Uniform Trust Decanting Act
Montana · Estates, Trusts, and Fiduciary Relationships · §§ 72-39-101 to 72-39-303 · 30 sections
Overview
Trust decanting is the subject: the act authorizes a trustee or other authorized fiduciary who holds discretion to distribute trust property to exercise that discretion by distributing the property into a second trust instead, thereby modifying the terms on which it is held without terminating the arrangement. How far the power reaches depends on how broad the fiduciary's distributive discretion is, and its exercise is bounded by fiduciary duty, prescribed formalities, advance notice to interested parties, and a defined role for the courts. The act also protects interests that decanting could otherwise diminish — charitable interests, trusts for beneficiaries with disabilities and for the care of animals, and tax-sensitive terms — and bars a fiduciary from using the power to increase its own compensation or broaden its own relief from liability.
Editorial summary generated from the text of this act. It is not part of the statute — read the sections below for the operative language.
Sections covered
- Mont. Code Ann. § 72-39-101Short title
- Mont. Code Ann. § 72-39-102Definitions
- Mont. Code Ann. § 72-39-103Scope
- Mont. Code Ann. § 72-39-104Application -- governing law
- Mont. Code Ann. § 72-39-201Fiduciary duty
- Mont. Code Ann. § 72-39-202Reasonable reliance
- Mont. Code Ann. § 72-39-203Notice -- exercise of decanting power
- Mont. Code Ann. § 72-39-204Representation
- Mont. Code Ann. § 72-39-205Court involvement
- Mont. Code Ann. § 72-39-206Formalities
- Mont. Code Ann. § 72-39-207Decanting power under expanded distributive discretion
- Mont. Code Ann. § 72-39-208Decanting power under limited distributive discretion
- Mont. Code Ann. § 72-39-209Trust for beneficiary with disability
- Mont. Code Ann. § 72-39-210Protection of charitable interest
- Mont. Code Ann. § 72-39-211Trust limitation on decanting
- Mont. Code Ann. § 72-39-212Change in compensation
- Mont. Code Ann. § 72-39-213Relief from liability and indemnification
- Mont. Code Ann. § 72-39-214Removal or replacement of authorized fiduciary
- Mont. Code Ann. § 72-39-215Tax-related limitations
- Mont. Code Ann. § 72-39-216Duration of second trust
- Mont. Code Ann. § 72-39-217Need to distribute not required
- Mont. Code Ann. § 72-39-218Saving provision
- Mont. Code Ann. § 72-39-219Trust for care of animal
- Mont. Code Ann. § 72-39-220Terms of second trust
- Mont. Code Ann. § 72-39-221Settlor
- Mont. Code Ann. § 72-39-222Later-discovered property
- Mont. Code Ann. § 72-39-223Obligations
- Mont. Code Ann. § 72-39-301Uniformity of application and construction
- Mont. Code Ann. § 72-39-302Relation to electronic signatures in global and national commerce act
- Mont. Code Ann. § 72-39-303Common law of trusts -- principles of equity
Enacted in other states
Alabama, California, Connecticut, North Carolina, New Mexico, Vermont, Wisconsin, West Virginia
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