reglab/statecodes huggingface dataset:
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499cc. - Noncharitable trust without ascertainable beneficiary.

Except as otherwise provided in the general statutes, the following rules apply to a trust created pursuant to this section:
(1) A trust may be created for a noncharitable purpose without a definite or definitely ascertainable beneficiary or for a noncharitable but otherwise valid purpose to be selected by the trustee. The trust may not be enforced for more than ninety years. The ninety-year period specified in this subdivision applies only to trusts that become irrevocable on or after January 1, 2020.
(2) A trust authorized by this section may be enforced by a person appointed in the terms of the trust or, if no person is appointed, by a person appointed by the court.
(3) Property of a trust authorized by this section may be applied only to its intended use, except to the extent the court determines that the value of the trust property exceeds the amount required for the intended use. Except as otherwise provided in the terms of the trust, property not required for the intended use shall be distributed to (A) the settlor, if then living; or (B) if the settlor is not living, to the settlor's successors in interest.
(P.A. 19-137, S. 29.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499ccc. - Impartiality.

If a trust has two or more beneficiaries, the trustee shall act impartially in investing, managing and distributing the trust property, giving due regard to the beneficiaries' respective interests.
(P.A. 19-137, S. 55.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499d. - Knowledge.

(a) Subject to subsection (b) of this section, for the purposes of sections 45a-499a to 45a-500s, inclusive, a person has knowledge of a fact if the person (1) has actual knowledge of the fact; (2) has received a notice or notification of the fact; or (3) from all the facts and circumstances known to the person at the time in question, has reason to know the fact.
(b) An organization that conducts activities through employees has notice or knowledge of a fact involving a trust only from the time the information was received by an employee having responsibility to act for the trust, or from the time the information would have been brought to the employee's attention if the organization had exercised reasonable diligence. An organization exercises reasonable diligence if it maintains reasonable routines for communicating significant information to the employee having responsibility to act for the trust and there is reasonable compliance with the routines. Reasonable diligence does not require an employee of the organization to communicate information unless the communication is part of the individual's regular duties or the individual knows a matter involving the trust would be materially affected by the information.
(P.A. 19-137, S. 4.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499dd. - Modification or termination of trust; proceedings for approval or disapproval.

(a) In addition to the methods of termination prescribed by sections 45a-499ee, 45a-499ff and 45a-499ii, a noncharitable trust terminates to the extent the trust is revoked or expires pursuant to its terms.
(b) A charitable trust may be terminated only in accordance with the provisions of section 45a-499gg, 45a-499hh or 45a-520.
(c) A proceeding to approve or disapprove a proposed modification or termination of a trust under sections 45a-499ee to 45a-499kk, inclusive, or trust combination or division under section 45a-499
ll
may be commenced by a trustee or beneficiary. The settlor of a charitable trust or a person designated by the settlor who would not otherwise have standing may maintain a proceeding to modify the trust under section 45a-499gg or 45a-499hh if the trust instrument expressly grants the settlor or the person the right to do so.
(d) The trustee is a necessary party in any proceeding under sections 45a-499ee to 45a-499
ll
, inclusive. The trustee may appeal any order, denial or decree under sections 45a-499ee to 45a-499
ll
, inclusive.
(P.A. 19-137, S. 30.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499ddd. - Prudent administration.

A trustee shall administer the trust as a prudent person would, by considering the purposes, terms, distributional requirements and other circumstances of the trust. In satisfying this standard, the trustee shall exercise reasonable care, skill and caution.
(P.A. 19-137, S. 56.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499e. - Default and mandatory rules.

