Added by Stats. 2018, Ch. 407, Sec. 1. (SB 909) Effective January 1, 2019.
(a)If a first trust instrument specifies an authorized fiduciary’s compensation, the fiduciary may not exercise the decanting power to increase the fiduciary’s compensation above the specified compensation unless either of the following occurs:
(1)All qualified beneficiaries of the second trust consent to the increase in a signed writing.
(2)The increase is approved by the court.
(b)If a first trust instrument does not specify an authorized fiduciary’s compensation, the fiduciary may not exercise the decanting power to increase the fiduciary’s compensation above the compensation permitted by this code unless
either of the following occurs:
(1)All qualified beneficiaries of the second trust consent to the increase in a signed writing.
(2)The increase is approved by the court.
(c)(1) A change in an authorized fiduciary’s compensation which is incidental to other changes made by the exercise of the decanting power is not an increase in the fiduciary’s compensation for purposes of subdivisions (a) and (b).
(2)For purposes of this subdivision, an incidental change to an authorized fiduciary’s compensation includes, but is not limited to, an increase in the compensation of the authorized fiduciary for either of the following reasons:
(A)The second trust lasts longer than
the first trust.
(B)The second trust has a greater value than the first trust.
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