Montana Code 72-38-131. When use of notice authorized
72-38-131. When use of notice authorized. (1) The trustee who elects to provide notice pursuant to this part shall provide notice of the proposed action or notice of proposed inaction to each qualified beneficiary as provided in 72-38-130 through 72-38-134.
Terms Used In Montana Code 72-38-131
- 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
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Property: means anything that may be the subject of ownership, whether real or personal, legal or equitable, or any interest therein. See Montana Code 72-38-103
- Qualified beneficiary: means a beneficiary who on the date the beneficiary's qualification is determined:
(a)is a distributee or permissible distributee of trust income or principal;
(b)would be a distributee or permissible distributee of trust income or principal if the interests of the distributees described in subsection (16)(a) terminated on that date without causing the trust to terminate; or
(c)would be a distributee or permissible distributee of trust income or principal if the trust terminated on that date. See Montana Code 72-38-103
- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
- 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
- Writing: includes printing. See Montana Code 1-1-203
(2)Notwithstanding any other provisions of 72-38-130 through 72-38-134, the trustee may not use a notice of proposed action or notice of proposed inaction in any of the following circumstances:
(a)allowance of the trustee’s compensation;
(b)allowance of compensation of the attorney for the trustee;
(c)settlement of accounts or reports;
(d)preliminary and final distributions and discharge;
(e)sale of property of the trust to the trustee or to the attorney for the trustee;
(f)exchange of property of the trust for property of the trustee or for property of the attorney for the trustee;
(g)grant of an option to purchase property of the trust to the trustee or to the attorney for the trustee;
(h)allowance, payment, or compromise of a claim of the trustee, or the attorney for the trustee, against the trust;
(i)compromise of settlement of a claim, action, or proceeding by the trust against the trustee or against the attorney for the trust; and
(j)extension, renewal, or modification of the terms of a debt or other obligation of the trustee, or the attorney for the trustee, owing to or in favor of the trust.
(3)Notice of proposed action or notice of proposed inaction is not required to be given to a qualified beneficiary who consents in writing to the proposed action or inaction. The consent may be executed at any time before or after the effective date of the proposed action or inaction.
(4)A trustee is not required to provide a copy of the notice of the proposed action or notice of proposed inaction to a qualified beneficiary who is known to the trustee but who cannot be located by the trustee after reasonable diligence or who is unknown to the trustee.