(1) Upon the winding up of a statutory trust, the assets of the trust shall be distributed as follows:
(a) First, payment or adequate provisions for payment shall be made to creditors, including, to the extent permitted by law, beneficial owners who are creditors in satisfaction of liabilities of the trust;
(b) Second, unless otherwise provided in the governing instrument, to beneficial owners in satisfaction of liabilities for distributions declared but unpaid; and (c) Third, unless otherwise provided in the governing instrument, to beneficial owners in proportion to their respective rights to share in distributions from the trust prior to dissolution.
(2) Upon the winding up of a series statutory trust, the assets of or associated with a series shall be distributed in accordance with KRS 386A.4-110.