Kentucky Statutes 386A.6-090 – Liability for unlawful transactions
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(1) A trustee who votes for or assents to a distribution made in violation of KRS
386A.6-080 shall be personally liable to the statutory trust for the amount of the distribution that exceeds what could have been distributed without violating KRS
386A.6-080 if it is established that the trustee did not perform his or her duties in compliance with KRS § 386A.5-050. In any proceeding commenced under this section, a trustee shall have all of the defenses ordinarily available to a trustee.
(2) A trustee held liable under subsection (1) of this section for an unlawful distribution shall be entitled to contribution:
(a) From every other trustee who could be held liable under subsection (1) of this section for the unlawful distribution; and
(b) From each beneficial owner for the amount the beneficial owner accepted knowing the distribution was made in violation of KRS § 386A.6-080.
(3) A proceeding under this section shall be barred unless it is commenced within two (2) years after the date on which the effect of the distribution was measured under KRS § 386A.6-080(6) and (7).
Effective: July 12, 2012
History: Created 2012 Ky. Acts ch. 81, sec. 53, effective July 12, 2012.
386A.6-080 shall be personally liable to the statutory trust for the amount of the distribution that exceeds what could have been distributed without violating KRS
Terms Used In Kentucky Statutes 386A.6-090
- Owner: when applied to any animal, means any person having a property interest in such animal. See Kentucky Statutes 446.010
- Trustee: A person or institution holding and administering property in trust.
386A.6-080 if it is established that the trustee did not perform his or her duties in compliance with KRS § 386A.5-050. In any proceeding commenced under this section, a trustee shall have all of the defenses ordinarily available to a trustee.
(2) A trustee held liable under subsection (1) of this section for an unlawful distribution shall be entitled to contribution:
(a) From every other trustee who could be held liable under subsection (1) of this section for the unlawful distribution; and
(b) From each beneficial owner for the amount the beneficial owner accepted knowing the distribution was made in violation of KRS § 386A.6-080.
(3) A proceeding under this section shall be barred unless it is commenced within two (2) years after the date on which the effect of the distribution was measured under KRS § 386A.6-080(6) and (7).
Effective: July 12, 2012
History: Created 2012 Ky. Acts ch. 81, sec. 53, effective July 12, 2012.