reglab/statecodes huggingface dataset:
2023 New Mexico Statutes › Chapter 46 - Fiduciaries and Trusts › Article 14 - Uniform Directed Trust › Section 46-14-10 - Duty to provide information to trust director or trustee.

A. Subject to Section 11 [46-14-11 NMSA 1978] of the Uniform Directed Trust Act, a trustee shall provide information to a trust director to the extent the information is reasonably related both to:
(1) the powers or duties of the trustee; and
(2) the powers or duties of the director.
B. Subject to Section 11 of the Uniform Directed Trust Act, a trust director shall provide information to a trustee or another trust director to the extent the information is reasonably related both to:
(1) the powers or duties of the director; and
(2) the powers or duties of the trustee or other director.
C. A trustee that acts in reliance on information provided by a trust director is not liable for a breach of trust to the extent the breach resulted from the reliance, unless by so acting the trustee engages in willful misconduct.
D. A trust director that acts in reliance on information provided by a trustee or another trust director is not liable for a breach of trust to the extent the breach resulted from the reliance, unless by so acting the trust director engages in willful misconduct.
History:
Laws 2018, ch. 63, § 10.
ANNOTATIONS
Effective dates.
— Laws 2018, ch. 63, § 25 makes Laws 2018, ch. 63, § 10 effective January 1, 2019.
2023 New Mexico Statutes › Chapter 46 - Fiduciaries and Trusts › Article 14 - Uniform Directed Trust › Section 46-14-11 - No duty to monitor, inform or advise.

A. Unless the terms of a trust provide otherwise:
(1) a trustee does not have a duty to:
(a) monitor a trust director; or
(b) inform or give advice to a settlor, beneficiary, trustee or trust director concerning an instance in which the trustee might have acted differently than the director; and
(2) by taking an action described in Paragraph (1) of this subsection, a trustee does not assume the duty excluded by that paragraph.
B. Unless the terms of a trust provide otherwise:
(1) a trust director does not have a duty to:
(a) monitor a trustee or another trust director; or
(b) inform or give advice to a settlor, beneficiary, trustee or another trust director concerning an instance in which the director might have acted differently than a trustee or another trust director; and
(2) by taking an action described in Paragraph (1) of this subsection, a trust director does not assume the duty excluded by that paragraph.
History:
Laws 2018, ch. 63, § 11.
ANNOTATIONS
Effective dates.
— Laws 2018, ch. 63, § 25 makes Laws 2018, ch. 63, § 11 effective January 1, 2019.
2023 New Mexico Statutes › Chapter 46 - Fiduciaries and Trusts › Article 14 - Uniform Directed Trust › Section 46-14-12 - Application to cotrustee [co-trustee].

The terms of a trust may relieve a cotrustee [co-trustee] from duty and liability with respect to another cotrustee's [co-trustee's] exercise or nonexercise of a power of the other cotrustee [co-trustee] to the same extent that, in a directed trust, a directed trustee is relieved from duty and liability with respect to a trust director's power of direction under Sections 9 through 11 [46-14-9 to 46-14-11 NMSA 1978] of the Uniform Directed Trust Act.
History:
Laws 2018, ch. 63, § 12.
ANNOTATIONS
Bracketed material.
— The bracketed material was inserted by the compiler and is not part of the law.
Effective dates.
— Laws 2018, ch. 63, § 25 makes Laws 2018, ch. 63, § 12 effective January 1, 2019.
2023 New Mexico Statutes › Chapter 46 - Fiduciaries and Trusts › Article 14 - Uniform Directed Trust › Section 46-14-13 - Limitation of action against trust director.

A. An action against a trust director for breach of trust shall be commenced within the same limitation period provided for in Section 46A-10-1005 NMSA 1978 for an action for breach of trust against a trustee in a like position and under similar circumstances.
B. A report or accounting has the same effect on the limitation period for an action against a trust director for breach of trust that the report or accounting would have under Section 46A-10-1005 NMSA 1978 in an action for breach of trust against a trustee in a like position and under similar circumstances.
History:
Laws 2018, ch. 63, § 13.
ANNOTATIONS
Effective dates.
— Laws 2018, ch. 63, § 25 makes Laws 2018, ch. 63, § 13 effective January 1, 2019.
2023 New Mexico Statutes › Chapter 46 - Fiduciaries and Trusts › Article 14 - Uniform Directed Trust › Section 46-14-14 - Defenses in action against trust director.