(a) Except as provided in the terms of the trust, sections 45a-499a to 45a-500s, inclusive, govern the duties and powers of a trustee, relations among trustees and the rights and interests of a beneficiary.
(b) The terms of a trust prevail over each provision of sections 45a-499a to 45a-500s, inclusive, except: (1) The requirements for creating a trust; (2) the duty of a trustee to act in good faith and in accordance with the terms and purposes of the trust; (3) the requirement of section 45a-499y that a trust have a purpose that is lawful and not contrary to public policy; (4) the power of the court to modify or terminate a trust under sections 45a-499ee to 45a-499kk, inclusive; (5) the power of the court under section 45a-499ss to require, dispense with, modify or terminate a bond; (6) the power of the court under section 45a-499yy to adjust a trustee's compensation specified in the terms of the trust that is unreasonably low or high; (7) the duty under subdivisions (2) and (3) of subsection (b) of section 45a-499kkk to notify each qualified beneficiary of an irrevocable trust who has attained twenty-five years of age, or the designated representative of the qualified beneficiary, if any, of the existence of the trust, of the identity of the trustee, and of the right of the qualified beneficiary to request a trustee's report; (8) the duty under subsections (a) and (c) of section 45a-499kkk to respond to the request of a qualified beneficiary of an irrevocable trust or the designated representative of the qualified beneficiary, if any, for a trustee's report and other information reasonably related to the administration of a trust; (9) the effect of an exculpatory term under section 45a-499uuu; (10) the rights under sections 45a-499www to 45a-499zzz, inclusive, of a person other than a trustee or beneficiary; (11) periods of limitation for commencing a judicial proceeding; (12) the power of the court to take the action and exercise the jurisdiction necessary in the interests of justice; (13) the jurisdiction of the court as provided in sections 45a-499o and 45a-499p; and (14) the provisions of sections 45a-499a to 45a-500d, inclusive, dealing with judicial supervision of testamentary trusts.
(P.A. 19-137, S. 5.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499ee. - Modification or termination of noncharitable irrevocable trust by consent.

(a) If the court finds that the settlor, the trustee and all beneficiaries consent to the modification or termination of a noncharitable irrevocable trust, the court may approve the modification or termination even if the modification or termination is inconsistent with a material purpose of the trust. A settlor's power to consent to a trust's modification or termination may be exercised by (1) an agent under a power of attorney only to the extent expressly authorized by the power of attorney or the terms of the trust; or (2) the settlor's conservator with the approval of the court supervising the conservatorship. This subsection does not apply to irrevocable trusts created before, or revocable trusts that become irrevocable before, January 1, 2020.
(b) A noncharitable irrevocable trust may be (1) terminated upon consent of all of the beneficiaries if the court concludes that continuance of the trust is not necessary to achieve any material purpose of the trust; and (2) modified upon consent of all of the beneficiaries if the court concludes that modification is not inconsistent with a material purpose of the trust.
(c) A spendthrift provision in the terms of the trust is not presumed to constitute a material purpose of the trust.
(d) Upon termination of a trust under subsection (a) or (b) of this section, the trustee shall distribute the trust property as agreed by the beneficiaries and approved by the court.
(e) If not all of the beneficiaries consent to a proposed modification or termination of the trust under subsection (a) or (b) of this section, the modification or termination may be approved by the court if the court is satisfied that:
(1) If all of the beneficiaries had consented, the trust could have been modified or terminated under this section; and
(2) The interests of a beneficiary who does not consent will be adequately protected.
(f) Notwithstanding the provisions of this section, the court may not terminate an irrevocable trust established pursuant to 42 USC 1396p(d)(4)(A) or (C), as amended from time to time. The court may approve a proposed modification of the terms of such trust to ensure compliance with the requirements of federal law or to modify any individual's contingent beneficial interest that is available only after repayment to this state or another state for (1) medical assistance provided; and (2) all claims for which this state would have claims against the estate of the deceased beneficiary that have not previously been paid or reimbursed.
(P.A. 19-137, S. 31.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499eee. - Delegation by trustee.

(a) A trustee may delegate duties and powers that a prudent trustee of comparable skills could properly delegate to an agent under the circumstances. The trustee shall exercise reasonable care, skill and caution in:
(1) Selecting an agent for the delegation;
(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 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 subsection (a) of this section is not liable to the beneficiaries or to the trust for an action of the agent to whom the function was delegated.
(d) By accepting a delegation of powers or duties 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.
(P.A. 19-137, S. 57.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499f. - Common law of trusts; principles of equity.

The common law of trusts and principles of equity supplement sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, except to the extent modified by sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, or another provision of the general statutes. The provisions of sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, expressly applying to charitable trusts apply only to supplement Connecticut common law of charitable trusts. No provision in sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, or this title shall be applied or construed to alter or diminish any charitable interest or purpose or any condition or restriction related to a charitable interest or purpose.
(P.A. 19-137, S. 6.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499ff. - Modification or termination because of unanticipated circumstances or inability to administer trust effectively.

