If the trust contains a spendthrift provision, no creditor may reach present or future mandatory distributions from the trust at the trust level. Moreover, no court may order a trustee to distribute past due mandatory distributions directly to a creditor.
S.D. Codified Laws § 55-1-41
Effect of spendthrift provision
Applied in 3 court decisions — leading case PLAINS COMMERCE BANK, INC. v. BECK (2023)
Most recently applied in PLAINS COMMERCE BANK, INC. v. BECK (February 2023)
Source: SL 2007, ch 280, § 18; SL 2009, ch 252, § 9.
Official source: South Dakota Legislature. Reproduced from public-domain South Dakota statutes; confirm against the official source for the current text. Not legal advice.