reglab/statecodes huggingface dataset:
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7777 - Delegation by trustee

§ 7777. Delegation by trustee.
(a) Standards for delegation.--
A trustee may delegate duties and powers that a prudent trustee of comparable skills might delegate under the circumstances. The trustee shall exercise reasonable care, skill and caution in:
(1) selecting an agent;
(2) establishing the scope and specific terms of the delegation, consistent with the purposes and provisions of the trust; and
(3) reviewing periodically the agent's actions in order to monitor the agent's performance and compliance with the scope and specific terms of the delegation.
(b) Agent's duty.--
The agent shall comply with the scope and terms of the delegation and shall exercise the delegated duties and powers with reasonable care, skill and caution and shall be liable to the trust for failure to do so. An agent who represents having special skills or expertise shall use those special skills or that expertise.
(c) Liability.--
A trustee who complies with subsection (a) is not liable to the beneficiaries or to the trust for an action of the agent to whom the function was delegated.
(d) Jurisdiction.--
An agent who accepts the delegation of duties or powers from a trustee who is subject to the jurisdiction of a court of this Commonwealth shall be deemed to have submitted to the jurisdiction of that court even if the terms of the delegation provide for a different jurisdiction or venue.
(e) When one trustee may delegate to another.--
A trustee may delegate duties and powers to another trustee if the delegating trustee reasonably believes that the other trustee has greater skills than the delegating trustee with respect to those duties and powers and the other trustee accepts the delegation. The delegating trustee shall not be responsible for the decisions, actions or inactions of the trustee to whom those duties and powers have been delegated if the delegating trustee has exercised reasonable care, skill and caution in establishing the scope and specific terms of the delegation and in reviewing periodically the performance of the trustee to whom the duties and powers have been delegated and that trustee's compliance with the scope and specific terms of the delegation.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7778 - Powers to direct - UTC 808

§ 7778. Powers to direct - UTC 808.
(a) Direction of settlor.--
While a trust is revocable, the trustee may follow a written direction of the settlor that is contrary to the trust instrument.
(b) Compliance with power.--
If a trust instrument confers upon a person other than the settlor of a revocable trust power to direct certain actions of the trustee, the trustee shall act in accordance with a written exercise of the power unless the attempted exercise is manifestly contrary to the trust instrument or the trustee knows the attempted exercise would constitute a serious breach of a fiduciary duty that the person holding the power owes to the beneficiaries of the trust.
(c) Modification or termination of trust.--
A trust instrument may confer upon a trustee or other person a power to modify or terminate the trust.
(d) Fiduciary relationship.--
A person other than a beneficiary who holds a power to direct certain actions of a trustee is presumptively a fiduciary who, as such, is required to act in good faith with regard to the purposes of the trust and the interests of the beneficiaries. The holder of a power to direct is liable for any loss that results from breach of the holder's fiduciary duty.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7780 - Recordkeeping and identification of trust property - UTC 810

§ 7780. Recordkeeping and identification of trust property - UTC 810.
(a) Records.--
A trustee shall keep adequate records of the administration of the trust.
(b) Commingling trust property prohibited.--
A trustee shall keep trust property separate from the trustee's own property.
(c) Designating trust property.--
Except as otherwise provided in subsection (d) and section 3321 (relating to nominee registration; corporate fiduciary as agent; deposit of securities in a clearing corporation; book-entry securities), 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) Investing property of separate trusts.--
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.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7780.1 - Enforcement and defense of claims - UTC 811

§ 7780.1. Enforcement and defense of claims - UTC 811.
Except as provided in section 7770 (relating to liability of successor trustee), a trustee shall take reasonable steps to enforce claims of the trust and to defend claims against the trust. When one of several trustees is individually liable to the trust, the other trustee or trustees shall take any legal action against that trustee necessary to protect the trust.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7780.4 - Discretionary powers

§ 7780.4. Discretionary powers.
The trustee shall exercise a discretionary power in good faith and in accordance with the provisions and purposes of the trust and the interests of the beneficiaries, notwithstanding the breadth of discretion granted to a trustee in the trust instrument, including the use of such terms as "absolute," "sole" or "uncontrolled."
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7780.5 - Powers of trustees - UTC 815

§ 7780.5. Powers of trustees - UTC 815.
(a) Exercise of power.--
Except as otherwise provided in the trust instrument or in other provisions of this title, a trustee has all the powers over the trust property that an unmarried competent owner has over individually owned property and may exercise those powers without court approval from the time of creation of the trust until final distribution of the assets of the trust.
(b) (Reserved).
Cross References.
Section 7780.5 is referred to in sections 7780.6, 7790.2 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7780.7 - Distribution upon termination

