reglab/statecodes huggingface dataset:
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.025 - Spousal or domestic partnership deduction interests.

RCW 11.100.025
Spousal or domestic partnership deduction interests.
Notwithstanding RCW 11.98.070(21)(a), 11.100.060, or any other statutory provisions to the contrary, with respect to trusts which require by their own terms or by operation of law that all income be paid at least annually to the spouse or domestic partner of the trust's creator, which do not provide that on the termination of the income interest that the entire then remaining trust estate be paid to the estate of the spouse or domestic partner of the trust's creator, and for which a federal estate or gift tax marital deduction is claimed, any investment in or retention of unproductive property is subject to a power in the spouse or domestic partner of the trust's creator to require either that any such asset be made productive, or that it be converted to productive assets within a reasonable period of time unless the instrument creating the interest provides otherwise.
[ 2008 c 6 § 929; 1985 c 30 § 67. Prior: 1984 c 149 § 99.]
NOTES:
Part headings not law—Severability—2008 c 6: See RCW 26.60.900 and 26.60.901.
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
Severability—Effective dates—1984 c 149: See notes following RCW 11.02.005.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.030 - Investment in savings accounts—Requirements.

RCW 11.100.030
Investment in savings accounts—Requirements.
A corporation doing a trust business may invest trust funds in savings accounts with itself to the extent that deposits are insured by an agency of the federal government. Additional trust funds may be so invested by the corporation only if it first sets aside under the control of its trust department as collateral security:
(1) Direct obligations of the United States or other obligations fully guaranteed by the United States as to principal and interest; or
(2) Bonds or other obligations which constitute general obligations of any state of the United States or municipal subdivision thereof.
The securities so deposited or securities substituted therefor as collateral shall at all times be at least equal in market value to the amount of the funds so deposited.
[ 1985 c 30 § 68. Prior: 1984 c 149 § 101; 1967 c 133 § 3; 1955 c 33 § 30.24.030; prior: 1947 c 100 § 3; Rem. Supp. 1947 § 3255-10c. Formerly RCW 30.24.030.]
NOTES:
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
Severability—Effective dates—1984 c 149: See notes following RCW 11.02.005.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.037 - Investment or distribution of funds held in fiduciary capacity—Deposit in other departments authorized—Collateral security required, exception.

RCW 11.100.037
Investment or distribution of funds held in fiduciary capacity—Deposit in other departments authorized—Collateral security required, exception.
Funds held by a bank or trust company in a fiduciary capacity awaiting investment or distribution shall not be held uninvested or undistributed any longer than is reasonable for the proper management of the account. These funds, including managing agency accounts, may, unless prohibited by the instrument creating the trust or by other statutes of this state, be deposited in the commercial or savings or other department of the bank or trust company, only if the bank or trust company first sets aside under control of the trust department as collateral security:
(1) Direct obligations of the United States or other obligations fully guaranteed by the United States as to principal and interest; or
(2) Bonds or other obligations which constitute general obligations of any state of the United States or municipal subdivision thereof.
The securities so deposited or securities substituted therefor as collateral shall at all times be at least equal in market value to the amount of the funds so deposited, but such security shall not be required to the extent that the funds so deposited are insured by an agency of the federal government.
[ 1985 c 30 § 70. Prior: 1984 c 149 § 104; 1967 c 133 § 4. Formerly RCW 30.24.037.]
NOTES:
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
Severability—Effective dates—1984 c 149: See notes following RCW 11.02.005.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.040 - Court may permit deviation from terms of trust instrument.

RCW 11.100.040
Court may permit deviation from terms of trust instrument.
Nothing contained in this chapter shall be construed as restricting the power of a court of proper jurisdiction to permit a fiduciary to deviate from the terms of any will, agreement, or other instrument relating to the acquisition, investment, reinvestment, exchange, retention, sale, or management of fiduciary property.
[ 1985 c 30 § 71. Prior: 1955 c 33 § 30.24.040; prior: 1947 c 100 § 4; Rem. Supp. 1947 § 3255-10d. Formerly RCW 30.24.040.]
NOTES:
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.045 - Fiduciary—Duty to beneficiaries.

RCW 11.100.045
Fiduciary—Duty to beneficiaries.
A fiduciary shall invest and manage the trust assets solely in the interests of the trust beneficiaries. If a trust has two or more beneficiaries, the fiduciary shall act impartially in investing and managing the trust assets, taking into account any differing interests of the beneficiaries.
[ 1995 c 307 § 4.]
NOTES:
Application—1995 c 307: See note following RCW 11.100.010.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.047 - Fiduciary—Duty to diversify.

RCW 11.100.047
Fiduciary—Duty to diversify.
Subject to the provisions of RCW 11.100.060 and any express provisions in the trust instrument to the contrary, a fiduciary shall diversify the investments of the trust unless the fiduciary reasonably determines that, because of special circumstances, the purposes of the trust are better served without diversifying.
[ 1995 c 307 § 5.]
NOTES:
Application—1995 c 307: See note following RCW 11.100.010.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.050 - Scope of chapter—RCW 11.68.090 prevails.

