reglab/statecodes huggingface dataset:
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 38. Montana Uniform Trust Code › Part 10. Liability of Trustees and Rights of Persons Dealing with Trustee › 72-38-1012. Protection of person dealing with trustee

72-38-1012. Protection of person dealing with trustee.
(1) A person other than a beneficiary who in good faith assists a trustee or who in good faith and for value deals with a trustee without knowledge that the trustee is exceeding or improperly exercising the trustee's powers is protected from liability as if the trustee properly exercised the power.
(2) A person other than a beneficiary who in good faith deals with a trustee is not required to inquire into the extent of the trustee's powers or the propriety of their exercise.
(3) A person who in good faith delivers assets to a trustee need not ensure their proper application.
(4) A person other than a beneficiary who in good faith assists a former trustee or who in good faith and for value deals with a former trustee without knowledge that the trusteeship has terminated is protected from liability as if the former trustee were still a trustee.
(5) Comparable protective provisions of other laws relating to commercial transactions or transfer of securities by fiduciaries prevail over the protection provided by this section.
History: En. Sec. 129, Ch. 264, L. 2013.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 38. Montana Uniform Trust Code › Part 10. Liability of Trustees and Rights of Persons Dealing with Trustee › 72-38-1013. Certification of trust

72-38-1013. Certification of trust.
(1) Instead of furnishing a copy of the trust instrument to a person other than a beneficiary, the trustee may furnish to the person a certification of trust containing the following information:
(a) that the trust exists and the date the trust instrument was executed;
(b) the identity of the settlor;
(c) the identity and address of the currently acting trustee;
(d) the relevant powers of the trustee;
(e) the revocability or irrevocability of the trust and the identity of any person holding a power to revoke the trust;
(f) the authority of cotrustees to sign or otherwise authenticate and whether all or less than all are required in order to exercise powers of the trustee; and
(g) if the governing law of the trust is not the law of Montana, the identity of the state whose laws govern the trust.
(2) A certification of trust may be signed or otherwise authenticated by any trustee. Upon request, the trustee shall acknowledge the certification in order that the certification may be recorded.
(3) A certification of trust must state that the trust has not been revoked, modified, or amended in any manner that would cause the representations contained in the certification of trust to be incorrect.
(4) A certification of trust need not contain the dispositive terms of a trust.
(5) A recipient of a certification of trust may require the trustee to furnish copies of those excerpts from the original trust instrument and later amendments that designate the trustee and confer upon the trustee the power to act in the pending transaction.
(6) A person who acts in reliance upon a certification of trust without knowledge that the representations contained therein are incorrect is not liable to any person for so acting and may assume without inquiry the existence of the facts contained in the certification. Knowledge of the terms of the trust may not be inferred solely from the fact that a copy of all or part of the trust instrument is held by the person relying upon the certification.
(7) A person who in good faith enters into a transaction in reliance upon a certification of trust may enforce the transaction against the trust property as if the representations contained in the certification were correct.
(8) A person making a demand for the trust instrument in addition to a certification of trust or excerpts is liable for damages if the court determines that the person did not act in good faith in demanding the trust instrument.
(9) This section does not limit the right of a person to obtain a copy of the trust instrument when required to be furnished by law or in a judicial proceeding concerning the trust.
(10) A certification under subsection (1)(g) may not be construed as constituting consent by any person receiving a certification of trust to the jurisdiction or application of laws of any state.
History: En. Sec. 130, Ch. 264, L. 2013; amd. Sec. 5, Ch. 181, L. 2015.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 38. Montana Uniform Trust Code › Part 11. Miscellaneous Provisions › 72-38-1101. Uniformity of application and construction

72-38-1101. Uniformity of application and construction.
In applying and construing this chapter, consideration must be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it.
History: En. Sec. 131, Ch. 264, L. 2013.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 38. Montana Uniform Trust Code › Part 11. Miscellaneous Provisions › 72-38-1102. Electronic records and signatures

72-38-1102. Electronic records and signatures.
The provisions of this chapter governing the legal effect, validity, or enforceability of electronic records or electronic signatures and of contracts formed or performed with the use of such records or signatures conform to the requirements of section 102 of the Electronic Signatures in Global and National Commerce Act (15 U.S.C. 7002) and supersede, modify, and limit the requirements of the Electronic Signatures in Global and National Commerce Act.
History: En. Sec. 132, Ch. 264, L. 2013.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 38. Montana Uniform Trust Code › Part 11. Miscellaneous Provisions › 72-38-1103. Limit on charitable trust requirement

