Montana Code 72-38-105. Default and mandatory rules
72-38-105. Default and mandatory rules. (1) Except as otherwise provided in the terms of the trust, this chapter governs the duties and powers of a trustee, relations among trustees, and the rights and interests of a beneficiary.
Terms Used In Montana Code 72-38-105
- Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
- Beneficiary: means a person who:
(a)has a present or future beneficial interest in a trust, vested or contingent; or
(b)in a capacity other than that of trustee, holds a power of appointment over trust property. See Montana Code 72-38-103
- Interests of the beneficiaries: means the beneficial interests provided in the terms of the trust. See Montana Code 72-38-103
- Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Person: means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, government, governmental subdivision, agency, or instrumentality, public corporation, or any other legal or commercial entity. See Montana Code 72-38-103
- Spendthrift provision: means a term of a trust that restrains both voluntary and involuntary transfer of a beneficiary's interest. See Montana Code 72-38-103
- Terms of a trust: means :
(a)except as otherwise provided in subsection (21)(b), the manifestation of the settlor's intent regarding a trust's provisions as:
(i)expressed in the trust instrument; or
(ii)established by other evidence that would be admissible in a judicial proceeding; or
(b)the trust's provisions as established, determined, or amended by:
(i)a trustee or trust director in accordance with applicable law;
(ii)court order; or
(iii)a nonjudicial settlement agreement under 72-38-111. See Montana Code 72-38-103
- Trustee: A person or institution holding and administering property in trust.
- Trustee: includes an original, additional, and successor trustee and a cotrustee. See Montana Code 72-38-103
- Venue: The geographical location in which a case is tried.
(2)The terms of a trust prevail over any provision of this chapter except:
(a)the requirements for creating a trust;
(b)subject to 72-40-113, 72-40-115, and 72-40-116, the duty of a trustee to act in good faith and in accordance with the terms and purposes of the trust and the interests of the beneficiaries;
(c)the requirement that a trust and its terms be for the benefit of its beneficiaries and that the trust have a purpose that is lawful, not contrary to public policy, and possible to achieve;
(d)the power of the court to modify or terminate a trust under 72-38-410 through 72-38-416;
(e)the effect of a spendthrift provision;
(f)the power of the court under 72-38-702 to require, dispense with, or modify or terminate a bond;
(g)the power of the court under 72-38-708(2) to adjust a trustee’s compensation specified in the terms of the trust that is unreasonably low or high;
(h)the effect of an exculpatory term under 72-38-1008;
(i)the rights under 72-38-1010 through 72-38-1013 of a person other than a trustee or beneficiary;
(j)the periods of limitation for commencing a judicial proceeding;
(k)the power of the court to take the action and exercise the jurisdiction that may be necessary in the interests of justice; and
(l)the subject-matter jurisdiction of the court and venue for commencing a proceeding as provided in 72-38-201 and 72-38-205.