RCW 11.100.050
Scope of chapter—RCW 11.68.090 prevails.
(1) The provisions of this chapter govern fiduciaries acting under wills, agreements, court orders, and other instruments effective before or after January 1, 1985.
(2) To the extent that this chapter is in conflict with RCW 11.68.090, RCW 11.68.090 prevails.
[ 2021 c 140 § 4024; 1985 c 30 § 72. Prior: 1984 c 149 § 107; 1955 c 33 § 30.24.050; prior: 1947 c 100 § 5; Rem. Supp. 1947 § 3255-10e. Formerly RCW 30.24.050.]
NOTES:
Application—2021 c 140 §§ 4003-4017, 4023, 4024, and 4026: See note following RCW 11.48.130.
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
Severability—Effective dates—1984 c 149: See notes following RCW 11.02.005.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.060 - Fiduciary may hold and retain trust property—Investments—Liability.

RCW 11.100.060
Fiduciary may hold and retain trust property—Investments—Liability.
Subject to express provisions to the contrary in the trust instrument, any fiduciary may hold and retain any real or personal property received into or acquired by the trust from any source. Except as to trust property acquired for consideration, a fiduciary may hold and retain any such property without need for diversification as to kinds or amount and whether or not the property is income producing.
Any fiduciary may invest funds held in trust under an instrument creating the trust in any manner and in any investment or in any class of investments authorized by the instrument.
The investments described in this section are permissible even though the securities or other property are not permitted under other provisions of this chapter, and even though the securities may be securities issued by the corporation that is the fiduciary.
A fiduciary is not liable for any loss incurred with respect to any investment held under the authority of or pursuant to this section if that investment was permitted when received or when the investment was made by the fiduciary, and if the fiduciary exercises due care and prudence in the disposition or retention of any such investment.
[ 1985 c 30 § 73. Prior: 1984 c 149 § 108.]
NOTES:
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
Severability—Effective dates—1984 c 149: See notes following RCW 11.02.005.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.070 - Meaning of terms in trust instrument.

RCW 11.100.070
Meaning of terms in trust instrument.
The terms "legal investment" or "authorized investment" or words of similar import, as used in any such instrument, shall be taken to mean any investment which is permitted by the terms of RCW 11.100.020.
[ 1985 c 30 § 74. Prior: 1984 c 149 § 110; 1955 c 33 § 30.24.070; prior: 1947 c 100 § 7; 1941 c 41 § 13; Rem. Supp. 1947 § 3255-13. Formerly RCW 30.24.070.]
NOTES:
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
Severability—Effective dates—1984 c 149: See notes following RCW 11.02.005.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.090 - Dealings with self or affiliate.

RCW 11.100.090
Dealings with self or affiliate.
Unless the instrument creating the trust expressly provides to the contrary and except as authorized in RCW 11.98.078, any fiduciary in carrying out the obligations of the trust, may not buy or sell investments from or to himself, herself, or itself or any affiliated or subsidiary company or association. This section shall not be construed as prohibiting the trustee's powers under RCW 11.98.070(12).
[ 2011 c 327 § 34; 1985 c 30 § 75. Prior: 1984 c 149 § 111; 1955 c 33 § 30.24.090; prior: 1947 c 100 § 9; 1941 c 41 § 17; Rem. Supp. 1947 § 3255-17. Formerly RCW 30.24.090.]
NOTES:
Application—Effective date—2011 c 327: See notes following RCW 11.103.020.
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
Severability—Effective dates—1984 c 149: See notes following RCW 11.02.005.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.120 - Use of trust funds for life insurance.

RCW 11.100.120
Use of trust funds for life insurance.
Subject to the standards of RCW 11.100.020, a fiduciary is authorized to use trust funds to acquire life insurance upon the life of any beneficiary or upon the life of another in whose life such beneficiary has an insurable interest.
[ 1985 c 30 § 76. Prior: 1984 c 149 § 112; 1973 1st ex.s. c 89 § 1. Formerly RCW 30.24.120.]
NOTES:
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
Severability—Effective dates—1984 c 149: See notes following RCW 11.02.005.
Insurable interest, guardian, trustee or other fiduciary: RCW 48.18.030(3)(c).
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.100 - Investment of Trust Funds. › 11.100.130 - Person to whom power or authority to direct or control acts of fiduciary or investments of a trust is conferred deemed a fiduciary—Liability.

