reglab/statecodes huggingface dataset:
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3834 - (UTC 408) Trust for care of animal.

30-3834.
(UTC 408) Trust for care of animal.
(UTC 408) (a) A trust may be created to provide for the care of an animal alive during the settlor's lifetime. The trust terminates upon the death of the animal or, if the trust was created to provide for the care of more than one animal alive during the settlor's lifetime, upon the death of the last surviving animal.
(b) A trust authorized by this section may be enforced by a person appointed in the terms of the trust or, if no person is so appointed, by a person appointed by the court. A person having an interest in the welfare of the animal may request the court to appoint a person to enforce the trust or to remove a person appointed.
(c) Property of a trust authorized by this section may be applied only to its intended use, except to the extent the court determines that the value of the trust property exceeds the amount required for the intended use. Except as otherwise provided in the terms of the trust, property not required for the intended use must be distributed to the settlor, if then living, otherwise to the settlor's successors in interest.
Source
Laws 2003, LB 130, § 34.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3835 - (UTC 409) Noncharitable trust without ascertainable beneficiary.

30-3835.
(UTC 409) Noncharitable trust without ascertainable beneficiary.
(UTC 409) Except as otherwise provided in section 30-3834 or Chapter 12, article 5, or by another statute, the following rules apply:
(1) A trust may be created for a noncharitable purpose without a definite or definitely ascertainable beneficiary or for a noncharitable but otherwise valid purpose to be selected by the trustee. The trust may not be enforced for more than twenty-one years.
(2) A trust authorized by this section may be enforced by a person appointed in the terms of the trust or, if no person is so appointed, by a person appointed by the court.
(3) Property of a trust authorized by this section may be applied only to its intended use, except to the extent the court determines that the value of the trust property exceeds the amount required for the intended use. Except as otherwise provided in the terms of the trust, property not required for the intended use must be distributed to the settlor, if then living, otherwise to the settlor's successors in interest.
Source
Laws 2003, LB 130, § 35.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3838 - (UTC 412) Modification or termination because of unanticipated circumstances or inability to administer trust effectively.

30-3838.
(UTC 412) Modification or termination because of unanticipated circumstances or inability to administer trust effectively.
(UTC 412) (a) The court may modify the administrative or dispositive terms of a trust or terminate the trust if, because of circumstances not anticipated by the settlor, modification or termination will further the purposes of the trust. To the extent practicable, the modification must be made in accordance with the settlor's probable intention.
(b) The court may modify the administrative terms of a trust if continuation of the trust on its existing terms would be impracticable or wasteful or impair the trust's administration.
(c) Upon termination of a trust under this section, the trustee shall distribute the trust property in a manner consistent with the purposes of the trust.
Source
Laws 2003, LB 130, § 38.
Annotations
If a trustee knows or should know of circumstances that justify judicial action to modify an administrative or distributive provision of a trust because of circumstances not anticipated by the settlor, the trustee has a duty to petition the court for appropriate modification of, or deviation from, the terms of the trust. The possible imposition of such a duty on a trustee further supports permitting a trustee to seek modification under this section even in those instances where a trust may have terminated or expired by its own terms, but the winding up and distribution of trust property is still pending. In re Trust Created by Augustin, 27 Neb. App. 593, 935 N.W.2d 493 (2019).
This section broadens the court's ability to apply equitable deviation to modify a trust. The application of equitable deviation allows a court to modify the dispositive provisions of a trust, as well as its administrative terms. The purpose of equitable deviation is not to disregard the settlor's intent but to modify inopportune details to effectuate better the settlor's broader purpose. In re Trust Created by Augustin, 27 Neb. App. 593, 935 N.W.2d 493 (2019).
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3839 - (UTC 413) Cy pres.

30-3839.
(UTC 413) Cy pres.
(UTC 413) (a) Except as otherwise provided in subsection (b) of this section, if a particular charitable purpose becomes unlawful, impracticable, impossible to achieve, or wasteful:
(1) the trust does not fail, in whole or in part;
(2) the trust property does not revert to the settlor or the settlor's successors in interest; and
(3) the court may apply cy pres to modify or terminate the trust by directing that the trust property be applied or distributed, in whole or in part, in a manner consistent with the settlor's charitable purposes or to the Legal Aid and Services Fund.
(b) Subsection (a) of this section does not apply if the document creating the charitable interest expressly provides for an alternate disposition of the charitable interest in the event the charitable purpose becomes unlawful, impracticable, impossible to achieve, or wasteful. A general residuary disposition by trust shall not be considered an express provision for an alternate disposition.
(c) This section shall not be deemed to limit application of the common law doctrines of cy pres and deviation or section 58-615.
Source
Laws 2003, LB 130, § 39;
Laws 2010, LB758, § 4;
Laws 2014, LB1089, § 2.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3840 - (UTC 414) Modification or termination of uneconomic trust.