72-38-1103. Limit on charitable trust requirement.
(1) Except as provided in subsections (2) and (3), a state agency or state official may not impose any annual filing or reporting requirements on a charitable trust that are more stringent, restrictive, or expansive than the requirements authorized under Montana law.
(2) Subsection (1) does not apply to state grants and contracts, fraud investigations, or enforcement actions against specific charitable trusts.
(3) Subsection (1) may not be construed to impact the authority of the attorney general to act as a qualified beneficiary for a charitable trust pursuant to 72-38-221.
History: En. Sec. 2, Ch. 458, L. 2023.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 1. General Provisions › 72-39-101. Short title

72-39-101. Short title.
This chapter may be cited as the "Uniform Trust Decanting Act".
History: En. Sec. 1, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 1. General Provisions › 72-39-103. Scope

72-39-103. Scope.
(1) Except as provided in subsections (2) and (3), this chapter applies to an express trust that is irrevocable or revocable by the settlor only with the consent of the trustee or a person holding an adverse interest.
(2) This chapter does not apply to a trust held solely for charitable purposes.
(3) Subject to 72-39-211, a trust instrument may restrict or prohibit exercise of the decanting power.
(4) This chapter does not limit the power of a trustee, powerholder, or other person to distribute or appoint property in further trust or to modify a trust under the trust instrument, law of this state other than this chapter, common law, a court order, or a nonjudicial settlement agreement.
(5) This chapter does not affect the ability of a settlor to provide in a trust instrument for the distribution of the trust property or appointment in further trust of the trust property or for modification of the trust instrument.
History: En. Sec. 3, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 1. General Provisions › 72-39-104. Application -- governing law

72-39-104. Application -- governing law.
This chapter applies to a trust created before, on, or after October 1, 2021 that:
(1) has its principal place of administration in this state, including a trust whose principal place of administration has been changed to this state; or
(2) provides by its trust instrument that is governed by the law of this state or is governed by the law of this state for the purpose of:
(a) administration, including administration of a trust whose governing law for purposes of administration has been changed to the law of this state;
(b) construction of terms of the trust; or
(c) determining the meaning or effect of terms of the trust.
History: En. Sec. 5, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-201. Fiduciary duty

72-39-201. Fiduciary duty.
(1) In exercising the decanting power, an authorized fiduciary shall act in accordance with its fiduciary duties, including the duty to act in accordance with the purposes of the first trust.
(2) This chapter does not create or imply a duty to exercise the decanting power or to inform beneficiaries about the applicability of this chapter.
(3) Except as otherwise provided in a first-trust instrument, for purposes of this chapter and 72-38-801 and 72-38-802(1), the terms of the first trust are deemed to include the decanting power.
History: En. Sec. 4, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-202. Reasonable reliance

72-39-202. Reasonable reliance.
A trustee or other person that reasonably relies on the validity of a distribution of part or all of the property of a trust to another trust, or a modification of a trust, under this chapter, law of this state other than this chapter, or the law of another jurisdiction is not liable to any person for any action or failure to act as a result of the reliance.
History: En. Sec. 6, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-203. Notice -- exercise of decanting power

72-39-203. Notice -- exercise of decanting power.
(1) In this section, a notice period begins on the day notice is given under subsection (3) and ends 60 days after the day notice is given.
(2) Except as otherwise provided in this chapter, an authorized fiduciary may exercise the decanting power without the consent of any person and without court approval.
(3) Except as otherwise provided in subsection (6), an authorized fiduciary shall give notice in a record of the intended exercise of the decanting power not later than 60 days, exclusive of the day notice is given, before the exercise to:
(a) each settlor of the first trust, if living or then in existence;
(b) each qualified beneficiary of the first trust;
(c) each holder of a presently exercisable power of appointment over any part or all of the first trust;
(d) each person that currently has the right to remove or replace the authorized fiduciary;
(e) each other fiduciary of the first trust;
(f) each fiduciary of the second trust; and
(g) the attorney general, if 72-39-210(2) applies.
(4) An authorized fiduciary is not required to give notice under subsection (3) to a person that is not known to the fiduciary or is known to the fiduciary but cannot be located by the fiduciary after reasonable diligence.
(5) A notice under subsection (3) must:
(a) specify the manner in which the authorized fiduciary intends to exercise the decanting power;
(b) specify the proposed effective date for exercise of the power;
(c) include a copy of the first-trust instrument; and
(d) include a copy of all second-trust instruments.
(6) The decanting power may be exercised before expiration of the notice period under subsection (1) if all persons entitled to receive notice waive the period in a signed record.
(7) The receipt of notice, waiver of the notice period, or expiration of the notice period does not affect the right of a person to file an application under 72-39-205 asserting that:
(a) an attempted exercise of the decanting power is ineffective because it did not comply with this chapter or was an abuse of discretion or breach of fiduciary duty; or
(b) 72-39-218 applies to the exercise of the decanting power.
(8) An exercise of the decanting power is not ineffective because of the failure to give notice to one or more persons under subsection (3) if the authorized fiduciary acted with reasonable care to comply with subsection (3).
History: En. Sec. 7, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-204. Representation

