reglab/statecodes huggingface dataset:
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 10 - Miscellaneous Provisions › Section 14.5-1006 - Applicability of Title

(a)    Except as otherwise provided in this title:
(1)    This title applies to all trusts created before, on, or after  January 1, 2015;
(2)    This title applies to all judicial proceedings concerning trusts commenced on or after  January 1, 2015;
(3)    This title does not apply to judicial proceedings concerning trusts commenced before  January 1, 2015;
(4)    A rule of construction or presumption provided in this title applies to trust instruments executed before  January 1,  2015, unless there is a clear indication of a contrary intent in the terms of the trust; and
(5)    An act done before  January 1, 2015, is not affected by this title.
(b)    If a right is acquired, extinguished, or barred on the expiration of a prescribed period that has commenced to run under another statute before  January 1, 2015, that statute continues to apply to the right even if the statute has been repealed or superseded.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1 - General Provisions › Section 15-103 - Securities Under Reorganization

(a)    Whenever securities are deposited or exchanged, or tendered for deposit or exchanged by a fiduciary under a reorganization agreement or plan of reorganization, a committee formulating, proposing, or carrying out a plan or soliciting deposits or exchanges under an agreement or plan, any depositary with or through which the deposit or exchange of securities may be made, solicited, requested or permitted, and a person to whom or to which securities are to be delivered pursuant to an agreement or a plan, may accept, receive, hold and ultimately dispose of the securities in accordance with the authorization or instructions of the fiduciary depositing or exchanging securities or tendering them for deposit or exchange under a reorganization agreement or plan of reorganization, without an obligation to inquire whether a fiduciary is authorized to make a deposit or exchange or is committing a breach of the obligation as fiduciary in so doing.
(b)    No committee, depositary, or ultimate recipient is liable in any way of any kind to a person for an action taken, suffered, or permitted with respect to securities in accordance with the authorization or instructions given by a fiduciary depositing or exchanging the securities or tendering the securities for deposit or exchange, unless the committee, depositary, or ultimate recipient has actual knowledge that a fiduciary is committing a breach of fiduciary trust in making the deposit or exchange, or has knowledge of facts that the action or conduct of the committee, depositary, or ultimate recipient amounts to bad faith.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1 - General Provisions › Section 15-104 - Fiduciary Authorized to Deposit Securities With Securities Clearing Corporation

(a)    (1)    Notwithstanding any other provision of law, a fiduciary holding securities in a fiduciary capacity, a bank or trust company holding securities as a custodian or agent, and a bank or trust company holding securities as custodian for a fiduciary, is authorized to deposit or arrange for the deposit of the securities in a securities clearing corporation, regardless of whether the depositor owns capital stock of the clearing corporation.
(2)    When securities are deposited in accordance with paragraph (1) of this subsection, certificates representing securities of the same class of the same issuer may be merged and held in bulk in the name of the nominee of the clearing corporation with any other securities deposited in the clearing corporation by a person regardless of the ownership of the securities, and certificates of small denomination may be merged into one or more certificates of larger denomination.
(3)    The records of the fiduciary and the records of the bank or trust company acting as custodian, as agent or as custodian for a fiduciary shall show at all times the name of the party for whose account the securities are deposited.
(4)    Title to the securities may be transferred by bookkeeping entry on the books of the clearing corporation without physical delivery of certificates representing the securities.
(b)    (1)    A bank or trust company depositing securities pursuant to this section is subject to the rules and regulations as, in the case of State chartered institutions, the Commissioner of Financial Regulation and, in the case of national banking associations, the Comptroller of the Currency may issue from time to time.
(2)    A bank or trust company acting as custodian for a fiduciary, on demand by the fiduciary, shall certify in writing to the fiduciary the securities deposited in accordance with this section by the bank or trust company in the clearing corporation for the account of the fiduciary.
(c)    A fiduciary, on demand by any party to a judicial proceeding for the settlement of the account of the fiduciary or on demand by the attorney for the party, shall certify in writing to the party the securities deposited by the fiduciary in the clearing corporation for its account as fiduciary.
(d)    This section applies whether the trust be created or the appointment made prior or subsequent to July 1, 1973.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1 - General Provisions › Section 15-105 - Agreement of Fiduciary and Surety for Deposit of Assets

(a)    A fiduciary, or party of whom a bond, undertaking or other obligation is required, may agree or arrange with a surety for a general or a special deposit for safekeeping of any money, assets and other property, for which the fiduciary is or may be responsible, with a bank, savings bank, safe deposit or trust company authorized by law to do business and situate in the county in which the fiduciary’s bond is filed.
(b)    A deposit shall be made in a manner as to prevent the withdrawal or alienation of money, assets, or other property, or any part of it, without the written consent of the surety, or an order of a court, made on notice to the surety as the court directs.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1 - General Provisions › Section 15-107 - Survival of Power When Right Given to One or More Fiduciaries