RCW 11.100.130
Person to whom power or authority to direct or control acts of fiduciary or investments of a trust is conferred deemed a fiduciary—Liability.
Whenever power or authority to direct or control the acts of a fiduciary or the investments of a trust is conferred directly or indirectly upon any person other than the designated trustee of the trust, such person shall be deemed to be a fiduciary and shall be liable to the beneficiaries of the trust and to the designated trustee to the same extent as if he or she were a designated trustee in relation to the exercise or nonexercise of such power or authority.
[ 1995 c 307 § 6; 1985 c 30 § 77. Prior: 1973 1st ex.s. c 89 § 2. Formerly RCW 30.24.130.]
NOTES:
Application—1995 c 307: See note following RCW 11.100.010.
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.102 - Common Trust Funds. › 11.102.010 - Funds authorized—Investment—Rules and regulations—"Affiliated" defined.

RCW 11.102.010
Funds authorized—Investment—Rules and regulations—"Affiliated" defined.
Any bank or trust company qualified to act as fiduciary in this state, or in any other state if affiliated with a bank or trust company qualified to act as fiduciary in this state, may establish common trust funds for the purpose of furnishing investments to itself and its affiliated or related bank or trust company as fiduciary, or to itself and its affiliated or related bank or trust company, and others, as cofiduciaries; and may, as such fiduciary or cofiduciary, invest funds which it lawfully holds for investment in interests in such common trust funds, if such investment is not prohibited by the instrument, judgment, decree, or order creating such fiduciary relationship, and if, in the case of cofiduciaries, the bank or trust company procures the consent of its cofiduciary or cofiduciaries to such investment: PROVIDED, That any bank or trust company qualified to act as fiduciary in the state of its charter, which is not a member of the federal reserve system, shall, in the operation of such common trust fund, comply with the rules and regulations as made from time to time by the director of financial institutions in the state where chartered and in Washington the director is hereby authorized and empowered to make such rules and regulations as he or she may deem necessary and proper in the premises.
"Affiliated" as used in this section means two or more banks or trust companies:
(1) In which twenty-five percent or more of their voting shares, excluding shares owned by the United States or by any company wholly owned by the United States, are directly or indirectly owned or controlled by a holding company; or
(2) In which the election of a majority of the directors is controlled in any manner by a holding company.
[ 1994 c 92 § 1; 1985 c 30 § 79. Prior: 1979 c 105 § 1; 1955 c 33 § 30.28.010; prior: 1943 c 55 § 1; Rem. Supp. 1943 § 3388. Formerly RCW 30.28.010.]
NOTES:
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.102 - Common Trust Funds. › 11.102.020 - Accounting.

RCW 11.102.020
Accounting.
Unless ordered by a court of competent jurisdiction the bank or trust company operating such common trust funds is not required to render a court accounting with regard to such funds; but it may, by application to the superior court, secure approval of such an accounting on such conditions as the court may establish.
[ 1985 c 30 § 80. Prior: 1955 c 33 § 30.28.020; prior: 1943 c 55 § 2; Rem. Supp. 1943 § 3388-1. Formerly RCW 30.28.020.]
NOTES:
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.102 - Common Trust Funds. › 11.102.030 - Applicability of chapter.

RCW 11.102.030
Applicability of chapter.
This chapter shall apply to fiduciary relationships in existence on June 11, 1943, or thereafter established.
[ 1985 c 30 § 81. Prior: 1955 c 33 § 30.28.030; prior: 1943 c 55 § 7; Rem. Supp. 1943 § 3388-6. Formerly RCW 30.28.030.]
NOTES:
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.102 - Common Trust Funds. › 11.102.040 - Interpretation of chapter.

RCW 11.102.040
Interpretation of chapter.
This chapter shall be so interpreted and construed to effectuate its general purpose to make uniform the laws of those states which enact it.
[ 1985 c 30 § 82. Prior: 1955 c 33 § 30.28.040; prior: 1943 c 55 § 3; Rem. Supp. 1943 § 3388-2. Formerly RCW 30.28.040.]
NOTES:
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.102 - Common Trust Funds. › 11.102.050 - Short title.

RCW 11.102.050
Short title.
This chapter may be cited as the uniform common trust fund act.
[ 1985 c 30 § 83. Prior: 1955 c 33 § 30.28.050; prior: 1943 c 55 § 4; Rem. Supp. 1943 § 3388-3. Formerly RCW 30.28.050.]
NOTES:
Short title—Application—Purpose—Severability—1985 c 30: See RCW 11.02.900 through 11.02.903.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.103 - Revocable Trusts. › 11.103.020 - Trustor capacity.

