reglab/statecodes huggingface dataset:
2023 Maryland Statutes › Estates and Trusts › Title 14 - Trusts › Subtitle 4 - Maryland Discretionary Trust Act › Section 14-402 - Rights, Duties, or Obligations of Trustee, Beneficiary, Transferor, Declarant, or Persons Dealing With Them

(a)    (1)    The trustee holds title to the trust property.
(2)    Trust property may not be considered property or an available resource of the beneficiary.
(3)    The beneficiary may not have any interest in trust property that can be assigned or attached.
(4)    No part of the trust property may be subject to claims for costs of care provided to the beneficiary by a state.
(b)    (1)    The trustee has sole discretion over trust property expenditures.
(2)    The trustee shall decide what expenditures will be made, how they will be made, and when they will be made for the benefit of the beneficiary.
(3)    A trust may be used to ensure that trust property is available to provide for the needs of the beneficiary to the extent not provided for by other sources, including public and private benefit programs for which the beneficiary would or might be eligible if the trust did not exist.
(4)    A trustee may retain any trust property received from a transferor.
(c)    A person dealing with a transferor, declarant, or trustee is protected in those dealings in accordance with § 14-405 of this subtitle.
(d)    Any person except the beneficiary may augment trust property.
(e)    (1)    When establishing a trust, the transferor may designate the trust to be either revocable or irrevocable.
(2)    If no designation is made, the trust is revocable.
2023 Maryland Statutes › Estates and Trusts › Title 14 - Trusts › Subtitle 4 - Maryland Discretionary Trust Act › Section 14-403 - Eligibility to Create Trust; Trustees; Trustee Succession

(a)    Any person having the right to transfer property to another person may create a trust as a transferor under this subtitle.
(b)    The transferor may:
(1)    As declarant serve as trustee;
(2)    Designate a trustee;
(3)    Designate how the trustee will be chosen;
(4)    Designate successor trustees in the order in which they will serve; and
(5)    Designate how successor trustees will be chosen.
(c)    The trustee shall hold, manage, expend, and transfer trust property as provided in this subtitle.
(d)    The successor trustee shall assume the responsibilities of the trustee when the trustee is no longer willing or able to serve.
(e)    A trust may have only one beneficiary but more than one trustee.
(f)    A trustee:
(1)    Is not personally liable to a third person:
(i)    On a contract properly entered into in a fiduciary capacity unless the trustee fails to reveal that capacity or to identify the trust in the contract; or
(ii)    For an obligation arising from control of trust property or for a tort committed in the course of the administration of the trust, unless the trustee is personally at fault;
(2)    May decline to serve as trustee before accepting trust property by notifying in writing the person who designated the trustee, or that person’s legal representative; and
(3)    May resign as trustee by notifying the successor trustee in writing, transferring all trust property to the successor trustee, providing the successor trustee with a complete accounting of trust property, and confirming that the successor trustee has accepted the trust property.
(g)    The next willing successor trustee in line shall accept the records and trust property and become trustee as soon as practicable after:
(1)    The resignation of the trustee;
(2)    The declination of the trustee;
(3)    The death of the trustee; or
(4)    The removal of the trustee.
(h)    If the trustee is unable or unwilling to serve and no successor trustee will serve, the following persons in the order listed may petition the court to designate a successor trustee:
(1)    The transferor or the legal representative of the transferor;
(2)    The trustee;
(3)    The beneficiary or the beneficiary’s legal representative;
(4)    The guardian of the person of the beneficiary;
(5)    An adult member of the beneficiary’s family or that family member’s legal representative; or
(6)    A person interested in the trust property or a person interested in the welfare of the beneficiary, either of whom the court determines to have a legitimate interest.
(i)    Unless renounced by the transferor, the transferor may at any time remove or change the designation of the trustee and successor trustees.
2023 Maryland Statutes › Estates and Trusts › Title 14 - Trusts › Subtitle 4 - Maryland Discretionary Trust Act › Section 14-406 - Termination