Whenever by will, deed, or other instrument, a power to sell, mortgage, lease or otherwise dispose of or deal with property shall be given to any one or more fiduciaries, the power, whether discretionary or otherwise, shall be construed to be appurtenant to the fiduciary office and shall pass to and be exercisable by any surviving or successor fiduciary, unless an intention to the contrary is expressly declared in the will, deed, or other instrument.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1 - General Provisions › Section 15-108 - Protection When Distribution Made in Conformity With Order of Court

(a)    A fiduciary making a distribution or delivery of any property, in conformity to a decree or order of court passed pursuant to the Maryland Rules, shall be protected from a claim in respect to the property by an absent or unknown beneficiary or life tenant proceeded against under the Maryland Rules, or the heirs, personal representatives, or assigns of an absent or unknown beneficiary or life tenant.
(b)    Nothing in this section limits a similar protection granted to fiduciaries by applicable laws in effect before the passage of the Maryland Rules.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1 - General Provisions › Section 15-110 - Enforcement of Order to Give Countersecurity

(a)    In addition to any other means of enforcing a court order, the court that has ordered a fiduciary to give countersecurity pursuant to the Maryland Rules may compel compliance with the court order by attachment and sequestration.
(b)    If the fiduciary fails to give countersecurity within the time fixed by the court, and is removed:
(1)    The register of wills may bring suit on the bond of the fiduciary to recover taxes and costs; and
(2)    If the register does not bring suit on the bond, and a new fiduciary is appointed, the new fiduciary may bring suit on the bond of the removed fiduciary.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1 - General Provisions › Section 15-111 - Resignation of Fiduciary

The discharge of a fiduciary who has resigned the fiduciary’s office pursuant to the Maryland Rules does not release the fiduciary, or sureties of the fiduciary, from liability to any of the cestui que trustent, or other persons, for acts, defaults, or omissions of duty occurring while the fiduciary was in office.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1 - General Provisions › Section 15-112 - Removal of Fiduciary

(a)    (1)    A court shall remove a fiduciary who has:
(i)    Willfully misrepresented material facts leading to the appointment of the fiduciary or to other action by the court in reference to the fiduciary estate;
(ii)    Willfully disregarded an order of court;
(iii)    Shown to be incapable, with or without fault to properly perform the duties of the office of fiduciary; or
(iv)    Breached the fiduciary duty of good faith or loyalty in the management of property of the fiduciary estate.
(2)    A court may remove a fiduciary who has:
(i)    Negligently failed to file a bond within the time required by rule or order of court;
(ii)    Negligently failed to obey an order of court; or
(iii)    Failed to perform any fiduciary duty, or to competently administer the fiduciary estate.
(b)    Procedures for the removal of a fiduciary shall be conducted by the court in accordance with the provisions of the Maryland Rules applying to a fiduciary.
(c)    The provisions of this section may not apply to personal representatives.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1 - General Provisions › Section 15-113 - Joint and Several Liability of Trust Company Affiliates

An entity that controls, is controlled by, or is under common control with a trust company shall be jointly and severally liable for claims against the trust company when the trust company is acting as a trustee of bond indentures or similar debt issuances, if the trust company:
(1)    May exercise trust or fiduciary powers in the State; and
(2)    Meets the qualifications under 12 U.S.C. § 1841(c)(2)(D).
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1 - General Provisions › Section 15-115 - Corporations That Act as Fiduciaries Not Liable as Sureties

A corporation that under the laws of this State may act as a fiduciary without bond or security other than its own obligation may not incur the liability of a surety upon a bond.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1 - General Provisions › Section 15-116 - Contract of Insurance on Life of Grantor

Notwithstanding any other provision of law, and except as otherwise provided in the governing instrument, the duties of a trustee regarding the acquisition, retention, or ownership of a contract of insurance on the life of the grantor of the trust, or on the lives of the grantor and the grantor’s spouse, children, or grandchildren, include a duty of loyalty and fair dealing, but do not include a duty to:
(1)    Determine whether any contract of life insurance in the trust is or remains a proper investment;
(2)    Diversify the investment; or
(3)    Exercise any policy options, rights, or privileges available under any contract of life insurance in the trust, including any right to borrow the cash value or reserve of the policy, acquire a paid-up policy, or convert to a different policy.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1A - Successor Corporate Fiduciaries › Section 15-1A-01 - Definitions

