14-10401. Methods of creating trust A trust may be created by: 1. Transfer of property to another person as trustee during the settlor’s lifetime or by will or other disposition taking effect on the settlor’s death. 2. Declaration by the owner of property that the owner holds identifiable property as trustee. 3. Exercise of a […]
14-10402. Requirements for creation A. Except as provided in section 14-5409, a trust is created only if all of the following are true: 1. The settlor has capacity to create a trust. 2. The settlor indicates an intention to create the trust. 3. The trust has a definite beneficiary or is: (a) A charitable trust. […]
14-10403. Trusts created in other jurisdictions A trust not created by will is validly created if its creation complies with the law of the jurisdiction in which the trust instrument was executed or the law of the jurisdiction in which, at the time of creation, either: 1. The settlor was domiciled, had a place of […]
14-10404. Trust purposes A trust may be created only to the extent that its purposes are lawful, not contrary to public policy and possible to achieve. A trust and its terms must be for the benefit of its beneficiaries.
14-10405. Charitable purposes; enforcement A. A charitable trust may be created for the relief of poverty, the advancement of education, religion or science, the promotion of health, governmental or municipal purposes or other purposes, the achievement of which is beneficial to the community, or for the support of one or more organizations that have the […]
14-10406. Creation of trust induced by fraud, duress or undue influence A trust is void, in whole or in part, to the extent its creation was induced by fraud, duress or undue influence.
14-10407. Evidence of oral trust Except as required by a statute other than this chapter, a trust need not be evidenced by a trust instrument, but the creation of an oral trust shall be established only by clear and convincing evidence and the terms of the oral trust shall be established by a preponderance of […]
14-10408. Trust for care of animal A. A trust may be created to provide for the care of an animal alive during the settlor’s lifetime. The trust terminates on the death of the animal or, if the trust was created to provide for the care of more than one animal alive during the settlor’s lifetime, […]
14-10409. Noncharitable trust without ascertainable beneficiary Except as otherwise provided in section 14-10408 or by another statute, the following rules apply: 1. A trust may be created for a noncharitable purpose without a definite or definitely ascertainable beneficiary or for a noncharitable but otherwise valid purpose to be selected by the trustee, provided that the […]
14-10410. Modification or termination of trust; proceedings for approval or disapproval A. In addition to the methods of termination prescribed by sections 14-10411, 14-10412, 14-10413 and 14-10414, a trust terminates to the extent the trust is revoked or expires pursuant to its terms, no purpose of the trust remains to be achieved or the purposes […]
14-10411. Modification or termination of noncharitable irrevocable trust by consent A. A noncharitable irrevocable trust may be terminated on consent of all of the beneficiaries if the court concludes that continuance of the trust is not necessary to achieve any material purpose of the trust. A noncharitable irrevocable trust may be modified on consent of […]
14-10412. Modification or termination because of unanticipated circumstances or inability to administer trust effectively A. The court may modify the administrative or dispositive terms of a trust or terminate the trust if, because of circumstances not anticipated by the settlor, modification or termination will further the purposes of the trust. To the extent practicable, the […]
14-10413. Cy pres A. Except as otherwise provided in subsection B, if a particular charitable purpose becomes unlawful, impracticable, impossible to achieve or wasteful: 1. The trust does not fail in whole or in part. 2. The trust property does not revert to the settlor or the settlor’s successors in interest. 3. The court may […]
14-10414. Modification or termination of uneconomic trust A. After notice to the qualified beneficiaries, the trustee of a trust that consists of trust property having a total value of less than one hundred thousand dollars or that is uneconomic to administer may terminate the trust if the trustee concludes that the value of the trust […]
14-10415. Reformation to correct mistakes The court may reform the terms of a trust, even if unambiguous, to conform the terms to the settlor’s intention if it is proved by clear and convincing evidence that both the settlor’s intent and the terms of the trust were affected by a mistake of fact or law, whether […]
14-10416. Modification to achieve settlor’s tax objectives To achieve the settlor’s tax objectives, the court may modify the terms of a trust in a manner that is not contrary to the settlor’s probable intention. The court may provide that the modification has retroactive effect.
14-10417. Combination and division of trusts Unless the trust instrument provides that notice is not required, after notice to the qualified beneficiaries, a trustee may combine two or more trusts into a single trust or divide a trust into two or more separate trusts, if the result does not impair rights of any beneficiary or […]
14-10418. Name change The trustee may modify a trust agreement to change the name of the trustee or beneficiary if the trustee or beneficiary’s name has been legally changed.