(a)    The trust shall terminate upon the first to occur of:
(1)    The death of the beneficiary;
(2)    A date or event specified in the trust document; or
(3)    The determination by the trustee, in the trustee’s sole and absolute discretion, that by judicial, legislative, or administrative action, trust property or income has been or will be determined to be property or an available resource of the beneficiary.
(b)    Upon termination of a trust, the trustee shall transfer the unexpended trust property:
(1)    As designated in the instrument creating the trust; or
(2)    If there is no designation, in the following order:
(i)    To the transferor, if living;
(ii)    If the transferor is not living and died with a will, to those persons, other than the beneficiary, designated as residuary legatees in the transferor’s will in the proportions to which they were entitled under the transferor’s will; or
(iii)    If the transferor is not living and died without a will, to those persons, other than the beneficiary, who would be entitled to receive the trust property at the time if the transferor died owning the trust property, without a will, and a resident of Maryland.
(c)    The powers and duties of the trustee shall continue until the final and complete distribution of the trust property is made.
2023 Maryland Statutes › Estates and Trusts › Title 14 - Trusts › Subtitle 5 - Health Savings Accounts › Section 14-501 - Definition of Accounts -- Establishment -- Inapplicability of Article

(a)    In this subtitle, “health savings account” has the meaning stated in § 223 of the Internal Revenue Code.
(b)    A health savings account may be established as provided in § 15–144 of the Insurance Article.
(c)    Except as provided in this subtitle or required by federal law, this article does not apply to a health savings account.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 1 - In General › Section 14.5-102 - Application of Title

This title applies to express charitable or noncharitable trusts and trusts created in accordance with a statute (including the Maryland Discretionary Trust Act, unless otherwise provided by the statute), judgment, or decree that requires the trust to be administered in the manner of an express trust.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 1 - In General › Section 14.5-104 - Person With Knowledge of Facts

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, knows or should know the fact.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 1 - In General › Section 14.5-105 - Terms of Trust Prevail -- Exceptions

The terms of a trust prevail over a provision of this title, except:
(1)    The requirements for creating a trust;
(2)    The duty of a trustee to act reasonably under the circumstances and in accordance with the terms and purposes of the trust and the interests of the beneficiaries;
(3)    The requirement that a trust and the terms of the trust be for the benefit of the beneficiaries of the trust and that the trust have a purpose that is lawful, not contrary to public policy, and possible to achieve;
(4)    The prohibition under § 14.5–306 of this title against a person serving as a representative of a beneficiary of a trust when that person is serving as a trustee of the same trust;
(5)    The power of the court to modify or terminate a trust under §§ 14.5–410, 14.5–411, 14.5–413, and 14.5–414 of this title;
(6)    The rights of certain creditors and assignees to reach a trust as provided in Subtitle 5 of this title;
(7)    The power of the court under § 14.5–702 of this title to require, dispense with, modify, or terminate a bond;
(8)    The subject matter jurisdiction and venue for commencing a proceeding as provided by the laws of this State;
(9)    The power of the court under § 14.5–708(a) of this title to increase or decrease the commissions of a trustee;
(10)    The duties to provide information, copies, and notices specified under § 14.5–813(a) and (c) of this title;
(11)    The duty under § 14.5–813(a) and (b) of this title to:
(i)    Notify qualified beneficiaries of an irrevocable trust who have attained 25 years of age of the existence of the trust, the identity of the trustee, and their right to request trustee’s reports and a copy of the trust; and
(ii)    Respond to the request of a qualified beneficiary of an irrevocable trust for reports by the trustee and other information reasonably related to the administration of the trust;
(12)    The effect of an exculpatory term under § 14.5–906 of this title;
(13)    The rights under §§ 14.5–908 through 14.5–910 of this title of a person other than a trustee or beneficiary;
(14)    The power of the court to take an action and exercise jurisdiction as may be necessary in the interests of justice; and
(15)    Periods of limitation for bringing a judicial action.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 1 - In General › Section 14.5-107 - Governing Law of Trust Provisions