(a) The court may modify the administrative or dispositive terms of a trust, subject to sections 45a-499gg and 45a-499hh, or terminate a noncharitable trust if, because of circumstances not anticipated by the settlor, modification or termination will further the purposes of the trust. To the extent practicable, the modification shall be made in accordance with the settlor's probable intention.
(b) The court may modify the administrative terms of a trust if continuation of the trust on its existing terms would be impracticable or wasteful or impair the trust's administration.
(c) Upon termination of a trust under this section, the trustee shall distribute the trust property in a manner consistent with the purposes of the trust as directed by the court.
(d) In this section, “circumstances not anticipated by the settlor” does not include a change in the corporate identity of a trustee.
(e) Notwithstanding the provisions of this section, the court may not terminate an irrevocable trust established pursuant to 42 USC 1396p(d)(4)(A) or (C), as amended from time to time. The court may modify the terms of such a trust to ensure compliance with the requirements of federal law or to modify any individual's contingent beneficial interest that is available only after repayment to this state or another state for (1) medical assistance provided; and (2) all claims for which this state would have claims against the estate of the deceased beneficiary that have not previously been paid or reimbursed.
(P.A. 19-137, S. 32.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499fff. - Creditor's claims against settlor.

The settlor of an irrevocable trust shall not be deemed to have a beneficial interest in such trust merely because the trustee is authorized under the trust instrument or any other provision of law to (1) pay or reimburse the settlor for any tax on trust income or trust principal that is payable by the settlor under the law imposing such tax; or (2) pay any such tax directly to the taxing authorities. No creditor of the settlor of an irrevocable trust shall be entitled to reach any trust property based on the discretionary powers described in this section.
(P.A. 19-137, S. 58.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499g. - Governing law.

The meaning and effect of the terms of a trust are determined by: (1) The law of the jurisdiction designated in the terms of the trust, unless the designation of the jurisdiction's law is contrary to a strong public policy of the jurisdiction having the most significant relationship to the matter at issue; or (2) in the absence of a controlling designation in the terms of the trust, the law of the jurisdiction having the most significant relationship to the matter at issue.
(P.A. 19-137, S. 7.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499gg. - Cy pres.

Except as otherwise provided in section 45a-499hh, if a particular charitable purpose becomes unlawful, impracticable, impossible to achieve or wasteful: (1) The trust does not fail, in whole or in part; (2) the trust property does not revert to the settlor or the settlor's successors in interest; and (3) the court may apply cy pres to modify or terminate the trust, subject to section 45a-520, by directing that the trust property be applied or distributed, in whole or in part, in a manner consistent with the settlor's charitable purposes.
(P.A. 19-137, S. 33; P.A. 21-39, S. 4.)
History: P.A. 19-137 effective January 1, 2020; P.A. 21-39 amended Subdiv. (3) to add “subject to section 45a-520,”, effective January 1, 2022.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499ggg. - Control and protection of trust property.

A trustee shall take reasonable steps to take control of and protect the trust property.
(P.A. 19-137, S. 59.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499h. - Principal place of administration.

(a) Without precluding other means for establishing a sufficient connection with the designated jurisdiction, terms of a trust designating the principal place of administration 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.
(b) A trustee is under a continuing duty to administer the trust at a place appropriate to its purposes, its administration and the interests of the beneficiaries.
(c) Without precluding the right of the court to order, approve or disapprove a transfer, and except as set forth in subsection (e) of this section, in furtherance of the duty prescribed in subsection (b) of this section, a trustee may transfer the trust's principal place of administration to another state or to a jurisdiction outside of the United States.
(d) A change in the principal place of administration of a trust from this state to another jurisdiction does not, by itself, deprive the courts of this state of jurisdiction over the trust.
(e) The trustee may not transfer the principal place of administration of a charitable trust to a jurisdiction outside of the United States. The trustee of a testamentary trust may not transfer the principal place of administration without approval of the Probate Court having jurisdiction over the testamentary trust.
(f) The trustee shall notify the qualified beneficiaries of a proposed transfer of a trust's principal place of administration not less than sixty days prior to the date of initiating the transfer. The notice of proposed transfer shall include:
(1) The name of the jurisdiction to which the principal place of administration is to be transferred;
(2) The address and telephone number at the new location at which the trustee can be contacted;
(3) An explanation of the reason for the proposed transfer; and
(4) The date on which the proposed transfer is anticipated to occur.
(g) In connection with a transfer of the trust's principal place of administration, the trustee may transfer some or all of the trust property to a successor trustee designated in the terms of the trust or appointed pursuant to section 45a-499uu.
(P.A. 19-137, S. 8.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499hh. - Limitation on court authority to apply cy pres.

