reglab/statecodes huggingface dataset:
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.260 - Incorporation by reference of powers enumerated in NRS 163.265 to 163.410, inclusive; restriction on exercise of such powers.

1. Except as otherwise expressly provided by a testator in a will or by a settlor in a trust instrument, all of the powers enumerated in NRS 163.265 to 163.410, inclusive, as they exist at the time that the testator signs the will or places his or her electronic signature on the will, if it is an electronic will, or at the time that the first settlor signs the trust instrument or places his or her electronic signature on the trust instrument, if it is an electronic trust, must be incorporated in such will or trust instrument as to the fiduciaries appointed under that will or trust with the same effect as though such language were set forth verbatim in the instrument. Incorporation of the powers contained in NRS 163.265 to 163.410, inclusive, must be in addition to and not in limitation of the common-law or statutory powers of the fiduciary.
2. A fiduciary shall not have or exercise any power or authority conferred as provided in NRS 163.260 to 163.410, inclusive, in such a manner as, in the aggregate, to deprive the trust or the estate involved of an otherwise available tax exemption, deduction or credit, expressly including the marital deduction, or operate to impose a tax upon a donor or testator or other person as owner of any portion of the trust or estate involved. Notwithstanding any other provision of law, any power purportedly granted to a personal representative or a trustee, either in a will or a trust instrument, is void if having or exercising such power would deprive the will or trust of the intended tax consequences. "Tax" includes, but is not limited to, any federal income, gift, estate, generation skipping transfer or inheritance tax.
3. The powers enumerated in NRS 163.265 to 163.410, inclusive, may be incorporated by reference as to any fiduciary appointed in any other kind of instrument or agreement where a fiduciary is appointed.
4. As used in this section, "electronic will" has the meaning ascribed to it in NRS 132.119.
(Added to NRS by 1969, 449; A 2001, 2350; 2009, 793)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.265 - Retention of property.

A fiduciary may retain for such time as the fiduciary deems advisable any property, real or personal, which the fiduciary may receive, even though the retention of such property by reason of its character, amount, proportion to the total estate or otherwise would not be appropriate for the fiduciary apart from this provision.
(Added to NRS by 1969, 449)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.270 - Sale, exchange or other disposition of property.

1. A fiduciary may:
(a) Sell, exchange, give options upon, partition or otherwise dispose of any property or interest therein which the fiduciary may hold from time to time, with or without order of court, at public or private sale or otherwise, upon such terms and conditions, including credit, and for such consideration as the fiduciary deems advisable.
(b) Transfer and convey the property or interest therein which is at the disposal of the fiduciary, in fee simple, absolute or otherwise, free of all trust.
2. The person dealing with the fiduciary has no duty to follow the proceeds or other consideration received by the fiduciary from such sale or exchange.
(Added to NRS by 1969, 449)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.275 - Investments; reinvestments; delegation of authority to invest.

1. A fiduciary may invest and reinvest, as the fiduciary deems advisable:
(a) In stocks, common or preferred, bonds, debentures, notes, mortgages or other securities in or outside the United States;
(b) In insurance contracts on the life of any beneficiary or of any person in whom a beneficiary has an insurable interest, or in annuity contracts for any beneficiary;
(c) In any real or personal property;
(d) In investment trusts;
(e) In participations in common trust funds;
(f) In securities of any corporation, trust, association or fund:
(1) Which is engaged, or proposes to engage, in the business of investing, reinvesting, owning, holding or trading in securities;
(2) Whose assets are invested principally in cash or in securities of other issuers; and
(3) Which is registered as an investment company with the Securities and Exchange Commission; and
(g) Generally in such property as the fiduciary deems advisable, even though the investment is not of the character approved by applicable law but for this section.
2. A fiduciary may delegate the authority to invest, but the fiduciary is not thereby relieved of any liability that exists in the absence of delegation.
(Added to NRS by 1969, 450; A 1985, 17; 1999, 2372)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.285 - Continuation of business.

1. A fiduciary may, to the extent and upon such terms and conditions and for such periods of time as the fiduciary deems necessary or advisable, continue or participate in the operation of any business or other enterprise, whatever its form of organization, including but not limited to the power to:
(a) Effect incorporation, dissolution, or other change in the form of the organization of the business or enterprise;
(b) Dispose of any interest therein or acquire the interest of others therein;
(c) Contribute thereto or invest therein additional capital or to lend money thereto, in any such case upon such terms and conditions as the fiduciary approves from time to time; or
(d) Determine whether the liabilities incurred in the conduct of the business are to be chargeable solely to the part of the estate or trust set aside for use in the business or to the estate or trust as a whole; and
2. In all cases in which the fiduciary is required to file accounts in any court or in any other public office, it is not necessary to itemize receipts and disbursements and distributions of property but it is sufficient for the fiduciary to show in the account a single figure or consolidation of figures; and the fiduciary may account for money and property received from the business and any payments made to the business in lump sum without itemization.
(Added to NRS by 1969, 450)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.290 - Formation of corporation, limited-liability company or other entity.