(a)    In this subtitle the following words have the meanings indicated.
(b)    “Bank” has the meaning stated in 12 U.S.C. § 1841(c).
(c)    “Bank holding company” has the meaning stated in 12 U.S.C. § 1841(a).
(d)    (1)    “Beneficiary” means a person who receives or is entitled as a matter of right to receive a current distribution of principal or income from a trust, estate, or fund with respect to which a substitution of a corporate fiduciary is made under this subtitle.
(2)    “Beneficiary” includes:
(i)    If the beneficiary is a minor, the beneficiary’s natural or legal guardian; or
(ii)    If the beneficiary is a disabled person, as defined in § 13-101 of this article, any person acting on behalf of the beneficiary under a guardianship, conservatorship, or committee.
(e)    “Capital requirement” means a provision in any court order, statute, regulation, or writing, including a will, trust, or similar document or instrument, that requires a fiduciary to have a specified minimum amount of capital or capital and surplus.
(f)    “Corporate fiduciary” means:
(1)    A bank;
(2)    A trust company; or
(3)    Any other corporate entity that is authorized to act as a fiduciary under the laws of this State.
(g)    “Fiduciary” includes:
(1)    A trustee;
(2)    An executor or executrix;
(3)    A personal representative;
(4)    A receiver;
(5)    A special administrator;
(6)    A guardian;
(7)    A conservator;
(8)    A committee;
(9)    A custodian under the Maryland Uniform Transfers to Minors Act; and
(10)    Any other person who has a fiduciary relationship the responsibilities of which are customarily performed by a corporate fiduciary.
(h)    “Successor fiduciary” means a corporate fiduciary that is substituted for another corporate fiduciary under the provisions of § 15-1A-02 of this subtitle, by reason of:
(1)    A merger or consolidation of corporate fiduciaries;
(2)    The acquisition of the stock or assets of a corporate fiduciary by another corporate fiduciary;
(3)    The transfer by a corporate fiduciary of its trust and fiduciary business to another corporate fiduciary; or
(4)    The acquisition or formation by a corporate fiduciary of a subsidiary, which is itself a corporate fiduciary, in order to undertake the trust and fiduciary business of the subsidiary’s parent entity.
(i)    “Trust company” has the meaning stated in § 1-101 of this article.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1A - Successor Corporate Fiduciaries › Section 15-1A-02 - Substitution Generally

(a)    Subject to the provisions of § 15-1A-04(d)(2) of this subtitle, a successor fiduciary shall be substituted as a fiduciary for its predecessor corporate fiduciary, immediately upon the adoption of a corporate resolution by both the successor fiduciary and the predecessor corporate fiduciary providing for the substitution.
(b)    A successor fiduciary shall have all the rights, powers, duties, and obligations of the predecessor corporate fiduciary.
(c)    The successor fiduciary shall be deemed named as fiduciary in any writing, including a will, trust, court order, or similar document or instrument that names the predecessor corporate fiduciary as fiduciary, whether executed before or after the successor fiduciary is substituted, unless the writing expressly provides otherwise.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1A - Successor Corporate Fiduciaries › Section 15-1A-03 - Qualifications; Joint and Several Liability

(a)    For purposes of qualifying as a fiduciary with respect to a capital requirement, a corporate fiduciary may attribute to its capital and surplus the capital and surplus of any:
(1)    Bank, trust company, or bank holding company of which it is a direct or indirect subsidiary or affiliate; or
(2)    Corporation with its principal office in this State if the corporate fiduciary is:
(i)    A trust company as defined under § 1-101 of this article; and
(ii)    A wholly owned subsidiary of the corporation.
(b)    When a successor fiduciary qualifies under this section, the following entities shall be jointly and severally liable with the successor fiduciary for claims against the successor fiduciary when acting in its fiduciary capacity:
(1)    Any bank, trust company, or bank holding company of which a successor fiduciary is a direct or indirect subsidiary or affiliate; or
(2)    Any corporation described in subsection (a) of this section with respect to a corporate fiduciary acting as a successor fiduciary.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1A - Successor Corporate Fiduciaries › Section 15-1A-04 - Notice of Substitution

