Sec. 26. (a) If the trustee has the full, unrestricted power to alienate trust property and the trust expressly states that this exception applies to the trust, IC 32-17-8-3 shall apply to a nonvested property interest or power of appointment contained in the trust by substituting three hundred sixty (360) years instead of ninety (90) years in each place where the term appears in IC 32-17-8-3, unless the terms of the trust require that all beneficial interests in the trust vest or terminate within a lesser period.

     (b) When a power of appointment in a trust (“first power”) is exercised to create another power of appointment (“second power”), then a nonvested property interest or second power created through the exercise of the first power is considered to have been created at the time of irrevocable exercise of the first power, unless the instrument exercising the first power provides that the second power was created at the time of creation of the first power.

As added by P.L.61-2024, SEC.1.