In an action against a trust director for breach of trust, the director may assert the same defenses a trustee in a like position and under similar circumstances could assert in an action for breach of trust against the trustee.
History:
Laws 2018, ch. 63, § 14.
ANNOTATIONS
Effective dates.
— Laws 2018, ch. 63, § 25 makes Laws 2018, ch. 63, § 14 effective January 1, 2019.
2023 New Mexico Statutes › Chapter 46 - Fiduciaries and Trusts › Article 14 - Uniform Directed Trust › Section 46-14-15 - Jurisdiction over trust director.

A. By accepting appointment as a trust director of a trust subject to the Uniform Directed Trust Act, the director submits to the personal jurisdiction of the courts of New Mexico regarding any matter related to a power or duty of the director.
B. This section does not preclude other methods of obtaining jurisdiction over a trust director.
History:
Laws 2018, ch. 63, § 15.
ANNOTATIONS
Effective dates.
— Laws 2018, ch. 63, § 25 makes Laws 2018, ch. 63, § 15 effective January 1, 2019.
2023 New Mexico Statutes › Chapter 46 - Fiduciaries and Trusts › Article 14 - Uniform Directed Trust › Section 46-14-16 - Office of trust director.

Unless the terms of a trust provide otherwise, the rules applicable to a trustee apply to a trust director regarding the following matters:
A. acceptance under Section 46A-7-701 NMSA 1978;
B. giving of bond to secure performance under Section 46A-7-702 NMSA 1978;
C. reasonable compensation under Section 46A-7-708 NMSA 1978;
D. resignation under Section 46A-7-705 NMSA 1978;
E. removal under Section 46A-7-706 NMSA 1978; and
F. vacancy and appointment of successor under Section 46A-7-704 NMSA 1978.
History:
Laws 2018, ch. 63, § 16.
ANNOTATIONS
Effective dates.
— Laws 2018, ch. 63, § 25 makes Laws 2018, ch. 63, § 16 effective January 1, 2019.
2023 New Mexico Statutes › Chapter 46 - Fiduciaries and Trusts › Article 14 - Uniform Directed Trust › Section 46-14-17 - Uniformity of application and construction.

In applying and construing the Uniform Directed Trust Act, consideration shall be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it.
History:
Laws 2018, ch. 63, § 17.
ANNOTATIONS
Effective dates.
— Laws 2018, ch. 63, § 25 makes Laws 2018, ch. 63, § 17 effective January 1, 2019.
2023 New Mexico Statutes › Chapter 46 - Fiduciaries and Trusts › Article 14 - Uniform Directed Trust › Section 46-14-18 - Relation to Electronic Signatures in Global and National Commerce Act.

The Uniform Directed Trust Act modifies, limits or supersedes the Electronic Signatures in Global and National Commerce Act, 15 U.S.C. Section 7001 et seq., but does not modify, limit or supersede Section 101(c) of that act, 15 U.S.C. Section 7001(c), or authorize electronic delivery of any of the notices described in Section 103(b) of that act, 15 U.S.C. Section 7003(b).
History:
Laws 2018, ch. 63, § 18.
ANNOTATIONS
Effective dates.
— Laws 2018, ch. 63, § 25 makes Laws 2018, ch. 63, § 18 effective January 1, 2019.
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 1 - General Provisions and Definitions › Section 46A-1-101 - Short title.

Chapter 46A NMSA 1978 may be cited as the "Uniform Trust Code".
History:
Laws 2003, ch. 122, § 1-101; 2007, ch. 128, § 1.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, changed the statutory reference.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 1 - General Provisions and Definitions › Section 46A-1-102 - Scope.

The Uniform Trust Code [46A-1-101 to 46A-11-1104 NMSA 1978] applies to express trusts, charitable or noncharitable, and trusts created pursuant to a statute, judgment or decree that requires the trust to be administered in the manner of an express trust.
History:
Laws 2003, ch. 122, § 1-102.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 1 - General Provisions and Definitions › Section 46A-1-104 - Knowledge.