A provision in the terms of a charitable trust that would result in distribution of the trust property to a noncharitable beneficiary prevails over the power of the court under section 45a-499gg to apply cy pres to modify or terminate the trust only if, when the provision takes effect: (1) Except as provided in section 45a-505, the trust property is to revert to the settlor and the settlor is living; or (2) fewer than twenty-one years have elapsed since the date of the trust's creation.
(P.A. 19-137, S. 34.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499hhh. - Recordkeeping and identification of trust property.

(a) A trustee shall keep adequate records of the administration of the trust.
(b) A trustee shall keep trust property separate from the trustee's own property.
(c) Except as provided in subsection (d) of this section, a trustee shall cause the trust property to be designated so that the interest of the trust, to the extent feasible, appears in records maintained by a party other than a trustee or beneficiary.
(d) If the trustee maintains records clearly indicating the respective interests, a trustee may invest as a whole the property of two or more separate trusts.
(P.A. 19-137, S. 60.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499i. - Methods and waiver of notice.

(a) Notice to a person under sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, or the sending of a document to a person under sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, shall be accomplished in a manner reasonably suitable under the circumstances and likely to result in receipt of the notice or document. Permissible methods of notice or for sending a document include first-class mail, personal delivery, delivery to the person's last known place of residence or place of business, or, if the person has consented in advance to receive notices or documents by electronic message, a properly directed electronic message.
(b) Notice otherwise required under sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, or a document otherwise required to be sent under sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, need not be provided to a person whose identity or location is unknown to and not reasonably ascertainable by the trustee.
(c) Notice under sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, or the sending of a document under sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, may be waived by the person to be notified or to be sent the document.
(d) Notice of a judicial proceeding shall be given as provided in the applicable rules of court.
(P.A. 19-137, S. 9.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499ii. - Modification or termination of uneconomic trust.

(a) After thirty days' notice to the qualified beneficiaries and such other beneficiaries as the trustee deems reasonable, the trustee of a noncharitable inter vivos trust consisting of trust property having a total value less than two hundred thousand dollars may terminate the trust if the trustee concludes that the value of the trust property is insufficient to justify the cost of administration. The provisions of this subsection shall not apply to a trust established pursuant to 42 USC 1396p(d)(4)(A) or (C), as amended from time to time.
(b) The court may modify or terminate a noncharitable testamentary or inter vivos trust or remove the trustee of the trust and appoint a different trustee if it determines that the value of the trust property is insufficient to justify the cost of administration relative to the material purposes of the trust. Notwithstanding the provisions of this subsection, the court may not terminate a testamentary or inter vivos trust established pursuant to 42 USC 1396p(d)(4)(A) or (C), as amended from time to time. The court may only modify a trust established pursuant to 42 USC 1396p(d)(4)(A) or (C), as amended from time to time to ensure compliance with the requirements of federal law or to modify any individual's contingent beneficial interest that is available only after repayment to this state or another state for (1) medical assistance provided; and (2) all claims for which this state would have claims against the estate of the deceased beneficiary that have not previously been paid or reimbursed. The provisions of this subsection providing for repayment of medical assistance to the state for trusts established under 42 USC 1396p(d)(4)(A) or (C), as amended from time to time, are presumed to be a material purpose of the trust.
(c) Upon termination of a trust under this section, the trustee shall distribute the trust property: (1) In a manner consistent with the purposes of the trust; or (2) if the termination is approved by the court, as directed by the court after considering the material purposes of the trust.
(d) The provisions of this section do not apply to an easement for conservation or preservation.
(P.A. 19-137, S. 35; P.A. 21-40, S. 45.)
History: P.A. 19-137 effective January 1, 2020; P.A. 21-40 made a technical change in Subsec. (b).
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499iii. - Enforcement and defense of claims.

A trustee shall take reasonable steps to enforce claims of the trust and to defend claims against the trust.
(P.A. 19-137, S. 61.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499j. - Others treated as qualified beneficiaries.