RCW 11.103.020
Trustor capacity.
The capacity required to create, amend, revoke, or add property to a revocable trust, or to direct the actions of the trustee of a revocable trust, is the same as that required to make a will.
[ 2011 c 327 § 35.]
NOTES:
Application—2011 c 327: "Except as otherwise provided in this act:
(1) This act applies to all trusts created before, on, or after January 1, 2012;
(2) This act applies to all judicial proceedings concerning trusts commenced on or after January 1, 2012;
(3) Any rule of construction or presumption provided in this act applies to trust instruments executed before January 1, 2012, unless there is a clear indication of a contrary intent in the terms of the trust;
(4) An action taken before January 1, 2012, is not affected by this act; and
(5) If a right is acquired, extinguished, or barred upon the expiration of a prescribed period that has commenced to run under any other statute before January 1, 2012, that statute continues to apply to the right even if it has been repealed or superseded." [ 2011 c 327 § 40.]
Effective date—2011 c 327: "This act takes effect January 1, 2012." [ 2011 c 327 § 41.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.103 - Revocable Trusts. › 11.103.040 - Trustor's powers—Powers of withdrawal.

RCW 11.103.040
Trustor's powers—Powers of withdrawal.
While the trustor of a revocable trust is living, the rights of the beneficiaries are subject to the control of, and the duties of the trustee are owed exclusively to, the trustor. If a revocable trust has more than one trustor, the duties of the trustee are owed to all of the living trustors having the right to revoke the trust.
[ 2013 c 272 § 19; 2011 c 327 § 37.]
NOTES:
Application—2013 c 272: See note following RCW 11.98.002.
Application—Effective date—2011 c 327: See notes following RCW 11.103.020.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.103 - Revocable Trusts. › 11.103.050 - Limitation on action contesting validity of revocable trust—Distribution of trust property.

RCW 11.103.050
Limitation on action contesting validity of revocable trust—Distribution of trust property.
(1) A person may commence a judicial proceeding to contest the validity of a trust that was revocable at the trustor's death within the earlier of:
(a) Twenty-four months after the trustor's death; or
(b) Four months after the trustee sent to the person by personal service, mail, or in an electronic transmission if there is a consent of the recipient to electronic transmission then in effect under the terms of RCW 11.96A.110, a notice including:
(i) The name and date of the trust;
(ii) The identity of the trustor or trustors;
(iii) The trustee's name, address, and telephone number; and
(iv) Notice of the time allowed for commencing a proceeding.
(2) Upon the death of the trustor of a trust that was revocable at the trustor's death, the trustee may proceed to distribute the trust property in accordance with the terms of the trust, unless:
(a) The trustee knows of a pending judicial proceeding contesting the validity of the trust; or
(b) A potential contestant has notified the trustee of a possible judicial proceeding to contest the trust and a judicial proceeding is commenced within sixty days after the contestant sent the notification.
(3) A beneficiary of a trust that is determined to have been invalid is liable to return any distribution received.
[ 2013 c 272 § 20; 2011 c 327 § 38.]
NOTES:
Application—2013 c 272: See note following RCW 11.98.002.
Application—Effective date—2011 c 327: See notes following RCW 11.103.020.
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.001 - Short title.

RCW 11.104B.001
Short title.
This chapter may be known and cited as the uniform fiduciary income and principal act.
[ 2021 c 140 § 2101.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.010 - Scope.

RCW 11.104B.010
Scope.
Except as otherwise provided in the terms of a trust or this chapter, this chapter applies to a trust or estate.
[ 2021 c 140 § 2103.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.020 - Governing law.

RCW 11.104B.020
Governing law.
(1) Except as otherwise provided in the terms of a trust or this chapter, this chapter applies when this state is the principal place of administration of a trust or estate, subject to the following rules:
(a) If the trust was created before January 1, 2022, this chapter applies only to a decision or action occurring on or after January 1, 2022; and
(b) If the principal place of administration of the trust is changed to this state on or after January 1, 2022, this chapter applies only to a decision or action occurring on or after the date of the change.
(2) Without precluding other means to establish a sufficient connection with the designated jurisdiction in a directed trust, terms of the trust which designate the principal place of administration of the trust are valid and controlling if:
(a) A trustee's principal place of business is located in or a trustee is a resident of the designated jurisdiction;
(b) A trust director's principal place of business is located in or a trust director is a resident of the designated jurisdiction; or
(c) All or part of the administration occurs in the designated jurisdiction.
(3) By accepting the trusteeship of a trust having its principal place of administration in this state or by moving the principal place of administration of a trust to this state, the trustee submits to the application of this chapter to any matter within the scope of this chapter involving the trust.
[ 2021 c 140 § 2104.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.060 - Fiduciary duties—Judicial review of exercise of discretionary power—Request for instruction.