A. Subject to Subsection B of this section, a person has knowledge of a fact if the person:
(1) has actual knowledge;
(2) has received a notice or notification of it; or
(3) from all the facts and circumstances known to the person at the time in question, has reason to know it.
B. An organization that conducts activities through employees has notice or knowledge of a fact involving a trust only from the time the information was received by an employee having responsibility to act for the trust, or would have been brought to the employee's attention if the organization had exercised reasonable diligence. An organization exercises reasonable diligence if it maintains reasonable routines for communicating significant information to the employee having responsibility to act for the trust and there is reasonable compliance with the routines. Reasonable diligence does not require an employee of the organization to communicate information unless the communication is part of the employee's regular duties or the employee knows that a matter involving the trust would be materially affected by the information.
History:
Laws 2003, ch. 122, § 1-104; 2007, ch. 128, § 3.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, eliminated the provision that charges a person with knowledge if that person should have knowledge of a fact.
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 1 - General Provisions and Definitions › Section 46A-1-106 - Common law of trusts; principles of equity.

The common law of trusts and principles of equity supplement the Uniform Trust Code [46A-1-101 to 46A-11-1104 NMSA 1978], except to the extent modified by that code or another statute of this state.
History:
Laws 2003, ch. 122, § 1-106.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 1 - General Provisions and Definitions › Section 46A-1-107 - Governing law.

The meaning and effect of the terms of a trust are determined by:
A. the law of the jurisdiction designated in the terms unless the designation of that jurisdiction's law is contrary to a strong public policy of the jurisdiction having the most significant relationship to the matter at issue; or
B. in the absence of a controlling designation in the terms of the trust, the law of the jurisdiction having the most significant relationship to the matter at issue.
History:
Laws 2003, ch. 122, § 1-107; 2007, ch. 128, § 5; 2011, ch. 124, § 94.
ANNOTATIONS
The 2011 amendment,
effective January 1, 2012, provided that the law of the jurisdiction designated in a trust is the governing law for interpreting the trust.
The 2007 amendment,
effective July 1, 2007, added the provision that the meaning and effect of the terms of the trust are determined by the law of the state designated in the terms of the trust.
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 1 - General Provisions and Definitions › Section 46A-1-108 - Principal place of administration.

A. Without precluding other means for establishing a sufficient connection with the designated jurisdiction, terms of a trust designating the principal place of administration are valid and controlling if:
(1) a trustee's principal place of business is located in or a trustee is a resident of the designated jurisdiction; or
(2) all or part of the administration occurs in the designated jurisdiction.
B. A trustee is under a continuing duty to administer the trust at a place appropriate to its purposes, its administration and the interests of the beneficiaries.
C. Without precluding the right of the court to order, approve or disapprove a transfer, the trustee, in furtherance of the duty prescribed by Subsection B of this section, may transfer the trust's principal place of administration to another state or to a jurisdiction outside of the United States.
D. The trustee shall notify the qualified beneficiaries of a proposed transfer of a trust's principal place of administration not less than sixty days before initiating the transfer. The notice of proposed transfer must include:
(1) the name of the jurisdiction to which the principal place of administration is to be transferred;
(2) the address and telephone number at the new location at which the trustee can be contacted;
(3) an explanation of the reasons for the proposed transfer;
(4) the date on which the proposed transfer is anticipated to occur; and
(5) the date, not less than sixty days after the giving of the notice, by which the qualified beneficiary must notify the trustee of an objection to the proposed transfer.
E. The authority of a trustee under this section to transfer a trust's principal place of administration terminates if a qualified beneficiary notifies the trustee of an objection to the proposed transfer on or before the date specified in the notice.
F. In connection with a transfer of the trust's principal place of administration, the trustee may transfer some or all of the trust property to a successor trustee designated in the terms of the trust or appointed pursuant to Section 7-704 [46A-7-704 NMSA 1978] of the Uniform Trust Code.
History:
Laws 2003, ch. 122, § 1-108.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 1 - General Provisions and Definitions › Section 46A-1-109 - Methods and waiver of notice.