(a) Whenever notice to qualified beneficiaries of a trust is required under sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, the trustee shall also give notice to any beneficiary who sent the trustee a request for notice. The trustee may send notice to a designated representative who is qualified to represent a beneficiary under section 45a-499u in lieu of sending notice to a beneficiary.
(b) A charitable organization expressly designated to receive distributions under the terms of a charitable trust has the rights of a qualified beneficiary under sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, if the charitable organization, on the date the charitable organization's qualification is being determined: (1) Is a distributee or permissible distributee of trust income or principal; (2) would be a distributee or permissible distributee of trust income or principal upon termination of the interests of other distributees or permissible distributees then receiving or eligible to receive distributions; or (3) would be a distributee or permissible distributee of trust income or principal if the trust terminated on such date.
(c) The Attorney General has the rights of a qualified beneficiary with respect to a charitable trust if (1) the trust's principal place of administration is in this state; or (2) either the primary charitable beneficiary or the intended charitable benefit is located in this state.
(d) A person appointed to enforce a trust created for (1) the care of an animal under section 45a-489a, or (2) another noncharitable purpose as provided in section 45a-499cc, has the rights of a qualified beneficiary under sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive.
(e) A charitable organization shall be granted the rights of a qualified beneficiary under this section only if its interest in a charitable trust is not otherwise subject to any power of appointment, removal or any other power of termination on the date that its qualification is otherwise determined under this section.
(P.A. 19-137, S. 10; P.A. 21-39, S. 2; 21-40, S. 44.)
History: P.A. 19-137 effective January 1, 2020; P.A. 21-39 amended Subsec. (a) to delete former Subdiv. (1) re trustee to give notice to representative designated under Sec. 45a-499u and former Subdiv. (2) designator, and add provision authorizing trustee to send notice to designated representative, effective January 1, 2022; P.A. 21-40 made a technical change in Subsec. (c).
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499jj. - Reformation of noncharitable trust to correct mistakes.

The court may reform the terms of a noncharitable trust, even if unambiguous, to conform the terms to the settlor's intention if it is proved by clear and convincing evidence what the settlor's intention was and that the terms of the trust were affected by a mistake of fact or law, whether in expression or inducement.
(P.A. 19-137, S. 36.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499jjj. - Collecting trust property.

A trustee shall take reasonable steps to compel a former trustee or other person to deliver trust property to the trustee and to redress a breach of trust known to the trustee to have been committed by a former trustee.
(P.A. 19-137, S. 62.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499k. - Nonjudicial settlement agreements.

(a) For the purposes of this section, “interested persons” means persons whose consent would be required in order to achieve a binding settlement were the settlement to be approved by the court.
(b) Except as provided in subsections (c) and (e) of this section, interested persons may enter into a binding, nonjudicial settlement agreement with respect to any matter involving an inter vivos trust.
(c) A nonjudicial settlement agreement is valid only to the extent it does not violate a material purpose of the trust and includes terms and conditions that could be properly approved by the court under sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive, or other applicable law.
(d) Matters that may be resolved by a nonjudicial settlement agreement include: (1) The interpretation or construction of the terms of the trust; (2) the approval of a trustee's report or accounting; (3) direction to a trustee to refrain from performing a particular act or the grant to a trustee of any necessary or desirable power; (4) the resignation or appointment of a trustee and the determination of a trustee's compensation; (5) transfer of a trust's principal place of administration; and (6) liability of a trustee for an action relating to the trust.
(e) A nonjudicial settlement agreement may not modify or terminate an irrevocable trust. Such a modification or termination may be accomplished only under the provisions of sections 45a-499dd to 45a-499kk, inclusive.
(f) An interested person may request the court to approve a nonjudicial settlement agreement to determine whether the representation provided pursuant to sections 45a-499q to 45a-499u, inclusive, was adequate and to determine whether the agreement contains terms and conditions the court could have properly approved.
(P.A. 19-137, S. 11.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499kk. - Modification to achieve settlor's tax objectives.

To achieve the settlor's tax objectives, the court may modify the terms of a trust in a manner that is not contrary to the settlor's probable intention. The court may provide that the modification has retroactive effect.
(P.A. 19-137, S. 37.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499l. - Insurable interest of trustee.

A trustee has an insurable interest in the life of an individual insured under a life insurance policy that is owned by the trustee or that designates the trust itself as the owner if, on the date the policy is issued:
(1) The insured is: (A) A settlor of the trust; or (B) an individual in whom a settlor of the trust has, or would have had if living at the time the policy was issued, an insurable interest; and
(2) The life insurance proceeds are primarily for the benefit of one or more trust beneficiaries who have: (A) An insurable interest in the life of the insured; or (B) a substantial interest engendered by love and affection in the continuation of the life of the insured and, if not already included under subdivision (1) of this section, who are: (i) Related within the third degree or closer, as measured by the law of this state for determining degrees of relation, either by blood or law, to the insured; or (ii) stepchildren of the insured.
(P.A. 19-137, S. 12.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499ll. - Combination and division of trusts.

