Section 14-403 – Eligibility to Create Trust; Trustees; Trustee Succession
(a) Any person having the right to transfer property to another person may create a trust as a transferor under this subtitle. (b) The transferor may: (1) As declarant serve as trustee; (2) Designate a trustee; (3) Designate how the trustee will be chosen; (4) Designate successor trustees in the order in which they will serve; and (5) Designate how successor trustees […]
Section 14-404 – Creation of Trust
(a) A person may create a trust by transferring property in writing to another person if the document transfers property in a legally recognized manner and: (1) Identifies the recipient of the property as the trustee; (2) Identifies the beneficiary of the trust; and (3) Identifies the property as being transferred under the Maryland Discretionary Trust Act. (b) A person […]
Section 14-405 – Administration by Trustee
(a) The trustee’s obligations begin when the trustee accepts the trust property by writing words substantially similar to those specified in § 14-404(e) of this subtitle. (b) A trustee shall: (1) Take control of trust property; (2) Register or record title to trust property if appropriate; and (3) Collect, hold, manage, invest, and reinvest trust property. (c) In administering trust property, […]
Section 14-406 – Termination
(a) The trust shall terminate upon the first to occur of: (1) The death of the beneficiary; (2) A date or event specified in the trust document; or (3) The determination by the trustee, in the trustee’s sole and absolute discretion, that by judicial, legislative, or administrative action, trust property or income has been or will be determined to […]
Section 14-407 – Forms
(a) The following form may be used to create a trust by transfer: “Transfer Under the Maryland Discretionary Trust Act A. I, _______________ (name of transferor or name of representative capacity if a fiduciary), transfer the property described in paragraph D to the trustee named in paragraph B, and such trustee’s successors, to be held in […]
Section 14-408 – Short Title
This subtitle may be cited as the “Maryland Discretionary Trust Act”.
Section 14-501 – Definition of Accounts — Establishment — Inapplicability of Article
(a) In this subtitle, “health savings account” has the meaning stated in § 223 of the Internal Revenue Code. (b) A health savings account may be established as provided in § 15–144 of the Insurance Article. (c) Except as provided in this subtitle or required by federal law, this article does not apply to a health savings account.
Section 14-303 – Prohibited Acts
(a) In the administration of any trust which is a “private foundation,” as defined in § 509 of the Internal Revenue Code, a “charitable trust,” as defined in § 4947(a)(1) of the Internal Revenue Code, or a “split–interest trust,” as defined in § 4947(a)(2) of the Internal Revenue Code, the acts specified in this section are […]
Section 14-304 – Amendment of Instrument to Conform to Internal Revenue Code
(a) Notwithstanding any provisions to the contrary in the governing instrument, the trustee or trustees of any charitable remainder trust created after July 31, 1969 with the consent of each beneficiary named in the governing instrument, without application to any court, may amend the governing instrument to conform to the provision of § 664 of the […]
Section 14-305 – Distributions
In the administration of any trust which is a “private foundation” as defined in § 509 of the Internal Revenue Code, or which is a “charitable trust” as defined in § 4947(a)(1) of the Internal Revenue Code, there shall be distributed, for the purposes specified in the trust instrument, for each taxable year, amounts at […]