A. Notice to a person under the Uniform Trust Code [46A-1-101 to 46A-11-1104 NMSA 1978] or the sending of a document to a person under that code must be accomplished in a manner reasonably suitable under the circumstances and likely to result in receipt of the notice or document. Permissible methods of notice or for sending a document include first-class mail, personal delivery, delivery to the person's last known place of residence or place of business or a properly directed electronic message.
B. Notice otherwise required under the Uniform Trust Code [46A-1-101 to 46A-11-1104 NMSA 1978] or a document otherwise required to be sent under that code need not be provided to a person whose identity or location is unknown to and not reasonably ascertainable by the trustee.
C. Notice under the Uniform Trust Code [46A-1-101 to 46A-11-1104 NMSA 1978] or the sending of a document under that code may be waived by the person to be notified or sent the document.
D. Notice of a judicial proceeding must be given as provided in the applicable rules of civil procedure.
History:
Laws 2003, ch. 122, § 1-109.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 1 - General Provisions and Definitions › Section 46A-1-110 - Others treated as qualified beneficiaries.

A. A charitable organization expressly designated to receive distributions under the terms of a charitable trust has the rights of a qualified beneficiary under the Uniform Trust Code [46A-1-101 NMSA 1978] if the charitable organization, on the date the charitable organization's qualification is being determined:
(1) is a distributee or permissible distributee of trust income or principal;
(2) would be a distributee or permissible distributee of trust income or principal upon the termination of the interests of other distributees or permissible distributees then receiving or eligible to receive distributions; or
(3) would be a distributee or permissible distributee of trust income or principal if the trust terminated on that date.
B. A person appointed to enforce a trust created for the care of an animal or another noncharitable purpose as provided in Section 46A-4-408 or 46A-4-409 NMSA 1978 has the rights of a qualified beneficiary under the Uniform Trust Code.
C. The attorney general has the rights of a qualified beneficiary with respect to a charitable trust having its principal place of administration in this state or its charitable beneficiary or beneficiaries that receive or are eligible to receive in the aggregate the trust's largest distribution in this state.
History:
Laws 2003, ch. 122, § 1-110; 2007, ch. 128, § 6.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, eliminated the requirement that notice be given to beneficiaries who have requested notice, gave certain charitable organizations that receive distributions the rights of a qualified beneficiary and gave the attorney general the rights of a qualified beneficiary with respect to a charitable trust having its charitable beneficiaries that receive the trust's largest distribution in New Mexico.
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 1 - General Provisions and Definitions › Section 46A-1-111 - Nonjudicial settlement agreements.

A. For purposes of this section, "interested persons" means persons whose consent would be required in order to achieve a binding settlement were the settlement to be approved by the court.
B. Except as otherwise provided in Subsection C of this section, interested persons may enter into a binding nonjudicial settlement agreement with respect to any matter involving a trust.
C. A nonjudicial settlement agreement is valid only to the extent it does not violate a material purpose of the trust and includes terms and conditions that could be properly approved by the court under the Uniform Trust Code [46A-1-101 to 46A-11-1104 NMSA 1978] or other applicable law.
D. Matters that may be resolved by a nonjudicial settlement agreement include:
(1) the interpretation or construction of the terms of the trust;
(2) the approval of a trustee's report or accounting;
(3) direction to a trustee to refrain from performing a particular act or the grant to a trustee of any necessary or desirable power;
(4) the resignation or appointment of a trustee and the determination of a trustee's compensation;
(5) transfer of a trust's principal place of administration; and
(6) liability of a trustee for an action relating to the trust.
E. Any interested person may request the court to approve a nonjudicial settlement agreement to determine whether the representation as provided in Article 3 [46A-3-301 to 46A-3-305 NMSA 1978] of the Uniform Trust Code was adequate and to determine whether the agreement contains terms and conditions the court could have properly approved.
History:
Laws 2003, ch. 122, § 1-111.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 1 - General Provisions and Definitions › Section 46A-1-112 - Rules of construction.

The rules of construction that apply in this state to the interpretation of and disposition of property by will also apply as appropriate to the interpretation of the terms of a trust and the disposition of the trust property.
History:
Laws 2003, ch. 122, § 1-112.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 1 - General Provisions and Definitions › Section 46A-1-113 - Insurable interest of trustee.

