reglab/housing_qa huggingface dataset:
NM Stat § 45-7-603 (2021)
2021 New Mexico Statutes|Chapter 45 - Uniform Probate Code|Article 7 - Trust Administration|Part 6 - Uniform Prudent Investor Act|Section 45-7-603 - 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, interest 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 Uniform Prudent Investor Act [45-7-601 to 45-7-612 NMSA 1978]. F. A trustee who has special skills or expertise, or is named trustee in reliance upon the trustee's representation that the trustee has special skills or expertise, has a duty to use those special skills or expertise. History: 1978 Comp., § 45-7-603, enacted by Laws 1995, ch. 210, § 84. ANNOTATIONSEffective dates. — Laws 1995, ch. 210, § 94 made the Uniform Prudent Investor Act effective July 1, 1995.
NM Stat § 45-7-604 (2021)
2021 New Mexico Statutes|Chapter 45 - Uniform Probate Code|Article 7 - Trust Administration|Part 6 - Uniform Prudent Investor Act|Section 45-7-604 - 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. History: 1978 Comp., § 45-7-604, enacted by Laws 1995, ch. 210, § 85. ANNOTATIONSEffective dates. — Laws 1995, ch. 210, § 94 made the Uniform Prudent Investor Act effective July 1, 1995.
NM Stat § 45-7-605 (2021)
2021 New Mexico Statutes|Chapter 45 - Uniform Probate Code|Article 7 - Trust Administration|Part 6 - Uniform Prudent Investor Act|Section 45-7-605 - 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 Uniform Prudent Investor Act [45-7-601 to 45-7-612 NMSA 1978]. History: 1978 Comp., § 45-7-605, enacted by Laws 1995, ch. 210, § 86. ANNOTATIONSEffective dates. — Laws 1995, ch. 210, § 94 made the Uniform Prudent Investor Act effective July 1, 1995.
NM Stat § 45-7-606 (2021)
2021 New Mexico Statutes|Chapter 45 - Uniform Probate Code|Article 7 - Trust Administration|Part 6 - Uniform Prudent Investor Act|Section 45-7-606 - Loyalty.

A trustee shall invest and manage the trust assets solely in the interest of the beneficiaries. History: 1978 Comp., § 45-7-606, enacted by Laws 1995, ch. 210, § 87. ANNOTATIONSEffective dates. — Laws 1995, ch. 210, § 94 made the Uniform Prudent Investor Act effective July 1, 1995.
NM Stat § 45-7-607 (2021)
2021 New Mexico Statutes|Chapter 45 - Uniform Probate Code|Article 7 - Trust Administration|Part 6 - Uniform Prudent Investor Act|Section 45-7-607 - Impartiality.

If a trust has two or more beneficiaries, the trustee shall act impartially in investing and managing the trust assets, taking into account any differing interests of the beneficiaries. History: 1978 Comp., § 45-7-607, enacted by Laws 1995, ch. 210, § 88. ANNOTATIONSEffective dates. — Laws 1995, ch. 210, § 94 made the Uniform Prudent Investor Act effective July 1, 1995.
NM Stat § 45-7-608 (2021)
2021 New Mexico Statutes|Chapter 45 - Uniform Probate Code|Article 7 - Trust Administration|Part 6 - Uniform Prudent Investor Act|Section 45-7-608 - Investment costs.

In investing and managing trust assets, a trustee may only incur costs that are appropriate and reasonable in relation to the assets, the purposes of the trust and the skills of the trustee. History: 1978 Comp., § 45-7-608, enacted by Laws 1995, ch. 210, § 89. ANNOTATIONSEffective dates. — Laws 1995, ch. 210, § 94 made the Uniform Prudent Investor Act effective July 1, 1995.
NM Stat § 45-7-609 (2021)
2021 New Mexico Statutes|Chapter 45 - Uniform Probate Code|Article 7 - Trust Administration|Part 6 - Uniform Prudent Investor Act|Section 45-7-609 - 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. History: 1978 Comp., § 45-7-609, enacted by Laws 1995, ch. 210, § 90. ANNOTATIONSEffective dates. — Laws 1995, ch. 210, § 94 made the Uniform Prudent Investor Act effective July 1, 1995.
NM Stat § 45-7-610 (2021)
2021 New Mexico Statutes|Chapter 45 - Uniform Probate Code|Article 7 - Trust Administration|Part 6 - Uniform Prudent Investor Act|Section 45-7-610 - 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. History: 1978 Comp., § 45-7-610, enacted by Laws 1995, ch. 210, § 91. ANNOTATIONSEffective dates. — Laws 1995, ch. 210, § 94 made the Uniform Prudent Investor Act effective July 1, 1995.
NM Stat § 45-7-611 (2021)
2021 New Mexico Statutes|Chapter 45 - Uniform Probate Code|Article 7 - Trust Administration|Part 6 - Uniform Prudent Investor Act|Section 45-7-611 - Language invoking standard.