The meaning and effect of the terms of a trust are determined by:
(1)    The law of the jurisdiction designated in the terms unless the designation of that 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.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 1 - In General › Section 14.5-108 - 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 are valid and controlling if:
(1)    The principal place of business of a trustee is located in or a trustee is a resident of the designated jurisdiction; or
(2)    All or part of the administration of the trust 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 beneficiary.
(c)    Without precluding the right of the court to order, approve, or disapprove a transfer, the trustee, in furtherance of the duty under subsection (b) of this section, may transfer the principal place of administration of the trust to another state or a jurisdiction outside the United States.
(d)    (1)    The trustee shall notify the qualified beneficiaries of a proposed transfer of a trust’s principal place of administration not less than 60 days before initiating the transfer.
(2)    The notice of proposed transfer under paragraph (1) of this subsection must include:
(i)    The name of the jurisdiction to which the principal place of administration is to be transferred;
(ii)    The address and telephone number at the new location at which the trustee can be contacted;
(iii)    An explanation of the reasons for the proposed transfer;
(iv)    The date on which the proposed transfer is anticipated to occur; and
(v)    The date, not less than 60 days after the giving of the notice, by which the qualified beneficiary must notify the trustee of an objection to the proposed transfer.
(e)    The authority of a trustee under this section to transfer a trust’s principal place of administration terminates if a qualified beneficiary notifies the trustee of an objection to the proposed transfer on or before the date specified in the notice.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 1 - In General › Section 14.5-110 - Qualified Beneficiaries

(a)    Whenever notice to qualified beneficiaries of a trust is required under this title, the trustee shall also give notice to any other beneficiary that has sent the trustee a request for notice.
(b)    A charitable organization expressly designated to receive distributions under the terms of a charitable trust has the rights of a qualified beneficiary under this title if the charitable organization on the date the qualification of the charitable organization 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 on the 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 that date.
(c)    A person appointed to enforce a trust created for the care of an animal as provided in § 14.5–407 of this title or another noncharitable purpose as provided in § 14.5–408 of this title has the rights of a qualified beneficiary under this title.
(d)    The State’s Attorney General has the rights of a qualified beneficiary with respect to a charitable trust having the principal place of administration of the charitable trust in this State.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 1 - In General › Section 14.5-111 - Nonjudicial Settlement Agreements

(a)    In this section, “interested person” means a person whose consent would be required in order to achieve a binding settlement were the settlement to be approved by the court.
(b)    Except as otherwise provided in subsection (c) of this section, on or after October 1, 2016, interested persons may enter into a binding nonjudicial settlement agreement with respect to a matter involving a trust.
(c)    A nonjudicial settlement agreement is valid only to the extent the settlement does not violate a material purpose of the trust and includes terms and conditions that could be properly approved by the court under this title 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 report or accounting of a trustee;
(3)    Direction to a trustee to refrain from performing a particular act or the grant to a trustee of a necessary or desirable power;
(4)    The resignation or appointment of a trustee and the determination of the compensation of a trustee;
(5)    Transfer of the principal place of administration of a trust; and
(6)    Liability of a trustee for an action relating to the trust.
(e)    An interested person may request the court to:
(1)    Determine whether the representation as provided in Subtitle 3 of this title was adequate; and
(2)    Determine whether the agreement contains terms and conditions the court could have properly approved.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 1 - In General › Section 14.5-112 - Inter Vivos Trust -- Applicability of Other Sections

(a)    In the absence of express language to the contrary, the rules contained in §§ 1–202, 1–203, 1–204, 1–205, 1–206, 1–207, 1–208, 1–209, and 1–210.1 of this article shall be applied in construing the terms of an inter vivos trust.
(b)    Whenever a provision in §§ 1–202, 1–203, 1–204, 1–205, 1–206, 1–207, 1–208, 1–209, and 1–210.1 of this article refers to a “will”, “estate”, or a similar term relevant primarily to wills and estates or a taker under a will or an estate, the term shall be modified to mean “trust instrument”, “trust”, or a similar term to reflect the application of the principles of those provisions to an inter vivos trust.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 2 - Judicial Proceedings › Section 14.5-201 - Intervention in Administration of Trust

(a)    On the invocation of the court’s jurisdiction by an interested person, on the court’s own motion, or as otherwise provided by law, the court may intervene actively in the administration of a trust, fashioning and implementing remedies as the public interest and the interests of the beneficiaries may require.
(b)    A trust is not subject to continuing judicial supervision unless ordered by the court.
(c)    A judicial proceeding involving a trust may relate to a matter involving the administration of the trust, including a request for instructions and an action to declare rights.
(d)    (1)    A court having equity jurisdiction has general superintending power with respect to trusts.
(2)    The provisions of Titles 1 through 13 of this article do not affect or supersede the power described in paragraph (1) of this subsection.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 2 - Judicial Proceedings › Section 14.5-202 - Jurisdiction