A fiduciary may form a corporation, limited-liability company or other entity, and transfer, assign and convey to the corporation, limited-liability company or entity all or any part of the estate or of any trust property in exchange for the stock, securities or obligations of the corporation, limited-liability company or entity, and continue to hold the stock and securities and obligations.
(Added to NRS by 1969, 450; A 1999, 2372)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.295 - Continuation of farming operation.

A fiduciary may continue any farming operation received by the fiduciary pursuant to the will, trust or other instrument and do any and all things deemed advisable by the fiduciary in the management and maintenance of such farm and the production and marketing of crops and dairy, poultry, livestock, orchard and the forest products, including, but not limited to, the following powers:
1. To operate the farm with hired labor, tenants or sharecroppers;
2. To lease or rent the farm for cash or for a share of the crops;
3. To purchase or otherwise acquire farm machinery and equipment and livestock;
4. To construct, repair and improve farm buildings of all kinds needed, in the fiduciary’s judgment, for the operation of the farm;
5. To make or obtain loans or advances at the prevailing rate or rates of interest for farm purposes such as for production, harvesting or marketing, or for the construction, repair or improvement of farm buildings, or for the purchase of farm machinery, equipment or livestock;
6. To employ approved soil conservation practices in order to conserve, improve and maintain the fertility and productivity of the soil;
7. To protect, manage and improve the timber and forest on the farm and sell the timber and forest products when it is to the best interest of the estate;
8. To ditch, dam and drain damp or wet fields and areas of the farm when and where needed;
9. To engage in the production of livestock, poultry or dairy products, and to construct such fences and buildings and plant such pastures and crops as may be necessary to carry on such operations;
10. To market the products of the farm; and
11. In general, to employ good husbandry in the farming operation.
(Added to NRS by 1969, 450; A 1999, 2372)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.300 - Management of real property.

In the management of real property a fiduciary may:
1. Improve, manage, protect and subdivide any real property;
2. Dedicate or withdraw from dedication parks, streets, highways or alleys;
3. Terminate any subdivision or part thereof;
4. Borrow money for the purposes authorized by this section for such periods of time and upon such terms and conditions as to rates, maturities and renewals as the fiduciary deems advisable and mortgage or otherwise encumber any such property or part thereof, whether in possession or reversion;
5. Lease any such property or part thereof to commence at the present or in the future, upon such terms and conditions, including options to renew or purchase, and for such period or periods of time as the fiduciary deems advisable although such period or periods may extend beyond the duration of the trust or the administration of the estate involved;
6. Make gravel, sand, oil, gas and other mineral leases, contracts, licenses, conveyances or grants of every nature and kind which are lawful in the jurisdiction in which such property lies;
7. Manage and improve timber and forests on such property, sell the timber and forest products, and make grants, leases and contracts with respect thereto;
8. Modify, renew or extend leases;
9. Employ agents to rent and collect rents;
10. Create easements and release, convey or assign any right, title or interest with respect to any easement on such property or part thereof;
11. Erect, repair or renovate any building or other improvement on such property, and remove or demolish any building or other improvement in whole or in part; and
12. Deal with any such property and every part thereof in all other ways and for such other purposes or considerations as it would be lawful for any person owning the same to deal with such property either in the same or in different ways from those specified elsewhere in this section.
(Added to NRS by 1969, 451)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.315 - Dealing with other fiduciaries.

In dealing with one or more fiduciaries, a fiduciary may:
1. Sell property, real or personal, to, or exchange property with, the trustee of any trust which the decedent or the settlor or the settlor’s spouse or any child of the settlor has created, for such estates and upon such terms and conditions as to sale price, terms of payment and security as to the fiduciary seem advisable. The fiduciary has no duty to follow the proceeds of any such sale.
2. Borrow money for such periods of time and upon such terms and conditions as to rates, maturities, renewals and securities as the fiduciary deems available from any trust created by the decedent, or the spouse or child of the decedent, for the purpose of:
(a) Paying debts of the decedent, taxes, the costs of the administration of the estate and like charges against the estate, or any part thereof; or
(b) Discharging the liability of any fiduciary thereof. A fiduciary may mortgage, pledge or otherwise encumber such portion of the estate or any trust as may be required to obtain the loan or loans and to renew the loans.
(Added to NRS by 1969, 452; A 1999, 2373)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.320 - Borrowing money; renewing existing loans.