§ 7780.7. Distribution upon termination.
Upon the occurrence of an event terminating or partially terminating a trust, the trustee shall proceed to distribute the trust property within a reasonable time to the persons entitled to it, subject to the right of the trustee to retain a reasonable reserve for the payment of debts, expenses and taxes.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7781 - Remedies for breach of trust - UTC 1001

§ 7781. Remedies for breach of trust - UTC 1001.
(a) What constitutes breach of trust.--
A violation by a trustee of a duty the trustee owes to a beneficiary is a breach of trust.
(b) Remedies.--
To remedy a breach of trust that has occurred or may occur, the court may order any appropriate relief, including the following:
(1) Compelling the trustee to perform the trustee's duties.
(2) Enjoining the trustee from committing a breach of trust.
(3) Compelling the trustee to redress a breach of trust by paying money, restoring property or other means.
(4) Ordering a trustee to file an account.
(5) Taking any action authorized by Chapter 43 (relating to temporary fiduciaries).
(6) (Reserved).
(7) Removing the trustee as provided in section 7766 (relating to removal of trustee - UTC 706).
(8) Reducing or denying compensation to the trustee.
(9) Subject to section 7790.2 (relating to protection of person dealing with trustee - UTC 1012):
(i) voiding an act of the trustee;
(ii) imposing a lien or a constructive trust on trust property; or
(iii) tracing trust property wrongfully disposed of and recovering the property or its proceeds.
(10) (Reserved).
Cross References.
Section 7781 is referred to in section 7766 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7782 - Damages for breach of trust - UTC 1002

§ 7782. Damages for breach of trust - UTC 1002.
(a) Liability for breach of trust.--
A trustee who commits a breach of trust is liable to the beneficiaries affected.
(b) Contribution.--
(1) Except as otherwise provided in this subsection, if more than one trustee is liable to the beneficiaries for a breach of trust, a trustee is entitled to contribution from the other trustee or trustees.
(2) A trustee is not entitled to contribution if the trustee:
(i) was substantially more at fault than another trustee; or
(ii) committed the breach of trust in bad faith or with reckless indifference to the purposes of the trust or the interests of the beneficiaries.
(3) A trustee who received a benefit from the breach of trust is not entitled to contribution from another trustee to the extent of the benefit received.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7783 - Damages in absence of breach - UTC 1003

§ 7783. Damages in absence of breach - UTC 1003.
(a) Profit.--
A trustee is accountable to an affected beneficiary for any profit, excluding reasonable compensation, made by the trustee arising from the administration of the trust, even absent a breach of trust.
(b) Loss or depreciation.--
Absent a breach of trust, a trustee is not liable to a beneficiary for a loss or depreciation in the value of trust property or for not having made a profit.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7786 - Reliance on trust instrument - UTC 1006

§ 7786. Reliance on trust instrument - UTC 1006.
A trustee who acts in reasonable reliance on the express provisions of the trust instrument is not liable to a beneficiary for a breach of trust to the extent the breach resulted from the reliance.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7787 - Event affecting administration or distribution - UTC 1007

§ 7787. Event affecting administration or distribution - UTC 1007.
If the happening of an event, including marriage, divorce, performance of educational requirements, attaining a specific age or death, affects the administration or distribution of a trust, a trustee who has exercised reasonable care to ascertain the happening of the event is not liable for a loss resulting from the trustee's lack of knowledge.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7788 - Exculpation of trustee - UTC 1008

§ 7788. Exculpation of trustee - UTC 1008.
(a) When exculpatory provision unenforceable.--
A provision of a trust instrument relieving a trustee of liability for breach of trust is unenforceable to the extent that it:
(1) relieves the trustee of liability for breach of trust committed in bad faith or with reckless indifference to the purposes of the trust or the interests of the beneficiaries; or
(2) was inserted as the result of an abuse by the trustee of a fiduciary or confidential relationship to the settlor.
(b) Exculpatory provision by trustee.--
An exculpatory term drafted or caused to be drafted by the trustee is invalid as an abuse of a fiduciary or confidential relationship unless the trustee proves that the exculpatory term is fair under the circumstances and that its existence and contents were adequately communicated to the settlor.
Cross References.
Section 7788 is referred to in section 7705 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7789 - Beneficiary's consent, release or ratification - UTC 1009