72-39-204. Representation.
(1) Notice to a person with authority to represent and bind another person under a first-trust instrument or Title 72, chapter 38, part 3, has the same effect as notice given directly to the person represented.
(2) Consent of or waiver by a person with authority to represent and bind another person under a first-trust instrument or Title 72, chapter 38, part 3, is binding on the person represented unless the person represented objects to the representation before the consent or waiver otherwise would become effective.
(3) A person with authority to represent and bind another person under a first-trust instrument or Title 72, chapter 38, part 3, may file an application under 72-39-205 on behalf of the person represented.
(4) A settlor may not represent or bind a beneficiary under this chapter.
History: En. Sec. 8, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-205. Court involvement

72-39-205. Court involvement.
(1) On application of an authorized fiduciary, a person entitled to notice under 72-39-203(3), a beneficiary, or with respect to a charitable interest the attorney general or other person that has standing to enforce the charitable interest, the court may:
(a) provide instructions to the authorized fiduciary regarding whether a proposed exercise of the decanting power is permitted under this chapter and consistent with the fiduciary duties of the authorized fiduciary;
(b) appoint a special fiduciary and authorize the special fiduciary to determine whether the decanting power should be exercised under this chapter and to exercise the decanting power;
(c) approve an exercise of the decanting power;
(d) determine that a proposed or attempted exercise of the decanting power is ineffective because:
(i) after applying 72-39-218, the proposed or attempted exercise does not or did not comply with this chapter; or
(ii) the proposed or attempted exercise would be or was an abuse of the fiduciary's discretion or a breach of fiduciary duty;
(e) determine the extent to which 72-39-218 applies to a prior exercise of the decanting power;
(f) provide instructions to the trustee regarding the application of 72-39-218 to a prior exercise of the decanting power; or
(g) order other relief to carry out the purposes of this chapter.
(2) On application of an authorized fiduciary, the court may approve:
(a) an increase in the fiduciary's compensation under 72-39-212; or
(b) a modification under 72-39-214 of a provision granting a person the right to remove or replace the fiduciary.
History: En. Sec. 9, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-206. Formalities

72-39-206. Formalities.
An exercise of the decanting power must be made in a record signed by an authorized fiduciary. The signed record must, directly or by reference to the notice required by 72-39-203, identify the first trust and the second trust or trusts and state the property of the first trust being distributed to each second trust and the property, if any, that remains in the first trust.
History: En. Sec. 10, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-208. Decanting power under limited distributive discretion

72-39-208. Decanting power under limited distributive discretion.
(1) In this section, "limited distributive discretion" means a discretionary power of distribution that is limited to an ascertainable standard or a reasonably definite standard.
(2) An authorized fiduciary that has limited distributive discretion over the principal of the first trust for benefit of one or more current beneficiaries may exercise the decanting power over the principal of the first trust.
(3) Under this section and subject to 72-39-210, a second trust may be created or administered under the law of any jurisdiction. Under this section, the second trusts, in the aggregate, must grant each beneficiary of the first trust beneficial interests that are substantially similar to the beneficial interests of the beneficiary in the first trust.
(4) A power to make a distribution under a second trust for the benefit of a beneficiary who is an individual is substantially similar to a power under the first trust to make a distribution directly to the beneficiary. A distribution is for the benefit of a beneficiary if:
(a) the distribution is applied for the benefit of the beneficiary;
(b) the beneficiary is under a legal disability or the trustee reasonably believes the beneficiary is incapacitated, and the distribution is made as permitted under the Montana Uniform Trust Code; or
(c) the distribution is made as permitted under the terms of the first-trust instrument and the second-trust instrument for the benefit of the beneficiary.
(5) If an authorized fiduciary has limited distributive discretion over part but not all of the principal of a first trust, the fiduciary may exercise the decanting power under this section over that part of the principal over which the authorized fiduciary has limited distributive discretion.
History: En. Sec. 12, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-209. Trust for beneficiary with disability