A fiduciary may:
1. Borrow money for such periods of time and upon such terms and conditions as to rates, maturities, renewals and security as the fiduciary deems advisable, including the power of a corporate fiduciary to borrow from its own banking department, for the purpose of paying debts, taxes or other charges against the estate or any trust, or any part thereof;
2. Provide a guarantee by the trust or mortgage, pledge or otherwise encumber such portion of the estate or any trust as may be required to obtain loan or loans; and
3. Renew existing loans either as maker or endorser.
(Added to NRS by 1969, 452; A 1999, 2373)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.325 - Advancing money.

A fiduciary may advance money for the protection of the trust or estate, and for all expenses, losses and liabilities sustained in the administration of the trust or estate or because of the holding or ownership of any trust or estate assets, for which advances with any interest the fiduciary shall have a lien on the assets of the trust or estate as against a beneficiary.
(Added to NRS by 1969, 452)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.335 - Registration in name of nominee.

A fiduciary may hold a security in the name of a nominee or in other form without disclosure of the fiduciary relationship so that title to the security may pass by delivery, but the fiduciary shall be liable for any act of the nominee in connection with the stock so held.
(Added to NRS by 1969, 452)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.340 - Exercise of options, rights and privileges.

A fiduciary may:
1. Exercise all options, rights and privileges to convert stocks, bonds, debentures, notes, mortgages or other property into other stocks, bonds, debentures, notes, mortgages or other property;
2. Subscribe for other or additional stocks, bonds, debentures, notes, mortgages or other property; and
3. Hold such stocks, bonds, debentures, notes, mortgages or other property so acquired as investments of the estate or trust so long as the fiduciary deems advisable.
(Added to NRS by 1969, 453)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.345 - Participation in reorganization.

A fiduciary may:
1. Unite with other owners of property similar to any which may be held at any time in the decedent’s estate or in any trusts in carrying out any plan for the consolidation or merger, dissolution or liquidation, foreclosure, lease or sale of the property, incorporation or reincorporation, reorganization or readjustment of the capital or financial structure of any corporation, company or association the securities of which may form any portion of an estate or trust;
2. Become and serve as a member of a stockholders or bondholders protective committee;
3. Deposit securities in accordance with any plan agreed upon;
4. Pay any assessments, expenses or sums of money that may be required for the protection or furtherance of the interest of the distributees of an estate or beneficiaries of any trust with reference to any such plan; and
5. Receive as investments of any estate or any trust any securities issued as a result of the execution of such plan.
(Added to NRS by 1969, 453)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.355 - Continuation of obligation.

A fiduciary may continue any obligation, whether secured or unsecured, upon and after maturity with or without renewal or extension upon such terms as the fiduciary deems advisable, without regard to the value of the security, if any, at the time of such continuance.
(Added to NRS by 1969, 453)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.360 - Foreclosure; bidding in property.

A fiduciary may:
1. Foreclose, as an incident to the collection of any bond, note or other obligation, any mortgage, deed of trust or other lien securing such bond, note or other obligation;
2. Bid in the property at such foreclosure sale, or acquire the property by deed from the mortgagor or obligor without foreclosure; and
3. Retain the property so bid in or taken over without foreclosure.
(Added to NRS by 1969, 453)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.375 - Litigation, compromise or abandonment of claim.

A fiduciary may compromise, adjust, arbitrate, sue on or defend, abandon or otherwise deal with and settle claims in favor of or against the estate or trust as the fiduciary deems advisable, and the fiduciary’s decision shall be conclusive between the fiduciary and the beneficiaries of the estate or trust and the person against or for whom the claim is asserted, in the absence of fraud by such person, and, in the absence of fraud, bad faith or gross negligence of the fiduciary, shall be conclusive between the fiduciary and the beneficiaries of the estate or trust.
(Added to NRS by 1969, 453)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.380 - Employment and compensation of persons.

A fiduciary may employ and compensate, out of income or principal or both and in such proportion as the fiduciary deems advisable, persons deemed by the fiduciary needful to advise or assist in the proper settlement of the estate or administration of any trust, including, but not limited to, agents, accountants, brokers, attorneys at law, attorneys-in-fact, investment brokers, rental agents, realtors, appraisers and tax specialists; and do so without liability for any neglect, omission, misconduct or default of such agent or representative if he or she was selected and retained with due care on the part of the fiduciary.
(Added to NRS by 1969, 454)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.385 - Acquisition and holding of property of two or more trusts undivided.