§ 7789. Beneficiary's consent, release or ratification - UTC 1009.
A trustee is not liable to a beneficiary for breach of trust if the beneficiary consented to the conduct constituting the breach, released the trustee from liability for the breach or ratified the transaction constituting the breach, unless the consent, release or ratification of the beneficiary was induced by improper conduct of the trustee.
Cross References.
Section 7789 is referred to in section 7772 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7790 - Limitation on personal liability of trustee - UTC 1010

§ 7790. Limitation on personal liability of trustee - UTC 1010.
(a) When trustee not personally liable.--
Except as otherwise provided in the contract, a trustee is not personally liable on a contract properly entered into in the trustee's fiduciary capacity in the course of administering the trust if the trustee in the contract disclosed the fiduciary capacity.
(b) When trustee personally liable.--
A trustee is personally liable for torts committed in the course of administering a trust or for obligations arising from ownership or control of trust property, including liability for violation of environmental law, only if the trustee is personally at fault.
(c) Assertion of claim.--
A claim based on a contract entered into by a trustee in the trustee's fiduciary capacity on an obligation arising from ownership or control of trust property or on a tort committed in the course of administering a trust may be asserted in a judicial proceeding against the trustee in the trustee's fiduciary capacity, whether or not the trustee is personally liable for the claim.
Cross References.
Section 7790 is referred to in section 7705 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7790.1 - Interest as general partner - UTC 1011

§ 7790.1. Interest as general partner - UTC 1011.
(a) Contractual liability.--
Except as otherwise provided in subsection (c) or unless personal liability is imposed in the contract, a trustee who holds an interest as a general partner in a general or limited partnership is not personally liable on a contract entered into by the partnership after the trust's acquisition of the interest if the fiduciary capacity was disclosed in the contract or in a statement previously filed pursuant to 15 Pa.C.S. Ch. 83 (relating to general partnerships) or 85 (relating to limited partnerships).
(b) Tortious liability.--
Except as otherwise provided in subsection (c), a trustee who holds an interest as a general partner is not personally liable for torts committed by the partnership or for obligations arising from ownership or control of the interest unless the trustee is personally at fault.
(c) When immunity inapplicable.--
The immunity provided by this section does not apply if an interest in the partnership is held by:
(1) the trustee in a capacity other than that of trustee;
(2) the trustee's spouse; or
(3) the trustee's descendant, sibling or parent or the spouse of a descendant, sibling or parent.
(d) Personal liability of settlor.--
If the trustee of a revocable trust holds an interest as a general partner, the settlor is personally liable for contracts and other obligations of the partnership as if the settlor were a general partner.
References in Text. Chapters 83 and 85 of Title 15 (Corporations and Unincorporated Associations), referred to in subsec. (a), were repealed November 21, 2016, P.L.1328, No.170, effective in 90 days. The subject matter can now be found in Chapters 84 and 86, respectively, in Title 15.
Cross References.
Section 7790.1 is referred to in section 7705 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7790.2 - Protection of person dealing with trustee - UTC 1012

§ 7790.2. Protection of person dealing with trustee - UTC 1012.
(a) (Reserved).
(a.1) Protection from liability.--
Unless a person assisting or dealing with a trustee has actual knowledge that the trustee is committing a breach of trust or has knowledge of such facts that the trustee's conduct amounts to bad faith, the person:
(1) may assume without inquiry the existence of trust powers and their proper exercise by the trustee;
(2) is not bound to inquire whether the trustee has power to act or is properly exercising the power; and
(3) is fully protected in dealing with the trustee as if the trustee possessed and properly exercised the powers the trustee purports to exercise.
(b) No requirement to inquire.--
A person other than a beneficiary who in good faith deals with a trustee is not required to inquire into the extent of the trustee's powers or the propriety of their exercise.
(c) (Reserved).
(c.1) Ultra vires.--
A trustee's act may not be set aside or not specifically enforced because the trustee's act was not authorized by section 7780.5 (relating to powers of trustees - UTC 815) or 7780.6 (relating to illustrative powers of trustee) or because the trustee's act was authorized but the authority was improperly exercised. A court's power to set aside a transaction for fraud, accident, mistake or self-dealing is unaffected by this subsection.
(d) Former trustee.--
A person other than a beneficiary who in good faith assists a former trustee, or who in good faith and for value deals with a former trustee, without knowledge that the trusteeship has terminated is protected from liability as if the former trustee were still a trustee.
(e) Effect of other laws.--
Comparable protective provisions of other laws relating to commercial transactions or transfer of securities by fiduciaries prevail over the protection provided by this section.
Cross References.
Section 7790.2 is referred to in sections 7705, 7772, 7781 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7790.3 - Certification of trust - UTC 1013

