North Carolina General Statutes 31B-1.2. Right of fiduciary to institute a proceeding for review of renunciation
(a) Prior to renouncing, if a fiduciary so elects, the fiduciary may institute a proceeding by petition before the clerk of court for a determination as to whether a renunciation would be compatible with the fiduciary’s duties. In the case of a trustee, commencement of the proceeding, jurisdiction, venue, parties, representation, and notice shall be governed by Chapter 36C of the N.C. Gen. Stat.. In the case of a personal representative, commencement of the proceeding, jurisdiction, venue, parties, representation, and notice shall be governed by Chapter 28A of the N.C. Gen. Stat.. In addition to any other notice requirements, notice of the proceeding shall be given to all persons entitled to delivery of a copy of an instrument of renunciation under N.C. Gen. Stat. § 31B-2.1
(b) After renouncing, if a fiduciary so elects, the fiduciary has a right to institute a declaratory judgment action pursuant to Article 26 of Chapter 1 of the N.C. Gen. Stat. for a determination as to whether the renunciation is compatible with the fiduciary’s duties. In addition to any other notice requirements, notice of the action shall be given to all persons entitled to delivery of a copy of an instrument of renunciation under N.C. Gen. Stat. § 31B-2.1
(c) A proceeding or action instituted under this section shall comply with all of the following:
(1) The petition or complaint shall state the basis for the fiduciary’s allegation that the renunciation is compatible with the fiduciary’s duties, considering among other things the intended purposes of the trust or other instrument and the impact of the renunciation on beneficiaries and potential beneficiaries. A petition or complaint filed by a trustee of a charitable trust shall contain a statement that a copy of the petition or complaint is being provided to the Attorney General.
Terms Used In North Carolina General Statutes 31B-1.2
- Allegation: something that someone says happened.
- Clerk of court: An officer appointed by the court to work with the chief judge in overseeing the court's administration, especially to assist in managing the flow of cases through the court and to maintain court records.
- Complaint: A written statement by the plaintiff stating the wrongs allegedly committed by the defendant.
- Fiduciary: A trustee, executor, or administrator.
- following: when used by way of reference to any section of a statute, shall be construed to mean the section next preceding or next following that in which such reference is made; unless when some other section is expressly designated in such reference. See North Carolina General Statutes 12-3
- 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.
- state: when applied to the different parts of the United States, shall be construed to extend to and include the District of Columbia and the several territories, so called; and the words "United States" shall be construed to include the said district and territories and all dependencies. See North Carolina General Statutes 12-3
- Trustee: A person or institution holding and administering property in trust.
- Venue: The geographical location in which a case is tried.
(2) After considering among other things the intended purposes of the trust or other instrument and the impact of the renunciation on beneficiaries and potential beneficiaries, the court shall enter an order stating the court’s determination as to whether the renunciation is compatible with the fiduciary’s duties.
(d) The effectiveness of a renunciation is not affected by a determination under this section that the renunciation is not compatible with a fiduciary’s duties. (2009-48, s. 3; 2011-344, s. 9.)