(a)    By accepting the trusteeship of a trust having the principal place of administration for the trust in the State or by moving the principal place of administration to the State, the trustee submits personally to the jurisdiction of the courts of the State regarding a matter involving the trust.
(b)    (1)    With respect to the interests of a beneficiary of a trust having the principal place of administration of the trust in the State, the beneficiary is subject to the jurisdiction of the courts of the State regarding a matter involving the trust.
(2)    By accepting a distribution from a trust described in paragraph (1) of this subsection, the recipient submits personally to the jurisdiction of the courts of the State regarding a matter involving the trust.
(c)    This section does not preclude other methods of obtaining jurisdiction over a trustee, a beneficiary, or any other person receiving property from the trust.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 2 - Judicial Proceedings › Section 14.5-203 - Discretionary Powers Subject to Judicial Control; Abuse of Discretion

(a)    (1)    A discretionary power conferred on the trustee to determine the benefits of a beneficiary is subject to judicial control  to prevent misinterpretation or abuse of the discretion of the trustee.
(2)    The benefits to which a beneficiary of a discretionary distribution provision is entitled, and what may constitute an abuse of discretion by the trustee, depend on the terms of the discretion, including the proper construction of accompanying standards, and on the settlor’s purposes in granting the discretionary power and in creating the trust.
(3)    Notwithstanding the breadth of discretion granted to a trustee by the terms of a trust, including the use of the terms “absolute”, “sole”, or “uncontrolled”, a trustee abuses the discretion of the trustee in exercising or failing to exercise a discretionary power if the trustee:
(i)    Acts dishonestly;
(ii)    Acts with an improper motive, even though not a dishonest motive;
(iii)    Fails to exercise the judgment of the trustee in accordance with the terms and purposes of the trust; or
(iv)    Acts beyond the bounds of reasonable judgment.
(b)    A court may review an action by a trustee under a support provision or a mandatory distribution provision in the trust.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 3 - Representation › Section 14.5-301 - General Consideration

(a)    Except as required by the applicable rules of civil procedure in a judicial proceeding, notice to a person that is authorized to represent and bind another person under this subtitle has the same effect as if notice were given directly to the other person unless the person represented objects to the representation by notifying the trustee and the representative before the notice would otherwise have become effective.
(b)    The consent of a person that is authorized to represent and bind another person under this subtitle is binding on the person represented unless the person represented objects to the representation by notifying the trustee and the representative before the consent would otherwise have become effective.
(c)    Except as otherwise provided in § 14.5–602 of this title, a person that under this subtitle is authorized to represent a settlor that lacks capacity may receive notice and give a binding consent on behalf of the settlor.
(d)    A representative may act on behalf of the individual represented with respect to a matter arising under this title, whether or not a judicial proceeding concerning the trust is pending.
(e)    In making decisions as a representative of an individual, the representative may consider the general benefit accruing to the living members of the family of the individual.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 3 - Representation › Section 14.5-302 - Qualified Power of Appointment

(a)    The holder of a qualified power of appointment may represent and bind persons whose interests as permissible appointees or takers in default are subject to the power.
(b)    A qualified power of appointment is:
(1)    A general power of appointment; or
(2)    A power of appointment exercisable in favor of all persons other than the power holder, the estate of the power holder, the creditors of the power holder, and the creditors of the estate of the power holder.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 3 - Representation › Section 14.5-303 - Representatives Enumerated

To the extent there is no conflict of interest between the representative and the person represented or among those being represented with respect to a particular question or dispute:
(1)    A guardian of the property may represent and bind the minor or disabled person;
(2)    A guardian of the person may represent and bind the minor or disabled person if a guardian of the property has not been appointed;
(3)    An agent having specific authority to act with respect to trust matters may represent and bind the principal;
(4)    A trustee of a trust that is a beneficiary of another trust may represent and bind the beneficiaries of the trust that is the beneficiary of the other trust;
(5)    A personal representative of the estate of a decedent that is a beneficiary of a trust may represent and bind interested persons in the estate;
(6)    A parent may represent and bind the minor, incapacitated, unborn, or unknown child of the parent or child of the parent whose location is unknown and not reasonably ascertainable if a guardian of the property or guardian of the person for the child has not been appointed; and
(7)    If a minor, an incapacitated, unborn, or unknown individual or an individual whose location is unknown and not reasonably ascertainable is not otherwise represented under this section, a grandparent or more remote ancestor may represent and bind the individual.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 3 - Representation › Section 14.5-304 - Representatives Enumerated -- Minor, Incapacitated or Unborn Individual, or Individual Whose Identity or Location Is Unknown