§ 7790.3. Certification of trust - UTC 1013.
(a) Contents of certification.--
Instead of furnishing a copy of the trust instrument to a person other than a beneficiary, the trustee may furnish to the person a certification of trust containing the following information:
(1) The trust's existence and the date the trust instrument was executed.
(2) The identity of the settlor.
(3) The identity and address of the currently acting trustee.
(4) The powers of the trustee.
(5) The revocability or irrevocability of the trust and the identity of any person holding a power to revoke the trust.
(6) The authority of cotrustees to sign or otherwise authenticate and whether all or less than all are required in order to exercise powers of the trustee.
(7) The trust's taxpayer identification number.
(8) The manner of taking title to trust property.
(b) Authentication.--
A certification of trust may be signed or otherwise authenticated by any trustee.
(c) Assurance of representations.--
A certification of trust must state that the trust has not been revoked, modified or amended in a manner that would cause the representations contained in the certification of trust to be incorrect.
(d) Dispositive trust provisions.--
A certification of trust need not contain the dispositive provisions of the trust instrument.
(e) Provisions to be made available upon request.--
A recipient of a certification of trust may require the trustee to furnish copies of those excerpts from the original trust instrument and later amendments which designate the trustee and confer upon the trustee the power to act in the pending transaction.
(f) Reliance on certification.--
A person who acts in reliance upon a certification of trust without knowledge that the representations contained in the certification are incorrect is not liable to any person for so acting and may assume without inquiry the existence of the facts contained in the certification. Knowledge of the provisions of the trust instrument may not be inferred solely from the fact that a copy of all or part of the trust instrument is held by the person relying upon the certification.
(g) Enforcement.--
A person who in good faith enters into a transaction in reliance upon a certification of trust may enforce the transaction against the trust property as if the representations contained in the certification were correct.
(h) Liability.--
A person making a demand for the trust instrument in addition to a certification of trust or excerpts is liable for damages if the court determines that the person did not act in good faith in demanding the trust instrument.
(i) Applicability.--
This section does not limit the right of a person to obtain a copy of the trust instrument in a judicial proceeding concerning the trust.
Cross References.
Section 7790.3 is referred to in sections 3912, 3913, 7705 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7791 - Abandonment of property

§ 7791. Abandonment of property.
If any property is so burdensome or is so encumbered or is in such condition that it is of no value to the trust, the trustee may abandon it. If property without value cannot be abandoned without transfer of title to another or without a formal renunciation, the court may authorize the trustee to transfer or renounce it without consideration if it finds that this will be for the best interests of the trust.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7792 - Powers, duties and liabilities identical with personal representatives

§ 7792. Powers, duties and liabilities identical with personal representatives.
The provisions concerning the powers, duties and liabilities of a trustee shall be the same as those set forth in the following provisions of this title for the administration of a decedent's or a minor's estate:
Section 3184 (relating to discharge of personal representative and surety).
Section 3321(d) and (e) (relating to nominee registration; corporate fiduciary as agent; deposit of securities in a clearing corporation; book-entry securities).
Section 3323 (relating to compromise of controversies).
Section 3324 (relating to death or incapacity of fiduciary).
Section 3332 (relating to inherent powers and duties).
Section 3353 (relating to order of court).
Section 3354 (relating to power given in governing instrument).
Section 3355 (relating to restraint of sale).
Section 3356 (relating to purchase by personal representative).
Section 3358 (relating to collateral attack).
Section 3359 (relating to record of proceedings; county where real estate lies).
Section 3532(c) (relating to at risk of personal representative).
(July 8, 2016, P.L.497, No.79, eff. Jan. 1, 2017)
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7793 - Effect of removal, or of probate of later will or codicil

§ 7793. Effect of removal, or of probate of later will or codicil.
(a) No impeachment.--
No act of administration performed by a testamentary trustee in good faith shall be impeached by the subsequent:
(1) revocation of the probate of the will from which the trustee derives authority;
(2) probate of a later will or of a codicil; or
(3) dismissal of the trustee.
(b) Good faith dealings.--
Regardless of the good or bad faith of the testamentary trustee, no person who deals in good faith with a testamentary trustee shall be prejudiced by the occurrence of any of the contingencies set forth in subsection (a).
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7794 - Title of purchaser