RCW 11.104B.060
Fiduciary duties—Judicial review of exercise of discretionary power—Request for instruction.
(1) In this section, "fiduciary decision" means:
(a) A fiduciary's allocation between income and principal or other determination regarding income and principal required or authorized by the terms of the trust or this chapter;
(b) The fiduciary's exercise or nonexercise of a discretionary power regarding income and principal granted by the terms of the trust or this chapter, including the power to adjust under RCW 11.104B.070, convert an income trust to a unitrust under RCW 11.104B.120(1)(a), change the percentage or method used to calculate a unitrust amount under RCW 11.104B.120(1)(b), or convert a unitrust to an income trust under RCW 11.104B.120(1)(c); or
(c) The fiduciary's implementation of a decision described in (a) or (b) of this subsection.
(2) The court may not order a fiduciary to change a fiduciary decision unless the court determines that the fiduciary decision was an abuse of the fiduciary's discretion.
(3) If the court determines that a fiduciary decision was an abuse of the fiduciary's discretion, the court may order a remedy authorized by law. To place the beneficiaries in the positions the beneficiaries would have occupied if there had not been an abuse of the fiduciary's discretion, the court may order:
(a) The fiduciary to exercise or refrain from exercising the power to adjust under RCW 11.104B.070;
(b) The fiduciary to exercise or refrain from exercising the power to convert an income trust to a unitrust under RCW 11.104B.120(1)(a), change the percentage or method used to calculate a unitrust amount under RCW 11.104B.120(1)(b), or convert a unitrust to an income trust under RCW 11.104B.120(1)(c);
(c) The fiduciary to distribute an amount to a beneficiary;
(d) A beneficiary to return some or all of a distribution; or
(e) The fiduciary to withhold an amount from one or more future distributions to a beneficiary.
(4) On petition by a fiduciary for instruction, the court may determine whether a proposed fiduciary decision will result in an abuse of the fiduciary's discretion. If the petition describes the proposed decision, contains sufficient information to inform the beneficiary of the reasons for making the proposed decision and the facts on which the fiduciary relies, and explains how the beneficiary will be affected by the proposed decision, a beneficiary that opposes the proposed decision has the burden to establish that it will result in an abuse of the fiduciary's discretion.
[ 2021 c 140 § 2202.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.100 - Unitrusts—Definitions.

RCW 11.104B.100
Unitrusts—Definitions.
The definitions in this section apply throughout this article unless the context clearly requires otherwise.
(1) "Applicable value" means the amount of the net fair market value of a trust taken into account under RCW 11.104B.160.
(2) "Express unitrust" means a trust for which, under the terms of the trust without regard to this article, income or net income must or may be calculated as a unitrust amount.
(3) "Income trust" means a trust that is not a unitrust.
(4) "Net fair market value of a trust" means the fair market value of the assets of the trust, less the noncontingent liabilities of the trust.
(5) "Unitrust" means a trust for which net income is a unitrust amount. The term includes an express unitrust.
(6) "Unitrust amount" means an amount computed by multiplying a determined value of a trust by a determined percentage. For a unitrust administered under a unitrust policy, the term means the applicable value, multiplied by the unitrust rate.
(7) "Unitrust policy" means a policy described in RCW 11.104B.140 through 11.104B.180 and adopted under RCW 11.104B.120.
(8) "Unitrust rate" means the rate used to compute the unitrust amount under subsection (6) of this section for a unitrust administered under a unitrust policy.
[ 2021 c 140 § 2301.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.110 - Unitrusts—Application—Duties and remedies.

RCW 11.104B.110
Unitrusts—Application—Duties and remedies.
(1) Except as otherwise provided in subsection (2) of this section, this article applies to:
(a) An income trust, unless the terms of the trust expressly prohibit use of this article by a specific reference to this article or an explicit expression of intent that net income not be calculated as a unitrust amount; and
(b) An express unitrust, except to the extent the terms of the trust explicitly:
(i) Prohibit use of this article by a specific reference to this article;
(ii) Prohibit conversion to an income trust; or
(iii) Limit changes to the method of calculating the unitrust amount.
(2) This article does not apply to a trust described in 26 U.S.C. Sec. 170(f)(2)(B), 642(c)(5), 664(d), or 2702 (a)(3)(A)(ii) or (iii) or (b), as amended, as of January 1, 2022.
(3) An income trust to which this article applies under subsection (1)(a) of this section may be converted to a unitrust under this article regardless of the terms of the trust concerning distributions. Conversion to a unitrust under this article does not affect other terms of the trust concerning distributions of income or principal.
(4) This article applies to an estate only to the extent a trust is a beneficiary of the estate. To the extent of the trust's interest in the estate, the estate may be administered as a unitrust, the administration of the estate as a unitrust may be discontinued, or the percentage or method used to calculate the unitrust amount may be changed, in the same manner as for a trust under this article.
(5) This article does not create a duty to take or consider action under this article or to inform a beneficiary about the applicability of this article.
(6) A fiduciary that in good faith takes or fails to take an action under this article is not liable to a person affected by the action or inaction.
[ 2021 c 140 § 2302.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.130 - Unitrusts—Notice.

