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Conn. Gen. Stat. § 45a-542r

Liquidating asset

(P.A. 99-164, S. 19, 36.) History: P.A. 99-164 effective January 1, 2000.

(a) In this section, “liquidating asset” means an asset whose value will diminish or terminate because the asset is expected to produce receipts for a period of limited duration. The term includes a leasehold, patent, copyright, royalty right and right to receive payments during a period of more than one year under an arrangement that does not provide for the payment of interest on the unpaid balance. The term does not include a payment subject to section 45a-542q , resources subject to section 45a-542s , timber subject to section 45a-542t , an activity subject to section 45a-542v , an asset subject to section 45a-542w , or any asset for which the trustee establishes a reserve for depreciation under section 45a-542z .

(b) A trustee shall allocate to income ten per cent of the receipts from a liquidating asset and the balance to principal.

Official source: Connecticut General Assembly. Reproduced from public-domain Connecticut statutes; confirm against the official source for the current text. Not legal advice.