliance with the purposes, terms, distribution requirements, and other circumstances of the trust, and with the requirements of the prudent investor rule set forth in sections 30-3883 to 30-3889.Source   Laws 1997, LB 54, § 5;   R.S.1943, (1997), § 8-2205;  Laws 2003, LB 130, § 86.
NE Code § 30-3887 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3887 - Reviewing compliance.

30-3887.  Reviewing compliance.Compliance with the prudent investor rule is determined in light of the facts and circumstances existing at the time of a trustee's decision or action and not by hindsight.Source   Laws 1997, LB 54, § 9;   R.S.1943, (1997), § 8-2209;  Laws 2003, LB 130, § 87.
NE Code § 30-3888 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3888 - Delegation of investment and management functions.

30-3888.  Delegation of investment and management functions.(a) A trustee may delegate investment and management functions that a prudent trustee of comparable skills could properly delegate under the circumstances. The trustee shall exercise reasonable care, skill, and caution in:(1) Selecting an agent;(2) Establishing the scope and terms of the delegation, consistent with the purposes and terms of the trust; and(3) Periodically reviewing the agent's actions in order to monitor the agent's performance and compliance with the terms of the delegation.(b) In performing a delegated function, an agent owes a duty to the trust to exercise reasonable care to comply with the terms of the delegation.(c) A trustee who complies with the requirements of subsection (a) of this section is not liable to the beneficiaries or to the trust for the decisions or actions of the agent to whom the function was delegated.(d) By accepting the delegation of a trust function from the trustee of a trust that is subject to the law of this state, an agent submits to the jurisdiction of the courts of this state.Source   Laws 1997, LB 54, § 10;   R.S.1943, (1997), § 8-2210;  Laws 2003, LB 130, § 88.
NE Code § 30-3889 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3889 - Language invoking standard of prudent investor rule.

30-3889.  Language invoking standard of prudent investor rule.The following terms or comparable language in the provisions of a trust, unless otherwise limited or modified, authorizes any investment or strategy permitted under the prudent investor rule set forth in sections 30-3883 to 30-3889: Investments permissible by law for investment of trust funds, legal investments, authorized investments, using the judgment and care under the circumstances then prevailing that persons of prudence, discretion, and intelligence exercise in the management of their own affairs, not in regard to speculation but in regard to the permanent disposition of their funds, considering the probable income as well as the probable safety of their capital, prudent man rule, prudent trustee rule, prudent person rule, and prudent investor rule.Source   Laws 1997, LB 54, § 11;   R.S.1943, (1997), § 8-2211;  Laws 2003, LB 130, § 89.
NE Code § 30-3890 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3890 - (UTC 1001) Remedies for breach of trust.

30-3890.  (UTC 1001) Remedies for breach of trust.(UTC 1001) (a) A violation by a trustee of a duty the trustee owes to a beneficiary is a breach of trust.(b) To remedy a breach of trust that has occurred or may occur, the court may:(1) compel the trustee to perform the trustee's duties;(2) enjoin the trustee from committing a breach of trust;(3) compel the trustee to redress a breach of trust by paying money, restoring property, or other means;(4) order a trustee to account;(5) appoint a special fiduciary to take possession of the trust property and administer the trust;(6) suspend the trustee;(7) remove the trustee as provided in section 30-3862;(8) reduce or deny compensation to the trustee;(9) subject to section 30-38,101, void an act of the trustee, impose a lien or a constructive trust on trust property, or trace trust property wrongfully disposed of and recover the property or its proceeds; or(10) order any other appropriate relief.Source Laws 2003, LB 130, § 90. Annotations  An accounting is ordinarily an appropriate remedy for a breach of a trustee’s duty to inform and report on a trust and its administration. In re Rolf H. Brennemann Testamentary Trust, 288 Neb. 389, 849 N.W.2d 458 (2014). A beneficiary of property left to a trust has standing to raise the trustee's self-dealing and to seek damages, an accounting, and a constructive trust. In re Estate of Hedke, 278 Neb. 727, 775 N.W.2d 13 (2009). When a trustee unduly delays distributions from a trust, the trustee has breached a duty of care owed to a beneficiary, and the violation of that duty is a breach of trust. In re Trust Created by Augustin, 27 Neb. App. 593, 935 N.W.2d 493 (2019). Under subsection (b) of this section, the court has various options available to remedy a violation by a trustee of a duty the trustee owes to a beneficiary. In re Louise v. Steinhoefel Trust, 22 Neb. App. 293, 854 N.W.2d 792 (2014).
NE Code § 30-3891 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3891 - (UTC 1002) Damages for breach of trust.