30-3840.
(UTC 414) Modification or termination of uneconomic trust.
(UTC 414) (a) After notice to the qualified beneficiaries, the trustee of a trust consisting of trust property having a total value less than one hundred thousand dollars may terminate the trust if the trustee concludes that the value of the trust property is insufficient to justify the cost of administration.
(b) The court may modify or terminate a trust or remove the trustee and appoint a different trustee if it determines that the value of the trust property is insufficient to justify the cost of administration.
(c) Upon termination of a trust under this section, the trustee shall distribute the trust property in a manner consistent with the purposes of the trust.
(d) This section does not apply to an easement for conservation or preservation.
Source
Laws 2003, LB 130, § 40.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3841 - (UTC 415) Reformation to correct mistakes.

30-3841.
(UTC 415) Reformation to correct mistakes.
(UTC 415) The court may reform the terms of a trust, even if unambiguous, to conform the terms to the settlor's intention if it is proved by clear and convincing evidence that both the settlor's intent and the terms of the trust were affected by a mistake of fact or law, whether in expression or inducement.
Source
Laws 2003, LB 130, § 41.
Annotations
A document by which a settlor purports to revoke a revocable trust is a term of that trust. In re Trust Created by Isvik, 274 Neb. 525, 741 N.W.2d 638 (2007).
Absent clear and convincing evidence that a settlor's stated intent to revoke her trust was a product of mistake, the trust was revoked and ceased to exist. In re Trust Created by Isvik, 274 Neb. 525, 741 N.W.2d 638 (2007).
A document by which a settlor purports to revoke a revocable trust is a term of that trust within the meaning of this section. In re Trust of O'Donnell, 19 Neb. App. 696, 815 N.W.2d 640 (2012).
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3842 - (UTC 416) Modification to achieve settlor's tax objectives.

30-3842.
(UTC 416) Modification to achieve settlor's tax objectives.
(UTC 416) To achieve the settlor's tax objectives, the court may modify the terms of a trust in a manner that is not contrary to the settlor's probable intention. The court may provide that the modification has retroactive effect.
Source
Laws 2003, LB 130, § 42.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3843 - (UTC 417) Combination and division of trusts.

30-3843.
(UTC 417) Combination and division of trusts.
(UTC 417) After notice to the qualified beneficiaries, a trustee may combine two or more trusts into a single trust or divide a trust into two or more separate trusts, if the result does not impair rights of any beneficiary or adversely affect achievement of the purposes of the trust.
Source
Laws 2003, LB 130, § 43.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3844 - Reference to written statement or list.

30-3844.
Reference to written statement or list.
A trust may refer to a written statement or list to dispose of items of tangible personal property not otherwise specifically disposed of by the trust, other than money, evidences of indebtedness, documents of title, and securities, and property used in trade or business. To be admissible under this section as evidence of the intended disposition, the writing must have an indication of the date of the writing or signing and, in the absence of such indication of date, be the only such writing or contain no inconsistency with any other like writing or permit determination of such date of writing or signing from the contents of such writing, from extrinsic circumstances, or from any other evidence, must either be in the handwriting of the settlor or be signed by him or her, and must describe the items and the beneficiaries or recipients with reasonable certainty. The writing may be referred to as one to be in existence at the time of the settlor's death; it may be prepared before or after the execution of the trust; it may be altered by the settlor after its preparation; and it may be a writing which has no significance apart from its effect upon the disposition made by the trust.
Source
Laws 2003, LB 130, § 44.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3846 - (UTC 501) Rights of beneficiary's creditor or assignee.

30-3846.
(UTC 501) Rights of beneficiary's creditor or assignee.
(UTC 501) To the extent a beneficiary's interest is not subject to a spendthrift provision, the court may authorize a creditor or assignee of the beneficiary to reach the beneficiary's interest by attachment of present or future distributions to or for the benefit of the beneficiary or other means. The court may limit the award to such relief as is appropriate under the circumstances.
Source
Laws 2003, LB 130, § 46;
Laws 2007, LB124, § 23.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3847 - (UTC 502) Spendthrift provision.

30-3847.
(UTC 502) Spendthrift provision.
(UTC 502) (a) A spendthrift provision is valid only if it restrains both voluntary and involuntary transfer of a beneficiary's interest.
(b) A term of a trust providing that the interest of a beneficiary is held subject to a "spendthrift trust", or words of similar import, is sufficient to restrain both voluntary and involuntary transfer of the beneficiary's interest.
(c) A beneficiary may not transfer an interest in a trust in violation of a valid spendthrift provision and, except as otherwise provided in sections 30-3846 to 30-3852, a creditor or assignee of the beneficiary may not reach the interest or a distribution by the trustee before its receipt by the beneficiary.
Source
Laws 2003, LB 130, § 47.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3848 - (UTC 503) Exceptions to spendthrift provision.