(a)    When a successor fiduciary is substituted under this subtitle, the successor fiduciary shall send notice to the following persons at the person’s last known address:
(1)    Each cofiduciary of the successor fiduciary;
(2)    Each surviving settlor of a trust;
(3)    Each person who, alone or in conjunction with others, has the power to remove any corporate fiduciary; and
(4)    (i)    Except as provided in subparagraph (ii) of this paragraph, each beneficiary of a trust, estate, or fund with respect to which a substitution of corporate fiduciary under this subtitle is made.
(ii)    In the case of a trust described in 26 U.S.C. § 401(a), notice shall be given to the employer or employee organization responsible for the maintenance of the trust.
(b)    The notice required under subsection (a) of this section shall be:
(1)    Personally delivered or mailed by registered mail, postage prepaid, return receipt requested, within 30 days before or after substitution of the successor fiduciary; and
(2)    Published once a week in 3 successive weeks in one or more newspapers of general circulation published in the county in which the principal place of business of the successor fiduciary is located.
(c)    The notice required under subsection (a) of this section shall contain:
(1)    The name of the predecessor corporate fiduciary;
(2)    The name of the successor fiduciary;
(3)    The effective date of substitution of the successor fiduciary; and
(4)    A summary of the provisions of this subtitle, including a statement of the rights and procedures available under subsection (d) of this section.
(d)    (1)    In this subsection, “interested party” means a person who:
(i)    Is entitled to notice under subsection (a) of this section; and
(ii)    Has an interest in the trust, estate, or fund that is the subject of a complaint filed under this subsection.
(2)    A person entitled to notice under subsection (a) of this section who objects to the appointment of the successor fiduciary may, within 60 days after substitution of the successor fiduciary, file a complaint for removal of the successor fiduciary in the circuit court for the county in which the principal place of business of the successor fiduciary is located.
(3)    After notice to all interested parties and a hearing, the court:
(i)    May appoint a new fiduciary to replace the successor fiduciary if it finds that substitution of the successor fiduciary under § 15-1A-02 of this subtitle will adversely affect administration of the trust, estate, or fund and that appointment of a new fiduciary will be in the best interests of the plaintiff and all other interested parties; and
(ii)    Shall appoint a new fiduciary to replace the successor fiduciary if the complaint for removal includes an objection to the qualifications of the successor fiduciary and the successor fiduciary’s qualification is dependent on the provisions of § 15-1A-03(a) of this subtitle.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 1A - Successor Corporate Fiduciaries › Section 15-1A-05 - Removal

In addition to the provisions for removal under § 15-1A-04(d) of this subtitle, removal of a corporate fiduciary is subject to all other laws of this State affecting removal of fiduciaries and to any agreement that designates the predecessor corporate fiduciary as the corporate fiduciary of the trust, estate, or fund.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 2 - Maryland Uniform Fiduciaries Act › Section 15-201 - Definitions

(a)    In this subtitle the following words have the meanings indicated.
(b)    “Bank” includes any person or association of persons, whether incorporated or not, carrying on the business of banking.
(c)    “Fiduciary” includes a trustee under any trust expressed, implied, resulting or constructive, executor, administrator, guardian, conservator, curator, receiver, trustee in bankruptcy, assignee for the benefit of creditors, partner, agent, officer of a corporation, public or private, public officer, or any other person acting in a fiduciary capacity for any person, trust, or estate.
(d)    “Person” includes an individual, a corporation, government or governmental subdivision or agency, business trust, statutory trust, estate, trust, partnership or association, two or more persons having a joint or common interest, or any other legal or commercial entity.
(e)    “Principal” includes any person to whom a fiduciary as such owes an obligation.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 2 - Maryland Uniform Fiduciaries Act › Section 15-202 - Application of Payments Made to Fiduciaries

(a)    A person who in good faith pays or transfers to a fiduciary any money or other property which the fiduciary is authorized to receive, is not responsible for the proper application of the money or property by the fiduciary.
(b)    A right or title to money or other property acquired from a fiduciary in consideration of payment or transfer is not invalid in consequence of a misapplication by the fiduciary.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 2 - Maryland Uniform Fiduciaries Act › Section 15-203 - Transfer of Negotiable Instrument by Fiduciary

(a)    Except as provided in subsection (b) of this section, if any negotiable instrument payable or indorsed to a fiduciary is indorsed by the fiduciary, or if any negotiable instrument payable or indorsed to the fiduciary’s principal is indorsed by a fiduciary empowered to indorse the instrument on behalf of the principal, the indorsee is not bound to inquire whether the fiduciary is committing a breach of the obligation as fiduciary in indorsing or delivering the instrument, and is not chargeable with notice that the fiduciary is committing a breach of the obligation as fiduciary unless the indorsee takes the instrument with actual knowledge of the breach or with knowledge of the facts that the action of the indorsee in taking the instrument amounts to bad faith.
(b)    If an instrument is transferred by the fiduciary in payment of or as security for a personal debt of the fiduciary to the actual knowledge of the creditor, or is transferred in any transaction known by the transferee to be for the personal benefit of the fiduciary, the creditor or other transferee is liable to the principal if the fiduciary in fact commits a breach of the obligation as fiduciary in transferring the instrument.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 2 - Maryland Uniform Fiduciaries Act › Section 15-204 - Check Drawn by Fiduciary Payable to Third Person