(a) After thirty days' notice to the qualified beneficiaries, the trustee of an inter vivos trust may combine two or more trusts into a single trust or divide a trust into two or more separate trusts, if the result does not impair rights of a beneficiary or adversely affect achievement of the purposes of the trust.
(b) The trustee of a testamentary trust, with court approval, may combine the trust with another trust or divide the trust into two or more separate trusts if the result does not impair rights of a beneficiary or adversely affect achievement of the purposes of the trust.
(P.A. 19-137, S. 38.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499lll. - Discretionary powers; tax savings.

(a) Notwithstanding the breadth of discretion granted to a trustee in the terms of the trust, including the use of terms such 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, settlor's intent and the interests of the beneficiaries.
(b) Subject to subsection (d) of this section, and unless the terms of the trust expressly indicate that a provision in this subsection does not apply:
(1) A person, other than a settlor, who is a beneficiary and trustee of a trust that confers on the trustee a power to make discretionary distributions to or for the trustee's personal benefit, may exercise the power only in accordance with an ascertainable standard relating to the trustee's individual health, education, support or maintenance within the meaning of Section 2041(b)(1)(A) or 2514(c)(1) of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as amended from time to time; and
(2) 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.
(c) A power to make discretionary distributions, the exercise of which is limited or prohibited by subsection (b) of this section, may be exercised by a majority of the remaining trustees whose exercise of such power is not so limited or prohibited. If the exercise of the power by all trustees is so limited or prohibited, the court may appoint a special fiduciary with authority to exercise the power.
(d) Subsection (b) of this section 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 described in Section 2056(b)(5) or 2523(e) of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as amended from time to time, was previously allowed; (2) a 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 said Internal Revenue Code.
(P.A. 19-137, S. 64.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499m. - Role of court in administration of trust.

(a) A testamentary trust is subject to continuing judicial supervision.
(b) An inter vivos trust is not subject to continuing judicial supervision.
(P.A. 19-137, S. 13.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499mm. - Personal obligations of trustee.

Trust property is not subject to personal obligations of the trustee, even if the trustee becomes insolvent or bankrupt.
(P.A. 19-137, S. 39.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499mmm. - 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 power conferred by sections 45a-487j to 45a-487t, inclusive, and 45a-499a to 45a-500s, inclusive.
(b) The exercise of a power is subject to the fiduciary duties prescribed by sections 45a-499aaa to 45a-499ooo, inclusive.
(P.A. 19-137, S. 65.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499n. - Jurisdiction over trustee and beneficiary.

(a) If a trustee accepts trusteeship of a trust having its principal place of administration in this state or moves the principal place of administration to this state, the trustee submits personally to the jurisdiction of the courts of this state regarding any matter involving the trust.
(b) With respect to their interests in the trust, the beneficiaries of a trust having its principal place of administration in this state are subject to the jurisdiction of the courts of this state regarding any matter involving the trust. If a beneficiary accepts a distribution from such a trust, the beneficiary submits personally to the jurisdiction of the courts of this state regarding any matter involving the trust.
(c) This section shall not preclude other methods of obtaining jurisdiction over a trustee, beneficiary or other person receiving property from the trust.
(d) Notwithstanding the provisions of subsections (a) to (c), inclusive, of this section, the courts of this state have jurisdiction over the trustee of a charitable trust if either the primary charitable beneficiary or the intended charitable benefit is located in this state.
(P.A. 19-137, S. 14.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499nn. - Limitations on beneficiary's creditor to attach or compel distribution of property.