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 Uniform Prudent Investor Act [45-7-601 to 45-7-612 NMSA 1978]: "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". History: 1978 Comp., § 45-7-611, enacted by Laws 1995, ch. 210, § 92. ANNOTATIONSEffective dates. — Laws 1995, ch. 210, § 94 made the Uniform Prudent Investor Act effective July 1, 1995.
NM Stat § 45-7-612 (2021)
2021 New Mexico Statutes|Chapter 45 - Uniform Probate Code|Article 7 - Trust Administration|Part 6 - Uniform Prudent Investor Act|Section 45-7-612 - Application to existing trusts.

The Uniform Prudent Investor Act [45-7-601 to 45-7-612 NMSA 1978] applies to trusts existing on and created after its effective date. As applied to trusts existing on its effective date, the Uniform Prudent Investor Act governs only decisions or actions occurring after that date. History: 1978 Comp., § 45-7-612, enacted by Laws 1995, ch. 210, § 93. ANNOTATIONSEffective dates. — Laws 1995, ch. 210, § 94 made the Uniform Prudent Investor Act effective July 1, 1995.
NM Stat § 46-3A-101 (2021)
2021 New Mexico Statutes|Chapter 46 - Fiduciaries and Trusts|Article 3A - Uniform Principal and Income|Article 1 - DEFINITIONS AND FIDUCIARY DUTIES|Section 46-3A-101 - Short title.

Chapter 46, Article 3A NMSA 1978 may be cited as the "Uniform Principal and Income Act". History: Laws 2001, ch. 113, § 101; 2011, ch. 124, § 86. ANNOTATIONSThe 2011 amendment, effective January 1, 2012, changed the statutory reference to the act. Law reviews. — For article, "Intestate Succession and Wills Law: The New Probate Code," see 6 N.M. L. Rev. 25 (1975). For survey, "Article VII of the New Probate Code: In Pursuit of Uniform Trust Administration," see 6 N.M. L. Rev. 213 (1976). Am. Jur. 2d, A.L.R. and C.J.S. references. — Constitutionality of retrospective application of Uniform Principal and Income Act or other statutes relating to ascertainment of principal and income and apportionment of receipts and expenses among life tenants and remaindermen, 69 A.L.R.2d 1137. 90 C.J.S. Trusts § 355.
NM Stat § 46-3A-103 (2021)
2021 New Mexico Statutes|Chapter 46 - Fiduciaries and Trusts|Article 3A - Uniform Principal and Income|Article 1 - DEFINITIONS AND FIDUCIARY DUTIES|Section 46-3A-103 - Fiduciary duties; general principles.

(a) In allocating receipts and disbursements to or between principal and income, and with respect to any matter within the scope of Articles 2 [46-3A-201, 46-3A-202 NMSA 1978] and 3 [46-3A-301 to 46-3A-303 NMSA 1978], 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 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 Uniform Principal and Income Act; (3) shall administer a trust or estate in accordance with the 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 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 the power to adjust under Section 104(a) [46-3A-104 NMSA 1978] or a discretionary power of administration regarding a matter within the scope of the Uniform Principal and Income Act, whether granted by the terms of a trust, a will, or the 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 Uniform Principal and Income Act is presumed to be fair and reasonable to all of the beneficiaries. History: Laws 2001, ch. 113, § 103. ANNOTATIONSEffective dates. — Laws 2001, ch. 113, § 605 made the Uniform Principal and Income Act effective July 1, 2001. Duty to produce income. — It is the usual duty of trustees to cause a trust to produce income for the benefit of the trust. Loco Credit Union v. Reed, 1973-NMSC-122, 85 N.M. 729, 516 P.2d 1112. Am. Jur. 2d, A.L.R. and C.J.S. references. — Construction of specific provision of will or trust instrument giving executor or trustee power to determine what is income or what is principal, 27 A.L.R.2d 1323. Propriety of considering beneficiary's other means under trust provision authorizing invasion of principal for beneficiary's support, 41 A.L.R.3d 255. Validity, construction, and effect of provisions of charitable trust providing for accumulation of income, 6 A.L.R.4th 903. Payment or distribution under invalid instruction as breach of trustee's duty, 6 A.L.R.4th 1196.
NM Stat § 46-3A-106 (2021)
2021 New Mexico Statutes|Chapter 46 - Fiduciaries and Trusts|Article 3A - Uniform Principal and Income|Article 1 - DEFINITIONS AND FIDUCIARY DUTIES|Section 46-3A-106 - Administration of total return trust.