(a)    Except as provided in subsection (b) of this section, if a check or other bill of exchange is drawn by a fiduciary or in the name of the fiduciary’s principal by a fiduciary empowered to draw the instrument in the name of the principal, the payee is not bound to inquire whether the fiduciary is committing a breach of the obligation as fiduciary in drawing or delivering the instrument, and is not chargeable with notice that the fiduciary is committing a breach of the obligation as fiduciary unless the payee takes the instrument with actual knowledge of the breach or with knowledge of the facts that the action of the payee in taking the instrument amounts to bad faith.
(b)    If an instrument is payable to a personal creditor of the fiduciary and delivered to the creditor in payment of or as security for a personal debt of the fiduciary to the actual knowledge of the creditor, for the personal benefit of the fiduciary, the creditor or other payee is liable to the principal if the fiduciary in fact commits a breach of the obligation as fiduciary in drawing or delivering the instrument.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 2 - Maryland Uniform Fiduciaries Act › Section 15-205 - Check Drawn by and Payable to Fiduciary

If a check or other bill of exchange is drawn by a fiduciary or in the name of the fiduciary’s principal by a fiduciary empowered to draw the instrument in the name of the principal, payable to the fiduciary personally, or payable to a third person and transferred by the third person to the fiduciary, and is thereafter transferred by the fiduciary, whether in payment of a personal debt of the fiduciary or otherwise, the transferee is not bound to inquire whether the fiduciary is committing a breach of the obligation as fiduciary in transferring the instrument, and is not chargeable with notice that the fiduciary is committing a breach of the obligation as fiduciary unless the transferee takes the instrument with actual knowledge of the breach or with knowledge of the facts that the action of the transferee in taking the instrument amounts to bad faith.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 2 - Maryland Uniform Fiduciaries Act › Section 15-206 - Deposit in Name of Fiduciary as Such

(a)    Except as provided in subsection (b) of this section, if a deposit is made in a bank to the credit of a fiduciary, the bank is authorized to pay the amount of the deposit or any part of it on the check of the fiduciary, signed with the name in which the deposit is entered, without being liable to the principal, unless the bank pays the check with actual knowledge that the fiduciary is committing a breach of the obligation as fiduciary in drawing the check or with knowledge of the facts that the action of the bank in paying the check amounts to bad faith.
(b)    If a check is payable to the drawee bank and is delivered to the bank in payment of or as security for a personal debt of the fiduciary to it, the bank is liable to the principal if the fiduciary in fact commits a breach of the obligation as fiduciary in drawing or delivering the check.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 2 - Maryland Uniform Fiduciaries Act › Section 15-207 - Deposit in Name of Principal

(a)    Except as provided in subsection (b) of this section, if a check is drawn on the bank account of the principal of a fiduciary by a fiduciary who is empowered to draw checks on the account of the principal, the bank is authorized to pay the check without being liable to the principal, unless the bank pays the check with actual knowledge that the fiduciary is committing a breach of the obligation as fiduciary in drawing the check, or with knowledge of the facts that the action of the bank in paying the check amounts to bad faith.
(b)    If a check is payable to the drawee bank and is delivered to the bank in payment of or as security for a personal debt of the fiduciary to it, the bank is liable to the principal if the fiduciary in fact commits a breach of the obligation as fiduciary in drawing or delivering the check.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 2 - Maryland Uniform Fiduciaries Act › Section 15-208 - Deposit in Personal Account of Fiduciary

(a)    This section applies if a fiduciary makes a deposit in a bank to the fiduciary’s personal credit of:
(1)    Checks drawn by the fiduciary on an account in the name of the fiduciary as fiduciary;
(2)    Checks payable to the fiduciary as fiduciary;
(3)    Checks drawn by the fiduciary on an account in the name of the fiduciary’s principal, if the fiduciary is empowered to draw checks on the account;
(4)    Checks payable to the principal of a fiduciary and indorsed by the fiduciary, if the fiduciary is empowered to indorse the checks; or
(5)    Other funds held by the fiduciary as fiduciary.
(b)    A bank receiving a deposit in accordance with subsection (a) of this section may not be bound to inquire whether the fiduciary is committing a breach of the obligation as fiduciary and is authorized to pay the amount of the deposit or any part of the deposit on the personal check of the fiduciary without being liable to the principal, unless the bank receives the deposit or pays the check with actual knowledge that the fiduciary is committing a breach of the obligation as fiduciary in making the deposit or in drawing the check, or with knowledge of the facts that the action of the bank in receiving the deposit or paying the check amounts to bad faith.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 2 - Maryland Uniform Fiduciaries Act › Section 15-209 - Cases Not Provided for in Article