1. A fiduciary may:
(a) Acquire, receive, hold and retain the principal of several trusts created by a single instrument undivided until division becomes necessary in order to make distributions.
(b) Hold, manage, invest, reinvest and account for the several shares or parts of shares by appropriate entries in the fiduciary’s books of account, and allocate to each share or part of share its proportionate part of all receipts and expenses.
2. The provisions of this section shall not defer the vesting in possession of any share or part of share of the estate or trust.
(Added to NRS by 1969, 454)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.390 - Establishment and maintenance of reserves.

1. A fiduciary may:
(a) Set up proper and reasonable reserves for taxes, assessments, insurance premiums, depreciation, obsolescence, amortization, depletion of mineral or timber properties, repairs, improvements and general maintenance of buildings or other property out of rents, profits or other income received; and
(b) Set up reserves also for the equalization of payments to or for beneficiaries.
2. The provisions of this section shall not affect the ultimate interests of beneficiaries in such reserves.
(Added to NRS by 1969, 454)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.395 - Distribution in cash or kind.

1. A fiduciary may:
(a) Make distribution of capital assets of the estate or trust in kind or in cash, or partially in kind and partially in cash, in divided or undivided interests, as the fiduciary finds to be most practicable and for the best interests of the distributees; and
(b) Determine the value of capital assets for the purpose of making distribution thereof if and when there is more than one distributee thereof, which determination shall be binding upon the distributees unless clearly capricious, erroneous and inequitable.
2. The fiduciary shall not exercise any power under this section unless the fiduciary holds title to or an interest in the property to be distributed and is required or authorized to make distribution thereof.
(Added to NRS by 1969, 454)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.400 - Payment to or for minor or incapacitated person.

A fiduciary may:
1. Make payments in money, or in property in lieu of money, to or for a minor or incapacitated person in any one or more of the following ways:
(a) Directly to the minor or incapacitated person.
(b) To apply directly in payment for the support, maintenance, education and medical, surgical, hospital or other institutional care of the minor or incapacitated person.
(c) To the legal or natural guardian of the minor or incapacitated person.
(d) To any other person, whether or not appointed guardian of the person by any court, who has, in fact, the care and custody of the person of the minor or incapacitated person.
2. The fiduciary has no duty to see to the application of the payments so made, if the fiduciary exercised due care in the selection of the person, including the minor or incapacitated person, to whom the payments were made, and the receipt of that person is full acquittance to the fiduciary.
(Added to NRS by 1969, 454; A 1999, 2373)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.405 - Apportionment or allocation of receipts and expenses.

A fiduciary may determine:
1. What is principal and what is income of any estate or trust and may allocate or apportion receipts and expenses as between principal and income in the exercise of the fiduciary’s discretion, and, by way of illustration and no limitation of the fiduciary’s discretion, may charge premiums on securities purchased at a premium against principal or income or partly against each.
2. Whether to apply stock dividends and other noncash dividends to income or principal or apportion them as the fiduciary deems advisable.
3. What expenses, costs, taxes (other than estate, inheritance and succession taxes) and other governmental charges shall be charged against principal or income or apportioned between principal and income and in what proportions.
(Added to NRS by 1969, 455)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.414 - Definitions.

As used in NRS 163.414 to 163.419, inclusive, unless the context otherwise requires, the words and terms defined in NRS 163.4145 to 163.4165, inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 2009, 785)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.4167 - Common law.

The provisions of NRS 163.414 to 163.419, inclusive, do not abrogate or limit any principle or rule of the common law, unless the common law principle or rule is inconsistent with the provisions of NRS 163.414 to 163.419, inclusive.
(Added to NRS by 2009, 785)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.417 - Limitations on actions of creditors and courts: Trust property not subject to trustee’s personal obligations; beneficial interests may not be transferred under certain circumstances.

1. A creditor may not exercise, and a court may not order the exercise of:
(a) A power of appointment or any other power concerning a trust that is held by a beneficiary;
(b) Any power listed in NRS 163.5553 that is held by a trust protector as defined in NRS 163.5547 or any other person;
(c) A trustee’s discretion to:
(1) Distribute any discretionary interest;
(2) Distribute any mandatory interest which is past due directly to a creditor; or
(3) Take any other authorized action in a specific way; or
(d) A power to distribute a beneficial interest of a trustee solely because the beneficiary is a trustee.
2. Trust property is not subject to the personal obligations of the trustee, even if the trustee is insolvent or bankrupt.
3. A settlor may provide in the terms of the trust instrument that a beneficiary’s beneficial interest may not be transferred, voluntarily or involuntarily, before the trustee has delivered the interest to the beneficiary.
(Added to NRS by 2009, 785)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.4177 - Factors which must not be considered exercising improper dominion or control over trust.