72-39-209. Trust for beneficiary with disability.
(1) In this section:
(a) "Beneficiary with a disability" means a beneficiary of a first trust who the special-needs fiduciary believes may qualify for governmental benefits based on disability, whether or not the beneficiary currently receives those benefits or is an individual who has been adjudicated incapacitated.
(b) "Governmental benefits" means financial aid or services from a state, federal, or other public agency.
(c) "Special-needs fiduciary" means, with respect to a trust that has a beneficiary with a disability:
(i) a trustee or other fiduciary, other than a settlor, that has discretion to distribute part or all of the principal of a first trust to one or more current beneficiaries;
(ii) if no trustee or fiduciary has discretion under subsection (1)(c)(i), a trustee or other fiduciary, other than a settlor, that has discretion to distribute part or all of the income of the first trust to one or more current beneficiaries; or
(iii) if no trustee or fiduciary has discretion under subsections (1)(c)(i) and (1)(c)(ii), a trustee or other fiduciary, other than a settlor, that is required to distribute part or all of the income or principal of the first trust to one or more current beneficiaries.
(d) "Special-needs trust" means a trust the trustee believes would not be considered a resource for purposes of determining whether a beneficiary with a disability is eligible for governmental benefits.
(2) A special-needs fiduciary may exercise the decanting power under 72-39-207 over the principal of the first trust as if the fiduciary had authority to distribute principal to a beneficiary with a disability subject to expanded distributive discretion if:
(a) a second trust is a special-needs trust that benefits the beneficiary with a disability; and
(b) the special-needs fiduciary determines that exercise of the decanting power will further the purposes of the first trust.
(3) In an exercise of the decanting power under this section, the following rules apply:
(a) Notwithstanding 72-39-207(3)(b), the interest in the second trust of a beneficiary with a disability may:
(i) be a pooled trust as defined by medicaid law for the benefit of the beneficiary with a disability under 42 U.S.C. 1396p(d)(4)(C), as amended; or
(ii) contain payback provisions complying with reimbursement requirements of medicaid law under 42 U.S.C. 1396p(d)(4)(A), as amended.
(b) 72-39-207(3)(c) does not apply to the interests of the beneficiary with a disability.
(c) Except as affected by any change to the interests of the beneficiary with a disability, the second trust, or if there are two or more second trusts, the second trusts in the aggregate, must grant each other beneficiary of the first trust beneficial interests in the second trusts that are substantially similar to the beneficiary's beneficial interests in the first trust.
History: En. Sec. 13, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-210. Protection of charitable interest

72-39-210. Protection of charitable interest.
(1) In this section:
(a) "Determinable charitable interest" means a charitable interest that is a right to a mandatory distribution currently, periodically, on the occurrence of a specified event, or after the passage of a specified time and which is unconditional or will be held solely for charitable purposes.
(b) "Unconditional" means not subject to the occurrence of a specified event that is not certain to occur, other than a requirement in a trust instrument that a charitable organization be in existence or qualify under a particular provision of the United States Internal Revenue Code of 1986, as amended, on the date of the distribution, if the charitable organization meets the requirement on the date of determination.
(2) If a first trust contains a determinable charitable interest, the attorney general has the rights of a qualified beneficiary and may represent and bind the charitable interest.
(3) If a first trust contains a charitable interest, the second trust or trusts may not:
(a) diminish the charitable interest;
(b) diminish the interest of an identified charitable organization that holds the charitable interest;
(c) alter any charitable purpose stated in the first-trust instrument; or
(d) alter any condition or restriction related to the charitable interest.
(4) If there are two or more second trusts, the second trusts must be treated as one trust for purposes of determining whether the exercise of the decanting power diminishes the charitable interest or diminishes the interest of an identified charitable organization for purposes of subsection (3).
(5) If a first trust contains a determinable charitable interest, the second trust or trusts that include a charitable interest pursuant to subsection (3) must be administered under the law of this state unless:
(a) the attorney general, after receiving notice under 72-39-203, fails to object in a signed record delivered to the authorized fiduciary within the notice period;
(b) the attorney general consents in a signed record to the second trust or trusts being administered under the law of another jurisdiction; or
(c) the court approves the exercise of the decanting power.
(6) This chapter does not limit the powers and duties of the attorney general under law of this state other than this chapter.
History: En. Sec. 14, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-211. Trust limitation on decanting

