Title 12, Decedents’ Estates and Fiduciary Relations

§ 3549. Marital deduction gift; compliance with Internal Revenue Code; fiduciary powers. (a) If a governing instrument contains a marital deduction gift, the governing instrument shall be construed to comply with the marital deduction provisions of the Internal Revenue Code in ev…

§ 3550. Electronic execution of documents. (a) If otherwise validly executed, the following documents may be executed in accordance with the Uniform Electronic Transaction Act, Chapter 12A of Title 6: (1) A governing instrument or other document—other than a will or codicil—descr…

§ 3551. Burial lots; perpetuities. (a) Any owner of any burial lot or plot in any cemetery in this State, whether or not there shall then have been an interment in the lot or plot, may convey it in trust to the corporation owning or maintaining the cemetery or to any trust compan…

§ 3552. Powers of cemetery corporation as to trust funds. Any corporation created and existing under the laws of this State and owning 1 or more cemeteries in this State may take and hold, in perpetuity or for any shorter time, any real or personal property which shall be given, …

§ 3553. Sale of real estate and proceeds. Any real estate given, granted or devised to a cemetery corporation in trust, in accordance with § 3552 of this title, other than a lot or lots in the cemetery or cemeteries, may be sold and conveyed by the cemetery corporation at its dis…

§ 3554. Perpetual care burial lots. (a) Whenever a person, partnership or corporation engaged in the business of selling burial lots with perpetual care for profit shall sell any burial lot with perpetual care, it shall deposit in a bank and trust company, trust company or nation…

§ 3555. Trust for care of an animal. (a) A trust for the care of 1 or more specific animals living at the trustor’s death is valid. The trust terminates upon the death of all animals living at the trustor’s death and covered by the terms of the trust. (b) A trust authorized by su…

§ 3556. Trust for other noncharitable purposes. Without limiting the effectiveness of § 3555 of this title: (1) A trust for a declared purpose that is not impossible of attainment is valid notwithstanding that the trust might not be deemed to be for charitable purposes. (2) A tru…

§ 3560. Trustees entitled to compensation in accordance with instrument. (a) Trustees under wills, trustees under inter vivos deeds of trust, both revocable and irrevocable, and successors to such trustees, are entitled to reasonable compensation for their services in accordance …

§ 3561. Reasonable compensation when trust instrument does not determine [For application of this section, see 85 Del. Laws, c. 346, § 9]. (a) As used in this section, the term “qualified trustee” means any person authorized by the law of this State or of the United States to act…

§ 3562. Judicial review of trustees’ allowances. (a) The provisions of § 3561(b)(1)c. of this title notwithstanding, the settlor or any current income beneficiary of a trust, or any other person having an equitable interest in a trust from which a fee for trustee compensation is …

§ 3570. Definitions [For application of this section, see 80 Del. Laws, c. 153, § 5]. As used in this subchapter: (1) “Claim” means a right to payment, whether or not the right is reduced to judgment, liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed, undi…

§ 3571. Retained interests of transferor. A qualified disposition shall be subject to § 3572 of this title notwithstanding a transferor’s retention of any or all of the powers and rights described in § 3570(11)b. of this title and the transferor’s service as investment adviser pu…

§ 3572. Avoidance of qualified dispositions. (a) Notwithstanding any other provision of this Code, no action of any kind, including, without limitation, an action to enforce a judgment entered by a court or other body having adjudicative authority, shall be brought at law or in e…

§ 3573. Limitations on qualified dispositions. (a) With respect to the limitations imposed by § 3572 of this title, those limitations on actions by creditors to avoid a qualified disposition shall not apply: (1) To any person to whom the transferor is indebted on account of an ag…

§ 3574. Effect of avoidance of qualified dispositions. (a) After making any payments from the trust required under subsection (b) of this section, a qualified disposition shall be avoided only to the extent necessary to satisfy the transferor’s debt to the creditor at whose insta…

§ 3575. Application of subchapter. This subchapter shall apply to qualified dispositions and dispositions by transferors who are trustees made on or after July 1, 1997.71 Del. Laws, c. 159, § 1; 71 Del. Laws, c. 343, § 10;

§ 3576. Short title. This subchapter may be cited as the “Qualified Dispositions in Trust Act.”71 Del. Laws, c. 159, § 1;

§ 3580. “Trustee.” In this subchapter, the term “trustee” includes fiduciaries and other persons exercising, or directing or consenting to the exercise of, or that are required to be consulted before the exercise of, powers or duties under a trust’s governing instrument or under …

§ 3581. Breach of trust; equitable remedies. (a) A violation by a trustee of a duty the trustee owes to a beneficiary is a breach of trust. (b) To remedy a breach of trust that has occurred or may occur, the court may order any equitable remedy, including: (1) Compelling the trus…

§ 3582. Damages against trustee for breach of trust [For application of this section, see 80 Del. Laws, c. 153, § 5]. A beneficiary may charge a trustee who commits a breach of trust with: (1) The amount required to restore the value of the trust property and trust distributions …

§ 3583. Liability of trustee in absence of breach. (a) Except to the extent a trustee realizes a profit from conduct expressly permitted by law or the terms of the trust, a trustee is accountable to a beneficiary for any profit made by the trustee arising from the administration …

§ 3584. Attorneys’ fees and costs. In a judicial proceeding involving a trust, the court, as justice and equity may require, may award costs and expenses, including reasonable attorneys’ fees, to any party, to be paid by another party or from the trust that is the subject of the …