If a party asserts that a beneficiary or settlor is exercising improper dominion or control over a trust, the following factors, alone or in combination, must not be considered exercising improper dominion or control over a trust:
1. A beneficiary is serving as a trustee.
2. The settlor or beneficiary holds unrestricted power to remove or replace a trustee.
3. The settlor or beneficiary is a trust administrator, general partner of a partnership, manager of a limited-liability company, officer of a corporation or any other manager of any other type of entity and all or part of the trust property consists of an interest in the entity.
4. The trustee is a person related by blood, adoption or marriage to the settlor or beneficiary.
5. The trustee is the settlor or beneficiary’s agent, accountant, attorney, financial adviser or friend.
6. The trustee is a business associate of the settlor or beneficiary.
(Added to NRS by 2009, 786)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.418 - Clear and convincing evidence required to find settlor to be alter ego of trustee of irrevocable trust; certain factors insufficient for finding that settlor controls or is alter ego of trustee of irrevocable trust.

Absent clear and convincing evidence, a settlor of an irrevocable trust shall not be deemed to be the alter ego of a trustee of an irrevocable trust. If a party asserts that a settlor of an irrevocable trust is the alter ego of a trustee of the trust, the following factors, alone or in combination, are not sufficient evidence for a court to find that the settlor controls or is the alter ego of a trustee:
1. The settlor has signed checks, made disbursements or executed other documents related to the trust as the trustee and the settlor is not a trustee, if the settlor has done so in isolated incidents.
2. The settlor has made requests for distributions on behalf of a beneficiary.
3. The settlor has made requests for the trustee to hold, purchase or sell any trust property.
4. The settlor has engaged in any one of the activities, alone or in combination, listed in NRS 163.4177.
(Added to NRS by 2009, 786)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.4185 - Classifications of distribution interests.

1. A distribution interest may be classified as:
(a) A mandatory interest if the trustee has no discretion to determine whether a distribution should be made, when a distribution should be made or the amount of the distribution.
(b) A support interest if the trustee is mandatorily required to make distributions to the beneficiary upon the determination of the trustee that the distribution will satisfy a defined ascertainable standard set forth in the instrument and, upon such a determination, the trust instrument does not otherwise condition such distribution authority on the further discretion of the trustee.
(c) A discretionary interest if the trustee has discretion to determine whether a distribution should be made, when a distribution should be made and the amount of the distribution.
2. If a trust contains a combination of a mandatory interest, a support interest or a discretionary interest, the trust must be separated as:
(a) A mandatory interest only to the extent of the mandatory language provided in the trust;
(b) A support interest only to the extent of the support language provided in the trust; and
(c) A discretionary interest for any remaining trust property.
3. If a trust provides for a support interest that also includes mandatory language but the mandatory language is qualified by discretionary language, the support interest must be classified and separated as a discretionary interest.
4. As used in this section, "ascertainable standard" means a standard relating to a person’s health, education, support or maintenance within the meaning of section 2041(b)(1)(A) or 2514(c)(1) of the Internal Revenue Code, 26 U.S.C. § 2041(b)(1)(A) or 2514(c)(1), and any regulations of the United States Treasury promulgated thereunder.
(Added to NRS by 2009, 786; A 2017, 1690; 2023, 1321)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.4187 - Support interest: Beneficiary has enforceable right to distribution; court review.

1. A beneficiary of a support interest has an enforceable right to distribution thereof and may petition a court for review of the distribution.
2. A court may review a trustee’s decision to distribute a support interest for unreasonableness, dishonesty, improper motivation or failure to act.
(Added to NRS by 2009, 787)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.419 - Discretionary interest: Beneficiary does not have enforceable right to distribution; court review; trustee’s powers and duties.

Except as otherwise provided in the trust instrument, with respect to a discretionary interest as described in NRS 163.4185:
1. A beneficiary who has a discretionary interest in a trust does not have an enforceable right to a distribution from the trust, and a court may review a trustee’s exercise of discretion concerning a discretionary interest only if the trustee acts dishonestly, with bad faith or willful misconduct.
2. A trustee given discretion in a trust instrument that is described as sole, absolute, uncontrolled, unrestricted or unfettered discretion, or with similar words, has no duty to act reasonably in the exercise of that discretion.
3. Absent express language in a trust to the contrary, if a discretionary interest permits unequal distributions between beneficiaries or to the exclusion of other beneficiaries, the trustee may distribute all of the undistributed income and principal to one beneficiary in the trustee’s discretion.
4. Regardless of whether a beneficiary has an outstanding creditor, a trustee of a discretionary interest may directly pay any expense on the beneficiary’s behalf and may exhaust the income and principal of the trust for the benefit of such beneficiary.
(Added to NRS by 2009, 787; A 2015, 3543)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.440 - References to Internal Revenue Code.