72-39-211. Trust limitation on decanting.
(1) An authorized fiduciary may not exercise the decanting power to the extent the first-trust instrument expressly prohibits exercise of:
(a) the decanting power; or
(b) a power granted by state law to the fiduciary to distribute part or all of the principal of the trust to another trust or to modify the trust.
(2) Exercise of the decanting power is subject to any restriction in the first-trust instrument that expressly applies to exercise of:
(a) the decanting power; or
(b) a power granted by state law to a fiduciary to distribute part or all of the principal of the trust to another trust or to modify the trust.
(3) A general prohibition of the amendment or revocation of a first trust, a spendthrift clause, or a clause restraining the voluntary or involuntary transfer of a beneficiary's interest does not preclude exercise of the decanting power.
(4) Subject to subsections (1) and (2), an authorized fiduciary may exercise the decanting power under this chapter even if the first-trust instrument permits the authorized fiduciary or another person to modify the first-trust instrument or to distribute part or all of the principal of the first trust to another trust.
(5) If a first-trust instrument contains an express prohibition described in subsection (1) or an express restriction described in subsection (2), the provision must be included in the second-trust instrument.
History: En. Sec. 15, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-212. Change in compensation

72-39-212. Change in compensation.
(1) If a first-trust instrument specifies an authorized fiduciary's compensation, the fiduciary may not exercise the decanting power to increase the fiduciary's compensation above the specified compensation unless:
(a) all qualified beneficiaries of the second trust consent to the increase in a signed record; or
(b) the increase is approved by the court.
(2) If a first-trust instrument does not specify an authorized fiduciary's compensation, the fiduciary may not exercise the decanting power to increase the fiduciary's compensation above the compensation permitted by the Montana Uniform Trust Code unless:
(a) all qualified beneficiaries of the second trust consent to the increase in a signed record; or
(b) the increase is approved by the court.
(3) A change in an authorized fiduciary's compensation that is incidental to other changes made by the exercise of the decanting power is not an increase in the fiduciary's compensation for purposes of subsections (1) and (2).
History: En. Sec. 16, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-213. Relief from liability and indemnification

72-39-213. Relief from liability and indemnification.
(1) Except as otherwise provided in this section, a second-trust instrument may not relieve an authorized fiduciary from liability for breach of trust to a greater extent than the first-trust instrument.
(2) A second-trust instrument may provide for indemnification of an authorized fiduciary of the first trust or another person acting in a fiduciary capacity under the first trust for any liability or claim that would have been payable from the first trust if the decanting power had not been exercised.
(3) A second-trust instrument may not reduce fiduciary liability in the aggregate.
(4) Subject to subsection (3), a second-trust instrument may divide and reallocate fiduciary powers among fiduciaries, including one or more trustees, distribution advisors, investment advisors, trust protectors, or other persons, and relieve a fiduciary from liability for an act or failure to act of another fiduciary as permitted by law of this state other than this chapter.
History: En. Sec. 17, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-214. Removal or replacement of authorized fiduciary

72-39-214. Removal or replacement of authorized fiduciary.
An authorized fiduciary may not exercise the decanting power to modify a provision in a first-trust instrument granting another person power to remove or replace the fiduciary unless:
(1) the person holding the power consents to the modification in a signed record and the modification applies only to the person;
(2) the person holding the power and the qualified beneficiaries of the second trust consent to the modification in a signed record and the modification grants a substantially similar power to another person; or
(3) the court approves the modification and the modification grants a substantially similar power to another person.
History: En. Sec. 18, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-216. Duration of second trust

72-39-216. Duration of second trust.
(1) Subject to subsection (2), a second trust may have a duration that is the same as or different from the duration of the first trust.
(2) To the extent that property of a second trust is attributable to property of the first trust, the property of the second trust is subject to any rules governing maximum perpetuity, accumulation, or suspension of the power of alienation, which apply to property of the first trust.
History: En. Sec. 20, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-217. Need to distribute not required