RCW 11.104B.130
Unitrusts—Notice.
(1) A notice required by RCW 11.104B.120(2)(b) must be sent to:
(a) All beneficiaries that receive or are entitled to receive income from the trust or would be entitled to receive a distribution of principal if the trust were terminated at the time the notice is sent, assuming no power of appointment is exercised; and
(b) Each person that is granted a power over the trust by the terms of the trust, to the extent the power is exercisable when the person is not then serving as a trustee:
(i) Including a:
(A) Power over the investment, management, or distribution of trust property or other matters of trust administration; and
(B) Power to appoint or remove a trustee or person described in this subsection; and
(ii) Excluding a:
(A) Power of appointment;
(B) Power of a beneficiary over the trust, to the extent the exercise or nonexercise of the power affects the beneficial interest of the beneficiary; and
(C) Power over the trust if the terms of the trust provide that the power is held in a nonfiduciary capacity and the power must be held in a nonfiduciary capacity to achieve a tax objective under the federal internal revenue code of 1986, as amended, as of January 1, 2022.
(2) A person may consent in a record at any time to action proposed under RCW 11.104B.120(2)(b). A notice required by RCW 11.104B.120(2)(b) need not be sent to a person that consents under this subsection.
(3) A notice required by RCW 11.104B.120(2)(b) must include:
(a) The action proposed under RCW 11.104B.120(2)(b);
(b) For a conversion of an income trust to a unitrust, a copy of the unitrust policy adopted under RCW 11.104B.120(1)(a);
(c) For a change in the percentage or method used to calculate the unitrust amount, a copy of the unitrust policy or amendment or replacement of the unitrust policy adopted under RCW 11.104B.120(1)(b);
(d) A statement that the person to which the notice is sent may object to the proposed action by stating in a record the basis for the objection and sending or delivering the record to the fiduciary;
(e) The date by which an objection under (d) of this subsection (3) must be received by the fiduciary, which must be at least 30 days after the date the notice is sent;
(f) The date on which the action is proposed to be taken and the date on which the action is proposed to take effect;
(g) The name and contact information of the fiduciary; and
(h) The name and contact information of a person that may be contacted for additional information.
[ 2021 c 140 § 2304.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.140 - Unitrusts—Unitrust policies.

RCW 11.104B.140
Unitrusts—Unitrust policies.
(1) In administering a unitrust under this article, a fiduciary shall follow a unitrust policy adopted under RCW 11.104B.120(1) (a) or (b) or amended or replaced under RCW 11.104B.120(1)(b).
(2) A unitrust policy must provide:
(a) The unitrust rate or the method for determining the unitrust rate under RCW 11.104B.150;
(b) The method for determining the applicable value under RCW 11.104B.160; and
(c) The rules described in RCW 11.104B.150 through 11.104B.180, which apply in the administration of the unitrust, whether the rules are:
(i) Mandatory, as provided in RCW 11.104B.160(1) and 11.104B.170(1); or
(ii) Optional, as provided in RCW 11.104B.150, 11.104B.160(2), 11.104B.170(2), and 11.104B.180(1), to the extent the fiduciary elects to adopt those rules.
[ 2021 c 140 § 2305.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.150 - Unitrusts—Unitrust rates.

RCW 11.104B.150
Unitrusts—Unitrust rates.
(1) Except as otherwise provided in RCW 11.104B.180(2)(a), a unitrust rate may be:
(a) A fixed unitrust rate; or
(b) A unitrust rate that is determined for each period using:
(i) A market index or other published data; or
(ii) A mathematical blend of market indices or other published data over a stated number of preceding periods.
(2) Except as otherwise provided in RCW 11.104B.180(2)(a), a unitrust policy may provide:
(a) A limit on how high the unitrust rate determined under subsection (1)(b) of this section may rise;
(b) A limit on how low the unitrust rate determined under subsection (1)(b) of this section may fall;
(c) A limit on how much the unitrust rate determined under subsection (1)(b) of this section may increase over the unitrust rate for the preceding period or a mathematical blend of unitrust rates over a stated number of preceding periods;
(d) A limit on how much the unitrust rate determined under subsection (1)(b) of this section may decrease below the unitrust rate for the preceding period or a mathematical blend of unitrust rates over a stated number of preceding periods; or
(e) A mathematical blend of any of the unitrust rates determined under subsection (1)(b) of this section and (a) through (d) of this subsection.
[ 2021 c 140 § 2306.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.160 - Unitrusts—Applicable value.