30-3848.
(UTC 503) Exceptions to spendthrift provision.
(UTC 503) (a) In this section, "child" includes any person for whom an order or judgment for child support has been entered in this or another state.
(b) A spendthrift provision is unenforceable against:
(1) a beneficiary's child, spouse, or former spouse who has a judgment or court order against the beneficiary for support or maintenance;
(2) a judgment creditor who has provided services for the protection of a beneficiary's interest in the trust; and
(3) a claim of this state or the United States to the extent a statute of this state or federal law so provides.
(c) A claimant against which a spendthrift provision cannot be enforced may obtain from a court an order attaching present or future distributions to or for the benefit of the beneficiary. The court may limit the award to such relief as is appropriate under the circumstances.
Source
Laws 2003, LB 130, § 48;
Laws 2007, LB124, § 24.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3849 - (UTC 504) Discretionary trusts; effect of standard.

30-3849.
(UTC 504) Discretionary trusts; effect of standard.
(UTC 504) (a) In this section, "child" includes any person for whom an order or judgment for child support has been entered in this or another state.
(b) Except as otherwise provided in subsection (c) of this section, whether or not a trust contains a spendthrift provision, a creditor of a beneficiary may not compel a distribution that is subject to the trustee's discretion, even if:
(1) the discretion is expressed in the form of a standard of distribution; or
(2) the trustee has abused the discretion.
(c) To the extent a trustee has not complied with a standard of distribution or has abused a discretion:
(1) a distribution may be ordered by the court to satisfy a judgment or court order against the beneficiary for support or maintenance of the beneficiary's child, spouse, or former spouse; and
(2) the court shall direct the trustee to pay to the child, spouse, or former spouse such amount as is equitable under the circumstances but not more than the amount the trustee would have been required to distribute to or for the benefit of the beneficiary had the trustee complied with the standard or not abused the discretion.
(d) This section does not limit the right of a beneficiary to maintain a judicial proceeding against a trustee for an abuse of discretion or failure to comply with a standard for distribution.
(e) If the trustee's or cotrustee's discretion to make distributions for the trustee's or cotrustee's own benefit is limited by an ascertainable standard, a creditor may not reach or compel distribution of the beneficial interest except to the extent the interest would be subject to the creditor's claim were the beneficiary not acting as trustee or cotrustee.
Source
Laws 2003, LB 130, § 49;
Laws 2005, LB 533, § 42;
Laws 2007, LB124, § 25.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3851 - (UTC 506) Mandatory distribution.

30-3851.
(UTC 506) Mandatory distribution.
(UTC 506) (a) In this section, "mandatory distribution" means a distribution of income or principal which the trustee is required to make to a beneficiary under the terms of the trust, including a distribution upon termination of the trust. The term does not include a distribution subject to the exercise of the trustee's discretion even if (1) the discretion is expressed in the form of a standard of distribution or (2) the terms of the trust authorizing a distribution couple language of discretion with language of direction.
(b) Whether or not a trust contains a spendthrift provision, a creditor or assignee of a beneficiary may reach a mandatory distribution of income or principal, including a distribution upon termination of the trust, if the trustee has not made the distribution to the beneficiary within a reasonable time after the designated distribution date.
Source
Laws 2003, LB 130, § 51;
Laws 2007, LB124, § 26.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3852 - (UTC 507) Personal obligations of trustee.

30-3852.
(UTC 507) Personal obligations of trustee.
(UTC 507) Trust property is not subject to personal obligations of the trustee, even if the trustee becomes insolvent or bankrupt.
Source
Laws 2003, LB 130, § 52.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3853 - (UTC 601) Capacity of settlor of revocable trust.

30-3853.
(UTC 601) Capacity of settlor of revocable trust.
(UTC 601) The capacity required to create, amend, revoke, or add property to a revocable trust, or to direct the actions of the trustee of a revocable trust, is the same as that required to make a will.
Source
Laws 2003, LB 130, § 53.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3854 - (UTC 602) Revocation or amendment of revocable trust.