72-39-217. Need to distribute not required.
An authorized fiduciary may exercise the decanting power whether or not under the first trust's discretionary distribution standard the fiduciary would have made or could have been compelled to make a discretionary distribution of principal at the time of the exercise.
History: En. Sec. 21, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-218. Saving provision

72-39-218. Saving provision.
(1) If exercise of the decanting power would be effective under this chapter except that the second-trust instrument in part does not comply with this chapter, the exercise of the power is effective and the following rules apply with respect to the principal of the second trust attributable to the exercise of the power:
(a) A provision in the second-trust instrument that is not permitted under this chapter is void to the extent necessary to comply with this chapter.
(b) A provision required by this chapter to be in the second-trust instrument that is not contained in the instrument is deemed to be included in the instrument to the extent necessary to comply with this chapter.
(2) If a trustee or other fiduciary of a second trust determines that subsection (1) applies to a prior exercise of the decanting power, the fiduciary shall take corrective action consistent with the fiduciary's duties.
History: En. Sec. 22, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-219. Trust for care of animal

72-39-219. Trust for care of animal.
(1) In this section:
(a) "Animal trust" means a trust or an interest in a trust created to provide for the care of one or more animals.
(b) "Protector" means a person appointed in an animal trust to enforce the trust on behalf of the animal or, if no such person is appointed in the trust, a person appointed by the court for that purpose.
(2) The decanting power may be exercised over an animal trust that has a protector to the extent the trust could be decanted under this chapter if each animal that benefits from the trust were an individual, if the protector consents in a signed record to the exercise of the power.
(3) A protector for an animal has the rights under this chapter of a qualified beneficiary.
(4) Notwithstanding any other provision of this chapter, if a first trust is an animal trust, in an exercise of the decanting power, the second trust must provide that trust property may be applied only to its intended purpose for the period the first trust benefitted the animal.
History: En. Sec. 23, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-220. Terms of second trust

72-39-220. Terms of second trust.
A reference in Title 72, chapter 38, to a trust instrument or terms of the trust includes a second-trust instrument and the terms of the second trust.
History: En. Sec. 24, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-221. Settlor

72-39-221. Settlor.
(1) For purposes of law of this state other than this chapter and subject to subsection (2), a settlor of a first trust is deemed to be the settlor of the second trust with respect to the portion of the principal of the first trust subject to the exercise of the decanting power.
(2) In determining settlor intent with respect to a second trust, the intent of a settlor of the first trust, a settlor of the second trust, and the authorized fiduciary may be considered.
History: En. Sec. 25, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-222. Later-discovered property

72-39-222. Later-discovered property.
(1) Except as otherwise provided in subsection (3), if exercise of the decanting power was intended to distribute all the principal of the first trust to one or more second trusts, later-discovered property belonging to the first trust and property paid to or acquired by the first trust after the exercise of the power is part of the trust estate of the second trust or trusts.
(2) Except as otherwise provided in subsection (3), if exercise of the decanting power was intended to distribute less than all the principal of the first trust to one or more second trusts, later-discovered property belonging to the first trust or property paid to or acquired by the first trust after exercise of the power remains part of the trust estate of the first trust.
(3) An authorized fiduciary may provide in an exercise of the decanting power or by the terms of a second trust for disposition of later-discovered property belonging to the first trust or property paid to or acquired by the first trust after exercise of the power.
History: En. Sec. 26, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 2. Decanting › 72-39-223. Obligations

72-39-223. Obligations.
A debt, liability, or other obligation enforceable against property of a first trust is enforceable to the same extent against the property when held by the second trust after exercise of the decanting power.
History: En. Sec. 27, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 3. Miscellaneous Provisions › 72-39-301. Uniformity of application and construction

72-39-301. Uniformity of application and construction.
In applying and construing this uniform act, consideration must be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it.
History: En. Sec. 28, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 3. Miscellaneous Provisions › 72-39-302. Relation to electronic signatures in global and national commerce act