§ 7794. Title of purchaser.
If the trustee has given a bond as required in accordance with this title, any sale, pledge, mortgage or exchange by a trustee, whether pursuant to a decree or to the exercise of a power conferred by the trust instrument or of a power under this title, shall pass the full title of the trust in the property, unless otherwise specified. Persons dealing with the trustee shall have no obligation to see to the proper application of the cash or other assets given in exchange for the property of the trust. A sale or exchange by a trustee pursuant to a decree under section 3353 (relating to order of court) shall have the effect of a judicial sale as to the discharge of liens, but the court may decree a sale or exchange freed and discharged from the lien of any mortgage otherwise preserved from discharge by existing law if the holder of the mortgage consents by writing filed in the proceeding. No sale, mortgage, exchange or conveyance shall be prejudiced by the subsequent dismissal of the trustee. No sale, mortgage, exchange or conveyance by a testamentary trustee shall be prejudiced by the terms of a will or codicil thereafter probated if the person dealing with the trustee did so in good faith.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7795 - Reports for school district trustees

§ 7795. Reports for school district trustees.
(a) Scope.--
This section applies if a school district is a trustee of land in accordance with all of the following:
(1) The land is held for the benefit of the public.
(2) The land is not used directly for school purposes.
(b) Requirement.--
(1) By January 30, the school district shall prepare a report for the prior year concerning the trust.
(2) The report shall detail all of the following:
(i) Revenues generated.
(ii) Expenses incurred.
(iii) Balance of funds held by the school district as trustee.
(iv) A statement regarding the activities taken by the trustee during the prior year to advance the purposes of the trust.
(3) The report must be certified as correct by the district superintendent.
(4) The report shall be made public as follows:
(i) The report shall be published in 14-point type in a newspaper of general circulation in each county in which the land is located.
(ii) The report shall be available during business hours for inspection and copying at the office of the district superintendent. A reasonable fee may be charged for copying.
Cross References.
Section 7795 is referred to in section 7796 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7796 - Jurisdiction

§ 7796. Jurisdiction.
Notwithstanding 42 Pa.C.S. § 931 (relating to original jurisdiction and venue), jurisdiction over an action involving land referred to in section 7795 (relating to reports for school district trustees) shall be vested in the court of common pleas in the judicial district where:
(1) all of the land is located; or
(2) more than 50% of the land is located.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7797 - Filing accounts

§ 7797. Filing accounts.
(a) When to file.--
A trustee shall file an account of his administration whenever directed to do so by the court and may file an account at any other time.
(b) Where to file.--
All accounts of trustees shall be filed in the office of the clerk.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7798 - Failure to present claim at audit

§ 7798. Failure to present claim at audit.
(a) Applicability.--
This section applies to a person that, at the audit of a trustee's account, has a claim that:
(1) arose out of the administration of trust property or arises out of the distribution of trust property upon any interim or final accounting of the trust; and
(2) is not reported to the court as an admitted claim.
(b) Bar.--
A person that fails, at the call for audit or confirmation, to present a claim under subsection (a) shall be forever barred from making a claim against:
(1) trust property distributed pursuant to the audit or confirmation;
(2) a distributee of trust property distributed pursuant to the audit or confirmation; and
(3) except as otherwise provided in section 3521 (relating to rehearing; relief granted), trust property awarded back upon further trust pursuant to the audit or confirmation.
(c) Liens and charges unimpaired.--
Nothing in this section shall be construed as impairing any lien or charge on real or personal estate of the trust existing at the time of the audit.
Cross References.
Section 7798 is referred to in section 7785 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7799 - Income on distributive shares

§ 7799. Income on distributive shares.
Except as otherwise provided by the trust instrument or by the provisions of section 3543 (relating to income on distributive shares):
(1) If a sum of money is directed to be set aside at a specified time as a separate trust, it shall be entitled to income at the annual rate of 5% from the date it was to be set aside until it is set aside. If a sum of money is directed to be paid outright, it shall be entitled to income at the annual rate of 5% from three months after it became payable until it is paid.
(2) A donee of a gift of specific real or personal property directed to be distributed from a trust shall be entitled to the net income from property given to the donee accrued from the date it became distributable.
(3) All income from real and personal property earned during the administration of a trust and not payable to others pursuant to the governing instrument or the provisions of this section shall be distributed pro rata among the income beneficiaries of a continuing trust and other persons entitled to residuary shares of the trust.
Cross References.
Section 7799 is referred to in section 8121 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7799.1 - Annexation of account of distributed estate or trust