30-3854.
(UTC 602) Revocation or amendment of revocable trust.
(UTC 602) (a) Unless the terms of a trust expressly provide that the trust is irrevocable, the settlor may revoke or amend the trust. This subsection does not apply to a trust created under an instrument executed before January 1, 2005.
(b) If a revocable trust is created or funded by more than one settlor:
(1) to the extent the trust consists of community property, the trust may be revoked by either spouse acting alone but may be amended only by joint action of both spouses;
(2) to the extent the trust consists of property other than community property, each settlor may revoke or amend the trust with regard to the portion of the trust property attributable to that settlor's contribution; and
(3) upon the revocation or amendment of the trust by fewer than all of the settlors, the trustee shall promptly notify the other settlors of the revocation or amendment.
(c) The settlor may revoke or amend a written revocable trust:
(1) by substantial compliance with a method provided in the terms of the trust; or
(2) if the terms of the trust do not provide a method or the method provided in the terms is not expressly made exclusive, by:
(A) a later will or codicil that expressly refers to the trust or specifically devises property that would otherwise have passed according to the terms of the trust; or
(B) an instrument evidencing an intent to amend or revoke the trust signed by the settlor, or in the settlor's name by some other individual in the presence of and by the direction of the settlor. The instrument must have an indication of the date of the writing or signing and, in the absence of such indication of the date, be the only such writing or contain no inconsistency with any other like writing or permit determination of such date of writing or signing from the content of such writing, from extrinsic circumstances, or from any other evidence.
(d) Upon revocation of a revocable trust, the trustee shall deliver the trust property as the settlor directs.
(e) A settlor's powers with respect to revocation, amendment, or distribution of trust property may be exercised by an agent under a power of attorney only to the extent expressly authorized by the terms of the trust or the power.
(f) A conservator of the settlor or, if no conservator has been appointed, a guardian of the settlor may exercise a settlor's powers with respect to revocation, amendment, or distribution of trust property only with the approval of the court supervising the conservatorship or guardianship.
(g) A trustee who does not know that a trust has been revoked or amended is not liable to the settlor or settlor's successors in interest for distributions made and other actions taken in reliance on the terms of the trust.
(h) The revocation, amendment, and distribution of trust property of a trust pursuant to this section is subject to section 30-2333.
Source
Laws 2003, LB 130, § 54;
Laws 2004, LB 999, § 26;
Laws 2017, LB517, § 6.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3855 - (UTC 603) Rights and duties.

30-3855.
(UTC 603) Rights and duties.
(UTC 603) (a) To the extent a trust is revocable by a settlor, a trustee may follow a direction of the settlor that is contrary to the terms of the trust. To the extent a trust is revocable by a settlor in conjunction with a person other than a trustee or person holding an adverse interest, the trustee may follow a direction from the settlor and the other person holding the power to revoke even if the direction is contrary to the terms of the trust.
(b) While a trust is revocable, rights of the beneficiaries are subject to the control of, and the duties of the trustee are owed exclusively to, the settlor.
(c) While the trust is irrevocable and during the period the power may be exercised, the holder of a power of withdrawal has the rights of a settlor of a revocable trust under this section and the duties of the trustee are owed exclusively to the holder of the power to the extent of the property subject to the power.
(d) While the trust is irrevocable and during the period the interest of any beneficiary not having a present interest may be terminated by the exercise of a power of appointment or other power, the duties of the trustee are owed exclusively to the holder of the power to the extent of the property subject to the power.
Source
Laws 2003, LB 130, § 55;
Laws 2004, LB 999, § 27;
Laws 2005, LB 533, § 43;
Laws 2013, LB38, § 2;
Laws 2019, LB536, § 22.
Annotations
This section does not dictate who may petition for the removal of a trustee, but, rather, describes to whom fiduciary duties are owed. In re Conservatorship of Abbott, 295 Neb. 510, 890 N.W.2d 469 (2017).
Where a trust agreement provided for the discretionary payment of trust principal to beneficiaries for their health, maintenance, support, and education, the beneficiaries had enforceable, present interests in the trust and the trustee owed fiduciary duties to the beneficiaries. In re Conservatorship of Abbott, 295 Neb. 510, 890 N.W.2d 469 (2017).
Where a trust agreement provided limited testamentary power to appoint trust property to or for the benefit of joint descendants, the power of appointment was neither a general power of appointment nor a power of withdrawal. In re Conservatorship of Abbott, 295 Neb. 510, 890 N.W.2d 469 (2017).
Under this section, incapacity of the settlor does not affect the settlor's power to revoke a trust, though it might affect the ability of the settlor to exercise that power. Manon v. Orr, 289 Neb. 484, 856 N.W.2d 106 (2014).
Pursuant to this section, the rights of the beneficiaries of a revocable trust are subject to the continued control of the settlor. In re Trust Created by Haberman, 24 Neb. App. 359, 886 N.W.2d 829 (2016).
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3856 - (UTC 604) Limitation on action contesting validity of revocable trust; distribution of trust property.

30-3856.
(UTC 604) Limitation on action contesting validity of revocable trust; distribution of trust property.
(UTC 604) (a) A person may commence a judicial proceeding to contest the validity of a trust that was revocable at the settlor's death within the earlier of:
(1) one year after the settlor's death; or
(2) one hundred twenty days after the trustee sent the person a copy of the trust instrument and a notice informing the person of the trust's existence, of the trustee's name and address, and of the time allowed for commencing a proceeding.
(b) Upon the death of the settlor of a trust that was revocable at the settlor's death, the trustee may proceed to distribute the trust property in accordance with the terms of the trust. The trustee is not subject to liability for doing so unless:
(1) the trustee knows of a pending judicial proceeding contesting the validity of the trust; or
(2) a potential contestant has notified the trustee of a possible judicial proceeding to contest the trust and a judicial proceeding is commenced within sixty days after the contestant sent the notification.
(c) A beneficiary in receipt of property from a trust that is determined to have been invalid is liable to return:
(1) the property and its income since distribution, if the beneficiary has the property; or
(2) the value of the property as of the date of disposition of the property, and its income and gain received by the beneficiary, if the beneficiary has disposed of the property.
Source
Laws 2003, LB 130, § 56.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3857 - (UTC 701) Accepting or declining trusteeship.