Unless otherwise represented, a minor, an incapacitated or unborn individual, or an individual whose identity or location is unknown and not reasonably ascertainable, may be represented by and bound by a representative having a substantially identical interest with respect to a particular question or dispute, but only to the extent that there is no conflict of interest between the representative and the individual represented with respect to the question or dispute.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 3 - Representation › Section 14.5-305 - Appointment of Representative by Court

(a)    If the court determines that an interest is not represented under this subtitle or that the otherwise available representation might be inadequate, the court may appoint a representative to receive notice, give consent, and otherwise represent, bind, and act on behalf of a minor, an incapacitated individual, an unborn individual, or a person whose identity or location is unknown or is not reasonably ascertainable as long as there is no conflict of interest between the representative and the person represented or among those being represented with respect to a particular question or dispute.
(b)    A representative may be appointed to represent several persons or interests under this title.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 3 - Representation › Section 14.5-306 - Designation of Representatives; Priorities; Prohibitions; Liability

(a)    A settlor may:
(1)    Designate one or more persons who may serve as a representative or successor representative of a beneficiary of the trust;
(2)    Designate one or more other persons who may designate a representative or successor representative of a beneficiary of the trust; and
(3)    Specify the order of priority among two or more persons who are authorized under this title to serve as a representative or successor representative of a beneficiary of the trust.
(b)    Notwithstanding subsection (a) of this section, except as provided in § 14.5–303 of this subtitle, a person designated under subsection (a) of this section may not serve as a representative of a beneficiary of a trust if the person serves as a trustee of the same trust.
(c)    (1)    A representative designated under subsection (a) of this section may be held liable to the beneficiary on whose behalf the representative acts only if:
(i)    The representative has undertaken or agreed to represent the beneficiary; and
(ii)    Subject to paragraph (2) of this subsection, the representative’s action or failure to act is proven by clear and convincing evidence to have been in bad faith with respect to the beneficiary.
(2)    For purposes of determining liability under paragraph (1)(ii) of this subsection, a representative acts, or fails to act, in bad faith only if:
(i)    The action or inaction was the result of intentional wrongdoing by the representative; or
(ii)    The representative acted, or failed to act, with reckless indifference to the purposes of the trust or the interests of the beneficiary on whose behalf the representative acted.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-401 - Creation of Trust

A trust may be created by:
(1)    Transfer of property to another person as trustee during the lifetime of the settlor or by will or other disposition taking effect on the death of the settlor;
(2)    Declaration by the owner of property that the owner holds identifiable property as trustee; or
(3)    Exercise of a power of appointment in favor of a trustee.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-402 - Requirements

(a)    A trust is created only if:
(1)    The settlor has capacity to create a trust;
(2)    The settlor indicates an intention to create the trust;
(3)    The trust has a definite beneficiary or is:
(i)    A charitable trust;
(ii)    A trust for the care of an animal, as provided in § 14.5–407 of this subtitle; or
(iii)    A trust for a noncharitable purpose, as provided in § 14.5–408 of this subtitle; and
(4)    The trustee has duties to perform.
(b)    A beneficiary is definite if the beneficiary can be ascertained now or in the future, subject to any applicable rule against perpetuities.
(c)    (1)    A power in a trustee or in another person under the terms of the trust to select a beneficiary from an indefinite class is valid.
(2)    If the power described in paragraph (1) of this subsection is not exercised within a reasonable time, the power fails and the property subject to the power passes to the persons that would have taken the property had the power not been conferred.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-403 - Validity of Trust Not Created by Will

A trust not created by will is validly created if the creation of the trust complies with:
(1)    The law of the jurisdiction in which the trust instrument was executed; or
(2)    The law of the jurisdiction in which, at the time of creation:
(i)    The settlor was domiciled or was a national;
(ii)    A trustee of the trust was domiciled or had a place of business; or
(iii)    Any trust property was located.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-404 - Purposes and Benefits