In any case not provided for in this subtitle the rules of law and equity, including the law merchant and those rules of law and equity relating to trusts, agency, negotiable instruments, and banking, shall continue to apply.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 3 - Maryland Uniform Act for the Simplification of Fiduciary Security Transfers › Section 15-301 - Definitions

(a)    In this subtitle the following words have the meanings indicated.
(b)    “Assignment” includes any written stock power, bond power, bill of sale, deed, declaration of trust, or other instrument of transfer.
(c)    “Claims” includes a claim of any interest by a legatee of a decedent, distributee, heir, or creditor, a beneficiary under a trust, a ward, a beneficial owner of a security registered in the name of a nominee, or a minor owner of a security registered in the name of a custodian, or a claim of any similar interest, whether the claim is asserted by the claimant or by a fiduciary or by any other authorized person on behalf of the claimant, and includes a claim that the transfer would be in breach of fiduciary duties.
(d)    “Corporation” means a private or public corporation, association or trust issuing a security.
(e)    “Fiduciary” means an executor, administrator, trustee, guardian, committee, conservator, curator, tutor, custodian, or nominee.
(f)    “Person” includes an individual, a corporation, government or governmental subdivision or agency, business trust, statutory trust, estate, trust, partnership or association, two or more persons having a joint or common interest, or any other legal or commercial entity.
(g)    “Security” includes any share of stock, bond, debenture, note, or other security issued by a corporation which is registered as to ownership on the books of the corporation.
(h)    “Transfer” means a change on the books of a corporation in the registered ownership of a security.
(i)    “Transfer agent” means a person employed or authorized by a corporation to transfer securities issued by the corporation.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 3 - Maryland Uniform Act for the Simplification of Fiduciary Security Transfers › Section 15-302 - Corporation or Transfer Agent Registering Security in Name of Fiduciary Not Required to Make Inquiry

A corporation or transfer agent registering a security in the name of a person who is a fiduciary or who is described as a fiduciary:
(1)    Is not bound to inquire into the existence, extent, or correct description of the fiduciary relationship; and
(2)    May assume without inquiry that the newly registered owner continues to be the fiduciary until the corporation or transfer agent receives written notice that the fiduciary is no longer acting as the fiduciary with respect to the particular security.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 3 - Maryland Uniform Act for the Simplification of Fiduciary Security Transfers › Section 15-303 - Corporation or Transfer Agent Making Transfer of Security Pursuant to Assignment by Fiduciary -- Assumptions Generally

Except as otherwise provided in this subtitle, a corporation or transfer agent making a transfer of a security pursuant to an assignment by a fiduciary:
(1)    May assume without inquiry that the assignment, even though to the fiduciary or to a nominee of the fiduciary, is within the authority and capacity of the fiduciary and is not in breach of the duties of the fiduciary;
(2)    May assume without inquiry that the fiduciary has complied with any controlling instrument and with the law of the jurisdiction governing the fiduciary relationship, including any law requiring the fiduciary to obtain court approval of the transfer; and
(3)    Is not charged with notice of and is not bound to obtain or examine any court record or any recorded or unrecorded document relating to the fiduciary relationship or the assignment, even though the record or document is in its possession.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 3 - Maryland Uniform Act for the Simplification of Fiduciary Security Transfers › Section 15-304 - Evidence Required When Fiduciary Not Registered Owner

(a)    A corporation or transfer agent making a transfer pursuant to an assignment by a fiduciary who is not the registered owner shall obtain the following evidence of appointment or incumbency:
(1)    In the case of a fiduciary appointed or qualified by a court, a certificate issued by or under the direction or supervision of that court or an officer thereof and dated within 60 days before the transfer; or
(2)    In any other case, a copy of a document showing the appointment or a certificate issued by or on behalf of a person reasonably believed by the corporation or transfer agent to be responsible or, in the absence of such a document or certificate, other evidence reasonably deemed by the corporation or transfer agent to be appropriate.
(b)    A corporation or transfer agent may adopt standards with respect to evidence of appointment or incumbency under subsection (a) of this section if the standards are not manifestly unreasonable.
(c)    Neither the corporation nor transfer agent is charged with notice of the contents of a document obtained pursuant to this section except to the extent that the contents relate directly to the appointment or incumbency.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 3 - Maryland Uniform Act for the Simplification of Fiduciary Security Transfers › Section 15-305 - Claim of Beneficial Interest Adverse to Transfer of Security Pursuant to Assignment by Fiduciary