30-3857.
(UTC 701) Accepting or declining trusteeship.
(UTC 701) (a) Except as otherwise provided in subsection (c) of this section, a person designated as trustee accepts the trusteeship:
(1) by substantially complying with a method of acceptance provided in the terms of the trust;
(2) if the terms of the trust do not provide a method or the method provided in the terms is not expressly made exclusive, by accepting delivery of the trust property, exercising powers or performing duties as trustee, or otherwise indicating acceptance of the trusteeship; or
(3) by registering the trust in accordance with established statutory procedures.
(b) A person designated as trustee who has not yet accepted the trusteeship may reject the trusteeship. A designated trustee who does not accept the trusteeship within a reasonable time after knowing of the designation is deemed to have rejected the trusteeship.
(c) A person designated as trustee, without accepting the trusteeship, may:
(1) act to preserve the trust property if, within a reasonable time after acting, the person sends a rejection of the trusteeship to the settlor or, if the settlor is dead or lacks capacity, to a qualified beneficiary; and
(2) inspect or investigate trust property to determine potential liability under environmental or other law or for any other purpose.
Source
Laws 2003, LB 130, § 57.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3858 - (UTC 702) Trustee's bond.

30-3858.
(UTC 702) Trustee's bond.
(UTC 702) (a) A trustee shall give bond to secure performance of the trustee's duties only if the court finds that a bond is needed to protect the interests of the beneficiaries or is required by the terms of the trust and the court has not dispensed with the requirement.
(b) The court may specify the amount of a bond, its liabilities, and whether sureties are necessary. The court may modify or terminate a bond at any time.
(c) A bank or trust company qualified to act as a trustee in this state need not give bond, even if required by the terms of the trust.
Source
Laws 2003, LB 130, § 58.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3859 - (UTC 703) Cotrustees.

30-3859.
(UTC 703) Cotrustees.
(UTC 703) (a) Cotrustees who are unable to reach a unanimous decision may act by majority decision, except that any cotrustee may act independently as provided in section 30-901.
(b) If a vacancy occurs in a cotrusteeship, the remaining cotrustees may act for the trust.
(c) Subject to section 30-4312, a cotrustee must participate in the performance of a trustee's function unless the cotrustee is unavailable to perform the function because of absence, illness, disqualification under other law, or other temporary incapacity or the cotrustee has properly delegated the performance of the function to another trustee.
(d) If a cotrustee is unavailable to perform duties because of absence, illness, disqualification under other law, or other temporary incapacity, and prompt action is necessary to achieve the purposes of the trust or to avoid injury to the trust property, the remaining cotrustee or a majority of the remaining cotrustees may act for the trust.
(e) A trustee may not delegate to a cotrustee the performance of a function the settlor reasonably expected the trustees to perform jointly. Unless a delegation was irrevocable, a trustee may revoke a delegation previously made.
(f) Except as otherwise provided in subsection (g) of this section, a trustee who does not join in an action of another trustee is not liable for the action.
(g) Subject to section 30-4312, each trustee shall exercise reasonable care to:
(1) prevent a cotrustee from committing a serious breach of trust; and
(2) compel a cotrustee to redress a serious breach of trust.
(h) A dissenting trustee who joins in an action at the direction of the majority of the trustees and who notified any cotrustee of the dissent at or before the time of the action is not liable for the action unless the action is a serious breach of trust.
Source
Laws 2003, LB 130, § 59;
Laws 2019, LB55, § 4;
Laws 2019, LB536, § 23.
Annotations
A trustee is liable for the action of another trustee if he joins in the action, fails to prevent the cotrustee from committing a serious breach of trust, or fails to compel the cotrustee to redress a serious breach of trust. In re Conservatorship of Abbott, 295 Neb. 510, 890 N.W.2d 469 (2017).
Where one cotrustee also acts as a power of attorney for a second cotrustee in managing trust affairs, that cotrustee is considered to join in all actions of the second cotrustee and may owe certain fiduciary duties as a result. In re Conservatorship of Abbott, 295 Neb. 510, 890 N.W.2d 469 (2017).
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3860 - (UTC 704) Vacancy in trusteeship; appointment of successor.