(a)    A trust may be created only to the extent that the purposes of the trust are lawful, not contrary to public policy, and possible to achieve.
(b)    A trust and the terms of the trust shall be for the benefit of the beneficiaries of the trust.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-406 - Oral Trusts Established by Clear and Convincing Evidence

Except as required by a provision other than this title, a trust need not be evidenced by a trust instrument, but the creation of an oral trust and the terms of the oral trust may be established only by clear and convincing evidence.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-407 - Trusts for Care of Animal

(a)    A trust may be created to provide for the care of an animal alive during the lifetime of the settlor.
(b)    A trust authorized by this section terminates:
(1)    If created to provide for the care of one animal alive during the lifetime of the settlor, on the death of the animal; or
(2)    If created to provide for the care of more than one animal alive during the lifetime of the settlor, on the death of the last surviving animal.
(c)    (1)    A trust authorized by this section may be enforced by a person appointed under the terms of the trust or, if no person is appointed, by a person appointed by the court.
(2)    A person having an interest in the welfare of an animal, the care for which a trust has been established, may request the court to appoint a person to enforce the trust or to remove a person appointed.
(d)    (1)    Except to the extent that the court may determine that the value of a trust authorized by this section exceeds the amount required for the use intended by the trust, the property of the trust may be applied only to the intended use of the trust.
(2)    Except as otherwise provided under the terms of the trust, property not required for the intended use of the trust shall be distributed:
(i)    To the settlor, if living; or
(ii)    If the settlor is deceased, to the successors in interest of the settlor.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-408 - Noncharitable Trusts

Except as otherwise provided in § 14.5–407 of this subtitle or by another statute, the following rules apply:
(1)    (i)    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; and
(ii)    A trust described in item (i) of this item may not be enforced for more than 21 years unless the settlor elects otherwise;
(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 so appointed, by a person appointed by the court; and
(3)    (i)    Property of a trust authorized by this section may be applied only to the intended use of the trust, except to the extent that the court determines that the value of the trust property exceeds the amount required for the intended use; and
(ii)    Except as otherwise provided in the terms of a trust described in item (i) of this item, property not required for the intended use shall be distributed to the settlor, if then living, or to the successors in interest of the settlor, if the settlor is not then living.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-409 - Termination of Trusts; Institution of Proceedings

(a)    In addition to the methods of termination prescribed by §§ 14.5–410 through 14.5–412 of this subtitle, a trust terminates to the extent:
(1)    The trust is revoked or expires in accordance with the terms of the trust; or
(2)    The purposes of the trust have become unlawful, contrary to public policy, or impossible to achieve.
(b)    A proceeding to approve or disapprove a proposed modification or termination under §§ 14.5–410 through 14.5–414 of this subtitle, or combination or division of a trust under § 14.5–415 of this subtitle, may be commenced by a trustee or beneficiary.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-410 - Modification or Termination of Trust

(a)    (1)    A noncharitable irrevocable trust may be terminated on consent of the trustee and all beneficiaries if the court concludes that continuance of the trust is not necessary to achieve any material purpose of the trust.
(2)    A noncharitable irrevocable trust may be modified on consent of the trustee and all beneficiaries if the court concludes that modification is not inconsistent with a material purpose of the trust.
(b)    The existence of a spendthrift provision or similar protective language in the terms of the trust does not prevent a termination of a trust under subsection (a)(1) of this section.
(c)    On termination of a trust under subsection (a)(1) of this section, the trustee shall distribute the trust property as agreed by the beneficiaries.
(d)    If not all beneficiaries consent to a proposed modification or termination of the trust under subsection (a) of this section, the modification or termination may be approved by the court if the court is satisfied that:
(1)    If all beneficiaries had consented, the trust could have been modified or terminated under this section; and
(2)    The interests of a beneficiary that does not consent will be adequately protected.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-411 - Modification of Administrative or Dispositive Provisions or Termination for Unforeseen Circumstances

(a)    (1)    The court may modify the administrative or dispositive terms of a trust or terminate the trust if, because of circumstances not anticipated by the settlor, modification or termination will further the purposes of the trust.
(2)    To the extent practicable, the modification described in paragraph (1) of this subsection shall be made in accordance with the probable intention of the settlor.
(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 administration of the trust.
(c)    On termination of a trust under subsection (a) of this section, the trustee shall distribute the trust property in a manner consistent with the purposes of the trust as ordered by the court.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-413 - Reforming Terms of Trust