30-3891.  (UTC 1002) Damages for breach of trust.(UTC 1002) (a) A trustee who commits a breach of trust is liable to the beneficiaries affected for the greater of:(1) the amount required to restore the value of the trust property and trust distributions to what they would have been had the breach not occurred; or(2) the profit the trustee made by reason of the breach.(b) Except as otherwise provided in this subsection, if more than one trustee is liable to the beneficiaries for a breach of trust, a trustee is entitled to contribution from the other trustee or trustees. A trustee is not entitled to contribution if the trustee was substantially more at fault than another trustee or if the trustee committed the breach of trust in bad faith or with reckless indifference to the purposes of the trust or the interests of the beneficiaries. A trustee who received a benefit from the breach of trust is not entitled to contribution from another trustee to the extent of the benefit received.Source Laws 2003, LB 130, § 91. Annotations A beneficiary of property left to a trust has standing to raise the trustee's self-dealing and to seek damages, an accounting, and a constructive trust. In re Estate of Hedke, 278 Neb. 727, 775 N.W.2d 13 (2009).
NE Code § 30-3892 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3892 - (UTC 1003) Damages in absence of breach.

30-3892.  (UTC 1003) Damages in absence of breach.(UTC 1003) (a) A trustee is accountable to an affected beneficiary for any profit made by the trustee arising from the administration of the trust, even absent a breach of trust.(b) Absent a breach of trust, a trustee is not liable to a beneficiary for a loss or depreciation in the value of trust property or for not having made a profit.Source Laws 2003, LB 130, § 92.
NE Code § 30-3893 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3893 - (UTC 1004) Attorney's fees and costs.

30-3893.  (UTC 1004) Attorney's fees and costs.(UTC 1004) In a judicial proceeding involving the administration of a trust, the court, as justice and equity may require, may award costs and expenses, including reasonable attorney's fees, to any party, to be paid by another party or from the trust that is the subject of the controversy.Source Laws 2003, LB 130, § 93. Annotations  An accounting is ordinarily an appropriate remedy for a breach of trustee’s duty to inform and report on a trust and its administration. In re Rolf H. Brennemann Testamentary Trust, 288 Neb. 389, 849 N.W.2d 458 (2014). The county court had the authority to consider an award of attorney fees in an action for an accounting where the trustees had breached their duty to inform and report to the beneficiary on the trust and its administration, even if the breach was harmless. In re Rolf H. Brennemann Testamentary Trust, 288 Neb. 389, 849 N.W.2d 458 (2014). Whether attorney fees and expenses are awarded is addressed to the discretion of the trial court. In re Trust of Rosenberg, 273 Neb. 59, 727 N.W.2d 430 (2007).
NE Code § 30-3894 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3894 - (UTC 1005) Limitation of action against trustee.

30-3894.  (UTC 1005) Limitation of action against trustee.(UTC 1005) (a) A beneficiary may not commence a proceeding against a trustee for breach of trust more than one year after the date the beneficiary or a representative of the beneficiary was sent a report that adequately disclosed the existence of a potential claim for breach of trust and informed the beneficiary of the time allowed for commencing a proceeding.(b) A report adequately discloses the existence of a potential claim for breach of trust if it provides sufficient information so that the beneficiary or representative knows of the potential claim or should have inquired into its existence.(c) If subsection (a) of this section does not apply, a judicial proceeding by a beneficiary against a trustee for breach of trust must be commenced within four years after the first to occur of:(1) the removal, resignation, or death of the trustee;(2) the termination of the beneficiary's interest in the trust; or(3) the termination of the trust.Source Laws 2003, LB 130, § 94. Annotations The court viewed this section as recognition of the general rule that a cause of action for breach of trust, including a request for accounting, does not accrue until termination of the trust, with an exception if a potential claim for breach of trust is disclosed to the beneficiary. In re Charles C. Wells Revocable Trust, 15 Neb. App. 624, 734 N.W.2d 323 (2007).
NE Code § 30-3895 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3895 - (UTC 1006) Reliance on trust instrument.

30-3895.  (UTC 1006) Reliance on trust instrument.(UTC 1006) A trustee who acts in reasonable reliance on the terms of the trust as expressed in the trust instrument is not liable to a beneficiary for a breach of trust to the extent the breach resulted from the reliance.Source Laws 2003, LB 130, § 95.
NE Code § 30-3896 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3896 - (UTC 1007) Event affecting administration or distribution.

30-3896.  (UTC 1007) Event affecting administration or distribution.(UTC 1007) If the happening of an event, including marriage, divorce, performance of educational requirements, or death, affects the administration or distribution of a trust, a trustee who has exercised reasonable care to ascertain the happening of the event is not liable for a loss resulting from the trustee's lack of knowledge.Source Laws 2003, LB 130, § 96.
NE Code § 30-3897 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3897 - (UTC 1008) Exculpation of trustee.