30-3860.
(UTC 704) Vacancy in trusteeship; appointment of successor.
(UTC 704) (a) A vacancy in a trusteeship occurs if:
(1) a person designated as trustee rejects the trusteeship;
(2) a person designated as trustee cannot be identified or does not exist;
(3) a trustee resigns;
(4) a trustee is disqualified or removed;
(5) a trustee dies; or
(6) a guardian or conservator is appointed for an individual serving as trustee.
(b) If one or more cotrustees remain in office, a vacancy in a trusteeship need not be filled. A vacancy in a trusteeship must be filled if the trust has no remaining trustee.
(c) A vacancy in a trusteeship of a noncharitable trust that is required to be filled must be filled in the following order of priority:
(1) by a person designated in the terms of the trust to act as successor trustee;
(2) by a person appointed by unanimous agreement of the qualified beneficiaries; or
(3) by a person appointed by the court.
(d) A vacancy in a trusteeship of a charitable trust that is required to be filled must be filled in the following order of priority:
(1) by a person designated in the terms of the trust to act as successor trustee;
(2) by a person selected by the charitable organizations expressly designated to receive distributions under the terms of the trust if the Attorney General concurs in the selection; or
(3) by a person appointed by the court.
(e) Whether or not a vacancy in a trusteeship exists or is required to be filled, the court may appoint an additional trustee or special fiduciary whenever the court considers the appointment necessary for the administration of the trust.
Source
Laws 2003, LB 130, § 60.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3861 - (UTC 705) Resignation of trustee.

30-3861.
(UTC 705) Resignation of trustee.
(UTC 705) (a) A trustee may resign:
(1) upon at least thirty days' notice to the qualified beneficiaries, the settlor, if living, and all cotrustees; or
(2) with the approval of the court.
(b) In approving a resignation, the court may issue orders and impose conditions reasonably necessary for the protection of the trust property.
(c) Any liability of a resigning trustee or of any sureties on the trustee's bond for acts or omissions of the trustee is not discharged or affected by the trustee's resignation.
Source
Laws 2003, LB 130, § 61.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3862 - (UTC 706) Removal of trustee.

30-3862.
(UTC 706) Removal of trustee.
(UTC 706) (a) The settlor, a cotrustee, or a beneficiary may request the court to remove a trustee, or a trustee may be removed by the court on its own initiative.
(b) The court may remove a trustee if:
(1) the trustee has committed a serious breach of trust;
(2) lack of cooperation among cotrustees substantially impairs the administration of the trust;
(3) because of unfitness, unwillingness, or persistent failure of the trustee to administer the trust effectively, the court determines that removal of the trustee best serves the interests of the beneficiaries; or
(4) there has been a substantial change of circumstances or removal is requested by all of the qualified beneficiaries, the court finds that removal of the trustee best serves the interests of all of the beneficiaries and is not inconsistent with a material purpose of the trust, and a suitable cotrustee or successor trustee is available.
(c) Pending a final decision on a request to remove a trustee, or in lieu of or in addition to removing a trustee, the court may order such appropriate relief under subsection (b) of section 30-3890 as may be necessary to protect the trust property or the interests of the beneficiaries.
Source
Laws 2003, LB 130, § 62.
Annotations
The petitioners qualified as beneficiaries under the Nebraska Uniform Trust Code, because a family trust granted them a contingent future beneficial interest. In re William R. Zutavern Revocable Trust, 309 Neb. 542, 961 N.W.2d 807 (2021).
Removal of bank as trustee was inconsistent with material purpose of trust, where bank was selected because settlor wanted a trustee that was independent, and settlor did not want trustee that was a part of settlor's family. In re Trust Created by Fenske, 303 Neb. 430, 930 N.W.2d 43 (2019).
Where two trusts share the same beneficiaries, trustee, and trust instrument and removal of the trustee for breach of fiduciary duty was appropriate for one of the trusts, a county court has the power in equity to determine if it is in the best interests of the beneficiaries to remove the trustee of the second trust. In re Conservatorship of Abbott, 295 Neb. 510, 890 N.W.2d 469 (2017).
A proceeding initiated under section 30-3814 and this section to remove a trustee is a special proceeding within the meaning of section 25-1902. In re Trust of Rosenberg, 269 Neb. 310, 693 N.W.2d 500 (2005).
The court has the authority to remove a trustee if the trustee has engaged in self-dealing. Sherman v. Sherman, 16 Neb. App. 766, 751 N.W.2d 168 (2008).
The trial court did not refer to language of this section in finding that the cotrustee should be removed but made several factual findings supporting removal under this section, and the appellate court concluded that the cotrustee's actions when considered together justified removal of the cotrustee under this section. In re Charles C. Wells Revocable Trust, 15 Neb. App. 624, 734 N.W.2d 323 (2007).
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3863 - (UTC 707) Delivery of property by former trustee.

30-3863.
(UTC 707) Delivery of property by former trustee.
(UTC 707) (a) Unless a cotrustee remains in office or the court otherwise orders, and until the trust property is delivered to a successor trustee or other person entitled to it, a trustee who has resigned or been removed has the duties of a trustee and the powers necessary to protect the trust property.
(b) A trustee who has resigned or been removed shall proceed expeditiously to deliver the trust property within the trustee's possession to the cotrustee, successor trustee, or other person entitled to it.
(c) Title to all trust property shall be owned by and vested in any successor trustee without any conveyance, transfer, or assignment by the prior trustee.
Source
Laws 2003, LB 130, § 63.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3864 - (UTC 708) Compensation of trustee.

