Section 55-3-1 – Application of chapter.
55-3-1. Application of chapter. The provisions of this chapter apply to all trusts. Source: SDC 1939, §59.0201; SL 1993, ch 213, §254; SL 1993, ch 355, §1; SL 1998, ch 282, §11; SL 2010, ch 232, §2.
Section 55-3-10 – Degree of care and diligence used in execution of trusts.
55-3-10. Degree of care and diligence used in execution of trusts. A trustee, whether he receives any compensation or not, must use at least ordinary care and diligence in the execution of his trust. Source: SDC 1939, §59.0205.
Section 55-3-11 – Investment of money by trustee–Interest, simple or compound, on omission to invest trust moneys.
55-3-11. Investment of money by trustee–Interest, simple or compound, on omission to invest trust moneys. A trustee must invest money received by him under the trust, as fast as he collects a sufficient amount, in such manner as to afford reasonable security and interest for the same. If he fails so to do, he must […]
Section 55-3-12 – Purchase by trustee of claims against trust property.
55-3-12. Purchase by trustee of claims against trust property. A trustee cannot enforce any claim against the trust property which he purchases after or in contemplation of his appointment as trustee; but he may be allowed by any competent court to charge to the trust property what he has in good faith paid for the […]
Section 55-3-13 – Expenses incurred by trustee in performance of trust–Reimbursement.
55-3-13. Expenses incurred by trustee in performance of trust–Reimbursement. A trustee, including a former trustee, is entitled to the repayment, out of the trust property, of all expenses actually and properly incurred by the trustee in the performance of the trustee’s duties. The trustee is entitled to the repayment of even unlawful expenditures, if the […]
Section 55-3-14 – Compensation of trustee.
55-3-14. Compensation of trustee. When a declaration of trust does not specify the rate or amount of the trustee’s compensation the trustee is entitled to and shall receive reasonable compensation for the performance of his duties. If such declaration specifies the amount or rate of his compensation, he is entitled to the amount or rate […]
Section 55-3-15 – Implied trustee–No rights to compensation or repayment of expenses.
55-3-15. Implied trustee–No rights to compensation or repayment of expenses. The trustee of an implied trust who becomes such through his own fault has none of the rights to compensation or repayment of expense prescribed in §§55-3-13 and 55-3-14. Source: SDC 1939, §59.0214.
Section 55-3-16 – Vacation of office of trustee.
55-3-16. Vacation of office of trustee. The office of a trustee is vacated: (1)By its death; (2)By its discharge; or (3)By its resignation. Source: SDC 1939, §59.0217; SL 2019, ch 209, §1.
Section 55-3-17 – Discharge of trustee–Grounds.
55-3-17. Discharge of trustee–Grounds. A trustee can be discharged from his trust only as follows: (1)By the extinction of the trust; (2)By the completion of his duties under the trust; (3)By such means as may be prescribed by the declaration of trust; (4)By the consent of the beneficiary, if he has capacity to contract; (5)By […]
Section 55-3-17.1 – Resignation of fiduciary.
55-3-17.1. Resignation of fiduciary. In addition to the provisions included in the governing instrument, a fiduciary may resign: (1)In the case of a revocable trust: (a)Without court approval upon at least thirty days’ notice to the settlor, all fiduciaries, all designated successors to the resigning fiduciary’s office and all those who have authority to appoint […]
Section 55-3-18 – Survivorship between cotrustees.
55-3-18. Survivorship between cotrustees. On the death, renunciation, or discharge of one of several cotrustees, the trust survives to the others. Source: SDC 1939, §59.0219.
Section 55-3-2 – Creation of trust–Mutual consent of trustor and trustee.
55-3-2. Creation of trust–Mutual consent of trustor and trustee. The mutual consent of a trustor and trustee creates a trust of which the beneficiary may take advantage at any time prior to its rescission. Source: SDC 1939, §59.0202.
Section 55-3-20 – Removal of trustee by circuit court–Vacant trusteeship filled by court.
55-3-20. Removal of trustee by circuit court–Vacant trusteeship filled by court. The circuit court may remove any trustee who has violated, or is unfit to execute, his trust. It may appoint a trustee whenever there is a vacancy and the declaration of trust does not provide a practicable method of appointment. Source: SDC 1939, §59.0220.
Section 55-3-20.1 – Grounds for removal of trustee.
55-3-20.1. Grounds for removal of trustee. In addition to other remedies available by law and procedures or powers set out in a trust instrument, the settlor, or the settlor’s agent, a trust protector, a cotrustee, or a qualified beneficiary as defined in §55-2-13, or an enforcer, as defined in §55-1-21.4, may request the court to […]
Section 55-3-21 – Appointment of trustee by circuit court–Grounds.
55-3-21. Appointment of trustee by circuit court–Grounds. If a trust exists without any appointed trustees, or where all the trustees renounce, die, or are discharged, the circuit court for the county where the trust property or some portion thereof is situated must appoint another trustee and direct the execution of the trust. The court may […]
Section 55-3-23 – Termination of trust.
55-3-23. Termination of trust. In addition to the methods specified in §§55-3-24 to 55-3-27, inclusive, a trust terminates if: (1)The term of the trust expires; (2)The trust purpose is fulfilled; (3)The trust purpose becomes unlawful or impossible to fulfill; or (4)The trust is revoked. Source: SL 1998, ch 282, §1; SL 2016, ch 231, §21.
Section 55-3-24 – Modification or termination of trust–Notice to fiduciaries–Distribution of property.
55-3-24. Modification or termination of trust–Notice to fiduciaries–Distribution of property. An irrevocable trust may be modified or terminated by judicial action or by written agreement entered into by all beneficiaries, if continuance of the trust on its existing terms is not necessary to carry out a material purpose. Whether or not continuance of the trust […]
Section 55-3-25 – Petition to court for affirmation–Non-consenting beneficiaries–Distribution of property.
55-3-25. Petition to court for affirmation–Non-consenting beneficiaries–Distribution of property. A trustor, trustee, or beneficiary may but is not required to seek court affirmation of a modification or termination of a trust made pursuant to §55-3-24. Upon petition by a trustor, trustee, or beneficiary, upon a finding that the provisions of §55-3-24 have been met, the […]
Section 55-3-26 – Petition to modify terms of trust–Circumstances–Distribution of property.
55-3-26. Petition to modify terms of trust–Circumstances–Distribution of property. On petition by a trustee or beneficiary, the court may modify the administrative or dispositive terms of the trust or terminate the trust if, because of circumstances not anticipated by the trustor, modification or termination of the trust would substantially further the trustor’s purposes in creating […]
Section 55-3-27 – Termination of noncharitable trusts valued under one hundred fifty thousand dollars–Distribution of property.
55-3-27. Termination of noncharitable trusts valued under one hundred fifty thousand dollars–Distribution of property. Except as otherwise provided by the terms of the trust, if the value of the trust property of a noncharitable trust is less than one hundred fifty thousand dollars, the trustee may terminate the trust. On petition by a trustee or […]