RCW 11.104B.160
Unitrusts—Applicable value.
(1) A unitrust policy must provide the method for determining the fair market value of an asset for the purpose of determining the unitrust amount, including:
(a) The frequency of valuing the asset, which need not require a valuation in every period; and
(b) The date for valuing the asset in each period in which the asset is valued.
(2) Except as otherwise provided in RCW 11.104B.180(2)(b), a unitrust policy may provide methods for determining the amount of the net fair market value of the trust to take into account in determining the applicable value, including:
(a) Obtaining an appraisal of an asset for which fair market value is not readily available;
(b) Exclusion of specific assets or groups or types of assets;
(c) Other exceptions or modifications of the treatment of specific assets or groups or types of assets;
(d) Identification and treatment of cash or property held for distribution;
(e) Use of:
(i) An average of fair market values over a stated number of preceding periods; or
(ii) Another mathematical blend of fair market values over a stated number of preceding periods;
(f) A limit on how much the applicable value of all assets, groups of assets, or individual assets may increase over:
(i) The corresponding applicable value for the preceding period; or
(ii) A mathematical blend of applicable values over a stated number of preceding periods;
(g) A limit on how much the applicable value of all assets, groups of assets, or individual assets may decrease below:
(i) The corresponding applicable value for the preceding period; or
(ii) A mathematical blend of applicable values over a stated number of preceding periods;
(h) The treatment of accrued income and other features of an asset which affect value; and
(i) Determining the liabilities of the trust, including treatment of liabilities to conform with the treatment of assets under (a) through (h) of this subsection (2).
[ 2021 c 140 § 2307.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.170 - Unitrusts—Period.

RCW 11.104B.170
Unitrusts—Period.
(1) A unitrust policy must provide the period used under RCW 11.104B.150 and 11.104B.160. Except as otherwise provided in RCW 11.104B.180(2)(c), the period may be:
(a) A calendar year;
(b) A 12-month period other than a calendar year;
(c) A calendar quarter;
(d) A three-month period other than a calendar quarter; or
(e) Another period.
(2) Except as otherwise provided in RCW 11.104B.180(2), a unitrust policy may provide standards for:
(a) Using fewer preceding periods under RCW 11.104B.150 (1)(b)(ii) or (2)(c) or (d) if:
(i) The trust was not in existence in a preceding period; or
(ii) Market indices or other published data are not available for a preceding period;
(b) Using fewer preceding periods under RCW 11.104B.160(2) (e)(i) or (ii), (f)(ii), or (g)(ii) if:
(i) The trust was not in existence in a preceding period; or
(ii) Fair market values are not available for a preceding period; and
(c) Prorating the unitrust amount on a daily basis for a part of a period in which the trust or the administration of the trust as a unitrust or the interest of any beneficiary commences or terminates.
[ 2021 c 140 § 2308.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.180 - Unitrust—Special tax benefits—Other rules.

RCW 11.104B.180
Unitrust—Special tax benefits—Other rules.
(1) A unitrust policy may:
(a) Provide methods and standards for:
(i) Determining the timing of distributions;
(ii) Making distributions in cash or in-kind or partly in cash and partly in-kind; or
(iii) Correcting an underpayment or overpayment to a beneficiary based on the unitrust amount if there is an error in calculating the unitrust amount;
(b) Specify sources and the order of sources, including categories of income for federal income tax purposes, from which distributions of a unitrust amount are paid; or
(c) Provide other standards and rules the fiduciary determines serve the interests of the beneficiaries.
(2) If a trust qualifies for a special tax benefit or a fiduciary is not an independent person:
(a) The unitrust rate established under RCW 11.104B.150 may not be less than three percent or more than five percent;
(b) The only provisions of RCW 11.104B.160 that apply are RCW 11.104B.160 (1) and (2)(a), (d), (e)(i), and (i);
(c) The only period that may be used under RCW 11.104B.170 is a calendar year under RCW 11.104B.170(1)(a); and
(d) The only other provisions of RCW 11.104B.170 that apply are RCW 11.104B.170(2) (b)(i) and (c).
[ 2021 c 140 § 2309.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.210 - Receipts from entities—Distributions from trusts and estates.

RCW 11.104B.210
Receipts from entities—Distributions from trusts and estates.
A fiduciary shall allocate to income an amount received as a distribution of income, including a unitrust distribution under Article 3 of this chapter, from a trust or estate in which the fiduciary has an interest, other than an interest the fiduciary purchased in a trust that is an investment entity, and shall allocate to principal an amount received as a distribution of principal from the trust or estate. If a fiduciary purchases, or receives from a settlor, an interest in a trust that is an investment entity, RCW 11.104B.200, 11.104B.340, or 11.104B.350 applies to a receipt from the trust.
[ 2021 c 140 § 2402.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.220 - Receipts from entities—Businesses and other activities conducted by fiduciary.

