Arizona Laws 14-10602. Revocation or amendment of revocable trust
A. Unless the terms of a trust expressly provide that the trust is irrevocable, a settlor may revoke or amend the trust subject to any limitations prescribed in the terms of the trust.
Terms Used In Arizona Laws 14-10602
- Action: includes any matter or proceeding in a court, civil or criminal. See Arizona Laws 1-215
- Agent: includes an attorney-in-fact under a durable or nondurable power of attorney, a person who is authorized to make decisions concerning another person's health care and a person who is authorized to make decisions for another person under a natural death act. See Arizona Laws 14-1201
- Amendment: A proposal to alter the text of a pending bill or other measure by striking out some of it, by inserting new language, or both. Before an amendment becomes part of the measure, thelegislature must agree to it.
- Codicil: An addition, change, or supplement to a will executed with the same formalities required for the will itself.
- Community property: means that property of a husband and wife that is acquired during the marriage and that is community property as prescribed in section 25-211. See Arizona Laws 14-1201
- Conservator: means a person appointed by the court to administer the estate of a minor or an adult. See Arizona Laws 14-10103
- Court: means the superior court. See Arizona Laws 14-1201
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
- Power of attorney: A written instrument which authorizes one person to act as another's agent or attorney. The power of attorney may be for a definite, specific act, or it may be general in nature. The terms of the written power of attorney may specify when it will expire. If not, the power of attorney usually expires when the person granting it dies. Source: OCC
- Property: means anything that may be the subject of ownership, whether real or personal, legal or equitable, or any interest in anything that may be the subject of ownership. See Arizona Laws 14-10103
- Revocable trust: A trust agreement that can be canceled, rescinded, revoked, or repealed by the grantor (person who establishes the trust).
- Settlor: means a person, including a testator, who creates or contributes property to a trust. See Arizona Laws 14-10103
- Successors: means persons, other than creditors, who are entitled to property of a decedent under a will or this title. See Arizona Laws 14-1201
- Trust: includes an express trust, private or charitable, with any additions, wherever and however created. See Arizona Laws 14-1201
- Trustee: A person or institution holding and administering property in trust.
- Trustee: includes an original, additional and successor trustee and a cotrustee. See Arizona Laws 14-10103
- Writing: includes printing. See Arizona Laws 1-215
B. If a revocable trust is created or funded by more than one settlor:
1. To the extent the trust consists of community property, the trust may be revoked by either spouse acting alone as to that spouse’s share of the community property but may be amended only by joint action of both spouses.
2. To the extent the trust consists of property other than community property, each settlor may revoke or amend the trust with regard the portion of the trust property attributable to that settlor’s contribution.
C. The settlor may revoke or amend a revocable trust either:
1. By substantial compliance with a method provided in the terms of the trust.
2. If the terms of the trust do not provide a method or the method provided in the terms is not expressly made exclusive, by either:
(a) A later will or codicil that expressly refers to the trust or specifically devises property that would otherwise have passed according to the terms of the trust.
(b) Any other writing signed by the settlor manifesting clear and convincing evidence of the settlor’s intent.
D. On revocation of a revocable trust, the trustee shall deliver the trust property as the settlor directs.
E. A settlor’s powers with respect to revocation, amendment or distribution of trust property may be exercised by an agent under a power of attorney only to the extent expressly authorized by the terms of the trust or, if the terms of the trust do not prohibit an agent from exercising powers on behalf of the settlor, to the extent expressly authorized under the power of attorney. If an agent is not so authorized and the terms of the trust do not prohibit a conservator from exercising powers on behalf of a settlor, a settlor’s power to revoke, amend or distribute may be exercised by the settlor’s conservator with the approval of the court supervising the conservatorship or by the settlor’s guardian with the approval of the court supervising the guardianship if an agent is not so authorized and a conservator has not been appointed.
F. A trustee who does not have actual knowledge that a trust has been revoked or amended is not liable to the settlor or settlor’s successors in interest for distributions made and other actions taken on the assumption that the trust had not been amended or revoked.