§ 7799.1. Annexation of account of distributed estate or trust.
A trustee who has received property from a personal representative or from another trustee in distribution of an estate or another trust may annex a copy of an account of the administration of the estate or other trust to an account filed by the trustee covering the administration of the trust under the trustee's management. If notice of the annexation of the account of the estate or other trust is given to the persons required to be notified of the filing of the trustee's account of the principal trust, confirmation of the principal account shall relieve both the trustee of the principal trust and the personal representative or trustee of the distributed estate or other trust of all liability to beneficiaries of the principal trust for transactions shown in the account so annexed to the same extent as if the annexed account had been separately filed and confirmed. If the fund covered by the annexed account has itself received property from another source under circumstances that would have permitted annexation of an account under this section or under section 3501.2 (relating to annexation of account of terminated trust, guardianship or agency), accounts for both funds may be annexed.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 77 - Trusts › Section 7799.2 - Accounts, audits and distributions

§ 7799.2. Accounts, audits and distributions.
The provisions concerning accounts, audits and distributions in trust estates shall be the same as those set forth in the following provisions of this title for the administration of a decedent's estate:
Section 3511 (relating to audits in counties having separate orphans' court division).
Section 3512 (relating to audits in counties having no separate orphans' court division).
Section 3513 (relating to statement of proposed distribution).
Section 3514 (relating to confirmation of account and approval of proposed distribution).
Section 3521 (relating to rehearing; relief granted).
Section 3533 (relating to award upon final confirmation of account).
Section 3536 (relating to recording and registering decrees awarding real estate).
Section 3538 (relating to distributions involving persons born out of wedlock).
Section 3539 (relating to change in law after pattern of distribution established).
Section 3540 (relating to absentee and additional distributees).
Section 3541 (relating to order of abatement).
Section 3545 (relating to transcripts of balances due by personal representative).
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 79 - Charitable Instruments › Section 7902 - Definitions

§ 7902. Definitions.
The following words and phrases when used in this chapter shall have the meanings given to them in this section unless the context clearly indicates otherwise:
"Charitable organization."
A corporation, trust or other instrumentality governed by Pennsylvania law, including:
(1) A trust described in section 4947(a)(1) or (2) of the Internal Revenue Code of 1986 (Public Law 99-514, 26 U.S.C. § 4947(a)(1) or (2)), which is or is treated as a private foundation under section 509 of the Internal Revenue Code of 1986 (26 U.S.C. § 509).
(2) A trust governed by Pennsylvania law that is or is treated as a pooled income fund under section 642(c)(5) of the Internal Revenue Code of 1986 (26 U.S.C. § 642(c)(5)).
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 79 - Charitable Instruments › Section 7903 - Deemed provisions of governing instrument

§ 7903. Deemed provisions of governing instrument.
(a) Effect of deemed provisions.--
The governing instrument of a charitable organization is deemed to include provisions, the effects of which are to:
(1) Require distributions for each taxable year in such amounts and at such times and in such manner as not to subject the organization to tax under section 4942 of the Internal Revenue Code of 1986 (Public Law 99-514, 26 U.S.C. § 4942).
(2) Prohibit the organization from:
(i) Engaging in an act of self-dealing, as defined in section 4941(d) of the Internal Revenue Code of 1986 (26 U.S.C. § 4941(d)).
(ii) Retaining excess business holdings, as defined in section 4943(c) of the Internal Revenue Code of 1986 (26 U.S.C. § 4943(c)).
(iii) Making an investment in such manner as to subject the organization to tax under section 4944 of the Internal Revenue Code of 1986 (26 U.S.C. § 4944).
(iv) Making a taxable expenditure, as defined in section 4945(d) of the Internal Revenue Code of 1986 (26 U.S.C. § 4945(d)).
(b) Effect of contrary provision.--
The deemed provisions under subsection (a) supersede any contrary provision of the governing instrument.
(c) Applicability.--
This section applies only to the extent that the charitable organization is subject to one or more of the sections of the Internal Revenue Code of 1986 set forth in subsection (a).
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 79 - Charitable Instruments › Section 7904 - Power to amend governing instrument

§ 7904. Power to amend governing instrument.
The trustees or directors of every charitable organization have the power, acting alone, without the approval of a member, court, donor or beneficiary, to amend the instrument governing the charitable organization in any manner required for the sole purpose of ensuring that:
(1) Gifts and bequests to the charitable organization qualify for charitable deductions available for Federal income, gift and estate tax purposes.
(2) The charitable organization qualifies for tax exemptions available for Federal income tax purposes.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 79 - Charitable Instruments › Section 7906 - Applicability