A. In this section, "settlor" means a person that executes a trust instrument. "Settlor" includes a person for which a fiduciary or agent is acting.
B. A trustee of a trust has an insurable interest in the life of an individual insured under a life insurance policy that is owned by the trustee of the trust acting in a fiduciary capacity or that designates the trust itself as the owner if, on the date the policy is issued:
(1) the insured is:
(a) a settlor of the trust; or
(b) an individual in whom a settlor of the trust has, or would have had if living at the time the policy was issued, an insurable interest; and
(2) the life insurance proceeds are primarily for the benefit of one or more trust beneficiaries that have:
(a) an insurable interest in the life of the insured; or
(b) a substantial interest engendered by love and affection in the continuation of the life of the insured and, if not already included under Subparagraph (a) of this paragraph, who are: 1) related within the third degree or closer, as measured by the civil law system of determining degrees of relation, either by blood or law, to the insured; or 2) stepchildren of the insured.
History:
1978 Comp., § 46A-1-113, enacted by Laws 2011, ch. 124, § 95; 2016, ch. 69, § 723.
ANNOTATIONS
The 2016 amendment,
effective July 1, 2016, amended the definition of "settlor"; in Subsection A, after "means a person", deleted "including a person for which a fiduciary or agent is acting", and after "trust instrument", added "'Settlor' includes a person for which a fiduciary or agent is acting."; and in Subsection B, in the introductory sentence, after "life insurance policy", added "that is", after "owned by", deleted "the trust or", and after "fiduciary capacity", added "or that designates the trust itself as the owner", and in Paragraph (2), after "primarily for the benefit of", added "one or more".
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 2 - Judicial Proceedings › Section 46A-2-201 - Role of court in administration of trust.

A. The court may intervene in the administration of a trust to the extent its jurisdiction is invoked by an interested person or as provided by law.
B. A trust is not subject to continuing judicial supervision unless ordered by the court.
C. A judicial proceeding involving a trust may relate to any matter involving the trust's administration, including a request for instructions and an action to declare rights.
History:
Laws 2003, ch. 122, § 2-201.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 2 - Judicial Proceedings › Section 46A-2-202 - Jurisdiction over trustee and beneficiary.

A. By accepting the trusteeship of a trust having its principal place of administration in this state or by moving the principal place of administration to this state, the trustee submits personally to the jurisdiction of the courts of this state regarding any matter involving the trust.
B. With respect to their interests in the trust, the beneficiaries of a trust having its principal place of administration in this state are subject to the jurisdiction of the courts of this state regarding any matter involving the trust. By accepting a distribution from such a trust, the recipient submits personally to the jurisdiction of the courts of this state regarding any matter involving the trust.
C. This section does not preclude other methods of obtaining jurisdiction over a trustee, beneficiary or other person receiving property from the trust.
History:
Laws 2003, ch. 122, § 2-202.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 2 - Judicial Proceedings › Section 46A-2-203 - Subject-matter jurisdiction.

The district court has exclusive jurisdiction of all proceedings involving a trust.
History:
Laws 2003, ch. 122, § 2-203; 2007, ch. 128, § 7.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, broadened district court jurisdiction to include all proceedings involving a trust.
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 2 - Judicial Proceedings › Section 46A-2-204 - Venue.

A. Except as otherwise provided in Subsection B of this section, venue for a judicial proceeding involving a trust is in the county of New Mexico in which the trust's principal place of administration is or will be located or, if the trust is created by will and the estate is not yet closed, in the county in which the decedent's estate is being administered.
B. If a trust has no trustee, venue for a judicial proceeding for the appointment of a trustee is in a county of New Mexico in which a beneficiary resides, in a county in which any trust property is located or, if the trust is created by will, in the county in which the decedent's estate was or is being administered.
History:
Laws 2007, ch. 128, § 8.
ANNOTATIONS
Effective dates.
— Laws 2007, ch. 128, § 31 made the section effective July 1, 2007.
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 3 - Representation › Section 46A-3-301 - Representation; basic effect.