(a)    (1)    A person asserting a claim of beneficial interest adverse to the transfer of a security pursuant to an assignment by a fiduciary may give the corporation or transfer agent written notice of the claim.
(2)    A corporation or transfer agent is not put on notice unless the written notice identifies the claimant, the registered owner, and the issue of which the security is a part, provides an address for communications directed to the claimant and is received before the transfer.
(3)    Nothing in this subtitle relieves the corporation or transfer agent of any liability for making or refusing to make the transfer after it is so put on notice, unless it proceeds in the manner authorized in subsection (b) of this section.
(b)    (1)    As soon as practicable after the presentation of a security for transfer pursuant to an assignment by a fiduciary, a corporation or transfer agent which has received notice of a claim of beneficial interest adverse to the transfer may send notice of the presentation by registered or certified mail to the claimant at the address given by the claimant.
(2)    If a corporation or transfer agent mails a notice as authorized under paragraph (1) of this subsection, the corporation or transfer agent shall withhold the transfer for 30 days after the mailing and shall then make the transfer unless restrained by a court order.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 3 - Maryland Uniform Act for the Simplification of Fiduciary Security Transfers › Section 15-307 - Nonliability of Third Persons

(a)    A person who participates in the acquisition, disposition, assignment or transfer of a security by or to a fiduciary, including a person who guarantees the signature of the fiduciary, shall have the immunity from liability described under § 5-421(b) of the Courts and Judicial Proceedings Article.
(b)    If a corporation or transfer agent makes a transfer pursuant to an assignment by a fiduciary, a person who guaranteed the signature of the fiduciary shall have the immunity from liability described under § 5-421(c) of the Courts and Judicial Proceedings Article.
(c)    This section and § 5-421 of the Courts and Judicial Proceedings Article do not impose any liability upon the corporation or its transfer agent.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 3 - Maryland Uniform Act for the Simplification of Fiduciary Security Transfers › Section 15-308 - Territorial Application

(a)    The rights and duties of a corporation and its transfer agents in registering a security in the name of a fiduciary or in making a transfer of a security pursuant to an assignment by a fiduciary are governed by the law of the jurisdiction under whose laws the corporation is organized.
(b)    This subtitle applies to the rights and duties of a person other than the corporation and its transfer agents with regard to acts and omissions in this State in connection with the acquisition, disposition, assignment, or transfer of a security by or to a fiduciary and of a person who guarantees in this State the signature of a fiduciary in connection with such a transaction.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 4 - Maryland Uniform Prudent Management of Institutional Funds Act › Section 15-401 - Definitions

(a)    In this subtitle the following words have the meanings indicated.
(b)    “Charitable purpose” means the relief of poverty, the advancement of education or religion, the promotion of health, the promotion of a governmental purpose, or any other purpose the achievement of which is beneficial to the community.
(c)    (1)    “Endowment fund” means an institutional fund or part of an institutional fund that, under the terms of a gift instrument, is not wholly expendable by the institution on a current basis.
(2)    “Endowment fund” does not include assets that an institution designates as an endowment fund for the use of the institution.
(d)    “Gift instrument” means a record, including an institutional solicitation, under which property is granted to, transferred to, or held by an institution as an institutional fund.
(e)    “Institution” means:
(1)    A person, other than an individual, organized and operated exclusively for charitable purposes;
(2)    A government or governmental subdivision, agency, or instrumentality, to the extent that the subdivision, agency, or instrumentality holds funds exclusively for a charitable purpose; or
(3)    A trust that had both charitable and noncharitable interests, after all noncharitable interests have terminated.
(f)    (1)    “Institutional fund” means a fund held by an institution exclusively for charitable purposes.
(2)    “Institutional fund” does not include:
(i)    Program–related assets;
(ii)    A fund held for an institution by a trustee that is not an institution; or
(iii)    A fund in which a beneficiary that is not an institution has an interest, other than an interest that could arise on violation or failure of the purposes of the fund.
(g)    “Person” means an individual, corporation, business trust, statutory trust, estate, trust, partnership, limited liability company, association, joint venture, public corporation, government or governmental subdivision, agency, or instrumentality, or any other legal or commercial entity.
(h)    “Program–related asset” means an asset held by an institution primarily to accomplish a charitable purpose of the institution and not primarily for investment.
(i)    “Record” means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 4 - Maryland Uniform Prudent Management of Institutional Funds Act › Section 15-404 - Delegation of Authority