(a) For all purposes under this section and section 45a-499mm, a creditor of a beneficiary, other than a creditor of the settlor if the settlor is a beneficiary of the trust, may not attach or compel a distribution of property that is subject to:
(1) A power of withdrawal held by the beneficiary if the value of the property subject to the power does not exceed the greater of the amount specified in Section 2041(b)(2) or 2514(e) of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as amended from time to time, and the regulations thereunder, or Section 2503(b) of said Internal Revenue Code and the regulations thereunder, in each case as in effect on January 1, 2020;
(2) A power, whether mandatory or discretionary, held by the trustee of the trust, including a power held by the beneficiary as the sole trustee or a cotrustee of the trust, to make distributions to or for the benefit of the beneficiary, if the power is exercisable by the trustee only in accordance with an ascertainable standard relating to such beneficiary's individual health, education, support or maintenance within the meaning of Section 2041(b)(1)(A) or 2514(c)(1) of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as amended from time to time, and the regulations thereunder, as in effect on January 1, 2020;
(3) A power, whether mandatory or discretionary, held by the trustee of the trust, including a power held by the beneficiary as the sole trustee or a cotrustee of the trust, to make distributions to or for the benefit of a person who the beneficiary has an obligation to support, if the power is exercisable by the trustee only in accordance with an ascertainable standard relating to such person's individual health, education, support or maintenance within the meaning of Section 2041(b)(1)(A) or 2514(c)(1) of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as amended from time to time, and the regulations thereunder, as in effect on January 1, 2020; or
(4) A power of withdrawal that has lapsed or been waived or released over all or any part of the trust property.
(b) A beneficiary holding a power set forth in subsection (a) of this section shall not, during the period the power may be exercised or upon the lapse, release or waiver of the power, be treated as a settlor of the trust.
(c) This section and section 45a-499mm do not apply to statutory trusts created pursuant to chapter 615 to the extent inconsistent with the terms of said chapter.
(P.A. 19-137, S. 40; P.A. 21-39, S. 5.)
History: P.A. 19-137 effective January 1, 2020; P.A. 21-39 added Subsec. (a)(4) re power of withdrawal, effective January 1, 2022.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499ooo. - Distribution of trust property upon termination.

(a) Upon termination or partial termination of a trust, the trustee may send to the qualified beneficiaries a proposal for distribution. If the proposal informed the beneficiary of the right to object and of the time allowed for objection, the right of any beneficiary, to whom the trustee has sent the proposal, to object to the proposed distribution terminates if the beneficiary does not notify the trustee of an objection not later than thirty days after the date on which the proposal was sent.
(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 provisions of this section do not apply to testamentary trusts.
(P.A. 19-137, S. 67.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499p. - Venue.

(a) Process for a proceeding in the Superior Court concerning a trust shall be returnable as provided in chapter 890.
(b) A petition to commence a proceeding in a Probate Court concerning a testamentary trust shall be filed with:
(1) The court that admitted the settlor's will to probate; or
(2) If the trust was established pursuant to a court order, the court that issued the order or the court to which the trust was subsequently transferred pursuant to rules of procedure adopted by the Supreme Court under section 45a-78.
(c) A petition to commence a proceeding in a Probate Court concerning an inter vivos trust shall be filed with the court for the probate district:
(1) Where the principal place of administration of the trust is located;
(2) Where a trustee or successor trustee resides or has a place of business;
(3) Where a trust asset is maintained or evidence of intangible property held by the trust is situated;
(4) Where the settlor resides;
(5) If the settlor is deceased, where the settlor's will was admitted to probate or that granted administration of the settlor's estate, or where the settlor resided immediately before death; or
(6) If a trust has no trustee, where a beneficiary resides or, if the beneficiary is not an individual, where the beneficiary has a place of business.
(P.A. 19-137, S. 16.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499pp. - Settlor's powers; powers of withdrawal.

(a) To the extent a trust is revocable by a settlor, a trustee may follow a direction of the settlor that is contrary to the terms of the trust. To the extent a trust is revocable by a settlor in conjunction with a person other than a trustee or person holding an adverse interest, the trustee may follow a direction from the settlor and the other person holding the power to revoke even if the direction is contrary to the terms of the trust.
(b) To the extent a trust is revocable and the settlor has capacity to revoke the trust, rights of the beneficiaries are subject to the control of, and the duties of the trustee are owed exclusively to, the settlor.
(c) During the period the power may be exercised, the holder of a power of withdrawal has the rights of a settlor of a revocable trust under this section to the extent of the property subject to the power.
(P.A. 19-137, S. 42.)
History: P.A. 19-137 effective January 1, 2020.
2023 Connecticut General Statutes › Title 45a - Probate Courts and Procedure › Chapter 802c - Trusts › Section 45a-499ppp. - Breach of trust.

A violation by a trustee of a duty the trustee owes to a beneficiary is a breach of trust.
(P.A. 19-137, S. 68.)
History: P.A. 19-137 effective January 1, 2020.