A. Notice to a person who may represent and bind another person pursuant to the provisions of Chapter 46A, Article 3 NMSA 1978 has the same effect as if notice were given directly to the other person.
B. The consent of a person who may represent and bind another person pursuant to the provisions of Chapter 46A, Article 3 NMSA 1978 is binding on the person represented unless the person represented objects to the representation before the consent would otherwise have become effective.
C. Except as otherwise provided in Sections 46A-4-411 and 46A-6-602 NMSA 1978, a person who pursuant to the provisions of Chapter 46A, Article 3 NMSA 1978 may represent a settlor who lacks capacity, may receive notice and give a binding consent on the settlor's behalf.
D. A settlor may not represent or bind a beneficiary pursuant to the provisions of Chapter 46A, Article 3 NMSA 1978 with respect to the termination or modification of a trust under Subsection A of Section 46A-4-411 NMSA 1978.
History:
Laws 2003, ch. 122, § 3-301; 2007, ch. 128, § 9.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, added Subsection D.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 3 - Representation › Section 46A-3-302 - Representation by holder of general testamentary power of appointment.

To the extent there is no conflict of interest between the holder of a general testamentary power of appointment and the persons represented with respect to the particular question or dispute, the holder may represent and bind persons whose interests, as permissible appointees, takers in default or otherwise, are subject to the power.
History:
Laws 2003, ch. 122, § 3-302.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 3 - Representation › Section 46A-3-303 - Representation by fiduciaries and parents.

To the extent there is no conflict of interest between the representative and the person represented or among those being represented with respect to a particular question or dispute:
A. a conservator may represent and bind the estate that the conservator controls;
B. a guardian may represent and bind the protected person if a conservator of the protected person's estate has not been appointed;
C. an agent having authority to act with respect to the particular question or dispute may represent and bind the principal;
D. a trustee may represent and bind the beneficiaries of the trust;
E. a personal representative of a decedent's estate may represent and bind persons interested in the estate; and
F. a parent may represent and bind the parent's minor or unborn child if a conservator or guardian for the child has not been appointed.
History:
Laws 2003, ch. 122, § 3-303; 2009, ch. 159, § 42.
ANNOTATIONS
The 2009 amendment,
effective June 19, 2009, in Subsection B, deleted "ward" and added "protected person".
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 3 - Representation › Section 46A-3-304 - Representation by person having substantially identical interest.

Unless otherwise represented, a minor, incapacitated or unborn person, or a person whose identity or location is unknown and not reasonably ascertainable, may be represented by and bound by another having a substantially identical interest with respect to the particular question or dispute, but only to the extent there is no conflict of interest between the representative and the person represented.
History:
Laws 2003, ch. 122, § 3-304.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 3 - Representation › Section 46A-3-305 - Appointment of representative.

A. If the court determines that an interest is not represented under this article, or that the otherwise available representation might be inadequate, the court may appoint a representative to receive notice, give consent and otherwise represent, bind and act on behalf of a minor, incapacitated or unborn person, or a person whose identity or location is unknown. A representative may be appointed to represent several persons or interests.
B. A representative may act on behalf of the person represented with respect to any matter arising under the Uniform Trust Code [46A-1-101 to 46A-11-1104 NMSA 1978], whether or not a judicial proceeding concerning the trust is pending.
C. In making decisions, a representative may consider the general benefit accruing to the living members of the person's family.
History:
Laws 2003, ch. 122, § 3-305.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-401 - Methods of creating trust.

A trust may be created by:
A. transfer of property to another person as trustee during the settlor's lifetime or by will or other disposition taking effect upon the settlor's death;
B. declaration by the owner of property that the owner holds identifiable property as trustee; or
C. exercise of a power of appointment in favor of a trustee.
History:
Laws 2003, ch. 122, § 4-401.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-402 - Requirements for creation.

A. A trust is created only if:
(1) the settlor has capacity to create a trust;
(2) the settlor indicates an intention to create the trust;
(3) the trust has a definite beneficiary or is:
(a) a charitable trust;
(b) a trust for the care of an animal, as provided in Section 4-408 [46A-4-408 NMSA 1978] of the Uniform Trust Code; or
(c) a trust for a noncharitable purpose, as provided in Section 4-409 [46A-4-409 NMSA 1978] of the Uniform Trust Code;
(4) the trustee has duties to perform; and
(5) the same person is not the sole trustee and sole beneficiary.
B. A beneficiary is definite if the beneficiary can be ascertained now or in the future, subject to any applicable rule against perpetuities.
C. A power in a trustee to select a beneficiary from an indefinite class is valid. If the power is not exercised within a reasonable time, the power fails and the property subject to the power passes to the persons who would have taken the property had the power not been conferred.
History:
Laws 2003, ch. 122, § 4-402.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-403 - Trusts created in other jurisdictions.