RCW 11.104B.220
Receipts from entities—Businesses and other activities conducted by fiduciary.
(1) This section applies to a business or other activity conducted by a fiduciary if the fiduciary determines that it is in the interests of the beneficiaries to account separately for the business or other activity instead of:
(a) Accounting for the business or other activity as part of the fiduciary's general accounting records; or
(b) Conducting the business or other activity through an entity described in RCW 11.104B.200(1)(b)(i).
(2) A fiduciary may account separately under this section for the transactions of a business or other activity, whether or not assets of the business or other activity are segregated from other assets held by the fiduciary.
(3) A fiduciary that accounts separately under this section for a business or other activity:
(a) May determine:
(i) The extent to which the net cash receipts of the business or other activity must be retained for:
(A) Working capital;
(B) The acquisition or replacement of fixed assets; and
(C) Other reasonably foreseeable needs of the business or other activity; and
(ii) The extent to which the remaining net cash receipts are accounted for as principal or income in the fiduciary's general accounting records for the trust;
(b) May make a determination under (a) of this subsection (3) separately and differently from the fiduciary's decisions concerning distributions of income or principal; and
(c) Shall account for the net amount received from the sale of an asset of the business or other activity, other than a sale in the ordinary course of the business or other activity, as principal in the fiduciary's general accounting records for the trust, to the extent the fiduciary determines that the net amount received is no longer required in the conduct of the business or other activity.
(4) Activities for which a fiduciary may account separately under this section include:
(a) Retail, manufacturing, service, and other traditional business activities;
(b) Farming;
(c) Raising and selling livestock and other animals;
(d) Managing rental properties;
(e) Extracting minerals, water, and other natural resources;
(f) Growing and cutting timber;
(g) An activity to which RCW 11.104B.330, 11.104B.340, or 11.104B.350 applies; and
(h) Any other business conducted by the fiduciary.
[ 2021 c 140 § 2403.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.230 - Receipts not normally apportioned—Principal receipts.

RCW 11.104B.230
Receipts not normally apportioned—Principal receipts.
A fiduciary shall allocate to principal:
(1) To the extent not allocated to income under this chapter, an asset received from:
(a) An individual during the individual's lifetime;
(b) An estate;
(c) A trust on termination of an income interest; or
(d) A payor under a contract naming the fiduciary as beneficiary;
(2) Except as otherwise provided in this article, money or other property received from the sale, exchange, liquidation, or change in form of a principal asset;
(3) An amount recovered from a third party to reimburse the fiduciary because of a disbursement described in RCW 11.104B.410(1) or for another reason to the extent not based on loss of income;
(4) Proceeds of property taken by eminent domain, except that proceeds awarded for loss of income in an accounting period are income if a current income beneficiary had a mandatory income interest during the period;
(5) Net income received in an accounting period during which there is no beneficiary to which a fiduciary may or must distribute income; and
(6) Other receipts as provided in RCW 11.104B.270 through 11.104B.350.
[ 2021 c 140 § 2404.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.240 - Receipts not normally apportioned—Rental property.

RCW 11.104B.240
Receipts not normally apportioned—Rental property.
To the extent a fiduciary does not account for the management of rental property as a business under RCW 11.104B.220, the fiduciary shall allocate to income an amount received as rent of real or personal property, including an amount received for cancellation or renewal of a lease. An amount received as a refundable deposit, including a security deposit or a deposit that is to be applied as rent for future periods:
(1) Must be added to principal and held subject to the terms of the lease, except as otherwise provided by law other than this chapter; and
(2) Is not allocated to income or available for distribution to a beneficiary until the fiduciary's contractual obligations have been satisfied with respect to that amount.
[ 2021 c 140 § 2405.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.250 - Receipts not normally apportioned—Receipt on obligation to be paid in money.

RCW 11.104B.250
Receipts not normally apportioned—Receipt on obligation to be paid in money.
(1) This section does not apply to an obligation to which RCW 11.104B.280, 11.104B.290, 11.104B.300, 11.104B.310, 11.104B.330, 11.104B.340, or 11.104B.350 applies.
(2) A fiduciary shall allocate to income, without provision for amortization of premium, an amount received as interest on an obligation to pay money to the fiduciary, including an amount received as consideration for prepaying principal.
(3) A fiduciary shall allocate to principal an amount received from the sale, redemption, or other disposition of an obligation to pay money to the fiduciary. A fiduciary shall allocate to income the increment in value of a bond or other obligation for the payment of money bearing no stated interest but payable or redeemable, at maturity or another future time, in an amount that exceeds the amount in consideration of which it was issued.
[ 2021 c 140 § 2406.]
2023 Revised Code of Washington › Title 11 - Probate and Trust Law › Chapter 11.104B - Uniform Fiduciary Income and Principal Act. › 11.104B.260 - Receipts not normally apportioned—Insurance policies and contracts.

RCW 11.104B.260
Receipts not normally apportioned—Insurance policies and contracts.
(1) This section does not apply to a contract to which RCW 11.104B.280 applies.
(2) Except as otherwise provided in subsection (3) of this section, a fiduciary shall allocate to principal the proceeds of a life insurance policy or other contract received by the fiduciary as beneficiary, including a contract that insures against damage to, destruction of, or loss of title to an asset. The fiduciary shall allocate dividends on an insurance policy to income to the extent premiums on the policy are paid from income and to principal to the extent premiums on the policy are paid from principal.
(3) A fiduciary shall allocate to income proceeds of a contract that insures the fiduciary against loss of:
(a) Occupancy or other use by a current income beneficiary;
(b) Income; or
(c) Subject to RCW 11.104B.220, profits from a business.
[ 2021 c 140 § 2407.]