30-3864.
(UTC 708) Compensation of trustee.
(UTC 708) (a) If the terms of a trust do not specify the trustee's compensation, a trustee is entitled to compensation that is reasonable under the circumstances.
(b) If the terms of a trust specify the trustee's compensation, the trustee is entitled to be compensated as specified, but the court may allow more or less compensation if:
(1) the duties of the trustee are substantially different from those contemplated when the trust was created; or
(2) the compensation specified by the terms of the trust would be unreasonably low or high.
Source
Laws 2003, LB 130, § 64.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3865 - (UTC 709) Reimbursement of expenses.

30-3865.
(UTC 709) Reimbursement of expenses.
(UTC 709) (a) A trustee is entitled to be reimbursed out of the trust property, with interest as appropriate, for:
(1) expenses that were properly incurred in the administration of the trust; and
(2) to the extent necessary to prevent unjust enrichment of the trust, expenses that were not properly incurred in the administration of the trust.
(b) An advance by the trustee of money for the protection of the trust gives rise to a lien against trust property to secure reimbursement with reasonable interest.
Source
Laws 2003, LB 130, § 65.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3866 - (UTC 801) Duty to administer trust.

30-3866.
(UTC 801) Duty to administer trust.
(UTC 801) Upon acceptance of a trusteeship, the trustee shall administer the trust in good faith, in accordance with its terms and purposes and the interests of the beneficiaries, and in accordance with the Nebraska Uniform Trust Code.
Source
Laws 2003, LB 130, § 66.
Annotations
Upon acceptance of a trusteeship, a trustee has a duty to administer the trust in good faith, in accordance with its terms and purposes and the interests of the beneficiaries, and in accordance with the Nebraska Uniform Trust Code. In re William R. Zutavern Revocable Trust, 309 Neb. 542, 961 N.W.2d 807 (2021).
A reasonable person acting in good faith and in the interests of the beneficiaries would not wait until an annual report was due before informing the beneficiaries that the trust assets were in danger of being lost, but would instead inform the beneficiaries of the material facts immediately in order to allow them to protect their interests. Rafert v. Meyer, 290 Neb. 219, 859 N.W.2d 332 (2015).
In drafting a trust, an attorney cannot abrogate his or her duty to administer the trust in good faith, in accordance with its terms and purposes and the interests of the beneficiaries, and in accordance with the Nebraska Uniform Trust Code. Rafert v. Meyer, 290 Neb. 219, 859 N.W.2d 332 (2015).
The beneficiaries alleged sufficient facts for a court to find that the trustee acted in bad faith or reckless indifference to the purposes of the trust or the interests of the beneficiaries by providing a false address to the insurers of life insurance policies, which were the sole trust property. Rafert v. Meyer, 290 Neb. 219, 859 N.W.2d 332 (2015).
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3868 - (UTC 803) Impartiality.

30-3868.
(UTC 803) Impartiality.
(UTC 803) If a trust has two or more beneficiaries, the trustee shall act impartially in investing, managing, and distributing the trust property, giving due regard to the beneficiaries' respective interests.
Source
Laws 2003, LB 130, § 68.
Annotations
A trustee's duty of impartiality in administering trust property plays particular importance in distributing assets. In re Estate of Hedke, 278 Neb. 727, 775 N.W.2d 13 (2009).
In conjunction with this section and section 8-2207, a trustee has a statutory duty of impartiality. In re Trust of Rosenberg, 273 Neb. 59, 727 N.W.2d 430 (2007).
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3869 - (UTC 804) Prudent administration.

30-3869.
(UTC 804) Prudent administration.
(UTC 804) A trustee shall administer the trust as a prudent person would, by considering the purposes, terms, distributional requirements, and other circumstances of the trust. In satisfying this standard, the trustee shall exercise reasonable care, skill, and caution.
Source
Laws 2003, LB 130, § 69.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3870 - (UTC 805) Costs of administration.

30-3870.
(UTC 805) Costs of administration.
(UTC 805) In administering a trust, the trustee may incur only costs that are reasonable in relation to the trust property, the purposes of the trust, and the skills of the trustee.
Source
Laws 2003, LB 130, § 70.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3871 - (UTC 806) Trustee's skills.

30-3871.
(UTC 806) Trustee's skills.
(UTC 806) A trustee who has special skills or expertise, or is named trustee in reliance upon the trustee's representation that the trustee has special skills or expertise, shall use those special skills or expertise.
Source
Laws 2003, LB 130, § 71.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3874 - (UTC 809) Control and protection of trust property.

30-3874.
(UTC 809) Control and protection of trust property.
(UTC 809) A trustee shall take reasonable steps to take control of and protect the trust property.
Source
Laws 2003, LB 130, § 74.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3875 - (UTC 810) Record keeping and identification of trust property.