A. During the period that a trust is a total return trust, the trustee shall administer the trust in accordance with the provisions of this section unless otherwise expressly provided by the terms of the trust. B. The trustee shall invest the trust assets seeking a total return without regard to whether the return is from income or appreciation of principal. C. The trustee shall make income distributions in accordance with the governing instrument subject to the provisions of this section. D. The distribution percentage for any trust converted to a total return trust by a trustee in accordance with Subsection A of Section 46-3A-105 NMSA 1978 shall be four percent, unless a different percentage has been determined in an agreement made pursuant to Subsection B of Section 46-3A-105 NMSA 1978 or ordered by the court pursuant to Subsection C of Section 46-3A-105 NMSA 1978. E. The trustee shall pay to a beneficiary in the case of an underpayment within a reasonable time, and shall recover from a beneficiary in the case of an overpayment, either by repayment by the beneficiary or by withholding from future distributions to the beneficiary: (1) an amount equal to the difference between the amount properly payable and the amount actually paid; and (2) interest compounded annually at a rate per annum equal to the distribution percentage in the year or years during which the underpayment or overpayment occurs; provided that accrual of interest may not commence until the beginning of the trust year following the year in which the underpayment or overpayment occurs. F. As used in Sections 46-3A-105 through 46-3A-113 NMSA 1978: (1) "income" as the term appears in the governing instrument means the distribution amount; (2) "distribution amount" means the annual amount equal to the distribution percentage multiplied by the average net fair market value of the trust's assets; and (3) "average net fair market value of the trust's assets" means the net fair market value of the trust's assets averaged over the lesser of the three preceding years or the period during which the trust has been in existence. History: Laws 2005, ch. 329, § 4. ANNOTATIONSEffective dates. — Laws 2005, ch. 329, § 12 made the act effective July 1, 2005.
NM Stat § 46-3A-108 (2021)
2021 New Mexico Statutes|Chapter 46 - Fiduciaries and Trusts|Article 3A - Uniform Principal and Income|Article 1 - DEFINITIONS AND FIDUCIARY DUTIES|Section 46-3A-108 - Distribution of total return trust.

A. Expenses, taxes and other charges that would otherwise be deducted from income if the trust was not a total return trust may not be deducted from the distribution amount. B. Unless otherwise provided by the governing instrument, the distribution amount each year shall be deemed to be paid from the following sources for that year in the following order: (1) net income determined as if the trust were not a total return trust; (2) other ordinary income as determined for federal income tax purposes; (3) net realized short-term capital gains as determined for federal income tax purposes; (4) net realized long-term capital gains as determined for federal income tax purposes; (5) trust principal comprising assets for which there is a readily available market value; and (6) other trust principal. History: Laws 2005, ch. 329, § 6. ANNOTATIONSEffective dates. — Laws 2005, ch. 329, § 12 made the act effective July 1, 2005.
NM Stat § 46-3A-109 (2021)
2021 New Mexico Statutes|Chapter 46 - Fiduciaries and Trusts|Article 3A - Uniform Principal and Income|Article 1 - DEFINITIONS AND FIDUCIARY DUTIES|Section 46-3A-109 - Restrictions on distributions.

A. The distribution amount may not be less than the net income of the trust, determined without regard to the provisions of Sections 46-3A-105 through 46-3A-113 NMSA 1978, for a trust that was exempt, in whole or in part, from generation-skipping transfer tax on July 1, 2005 by reason of any effective date or transition rule. B. Conversion to a total return trust shall not affect any provisions in the governing instrument: (1) that directs or authorizes the trustee to distribute principal; (2) that directs or authorizes the trustee to distribute a fixed annuity or a fixed fraction of the value of trust assets; (3) that authorizes a beneficiary to withdraw a portion or all of the principal; or (4) that in any manner diminishes an amount permanently set aside for charitable purposes under the governing instrument unless both income and principal are set aside. History: Laws 2005, ch. 329, § 7. ANNOTATIONSEffective dates. — Laws 2005, ch. 329, § 12 made the act effective July 1, 2005.
NM Stat § 46-3A-110 (2021)
2021 New Mexico Statutes|Chapter 46 - Fiduciaries and Trusts|Article 3A - Uniform Principal and Income|Article 1 - DEFINITIONS AND FIDUCIARY DUTIES|Section 46-3A-110 - Limitations on conversion.