As used in NRS 163.420 to 163.550, inclusive, unless otherwise indicated, section references are to the Internal Revenue Code of 1986, as in effect on January 1, 1999, and include future amendments to such sections and corresponding provisions of future federal internal revenue laws.
(Added to NRS by 1971, 632; A 1999, 2374)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.450 - Definitions.

As used in NRS 163.420 to 163.550, inclusive, unless the context otherwise requires, the words and terms defined in NRS 163.460 to 163.500, inclusive, have the meanings ascribed to them in NRS 163.460 to 163.500, inclusive.
(Added to NRS by 1971, 632)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.510 - Applicability.

The provisions of NRS 163.420 to 163.550, inclusive, which are applicable to any of the trusts defined in NRS 163.460 to 163.500, inclusive, apply to all trusts, whether they were created before, on or after April 17, 1971.
(Added to NRS by 1971, 633)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.520 - Prohibited acts.

1. In the administration of any private foundation trust, split interest trust or charitable trust which is subject to the provisions of the Internal Revenue Code of 1986, as in effect on January 1, 1999, the following acts are prohibited:
(a) Engaging in any act or "self-dealing," as defined in Section 4941(d), which would give rise to any liability for the tax imposed by Section 4941(a);
(b) Retaining any "excess business holdings," as defined in Section 4943(c), which would give rise to any liability for the tax imposed by Section 4943(a);
(c) Making any investments which would jeopardize the carrying out of any of the exempt purposes of the trust within the meaning of Section 4944, so as to give rise to any liability for the tax imposed by Section 4944(a); and
(d) Making any "taxable expenditures," as defined in Section 4945(d), which would give rise to any liability for the tax imposed by Section 4945(a).
2. This section does not apply to those split interest trusts or amounts of such split interest trusts which are not subject to the prohibitions applicable to private foundations by reason of the provisions of Section 4947.
(Added to NRS by 1971, 633; A 1999, 2374)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.530 - Minimum distribution required.

In the administration of any trust which is a private foundation trust or a charitable trust, there shall be distributed for the purposes specified in the trust instrument, for each taxable year, amounts at least sufficient to avoid liability for the tax imposed by Section 4942(a).
(Added to NRS by 1971, 633)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.540 - Amendment of trust instrument: Procedure.

1. A court of this state having jurisdiction over any trust to which NRS 163.420 to 163.550, inclusive, apply may amend any trust instrument to conform to the provisions of NRS 163.420 to 163.550, inclusive.
2. Any such amendment must be effected by the trustee filing a petition with the court. The clerk of the court shall set a date for the hearing of the petition, and the trustee shall cause notice of the hearing of the petition to be:
(a) Personally served on the settlor or settlors of the trust, if living, and on all named beneficiaries of the trust, if any, for the period and in the manner provided in NRS 155.010;
(b) Published on three dates of publication before the hearing, and if the newspaper is published more than once each week, there must be at least 10 days from the first to last date of publication, including both the first and the last days; and
(c) Delivered, together with a copy of the petition, to the Attorney General of the State of Nevada at the time of the filing of the petition.
3. At the hearing of the petition, the court may authorize the trustee to amend, revise, delete or add provisions to the trust instrument to conform to NRS 163.420 to 163.550, inclusive, to avoid the penalties and liabilities described in Sections 4941(a), 4942(a), 4943(a), 4944(a) and 4945(a), but if the settlor or settlors of the trust are living and competent to act, written consent of the settlor or settlors must first be obtained.
(Added to NRS by 1971, 633; A 1999, 2374)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.550 - Amendment of trust instrument: Provision for termination of status as private foundation.

In addition to amending, revising, deleting or adding provisions to the articles of the trust to conform to the sections set out in subsection 3 of NRS 163.540, the petition may include a request, and the court or judge may authorize any modifications, revisions, deletions or additions to the term, or to the conditions and provisions of the articles of any trust subject to the jurisdiction of the court, for the trust to conform with the requirements for termination of private foundation status as provided in Section 507, or in order to avoid the tax provided in Section 507(c).
(Added to NRS by 1971, 634)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.5505 - Creation; enforcement; requirements.