§ 3585. Limitation of action against trustee following trustee's report [For application of this section, see 81 Del. Laws, c. 320, § 8]. (a) A person may initiate a judicial proceeding against a trustee for breach of trust or other claim until the first to occur of: (1) One year…

§ 3586. Reliance on governing instrument. A trustee who acted in good faith reliance on the terms of a written governing instrument is not liable to a beneficiary for a breach of trust to the extent the breach resulted from the reliance.72 Del. Laws, c. 388, § 7; 82 Del. Laws, c.…

§ 3587. Events affecting administration or distribution. Whenever the happening of an event, including marriage, divorce, performance of education requirements or death, affects the administration or distribution of a trust, a trustee who has exercised reasonable care to ascertai…

§ 3588. Consent, release, ratification, or indemnification in favor of a trustee [For application of this section, see 81 Del. Laws, c. 320, § 8]. (a) A person may not hold a trustee liable for a breach of trust or other claim if the person consented to the conduct constituting t…

§ 3589. Limitation on personal liability of trustee. Repealed by 73 Del. Laws, c. 409, § 3, effective July 10, 2002.

§ 3590. Protection of person dealing with trustee. (a) A person other than a beneficiary who in good faith assists a trustee or who in good faith and for value deals with a trustee without knowledge that the trustee is exceeding or improperly exercising the trustee’s powers is pr…

§ 3591. Certification of trust. (a) Instead of providing a person other than a beneficiary with a copy of the trust instrument, a trustee may provide the person with a certification of trust containing statements concerning, but not limited to, the following matters: (1) The exis…

§ 3592. Failure of trust to dispose of all assets. In the event that the terms of an inter vivos trust do not effectively dispose of a portion of or all of the principal and income of such inter vivos trust: (1) If such failure occurs simultaneously with the death of the trustor,…

§ 3593. Interest on pecuniary gifts in trust [For application of this section, see 79 Del. Laws, c. 172, § 6]. Except where circumstances justify a longer period, pecuniary gifts from an inter vivos trust which are payable as of the death of the trustor or another person, shall b…

§ 3594. Legacy to creditor of trustor. A gift to a beneficiary of an inter vivos trust which is made effective as of the death of the trustor shall not be deemed to be in satisfaction of a debt due from the trustor to the donee, unless the intention of the trustor that it shall b…

§ 3595. Abatement of gifts in trust. (a) Except as provided in subsection (b) of this section, shares of distributees of an inter vivos trust, who are entitled to distributions from the trust as of the date of the death of the trustor, abate, with personal property to be abated p…

§ 3801. Definitions. (a) “Beneficial owner” means any owner of a beneficial interest in a statutory trust, the fact of ownership to be determined and evidenced (whether by means of registration (including on, by means of, or in the form of any information storage device, method, …

§ 3802. Contributions by beneficial owners. (a) A contribution of a beneficial owner to the statutory trust may be in cash, property or services rendered, or a promissory note or other obligation to contribute cash or property or to perform services; provided however, that a pers…

§ 3803. Liability of beneficial owners and trustees. (a) Except to the extent otherwise provided in the governing instrument of the statutory trust, the beneficial owners shall be entitled to the same limitation of personal liability extended to stockholders of private corporatio…

§ 3804. Legal proceedings. (a) A statutory trust may sue and be sued, and service of process upon 1 of the trustees shall be sufficient. In furtherance of the foregoing, a statutory trust may be sued for debts and other obligations or liabilities contracted or incurred by the tru…

§ 3805. Rights of beneficial owners and trustees in statutory trust property. (a) Except to the extent otherwise provided in the governing instrument of the statutory trust, a beneficial owner shall have an undivided beneficial interest in the property of the statutory trust and …

§ 3806. Management of statutory trust. (a) Except to the extent otherwise provided in the governing instrument of a statutory trust, the business and affairs of a statutory trust shall be managed by or under the direction of its trustees. To the extent provided in the governing i…

§ 3807. Trustee in State; registered agent. (a) Every statutory trust shall at all times have at least 1 trustee which, in the case of a natural person, shall be a person who is a resident of this State or which, in all other cases, has its principal place of business in this Sta…

§ 3808. Existence of statutory trust. (a) Except to the extent otherwise provided in the governing instrument of the statutory trust, a statutory trust shall have perpetual existence, and a statutory trust may not be terminated or revoked by a beneficial owner or other person exc…

§ 3809. Applicability of trust law. Except to the extent otherwise provided in the governing instrument of a statutory trust or in this chapter, the laws of this State pertaining to trusts are hereby made applicable to statutory trusts; provided however, that for purposes of any …

§ 3810. Certificate of trust; amendment; restatement; cancellation. (a) (1) Every statutory trust shall file a certificate of trust in the office of the Secretary of State. The certificate of trust shall set forth: a. The name of the statutory trust; b. The name and address in th…

§ 3811. Execution. (a) Each certificate required by this subchapter to be filed in the office of the Secretary of State shall be executed in the following manner: (1) A certificate of trust must be signed by all of the trustees; (2) A certificate of amendment, a certificate of co…

§ 3812. Filing of certificate. (a) Any certificate authorized to be filed with the office of the Secretary of State under this chapter (or any judicial decree of amendment or cancellation) shall be delivered to the office of the Secretary of State for filing. A person who execute…