A trust not created by will is validly created if its creation complies with the law of the jurisdiction in which the trust instrument was executed or the law of the jurisdiction in which, at the time of creation:
A. the settlor was domiciled, had a place of abode or was a national;
B. a trustee was domiciled or had a place of business; or
C. any trust property was located.
History:
Laws 2003, ch. 122, § 4-403.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-404 - Trust purposes.

A trust may be created only to the extent its purposes are lawful, not contrary to public policy and possible to achieve. A trust and its terms must be for the benefit of its beneficiaries.
History:
Laws 2003, ch. 122, § 4-404.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-405 - Charitable purposes; enforcement.

A. A charitable trust may be created for the relief of poverty, the advancement of education or religion, the promotion of health, governmental or municipal purposes or other purposes the achievement of which is beneficial to the community.
B. If the terms of a charitable trust do not indicate a particular charitable purpose or beneficiary, the court may select one or more charitable purposes or beneficiaries. The selection must be consistent with the settlor's intention to the extent it can be ascertained.
C. The settlor of a charitable trust, among others, may maintain a proceeding to enforce the trust.
D. The corpus and income of a charitable trust may only be expended in furtherance of the charitable mission of the charitable trust, unless that charitable mission is amended or the charitable trust terminated pursuant to a cy pres proceeding as described in Section 4-413 [46A-4-413 NMSA 1978] of the Uniform Trust Code.
E. The attorney general, as parens patriae, shall have authority to maintain a proceeding to enforce the charitable trust and its charitable mission.
F. Nothing contained in the Uniform Trust Code [46A-1-101 NMSA 1978] shall limit the authority of the attorney general under the Charitable Solicitations Act [Chapter 57, Article 22 NMSA 1978].
History:
Laws 2003, ch. 122, § 4-405.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-406 - Creation of trust induced by fraud, duress or undue influence.

A trust is void to the extent its creation was induced by fraud, duress or undue influence.
History:
Laws 2003, ch. 122, § 4-406.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-407 - Evidence of oral trust.

Except as required by a statute other than the Uniform Trust Code [46A-1-101 NMSA 1978], a trust need not be evidenced by a trust instrument, but the creation of an oral trust and its terms may be established only by clear and convincing evidence.
History:
Laws 2003, ch. 122, § 4-407.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-408 - Trust for care of animal.

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.
History:
Laws 2003, ch. 122, § 4-408.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-409 - Noncharitable trust without ascertainable beneficiary.

Except as otherwise provided in Section 4-408 [46A-4-408 NMSA 1978] of the Uniform Trust Code or by another statute, the following rules apply:
A. 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;
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; and
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.
History:
Laws 2003, ch. 122, § 4-409.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-410 - Modification or termination of trust; proceedings for approval or disapproval.

A. In addition to the methods of termination prescribed by Sections 4-411 through 4-414 [46A-4-411 to 46A-4-414 NMSA 1978] of the Uniform Trust Code, a trust terminates to the extent the trust is revoked or expires pursuant to its terms, no purpose of the trust remains to be achieved or the purposes of the trust have become unlawful, contrary to public policy or impossible to achieve.
B. A proceeding to approve or disapprove a proposed modification or termination under Sections 4-411 through 4-416 [46A-4-411 to 46A-4-416 NMSA 1978] of the Uniform Trust Code or a trust combination or division under Section 4-417 [46A-4-417 NMSA 1978] of that code may be commenced by a trustee or beneficiary, and a proceeding to approve or disapprove a proposed modification or termination under Section 4-411 [46A-4-411 NMSA 1978] of that code may be commenced by the settlor. The settlor of a charitable trust may maintain a proceeding to modify the trust under Section 4-413 [46A-4-413 NMSA 1978] of that code.
History:
Laws 2003, ch. 122, § 4-410.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Revocation of an irrevocable trust was not permissible under the UTC.
— In a divorce proceeding, where wife appealed the district court's characterization of assets and debts as separate or community property and the court's division of marital assets and debts between her and husband, and where the district court found that the parties' residence was an asset of a revocable trust and was therefore community property, the district court erred in determining that the residence was held in a revocable trust, and therefore community property, and in revoking the trust; the testimony and documents in evidence conclusively established that the residence was an asset of the parties' irrevocable qualified personal residential trust for the benefit of the parties' son. Pursuant to the Uniform Trust Code (UTC), revocation of an irrevocable trust cannot be accomplished without the agreement of the beneficiary, together with other specific conditions, and in this case, the beneficiary of the trust, the parties' son, was not joined in the proceedings. Revocation of the trust in this case was not permissible under the UTC.
Autrey v. Autrey
, 2022-NMCA-042, cert. granted.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-411 - Modification or termination of noncharitable irrevocable trust by consent.