§ 7906. Applicability.
This chapter shall apply to:
(1) A charitable organization created after December 31, 1969.
(2) A charitable organization created before January 1, 1970, unless a court of competent jurisdiction in a proceeding instituted before January 1, 1972, explicitly decided that the operation of this chapter would substantially impair the accomplishment of the purposes of the charitable organization involved in that proceeding.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 81 - Principal and Income › Extra - Chapter Notes

Enactment.
Chapter 81 was added May 16, 2002, P.L.330, No.50, effective in 60 days.
Prior Provisions.
Former Chapter 81, which related to the same subject matter, was added June 30, 1972,
            P.L.508, No.164, and repealed May 16, 2002, P.L.330, No.50, effective in 60 days.
Cross References.
Chapter 81 is referred to in sections 3702, 5164, 5536 of this title.
Cross References.
Subchapter A is referred to in section 8149 of this title.
Cross References.
Subchapter B is referred to in sections 8149, 8656 of this title.
Cross References.
Subchapter C is referred to in sections 8121, 8149 of this title.
Cross References.
Subchapter D is referred to in sections 8102, 8121, 8149 of this title.
Cross References.
Subchapter E is referred to in sections 8121, 8149 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 81 - Principal and Income › Section 8102 - Definitions

§ 8102. Definitions.
The following words and phrases when used in this chapter shall have the meanings given to them in this section unless the context clearly indicates otherwise:
"Accounting period."
A calendar year unless another 12-month period is selected by a fiduciary. The term includes a portion of a calendar year or other 12-month period which begins when an income interest begins or ends when an income interest ends.
"Beneficiary."
Includes:
(1) in the case of a decedent's estate, any heir, legatee and devisee; and
(2) in the case of a trust, an income beneficiary and a remainder beneficiary.
"Fiduciary."
A personal representative or a trustee.
"Income."
Money or property which a fiduciary receives as current return from a principal asset. The term includes a portion of receipts from a sale, exchange or liquidation of a principal asset to the extent provided in Subchapter D (relating to allocation of receipts during administration of trust).
"Income beneficiary."
A person to whom or which net income of a trust is or may be payable.
"Income interest."
The right of an income beneficiary to receive all or part of net income, whether the governing instrument requires it to be distributed or authorizes it to be distributed in the trustee's discretion.
"Mandatory income interest."
The right of an income beneficiary to receive net income which the governing instrument requires the fiduciary to distribute.
"Net income."
The:
(1) total receipts allocated to income during an accounting period; minus
(2) disbursements made from income during the period; plus or minus
(3) transfers under this chapter to or from income during the period.
"Person."
Any individual; corporation; business trust; estate; trust; partnership; limited liability company; association; joint venture; government; governmental subdivision, agency or instrumentality; public corporation; or other legal or commercial entity.
"Principal."
Property held in trust for distribution to a remainder beneficiary when the trust terminates or property held in trust in perpetuity.
"Remainder beneficiary."
A person entitled to receive principal when an income interest ends.
"Sui juris beneficiary."
Includes:
(1) a court-appointed guardian of an incapacitated beneficiary;
(2) an agent for an incompetent beneficiary; and
(3) a court-appointed guardian of a minor beneficiary's estate.
"Trust."
Includes a legal life estate arrangement.
"Trustee."
Includes an original, additional or successor trustee whether or not appointed or confirmed by a court.
(July 7, 2006, P.L.625, No.98, eff. 60 days)
2006 Amendment.
Act 98 amended the defs. of "principal" and "sui juris beneficiary."
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 81 - Principal and Income › Section 8103 - Fiduciary duties; general principles

§ 8103. Fiduciary duties; general principles.
(a) Allocation.--
In allocating receipts and disbursements to or between principal and income and with respect to any matter within the scope of this chapter, the following shall apply:
(1) A fiduciary shall administer a trust or estate in accordance with the governing instrument, even if there is a different provision in this chapter.
(2) A fiduciary may administer a trust or estate by the exercise of a discretionary power of administration regarding a matter within the scope of this chapter given to the fiduciary by the governing instrument, even if the exercise of the power produces a result different from a result required or permitted by this chapter. No inference that the fiduciary has improperly exercised the discretionary power shall arise from the fact that the fiduciary has made an allocation contrary to a provision of this chapter.
(3) A fiduciary shall administer a trust or estate in accordance with this chapter if the governing instrument does not contain a different provision or does not give the fiduciary a discretionary power of administration regarding a matter within the scope of this chapter.
(4) A fiduciary shall add a receipt or charge a disbursement to principal to the extent that the governing instrument and this chapter do not provide a rule for allocating the receipt or disbursement to or between principal and income.
(b) Discretionary power.--
In exercising a discretionary power of administration regarding a matter within the scope of this chapter, whether granted by the governing instrument or this chapter, including sections 8104 (relating to trustee's power to adjust) and 8105 (relating to power to convert to unitrust), a fiduciary shall administer a trust or estate impartially based on what is fair and reasonable to all of the beneficiaries, except to the extent that the governing instrument clearly manifests an intention that the fiduciary shall or may favor one or more of the beneficiaries. A determination in accordance with this chapter is presumed to be fair and reasonable to all of the beneficiaries.
Cross References.
Section 8103 is referred to in section 8104 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 81 - Principal and Income › Section 8106 - Judicial control of discretionary powers