Except as otherwise provided in NRS 163.0075 or another provision of law:
1. A trust may be created for a noncharitable purpose without a definite ascertainable beneficiary or for a noncharitable but otherwise valid purpose. The noncharitable purpose for which a trust is created must be stated with sufficient particularity in the trust instrument as to be ascertainable by a finder of fact.
2. A trust authorized by this section may be enforced by a trustee, trust adviser, trust protector or person appointed under the terms of the trust or, if no such person is appointed, by the court.
3. Except to the extent the court determines that the value of the trust property exceeds the amount required for the intended use, property of a trust authorized by this section may be applied only to its intended use, including, without limitation, appointing trust property to or for the benefit of an existing or new trust whose purposes are limited to one or more purposes of the original trust. Except as otherwise provided by the terms of the trust, property not required for the intended use must be distributed to the settlor, if living, or otherwise to the settlor’s successors in interest.
4. As used in this section:
(a) "Trust adviser" has the meaning ascribed to it in NRS 163.5545.
(b) "Trust protector" has the meaning ascribed to it in NRS 163.5547.
(c) "Valid purpose" means any purpose that is not illegal or against public policy.
(Added to NRS by 2017, 1686)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.553 - Definitions.

As used in NRS 163.553 to 163.557, inclusive, unless the context otherwise requires, the words and terms defined in NRS 163.5533 to 163.5547, inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 2009, 787; A 2015, 3543; 2021, 984)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.5533 - "Custodial account" defined.

"Custodial account" means an account:
1. Established by a person with a bank, as defined in 26 U.S.C. § 408(n), or with a person approved by the Internal Revenue Service as satisfying the requirements to be a nonbank trustee or nonbank passive trustee pursuant to regulations established by the United States Treasury pursuant to 26 U.S.C. § 408; and
2. Governed by an instrument concerning the establishment or maintenance of an individual retirement account, qualified retirement plan, an Archer medical savings account, health savings account, a Coverdell education savings account or any similar retirement or savings account permitted under the Internal Revenue Code of 1986.
(Added to NRS by 2009, 787)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.5535 - "Custodial account owner" defined.

"Custodial account owner" means any person who:
1. Establishes a custodial account;
2. Has the power to designate the beneficiaries or appoint the custodian of the custodial account;
3. Has the power to direct the investment, disposition or retention of any assets in the custodial account; or
4. Can name an authorized designee to perform the actions described in subsection 3.
(Added to NRS by 2009, 787)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.5536 - "Directing trust adviser" defined.

"Directing trust adviser" means a trust adviser, trust protector or other person designated in the trust instrument who has the authority to give directives that must be followed by the fiduciary. The term does not include a trust adviser, trust protector or other person who gives recommendations, counsel or advice that the fiduciary is not required to follow under the terms of the trust instrument.
(Added to NRS by 2015, 3539)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.554 - "Fiduciary" defined.

"Fiduciary" means a trustee or custodian under any instrument, or an executor, administrator or personal representative of a decedent’s estate or any other person, including an investment trust adviser, trust protector or a trust committee which is acting in a fiduciary capacity for any person, trust or estate.
(Added to NRS by 2009, 788)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.5548 - Circumstances under which fiduciary is "directed fiduciary."

For the purposes of NRS 163.553 to 163.557, inclusive, a fiduciary is a "directed fiduciary" with respect to any action that the fiduciary:
1. Has no power to take under the terms of the governing instrument;
2. Is mandated by the governing instrument and for which the fiduciary has no discretion to act otherwise; and
3. Is directed to take or prohibited from taking by a directing trust adviser.
(Added to NRS by 2015, 3539)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.5549 - Limitations on liability of directed fiduciary.

1. A directed fiduciary is not liable, individually or as a fiduciary for any loss which results from:
(a) Complying with a direction of a directing trust adviser, whether the direction is to act or to not act; or
(b) Failing to take any action proposed by a directed fiduciary if the action:
(1) Required the approval, consent or authorization of a person who did not provide the approval, consent or authorization; or
(2) Was contingent upon a condition that was not met or satisfied.
2. A directed fiduciary is not liable for any obligation to perform an investment or suitability review, inquiry or investigation or to make any recommendation or evaluation with respect to any investment, to the extent that the investment is made by a directing trust adviser.
3. The provisions of this section do not impose an obligation or liability on a custodian of a custodial account for providing any authorization.
(Added to NRS by 2009, 788; A 2015, 3543)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.5551 - Circumstances in which trust advisers are considered fiduciaries.

If one or more trust advisers are given authority, by the terms of an instrument, to direct, consent to or disapprove a fiduciary’s investment decisions, the investment trust advisers shall be considered fiduciaries when exercising that authority unless the instrument provides otherwise.
(Added to NRS by 2009, 788)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.5553 - Powers of trust protector.