72-39-302. Relation to electronic signatures in global and national commerce act.
This chapter modifies, limits, or supersedes the Electronic Signatures in Global and National Commerce Act, 15 U.S.C. 7001, et seq., but does not modify, limit, or supersede section 101(c) of that act, 15 U.S.C. 7001(c), or authorize electronic delivery of any of the notices described in section 103(b) of that act, 15 U.S.C. 7003(b).
History: En. Sec. 29, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 39. Uniform Trust Decanting Act › Part 3. Miscellaneous Provisions › 72-39-303. Common law of trusts -- principles of equity

72-39-303. Common law of trusts -- principles of equity.
The common law of trusts and principles of equity supplement this chapter except to the extent modified by this chapter or another statute of this state.
History: En. Sec. 30, Ch. 177, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 40. Uniform Directed Trust Act › Part 1. General Provisions › 72-40-101. Short title

72-40-101. Short title.
This part may be cited as the "Uniform Directed Trust Act".
History: En. Sec. 1, Ch. 325, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 40. Uniform Directed Trust Act › Part 1. General Provisions › 72-40-102. Definitions

72-40-102. Definitions.
In this part, the following definitions apply:
(1) "Breach of trust" includes a violation by a trust director or trustee of a duty imposed on that director or trustee by the terms of the trust, this part, or law of this state other than this part pertaining to trusts.
(2) "Directed trust" means a trust for which the terms of the trust grant a power of direction.
(3) "Directed trustee" means a trustee that is subject to a trust director's power of direction.
(4) "Person" has the meaning in 72-38-103.
(5) "Power of direction" means a power over a trust granted to a person by the terms of the trust to the extent the power is exercisable while the person is not serving as a trustee. The term includes a power over the investment, management, or distribution of trust property or other matters of trust administration. The term excludes the powers described in 72-40-105(2).
(6) "Settlor" has the meaning in 72-38-103.
(7) "State" has the meaning in 72-38-103.
(8) "Terms of a trust" means:
(a) except as otherwise provided in subsection (8)(b), the manifestation of the settlor's intent regarding a trust's provision as:
(i) expressed in the trust instrument; or
(ii) established by other evidence that would be admissible in a judicial proceeding; or
(b) the trust's provisions as established, determined, or amended by:
(i) a trustee or trust director in accordance with applicable law;
(ii) court order; or
(iii) a nonjudicial settlement agreement under 72-38-111.
(9) "Trust director" means a person that is granted a power of direction by the terms of a trust to the extent the power is exercisable while the person is not serving as a trustee. The person is a trust director whether or not the terms of the trust refer to the person as a trust director and whether or not the person is a beneficiary or settlor of the trust.
(10) "Trustee" has the meaning in 72-38-103.
History: En. Sec. 2, Ch. 325, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 40. Uniform Directed Trust Act › Part 1. General Provisions › 72-40-103. Application -- principal place of administration

72-40-103. Application -- principal place of administration.
(1) This part applies to a trust, whenever created, that has its principal place of administration in this state, subject to the following rules:
(a) if the trust was created before October 1, 2021, this part applies only to a decision or action occurring on or after October 1, 2021; and
(b) if the principal place of administration of the trust is changed to this state on or after October 1, 2021, this part applies only to a decision or action occurring on or after the date of the change.
(2) Without precluding other means to establish a sufficient connection with the designated jurisdiction in a directed trust, terms of the trust that designate the principal place of administration of the trust are valid and controlling if:
(a) a principal place of business is located in or a trustee is a resident of the designated jurisdiction;
(b) a trust director's principal place of business is located in or a trust director is a resident of the designated jurisdiction; or
(c) all or part of the administration occurs in the designated jurisdiction.
History: En. Sec. 3, Ch. 325, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 40. Uniform Directed Trust Act › Part 1. General Provisions › 72-40-104. Common law and principles of equity

72-40-104. Common law and principles of equity.
The common law and principles of equity supplement this part, except to the extent modified by this part or law of this state other than this part.
History: En. Sec. 4, Ch. 325, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 40. Uniform Directed Trust Act › Part 1. General Provisions › 72-40-105. Exclusions