If a trustee is also a beneficiary of the trust and conversion or failure to convert would enhance or diminish the beneficial interest of that trustee, or if possession or exercise of the conversion power by a particular trustee alone would cause any individual to be treated as owner of a part of the trust for federal income tax purposes or cause a part of the trust to be included in the gross estate of any individual for federal estate tax purposes, then that trustee may not participate as a trustee in the exercise of the conversion power, except that: A. the trustee may petition the court under Subsection C of Section 46-3A-105 NMSA 1978 to order conversion in accordance with this section; and B. a co-trustee or co-trustees to whom this section does not apply may convert the trust to a total return trust in accordance with Sections 46-3A-105 and 46-3A-106 NMSA 1978. History: Laws 2005, ch. 329, § 8. ANNOTATIONSEffective dates. — Laws 2005, ch. 329, § 12 made the act effective July 1, 2005.
NM Stat § 46-3A-111 (2021)
2021 New Mexico Statutes|Chapter 46 - Fiduciaries and Trusts|Article 3A - Uniform Principal and Income|Article 1 - DEFINITIONS AND FIDUCIARY DUTIES|Section 46-3A-111 - Release.

A trustee may irrevocably release the power granted by the provisions of Sections 46-3A-105 through 46-3A-113 NMSA 1978 if the trustee reasonably believes the release is in the best interests of the trust and its beneficiaries. The release may be personal to the releasing trustee or it may apply generally to some or all subsequent trustees. The release may be for any specified period, including a period measured by the life of an individual. History: Laws 2005, ch. 329, § 9. ANNOTATIONSEffective dates. — Laws 2005, ch. 329, § 12 made the act effective July 1, 2005.
NM Stat § 46-3A-112 (2021)
2021 New Mexico Statutes|Chapter 46 - Fiduciaries and Trusts|Article 3A - Uniform Principal and Income|Article 1 - DEFINITIONS AND FIDUCIARY DUTIES|Section 46-3A-112 - Remedies.

A. A trustee who reasonably and in good faith takes any action or omits to take any action pursuant to Sections 46-3A-105 through 46-3A-113 NMSA 1978 is not liable to any person interested in the trust. B. If a trustee reasonably and in good faith takes or omits to take any action pursuant to Sections 46-3A-105 through 46-3A-113 NMSA 1978 and a person interested in the trust opposes the act or omission, in addition to any other remedy otherwise provided or available by law, the person may seek an order of the court directing the trustee to: (1) convert the trust to a total return trust; (2) reconvert from a total return trust; (3) change the distribution percentage; or (4) order any administrative procedures the court determines are necessary or helpful for the proper functioning of the trust. C. A claim for relief pursuant to Subsection B of this section that is not barred by adjudication, consent or limitation is nevertheless barred as to any beneficiary who has received a written notice fully disclosing the matter unless a proceeding to assert the claim is commenced within six months after receipt of the statement. History: Laws 2005, ch. 329, § 10. ANNOTATIONSEffective dates. — Laws 2005, ch. 329, § 12 made the act effective July 1, 2005.
NM Stat § 46-3A-113 (2021)
2021 New Mexico Statutes|Chapter 46 - Fiduciaries and Trusts|Article 3A - Uniform Principal and Income|Article 1 - DEFINITIONS AND FIDUCIARY DUTIES|Section 46-3A-113 - Applicability.

A. Sections 46-3A-105 through 46-3A-113 NMSA 1978 shall apply to trusts in existence on July 1, 2005 and to trusts created on or after that date. B. Sections 46-3A-105 through 46-3A-113 NMSA 1978 shall be construed to apply to the administration of a trust that is administered in New Mexico under New Mexico law or that is governed by New Mexico law with respect to the meaning and effect of its terms unless: (1) the trust is a trust described in Section 170(f)(2)(B), 664(d), 2702(a)(3) or 2702(b) of the federal Internal Revenue Code of 1986; (2) the governing instrument expressly prohibits the use of Sections 46-3A-105 through 46-3A-113 NMSA 1978 by specific reference to one or more provisions of those sections; or (3) the terms of a trust in existence on July 1, 2005 incorporate provisions that operate as a total return trust. The trustee or a beneficiary of such a trust may adopt provisions in Sections 46-3A-105 through 46-3A-113 NMSA 1978 that do not contradict provisions in the governing instrument. History: Laws 2005, ch. 329, § 11. ANNOTATIONSCross references. — For the federal Internal Revenue Code of 1986, see 26 U.S.C. § 1. Effective dates. — Laws 2005, ch. 329, § 12 made the act effective July 1, 2005.