New Hampshire Revised Statutes 564-B:5-510 – Limitation on Personal Liability of Beneficiaries
Current as of: 2023 | Check for updates
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(a) A beneficiary is not personally liable on a contract into which a trustee, trust advisor, or trust protector properly enters in the course of administering the trust, unless the beneficiary expressly agrees to be personally liable on that contract.
(b) A beneficiary is not personally liable for torts committed by a trustee, trust advisor, or trust protector in the course of administering the trust, unless the beneficiary is personally at fault.
(c) A beneficiary is not personally liable for claims or obligations arising from the ownership or control of trust property by a trustee, trust advisor, or trust protector, unless the beneficiary is personally at fault. Claims arising from the ownership or control of trust property include liability for any violation of environmental law.
(d) This section does not apply to a revocable trust to the extent that the beneficiary is the settlor of that trust.
(e) This section does not limit or otherwise affect a beneficiary’s liability to return a distribution under the terms of the trust, the beneficiary’s agreement with a trustee, or N.H. Rev. Stat. § 564-B:4-406(f), N.H. Rev. Stat. § 564-B:8-812, N.H. Rev. Stat. § 564-B:8-817(d), or any other provision of this chapter.
(b) A beneficiary is not personally liable for torts committed by a trustee, trust advisor, or trust protector in the course of administering the trust, unless the beneficiary is personally at fault.
Terms Used In New Hampshire Revised Statutes 564-B:5-510
- 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
- Contract: A legal written agreement that becomes binding when signed.
- Revocable trust: A trust agreement that can be canceled, rescinded, revoked, or repealed by the grantor (person who establishes the trust).
- Trustee: A person or institution holding and administering property in trust.
(c) A beneficiary is not personally liable for claims or obligations arising from the ownership or control of trust property by a trustee, trust advisor, or trust protector, unless the beneficiary is personally at fault. Claims arising from the ownership or control of trust property include liability for any violation of environmental law.
(d) This section does not apply to a revocable trust to the extent that the beneficiary is the settlor of that trust.
(e) This section does not limit or otherwise affect a beneficiary’s liability to return a distribution under the terms of the trust, the beneficiary’s agreement with a trustee, or N.H. Rev. Stat. § 564-B:4-406(f), N.H. Rev. Stat. § 564-B:8-812, N.H. Rev. Stat. § 564-B:8-817(d), or any other provision of this chapter.