30-3875.
(UTC 810) Record keeping and identification of trust property.
(UTC 810) (a) A trustee shall keep adequate records of the administration of the trust.
(b) A trustee shall keep trust property separate from the trustee's own property.
(c) Except as otherwise provided in subsection (d) of this section, a trustee shall cause the trust property to be designated so that the interest of the trust, to the extent feasible, appears in records maintained by a party other than a trustee or beneficiary.
(d) If the trustee maintains records clearly indicating the respective interests, a trustee may invest as a whole the property of two or more separate trusts.
Source
Laws 2003, LB 130, § 75.
Annotations
A trustee's failure to keep required records is reason, among other things, for a court reviewing a judicial accounting to resolve doubts against the trustee. In re Estate of Hedke, 278 Neb. 727, 775 N.W.2d 13 (2009).
To further help prevent conflicts of interests, trustees are required to keep adequate records of the trust administration and to keep trust property separate from the trustee's property. In re Estate of Robb, 21 Neb. App. 429, 839 N.W.2d 368 (2013).
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3876 - (UTC 811) Enforcement and defense of claims.

30-3876.
(UTC 811) Enforcement and defense of claims.
(UTC 811) A trustee shall take reasonable steps to enforce claims of the trust and to defend claims against the trust.
Source
Laws 2003, LB 130, § 76.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3877 - (UTC 812) Collecting trust property.

30-3877.
(UTC 812) Collecting trust property.
(UTC 812) A trustee shall take reasonable steps to compel a former trustee or other person to deliver trust property to the trustee, and to redress a breach of trust known to the trustee to have been committed by a former trustee.
Source
Laws 2003, LB 130, § 77.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3879 - (UTC 814) Discretionary powers; tax savings.

30-3879.
(UTC 814) Discretionary powers; tax savings.
(UTC 814) (a) Notwithstanding the breadth of discretion granted to a trustee in the terms of the trust, including the use of such terms as "absolute", "sole", or "uncontrolled", the trustee shall exercise a discretionary power in good faith and in accordance with the terms and purposes of the trust and the interests of the beneficiaries.
(b) Subject to subsection (d) of this section, and unless the terms of the trust expressly indicate that a rule in this subsection does not apply:
(1) a person other than a settlor who is a beneficiary and trustee of a trust that confers on the trustee a power to make discretionary distributions to or for the trustee's personal benefit may exercise the power only in accordance with an ascertainable standard; and
(2) a trustee may not exercise a power to make discretionary distributions to satisfy a legal obligation of support that the trustee personally owes another person.
(c) A power whose exercise is limited or prohibited by subsection (b) of this section may be exercised by a majority of the remaining trustees whose exercise of the power is not so limited or prohibited. If the power of all trustees is so limited or prohibited, the court may appoint a special fiduciary with authority to exercise the power.
(d) Subsection (b) of this section does not apply to:
(1) a power held by the settlor's spouse who is the trustee of a trust for which a marital deduction, as defined in section 2056(b)(5) or 2523(e) of the Internal Revenue Code as defined in section 49-801.01, was previously allowed;
(2) any trust during any period that the trust may be revoked or amended by its settlor; or
(3) a trust if contributions to the trust qualify for the annual exclusion under section 2503(c) of the Internal Revenue Code as defined in section 49-801.01.
Source
Laws 2003, LB 130, § 79;
Laws 2005, LB 533, § 46.
2023 Nebraska Revised Statutes › Chapter 30 - Decedents' Estates; Protection of Persons and Property › 30-3880 - (UTC 815) General powers of trustee.

30-3880.
(UTC 815) General powers of trustee.
(UTC 815) (a) A trustee, without authorization by the court, may exercise:
(1) powers conferred by the terms of the trust; and
(2) except as limited by the terms of the trust:
(A) all powers over the trust property which an unmarried competent owner has over individually owned property;
(B) any other powers appropriate to achieve the proper investment, management, and distribution of the trust property; and
(C) any other powers conferred by the Nebraska Uniform Trust Code.
(b) The exercise of a power is subject to the fiduciary duties prescribed by sections 30-3866 to 30-3882.
(c) The changes made to this section by Laws 2019, LB593, shall apply retroactively to August 30, 2015.
Source
Laws 2003, LB 130, § 80;
Laws 2015, LB72, § 1;
Laws 2017, LB268, § 4;
Laws 2019, LB593, § 2.
Annotations
A trustee may exercise powers conferred by the Nebraska Uniform Trust Code, except as limited by the terms of the trust.  In re William R. Zutavern Revocable Trust, 309 Neb. 542, 961 N.W.2d 807 (2021).
All powers of a trustee, whether express or implied, are held in a fiduciary capacity, and their exercise or nonexercise is subject to the fiduciary duties of trusteeship. In re William R. Zutavern Revocable Trust, 309 Neb. 542, 961 N.W.2d 807 (2021).