A. A noncharitable irrevocable trust may be modified or terminated upon consent of the settlor and all beneficiaries, even if the modification or termination is inconsistent with a material purpose of the trust. If upon petition the court finds that the settlor and all beneficiaries consent to the modification or termination of a noncharitable irrevocable trust, the court shall approve the modification or termination even if the modification or termination is inconsistent with a material purpose of the trust. A settlor's power to consent to a trust's modification or termination may be exercised by an agent under a power of attorney only to the extent expressly authorized by the power of attorney or the terms of the trust; by the settlor's conservator with the approval of the court supervising the conservatorship if an agent is not so authorized; or by the settlor's guardian with the approval of the court supervising the guardianship if an agent is not so authorized and a conservator has not been appointed.
B. A noncharitable irrevocable trust may be terminated upon consent of all of the beneficiaries if the court concludes that continuance of the trust is not necessary to achieve any material purpose of the trust. A noncharitable irrevocable trust may be modified upon consent of all of the beneficiaries if the court concludes that modification is not inconsistent with a material purpose of the trust.
C. For purposes of this section only, a spendthrift provision in the terms of a trust is not presumed to constitute either a material or an immaterial provision of the trust.
D. Upon termination of a trust under Subsection A or B of this section, the trustee shall distribute the trust property as agreed by the beneficiaries.
E. If not all of the beneficiaries consent to a proposed modification or termination of the trust under Subsection A or B of this section, the modification or termination may be approved by the court if the court is satisfied that:
(1) if all of the beneficiaries had consented, the trust could have been modified or terminated under this section; and
(2) the interests of a beneficiary who does not consent will be adequately protected.
History:
Laws 2003, ch. 122, § 4-411; 2007, ch. 128, § 10.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, permitted a court to modify or terminate a noncharitable trust even if modification or termination is inconsistent with a material purpose of the trust and provided that a spendthrift provision is not a material or immaterial provision of a trust.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-412 - Modification or termination because of unanticipated circumstances or inability to administer trust effectively.

A. The court may modify the administrative or dispositive terms of a trust or terminate the trust if it is established by clear and convincing evidence that there are circumstances not anticipated by the settlor and 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.
History:
Laws 2003, ch. 122, § 4-412; 2007, ch. 128, § 11.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, required clear and convincing evidence that there are circumstances not anticipated by a settler to change or terminate a trust.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).
2023 New Mexico Statutes › Chapter 46A - Uniform Trust Code › Article 4 - Creation, Validity, Modification and Termination of Trust › Section 46A-4-413 - Cy pres.

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.
B. A provision in the terms of a charitable trust that would result in distribution of the trust property to a noncharitable beneficiary prevails over the power of the court under Subsection A of this section to apply cy pres to modify or terminate the trust only if, when the provision takes effect:
(1) the trust property is to revert to the settlor and the settlor is still living; or
(2) fewer than twenty-one years have elapsed since the date of the trust's creation.
C. The attorney general as parens patriae is a necessary party to any cy pres proceeding in the Uniform Trust Code [46A-1-101 NMSA 1978].
History:
Laws 2003, ch. 122, § 4-413.
ANNOTATIONS
Effective dates.
— Laws 2003, ch. 122, § 11-1106 made the act effective July 1, 2003.
Law reviews.
— For article, "The New Mexico Uniform Trust Code," see 34 N.M.L. Rev. 1 (2004).