(a)    (1)    Subject to any specific limitation set forth in a gift instrument or in law other than this subtitle, an institution may delegate to an external agent the management and investment of an institutional fund to the extent that an institution could prudently delegate under the circumstances.
(2)    An institution shall exercise ordinary business care and prudence under the facts and circumstances prevailing at the time of the action or decision, in:
(i)    Selecting an agent;
(ii)    Establishing the scope and terms of the delegation, consistent with the purposes of the institution and the institutional fund; and
(iii)    Periodically reviewing the actions of the agent in order to monitor the performance and compliance of the agent with the scope and terms of the delegation.
(b)    In performing a delegated function, an agent owes a duty to the institution to exercise reasonable care to comply with the scope and terms of the delegation.
(c)    The standard established by § 15–402(b) of this subtitle is not limited or extinguished by the appointment of an external agent.
(d)    By accepting delegation of a management or investment function from an institution that is subject to the laws of the State, an agent submits to the jurisdiction of the courts of the State in all proceedings arising from or related to the delegation or the performance of the delegated function.
(e)    An institution may delegate management and investment functions to the committees, officers, or employees of the institution as authorized by law other than this subtitle.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 4 - Maryland Uniform Prudent Management of Institutional Funds Act › Section 15-405 - Release or Modification of Restriction

(a)    (1)    If the donor consents in a record, an institution may release or modify, in whole or in part, a restriction contained in a gift instrument on the management, investment, or purpose of an institutional fund.
(2)    A release or modification may not allow a fund to be used for a purpose other than a charitable purpose of the institution.
(b)    (1)    If written consent of the donor cannot be obtained by reason of the death, disability, unavailability, or impossibility of identification of the donor, a court of competent jurisdiction, on application of an institution, may modify a restriction contained in a gift instrument regarding the management or investment of an institutional fund if the restriction has become obsolete, inappropriate, or impracticable, or if, because of circumstances not anticipated by the donor, a modification of a restriction will clearly further the purposes of the fund.
(2)    (i)    The institution shall notify the Attorney General of the institution’s application under paragraph (1) of this subsection, and the Attorney General shall be given an opportunity to be heard.
(ii)    To the extent practicable, any modification made under paragraph (1) of this subsection must be made in accordance with the donor’s probable intention.
(c)    (1)    If a particular charitable purpose or a restriction contained in a gift instrument on the use of an institutional fund becomes unlawful, impracticable, or impossible to achieve and written consent of the donor cannot be obtained by reason of the death, disability, unavailability, or impossibility of identification of the donor, a court of competent jurisdiction, on application of an institution, may modify the purpose of the fund or the restriction on the use of the fund if the donor manifested a general charitable intent.
(2)    The institution shall notify the Attorney General of the institution’s application under paragraph (1) of this subsection, and the Attorney General shall be given an opportunity to be heard.
(d)    If an institution determines that a restriction contained in a gift instrument on the management, investment, or purpose of an institutional fund is unlawful, impracticable, or impossible to achieve, the institution, 60 days after notification to the Attorney General, may release or modify the restriction, in whole or in part, if:
(1)    The institutional fund subject to the restriction has a total value of less than $50,000;
(2)    More than 20 years have elapsed since the fund was established; and
(3)    The institution uses the property in a manner clearly consistent with the charitable purposes expressed in the gift instrument.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 4 - Maryland Uniform Prudent Management of Institutional Funds Act › Section 15-407 - Scope

(a)    Except as provided in subsection (b) of this section, this subtitle applies to institutional funds existing on or established after the effective date of Chapter 134 of the Acts of the General Assembly of 2009.
(b)    As applied to institutional funds existing on the effective date of Chapter 134 of the Acts of the General Assembly of 2009, this subtitle governs only decisions made or actions taken on or after that date.
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 4 - Maryland Uniform Prudent Management of Institutional Funds Act › Section 15-408 - Effect on Federal Electronic Signatures in Global and National Commerce Act

This subtitle modifies, limits, and supersedes the Electronic Signatures in Global and National Commerce Act, 15 U.S.C. § 7001 et seq., but does not modify, limit, or supersede § 101(c) of that act, 15 U.S.C. § 7001(c), or authorize electronic delivery of the notices described in § 103(b) of that act, 15 U.S.C. § 7003(b).
2023 Maryland Statutes › Estates and Trusts › Title 15 - Fiduciaries › Subtitle 4 - Maryland Uniform Prudent Management of Institutional Funds Act › Section 15-409 - Application and Construction of Subtitle

In applying and construing this subtitle, which is a uniform act, consideration shall be given to the need to promote uniformity of the law with respect to the subject matter of the law among the states that enact the law.