The court may reform the terms of a trust, even if unambiguous, to conform the terms to the intention of the settlor if it is proved by clear and convincing evidence that both the intent of the settlor and the terms of the trust were affected by a mistake of fact or law, whether in expression or inducement.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-414 - Modification of Terms for Purposes of Taxes

(a)    To achieve the tax objectives of the settlor, the court may modify the terms of a trust in a manner that is not contrary to the probable intention of the settlor.
(b)    The court may provide that the modification described in subsection (a) of this section has retroactive effect.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 4 - Creation, Validity, Modification, and Termination of Trust › Section 14.5-415 - Division or Consolidation of Trust

(a)    (1)    Subject to the provisions of paragraph (2) of this subsection, on petition by a trustee, personal representative, beneficiary, or party in interest, after notice as the court may direct to the trustees, personal representatives, beneficiaries, and parties in interest, and for good cause shown, a court may:
(i)    Divide a trust into two or more separate trusts; or
(ii)    Consolidate two or more trusts into a single trust.
(2)    A court may divide a trust or consolidate trusts:
(i)    On terms and conditions as the court considers appropriate; and
(ii)    If the court is satisfied that a division of a trust or consolidation of trusts will not defeat or materially impair:
1.    The accomplishment of trust purposes; or
2.    The interests of the beneficiaries.
(3)    A court may pass orders that the court considers proper or necessary to protect the interests of:
(i)    A trustee;
(ii)    A personal representative;
(iii)    A beneficiary; or
(iv)    A party in interest.
(b)    Subsection (a) of this section may not be construed to limit the right of a trustee or personal representative to divide a trust or consolidate trusts, without an order of a court, in accordance with the applicable provisions of the governing instrument.
(c)    (1)    Subject to the provisions of paragraphs (2) and (3) of this subsection, if a trust instrument does not provide for the consolidation or division of a trust, a trustee may, without an order of a court:
(i)    Divide a trust into two or more separate trusts; or
(ii)    Consolidate two or more trusts into a single trust.
(2)    A trustee may not divide a trust into two or more separate trusts or consolidate two or more trusts into a single trust if a beneficiary objects in writing within 30 days after the trustee provided notice under § 14.5–109 of this title.
(3)    A trustee may divide a trust or consolidate trusts:
(i)    On terms and conditions as the trustee considers appropriate;
(ii)    If the division of a trust or consolidation of a trust grants beneficial interests to the beneficiaries that, in the aggregate, are substantially similar to the interests the beneficiaries had before the division of the trust or consolidation of the trust; and
(iii)    If the trustee is satisfied that a division of a trust or consolidation of trusts will not defeat or materially impair:
1.    The accomplishment of trust purposes; or
2.    The interests of the beneficiaries.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 5 - Creditor's Claims; Spendthrift and Discretionary Trusts › Section 14.5-501 - Creditor's Claims

(a)    A court may authorize a creditor or an assignee of a beneficiary to reach the interest of the beneficiary by attachment of present or future distributions to or for the benefit of the beneficiary or by other means if that interest is not subject to a discretionary distribution provision, a support provision, or a spendthrift provision.
(b)    The court may limit the amount, timing, or other terms and conditions of an award under this section to relief as is appropriate under the circumstances considering, among other factors:
(1)    The support needs of the beneficiary, the spouse of the beneficiary, the former spouse of the beneficiary, and the dependent children of the beneficiary;
(2)    With respect to a beneficiary that is the recipient of public benefits, the supplemental needs of the beneficiary if the trust was not intended to provide for the basic support of the beneficiary; and
(3)    The amount of the claim of the creditor or assignee and the likely proceeds that a sale would produce as compared to the potential value of the interest to the beneficiary.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 5 - Creditor's Claims; Spendthrift and Discretionary Trusts › Section 14.5-502 - Discretionary Distribution Provision

