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Md. Code Ann., Est. & Trusts § 14-623

Known as the Maryland Trust Decanting Act

The act spans §§ 14–14 (26 sections).

(a) Except as provided in subsection (c) of this section, if an exercise of the decanting power was intended to distribute all the principal of the first trust to one or more second trusts, later–discovered property belonging to the first trust and property paid to or acquired by the first trust after the exercise of the decanting power is part of the trust estate of the second trust or trusts.

(b) Except as provided in subsection (c) of this section, if an exercise of the decanting power was intended to distribute less than all of the principal of the first trust to one or more second trusts, later–discovered property belonging to the first trust or property paid to or acquired by the first trust after the exercise of the decanting power remains part of the trust estate of the first trust.

(c) An authorized fiduciary may provide in an exercise of the decanting power or the terms of a second trust instrument for the disposition of later–discovered property belonging to the first trust or property paid to or acquired by the first trust after the exercise of the decanting power.

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