1. A trust protector may exercise the powers provided to the trust protector in the instrument subject to the terms and provisions in the instrument. The powers exercised by a trust protector are at the sole discretion of the trust protector and are binding on all other persons. The powers granted to a trust protector may include, without limitation, the power to:
(a) Modify or amend the instrument to achieve a more favorable tax status or to respond to changes in federal or state law.
(b) Modify or amend the instrument to take advantage of changes in the rule against perpetuities, restraints on alienation or other state laws restricting the terms of a trust, the distribution of trust property or the administration of the trust.
(c) Increase or decrease the interests of any beneficiary under the trust.
(d) Modify the terms of any power of appointment granted by the trust. A modification or amendment may not grant a beneficial interest to a person which was not specifically provided for under the trust instrument.
(e) Remove and appoint a trustee, trust adviser, investment committee member or distribution committee member.
(f) Terminate the trust.
(g) Direct or veto trust distributions.
(h) Change the location or governing law of the trust.
(i) Appoint a successor trust protector or trust adviser.
(j) Interpret terms of the instrument at the request of the trustee.
(k) Advise the trustee on matters concerning a beneficiary.
(l) Review and approve a trustee’s reports or accounting.
2. The powers provided pursuant to subsection 1 may be incorporated by reference to this section at the time a testator executes a will or a settlor signs a trust instrument. The powers provided pursuant to subsection 1 may be incorporated in whole or in part.
3. Unless otherwise provided in the trust instrument, the powers of the trust protector shall be considered fiduciary in nature. The trust instrument may define the scope and extent of a fiduciary standard applicable to the exercise of any power of the trust protector, including, without limitation, reducing or relieving the trust protector of a fiduciary duty.
(Added to NRS by 2009, 788; A 2023, 1322)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.5555 - Trust protector and trust adviser: Submission to jurisdiction of courts of this State.

If a person accepts an appointment to serve as a trust protector or a trust adviser of a trust subject to the laws of this State, the person submits to the jurisdiction of the courts of this State, regardless of any term to the contrary in an agreement or instrument. A trust protector or a trust adviser may be made a party to an action or proceeding arising out of a decision or action of the trust protector or trust adviser.
(Added to NRS by 2009, 789)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.5557 - Powers of investment trust adviser and distribution trust adviser.

1. An instrument may provide for the appointment of a person to act as an investment trust adviser or a distribution trust adviser with regard to investment decisions or discretionary distributions.
2. An investment trust adviser may exercise the powers provided to the investment trust adviser in the instrument in the best interests of the trust. The powers exercised by an investment trust adviser are at the sole discretion of the investment trust adviser and are binding on all other persons. The powers granted to an investment trust adviser may include, without limitation, the power to:
(a) Direct the trustee with respect to the retention, purchase, sale or encumbrance of trust property and the investment and reinvestment of principal and income of the trust.
(b) Vote proxies for securities held in trust.
(c) Select one or more investment advisers, managers or counselors, including the trustee, and delegate to such persons any of the powers of the investment trust adviser.
(d) Value non-publicly traded investments held in trust that are subject to the investment management authority of the investment trust adviser.
3. A distribution trust adviser may exercise the powers provided to the distribution trust adviser in the instrument in the best interests of the trust. The powers exercised by a distribution trust adviser are at the sole discretion of the distribution trust adviser and are binding on all other persons. Except as otherwise provided in the instrument, the distribution trust adviser shall direct the trustee with regard to all discretionary distributions to a beneficiary.
(Added to NRS by 2009, 789; A 2021, 984)
2023 Nevada Revised Statutes › Chapter 163 - Trusts › NRS 163.5559 - Claims of creditors against settlor.

1. Except as otherwise provided in subsection 2, a creditor of a settlor may not seek to satisfy a claim against the settlor from the assets of a trust because of the existence of:
(a) A discretionary power granted to a person other than the settlor by the terms of the trust or by operation of law or to reimburse the settlor for any tax on trust income or principal which is payable by the settlor under the law imposing such tax;
(b) A power allowing the settlor to reacquire the trust corpus by substituting other property of an equivalent value; or
(c) A power allowing the settlor to borrow trust corpus or income, directly or indirectly, without adequate interest or without adequate security.
2. The provisions of subsection 1 do not preclude a creditor from seeking to satisfy a claim against the settlor of a spendthrift trust from trust property transferred by the settlor to the extent the creditor can prove by clear and convincing evidence that the transfer was fraudulent as to that creditor pursuant to chapter 112 of NRS or violates a legal obligation owed to that creditor under a contract or a valid court order that is legally enforceable by that creditor.
3. For purposes of this section, a beneficiary of a trust shall be deemed to not be a settlor of a trust because of a lapse, waiver or release of the beneficiary’s right to withdraw part or all of the trust property if the value of the property which could have been withdrawn by exercising the right of withdrawal in any calendar year does not, at the time of the lapse, waiver or release, exceed the greater of the amount provided in 26 U.S.C. § 2041(b)(2), 26 U.S.C. § 2503(b) or 26 U.S.C. § 2514(e), as amended, or any successor provision.
(Added to NRS by 2009, 790; A 2021, 984)