(a)    (1)    A beneficiary of a discretionary distribution provision has no property right in a trust interest that is subject to a discretionary distribution provision.
(2)    A beneficial interest that is subject to a discretionary distribution provision may not be judicially foreclosed, attached by a creditor, or transferred by the beneficiary.
(b)    (1)    The creditor of the beneficiary of a discretionary distribution provision created by someone other than that beneficiary has no enforceable right to trust income or principal that may be distributed only in the exercise of the discretion of the trustee.
(2)    Trust property that is subject to a discretionary distribution provision is not subject to the enforcement of a judgment until income or principal or both is distributed directly to the beneficiary.
(c)    A creditor of a beneficiary may not compel a distribution that is subject to a discretionary distribution provision created by someone other than that beneficiary.
(d)    A trust may contain a discretionary distribution provision with respect to one or more but less than all beneficiaries.
(e)    If a beneficiary of a discretionary distribution provision has a power of withdrawal created by someone other than that beneficiary:
(1)    During the period the power may be exercised, the portion of the trust the beneficiary may withdraw may not be deemed to be subject to the discretionary distribution provision with respect to that beneficiary;
(2)    During the period the power may be exercised, the portion of the trust the beneficiary may not withdraw shall be deemed to be subject to the discretionary distribution provision with respect to that beneficiary; and
(3)    During periods in which the beneficiary does not have a power of withdrawal, the trust interest of the beneficiary shall be deemed to be subject to the discretionary distribution provision with respect to that beneficiary.
(f)    If a beneficiary and one or more others have made contributions to a trust subject to a discretionary distribution provision, the portion of the trust attributable to the contributions of the beneficiary may not be deemed to be subject to that discretionary distribution provision with respect to that beneficiary, but the portion of the trust attributable to the contributions of others shall be deemed to be subject to the discretionary distribution provision with respect to that beneficiary.
(g)    The interest of a beneficiary who is blind or disabled as defined in 42 U.S.C. § 1382c(a)(3) may be subject to a discretionary distribution provision notwithstanding:
(1)    Precatory language in the trust instrument regarding the intended purpose of the trust of providing supplemental goods and services to or for the benefit of the beneficiary, and not to supplant benefits from public assistance programs; or
(2)    A prohibition against providing food, clothing, and shelter to the beneficiary.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 5 - Creditor's Claims; Spendthrift and Discretionary Trusts › Section 14.5-503 - Effect of Support Provision

(a)    Except as provided in §§ 14.5–505 and 14.5–506(b) of this subtitle:
(1)    A beneficial interest that is subject to a support provision may not be judicially foreclosed, attached by a creditor, or transferred by the beneficiary; and
(2)    Trust property that is subject to a support provision is not subject to the enforcement of a judgment until income or principal or both is distributed directly to the beneficiary.
(b)    (1)    The use, occupancy, and enjoyment of a single parcel of residential real property, as designated by the trustee, and tangible personal property by a beneficiary whose interest is subject to a support provision may not be transferred by the beneficiary of the use, occupancy, or enjoyment.
(2)    The use, occupancy, and enjoyment described in paragraph (1) of this subsection are not subject to the enforcement of a judgment against the beneficiary.
2023 Maryland Statutes › Estates and Trusts › Title 14.5 - Maryland Trust Act › Subtitle 5 - Creditor's Claims; Spendthrift and Discretionary Trusts › Section 14.5-504 - Spendthrift Provisions

(a)    A spendthrift provision is valid and enforceable.
(b)    A provision of a trust providing that the interest of a beneficiary is held subject to a “spendthrift trust”, or words of similar import, restrains both voluntary and involuntary transfer of the beneficiary’s interest.
(c)    A beneficial interest that is subject to a spendthrift provision may not be judicially foreclosed or attached by a creditor.
(d)    (1)    A beneficiary may not transfer an interest in a trust in violation of a valid spendthrift provision and, except as otherwise provided in this subtitle, a creditor or an assignee of the beneficiary may not reach the interest or a distribution by the trustee before the receipt by the beneficiary of the interest or distribution.
(2)    An attempt by a beneficiary to transfer an interest in a trust in violation of a valid spendthrift provision shall be void and of no effect.
(e)    (1)    The use, occupancy, and enjoyment of a single parcel of residential real property, as designated by the trustee, and tangible personal property by a beneficiary whose interest is subject to a spendthrift provision may not be transferred.
(2)    The use, occupancy, and enjoyment described in paragraph (1) of this subsection are not subject to the enforcement of a judgment against the beneficiary.