Requirements for creation

(a) A trust is created only if: (1) The settlor has capacity to create a trust; (2) The settlor indicates an intention to create the trust; (3) The trust has a definite beneficiary or is: (A) A charitable trust; (B) A trust for the care of an animal, as provided in section 19-1304.08; or (C) A trust for a noncharitable purpose, as provided in section 19-1304.09; (4) The trustee has duties to perform; and (5) The same person is not the sole trustee and sole beneficiary. (b) A beneficiary is definite if the beneficiary can be ascertained now or in the future, subject to any applicable rule against perpetuities. (c) A power in a trustee to select a beneficiary from an indefinite class is valid. If the power is not exercised within a reasonable time, the power fails and the property subject to the power passes to the persons who would have taken the property had the power not been conferred.