30-3897.  (UTC 1008) Exculpation of trustee.(UTC 1008) (a) A term of a trust relieving a trustee of liability for breach of trust is unenforceable to the extent that it:(1) relieves the trustee of liability for breach of trust committed in bad faith or with reckless indifference to the purposes of the trust or the interests of the beneficiaries; or(2) was inserted as the result of an abuse by the trustee of a fiduciary or confidential relationship to the settlor.(b) An exculpatory term drafted or caused to be drafted by the trustee is invalid as an abuse of a fiduciary or confidential relationship unless the trustee proves that the exculpatory term is fair under the circumstances and that its existence and contents were adequately communicated to the settlor.Source Laws 2003, LB 130, § 97. Annotations  An exculpatory clause in a trust agreement is invalid where the attorney who drafted the trust agreement never met with the settlor or explained the terms of the trust and the respective duties of each party. Rafert v. Meyer, 290 Neb. 219, 859 N.W.2d 332 (2015). The beneficiaries alleged sufficient facts for a court to find that the trustee acted in bad faith or reckless indifference to the purposes of the trust or the interests of the beneficiaries by providing a false address to the insurers of life insurance policies, which were the sole trust property. Rafert v. Meyer, 290 Neb. 219, 859 N.W.2d 332 (2015).
NE Code § 30-3898 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3898 - (UTC 1009) Beneficiary's consent, release, or ratification.

30-3898.  (UTC 1009) Beneficiary's consent, release, or ratification.(UTC 1009) A trustee is not liable to a beneficiary for breach of trust if the beneficiary consented to the conduct constituting the breach, released the trustee from liability for the breach, or ratified the transaction constituting the breach, unless:(1) the consent, release, or ratification of the beneficiary was induced by improper conduct of the trustee; or(2) at the time of the consent, release, or ratification, the beneficiary did not know of the beneficiary's rights or of the material facts relating to the breach.Source Laws 2003, LB 130, § 98.
NE Code § 30-3899 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-3899 - (UTC 1010) Limitation on personal liability of trustee.

30-3899.  (UTC 1010) Limitation on personal liability of trustee.(UTC 1010) (a) Except as otherwise provided in the contract, a trustee is not personally liable on a contract properly entered into in the trustee's fiduciary capacity in the course of administering the trust if the trustee in the contract disclosed the fiduciary capacity.(b) A trustee is personally liable for torts committed in the course of administering a trust, or for obligations arising from ownership or control of trust property, including liability for violation of environmental law, only if the trustee is personally at fault.(c) A claim based on a contract entered into by a trustee in the trustee's fiduciary capacity, on an obligation arising from ownership or control of trust property, or on a tort committed in the course of administering a trust, may be asserted in a judicial proceeding against the trustee in the trustee's fiduciary capacity, whether or not the trustee is personally liable for the claim.Source Laws 2003, LB 130, § 99.
NE Code § 30-38,100 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-38,100 - (UTC 1011) Interest as general partner.

30-38,100.  (UTC 1011) Interest as general partner.(UTC 1011) (a) Except as otherwise provided in subsection (c) of this section or unless personal liability is imposed in the contract, a trustee who holds an interest as a general partner in a general or limited partnership is not personally liable on a contract entered into by the partnership after the trust's acquisition of the interest if the fiduciary capacity was disclosed in the contract or in a statement previously filed pursuant to the Uniform Partnership Act of 1998 or the Nebraska Uniform Limited Partnership Act.(b) Except as otherwise provided in subsection (c) of this section, a trustee who holds an interest as a general partner is not personally liable for torts committed by the partnership or for obligations arising from ownership or control of the interest unless the trustee is personally at fault.(c) The immunity provided by this section does not apply if an interest in the partnership is held by the trustee in a capacity other than that of trustee or is held by the trustee's spouse or one or more of the trustee's descendants, siblings, or parents, or the spouse of any of them.(d) If the trustee of a revocable trust holds an interest as a general partner, the settlor is personally liable for contracts and other obligations of the partnership as if the settlor were a general partner.Source Laws 2003, LB 130, § 100. Cross References   Nebraska Uniform Limited Partnership Act, see section 67-296.  Uniform Partnership Act of 1998, see section 67-401.
NE Code § 30-38,101 (2021)
2021 Nebraska Revised Statutes|Chapter 30 - Decedents' Estates; Protection of Persons and Property|30-38,101 - (UTC 1012) Protection of person dealing with trustee.

30-38,101.  (UTC 1012) Protection of person dealing with trustee.(UTC 1012) (a) A person other than a beneficiary who in good faith assists a trustee, or who in good faith and for value deals with a trustee, without knowledge that the trustee is exceeding or improperly exercising the trustee's powers is protected from liability as if the trustee properly exercised the power.(b) A person other than a beneficiary who in good faith deals with a trustee is not required to inquire into the extent of the trustee's powers or the propriety of their exercise.(c) A person who in good faith delivers assets to a trustee need not ensure their proper application.(d) A person other than a beneficiary who in good faith assists a former trustee, or who in good faith and for value deals with a former trustee, without knowledge that the trusteeship has terminated is protected from liability as if the former trustee were still a trustee.(e) Comparable protective provisions of other laws relating to commercial transactions or transfer of securities by fiduciaries prevail over the protection provided by this section.Source Laws 2003, LB 130, § 101. Annotations The trial court did not err in dismissing claims for a constructive trust against a purchaser, because the purchaser dealt in good faith with the trustees and had no reason to believe they participated in a breach of trust. Junker v. Carlson, 300 Neb. 423, 915 N.W.2d 542 (2018).