72-40-105. Exclusions.
(1) In this section, "power of appointment" means a power that enables a person acting in a nonfiduciary capacity to designate a recipient of an ownership interest in or another power of appointment over trust property.
(2) This part does not apply to a:
(a) power of appointment;
(b) power to appoint or remove a trustee or trust director;
(c) power of a settlor over a trust to the extent the settlor has a power to revoke the trust;
(d) power of a beneficiary over a trust to the extent the exercise or nonexercise of the power affects the beneficial interest of:
(i) the beneficiary; or
(ii) another beneficiary represented by the beneficiary under 72-38-301 through 72-38-305 with respect to the exercise or nonexercise of the power; or
(e) power over a trust if:
(i) the terms of the trust provide that the power is held in a nonfiduciary capacity; and
(ii) the power must be held in a nonfiduciary capacity to achieve the settlor's tax objectives under the United States Internal Revenue Code of 1986, as amended, and regulations issued under it, as amended.
(3) Unless the terms of a trust provide otherwise, a power granted to a person to designate a recipient of an ownership interest in or power of appointment over trust property, which is exercisable while the person is not serving as a trustee, is a power of appointment and not a power of direction.
History: En. Sec. 5, Ch. 325, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 40. Uniform Directed Trust Act › Part 1. General Provisions › 72-40-110. Powers of trust director

72-40-110. Powers of trust director.
(1) Subject to 72-40-111, the terms of a trust may grant a power of direction to a trust director.
(2) Unless the terms of a trust provide otherwise:
(a) a trust director may exercise any further power appropriate to the exercise or nonexercise of a power of direction granted to the director under subsection (1); and
(b) trust directors with joint powers shall act by majority decision.
History: En. Sec. 6, Ch. 325, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 40. Uniform Directed Trust Act › Part 1. General Provisions › 72-40-111. Limitations on trust director

72-40-111. Limitations on trust director.
A trust director is subject to the same rules as a trustee in a like position and under similar circumstances in the exercise or nonexercise of a power of direction or further power under 72-40-110(2)(a) regarding:
(1) a payback provision in the terms of a trust necessary to comply with the reimbursement requirements of medicaid law in section 1917 of the Social Security Act, 42 U.S.C. 1396p(d)(4)(A), as amended, and regulations issued under it, as amended; and
(2) a charitable interest in the trust, including notice regarding the interest to the attorney general.
History: En. Sec. 7, Ch. 325, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 40. Uniform Directed Trust Act › Part 1. General Provisions › 72-40-112. Duty and liability of trust director

72-40-112. Duty and liability of trust director.
(1) Subject to subsection (2), with respect to a power of direction or further power under 72-40-110(2)(a):
(a) a trust director has the same fiduciary duty and liability in the exercise or nonexercise of the power:
(i) if the power is held individually, as a sole trustee in a like position and under similar circumstances; or
(ii) if the power is held jointly with a trustee or another trust director, as a cotrustee in a like position and under similar circumstances; and
(b) the terms of the trust may vary the director's duty or liability to the same extent the terms of the trust could vary the duty or liability of a trustee in a like position and under similar circumstances.
(2) Unless the terms of a trust provide otherwise, if a trust director is licensed, certified, or otherwise authorized or permitted by law other than this part to provide health care in the ordinary course of the director's business or practice of a profession, to the extent the director acts in that capacity, the director has no duty or liability under this part.
(3) The terms of a trust may impose a duty or liability on a trust director in addition to the duties and liabilities under this section.
History: En. Sec. 8, Ch. 325, L. 2021.
2023 Montana Code Annotated › Title 72. Estates, Trusts, and Fiduciary Relationships › Chapter 40. Uniform Directed Trust Act › Part 1. General Provisions › 72-40-113. Duty and liability of directed trustee

72-40-113. Duty and liability of directed trustee.
(1) Subject to subsection (2), a directed trustee shall take reasonable action to comply with a trust director's exercise or nonexercise of a power of direction or further power under 72-40-110(2)(a), and the trustee is not liable for the action.
(2) A directed trustee may not comply with a trust director's exercise or nonexercise of a power of direction or further power under 72-40-110(2)(a) to the extent that by complying the trustee would engage in willful misconduct.
(3) An exercise of a power of direction under which a trust director may release a trustee or another trust director from liability for breach of trust is not effective if:
(a) the breach involved the trustee's or other director's willful misconduct;
(b) the release was induced by improper conduct of the trustee or other director in procuring the release; or
(c) at the time of the release, the director did not know the material facts relating to the breach.
(4) A directed trustee that has reasonable doubt about its duty under this section may petition the court for instructions.
(5) The terms of a trust may impose a duty or liability on a directed trustee in addition to the duties and liabilities under this section.
History: En. Sec. 9, Ch. 325, L. 2021.