Section 456.4-411A

Title XXXI TRUSTS AND ESTATES OF DECEDENTS AND PERSONS UNDER DISABILITY

Chapter 456

Effective - 28 Aug 2016   

  456.4-411A.  Modification or termination of noncharitable irrevocable trust by consent, exceptions. — 1.  Except for a trust established by a court under section 475.092, 475.093, 511.030, or 42 U.S.C. Section 1396p(d)(4), a noncharitable irrevocable trust may be modified or terminated upon consent of the settlor and all beneficiaries, without court approval, even if the modification or termination is inconsistent with a material purpose of the trust.  A settlor's power to consent to a trust's termination or modification may be exercised by an agent under a power of attorney only to the extent expressly authorized by the power of attorney or the terms of the trust; by the settlor's conservator with the approval of the court supervising the conservatorship if an agent is not so authorized; or by the settlor's conservator ad litem with the approval of the court if an agent is not so authorized and a conservator has not been appointed.

  2.  Upon termination of a trust under subsection 1 of this section, the trustee shall distribute the trust property as agreed by the beneficiaries.

  3.  If not all of the beneficiaries consent to a proposed modification or termination of the trust under subsection 1 of this section, the modification or termination may be approved by the court if the court is satisfied that:

  (1)  if all of the beneficiaries had consented, the trust could have been modified or terminated under subsection 1 of this section; and

  (2)  the interests of a beneficiary who does not consent will be adequately protected.

­­--------

(L. 2004 H.B. 1511, A.L. 2006 S.B. 892)

Transferred 2016; formerly § 456.4A-411.