§ 8106. Judicial control of discretionary powers.
(a) Standard of review.--
A court shall not change a fiduciary's decision to exercise or not to exercise a discretionary power conferred by this chapter unless it determines that the decision was an abuse of the fiduciary's discretion.
(b) Remedies.--
If a court determines that a fiduciary has abused its discretion regarding a discretionary power conferred by this chapter, the remedy is to restore the income and remainder beneficiaries to the positions they would have occupied if the fiduciary had not abused its discretion, according to the following rules:
(1) To the extent that the abuse of discretion has resulted in no distribution to a beneficiary or a distribution which is too small, the court shall require the fiduciary to distribute from the trust to the beneficiary an amount that the court determines will restore the beneficiary, in whole or in part, to the beneficiary's appropriate position.
(2) To the extent that the abuse of discretion has resulted in a distribution to a beneficiary which is too large, the court shall restore the beneficiaries, the trust or both, in whole or in part, to their appropriate positions by requiring the fiduciary to withhold an amount from one or more future distributions to the beneficiary who received the distribution that was too large or requiring that beneficiary or that beneficiary's estate to return some or all of the distribution to the trust, notwithstanding a spendthrift or similar provision.
(3) If the abuse of discretion concerns the power to convert a trust into a unitrust, the court shall require the trustee either to convert into a unitrust or to reconvert from a unitrust.
(4) To the extent that the court is unable, after applying paragraphs (1), (2) and (3), to restore the beneficiaries, the trust or both to the positions they would have occupied if the fiduciary had not abused its discretion, the court may require the fiduciary to pay an appropriate amount from its own funds to one or more of the beneficiaries or the trust or both.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES › Chapter 81 - Principal and Income › Section 8122 - Distribution to residuary and remainder beneficiaries

§ 8122. Distribution to residuary and remainder beneficiaries.
(a) Distribution of net income.--
Each beneficiary described in section 8121(4) (relating to determination and distribution of net income) is entitled to receive a portion of the net income equal to the beneficiary's fractional interest in undistributed principal assets, using values as of the distribution date. If a fiduciary makes more than one distribution of assets to beneficiaries to whom this section applies, each beneficiary, including one who does not receive part of the distribution, is entitled, as of each distribution date, to the net income the fiduciary has received after the date of death or terminating event or earlier distribution date but has not distributed as of the current distribution date.
(b) Allocation of net income.--
In determining a beneficiary's share of net income, the following rules apply:
(1) The beneficiary is entitled to receive a portion of the net income equal to the beneficiary's fractional interest in the undistributed principal assets immediately before the distribution date, including assets that later may be sold or applied to meet principal obligations.
(2) The beneficiary's fractional interest in the undistributed principal assets must be calculated without regard to property specifically given to a beneficiary and property required to pay pecuniary amounts.
(3) The beneficiary's fractional interest in the undistributed principal assets must be calculated on the basis of the aggregate value of those assets as of the distribution date without reducing the value by any unpaid principal obligation.
(c) Collected but undistributed net income.--
If a fiduciary does not distribute all of the collected but undistributed net income to each person as of a distribution date, the fiduciary shall maintain appropriate records showing the interest of each beneficiary in that net income.
(d) Application.--
To the extent that the fiduciary considers it appropriate, if this section applies to the income from an asset, the fiduciary may apply the rules in this section to net gain or loss from the disposition of a principal asset realized after the date of death or terminating event or earlier distribution date.
(e) Distribution date.--
For purposes of this section, the distribution date may be the date as of which the fiduciary calculates the value of the assets if that date is reasonably near the date on which assets are actually distributed.
Cross References.
Section 8122 is referred to in section 8121 of this title.