Title 53

The meaning and effect of the trust provisions shall be determined by: (1) The law of the jurisdiction designated in the trust instrument unless the effect of the designation is contrary to the public policy of the jurisdiction having the most significant relationship to the matte…

(a) Trusts are peculiarly subjects of equity jurisdiction. Suits by or against a trustee that sound at law may be filed in a court of law. (b) Actions concerning the construction or administration of a trust or for a court to take any actions authorized by the provisions of this c…

(a) The effect of the provisions of this chapter may be varied by the trust instrument except: (1) As to any requirements relating to the creation and validity of express trusts as provided in Article 2 of this chapter; (2) As to the effect of the rules relating to spendthrift tr…

(a) Notice to a person who may represent and bind another person under this Code section shall have the same effect as if notice were given directly to such other person. (b) The consent of a person who may represent and bind another person under this Code section shall be bindin…

(a) Except as provided in subsection (b) of this Code section, the trustee, any trust director, and all other persons whose interests would be affected may enter into a binding nonjudicial settlement agreement with respect to any matter involving the trust. (b) A nonjudicial sett…

(a) Except as provided in subsection (d) of this Code section, an express trust shall be created or declared in writing and signed by the settlor or an agent for the settlor acting under a power of attorney containing express authorization. (b) An express trust shall have, ascert…

(a) No formal words shall be necessary to create an express trust. (b) Words otherwise precatory in nature will create a trust only if they are sufficiently imperative to show a settlor’s intention to impose enforceable duties on a trustee and if all other elements of an express …

(a) A trust may be created for any lawful purpose. (b) A condition in terrorem shall be void unless there is a direction in the trust instrument as to the disposition of the property if the condition in terrorem is violated, in which event the direction in the trust instrument sh…

A person has capacity to create an inter vivos trust to the extent that such person has legal capacity to transfer title to property inter vivos. A person has capacity to create a testamentary trust to the extent that such person has legal capacity to devise or bequeath property …

(a) Transfer of property in trust shall require a transfer of legal title to the trustee. In any transfer of property or any interest in property, if a trust is named as a grantee, whether such trust is held under the laws of this state or of any other jurisdiction, then such tra…

Property may be added to an existing trust from any source in any manner if the addition is not prohibited by the trust instrument and the property is acceptable to the trustee. History. — Code 1981, § 53-12-26, enacted by Ga. L. 2010, p. 579, § 1/SB 131.

When the construction of an express trust is at issue, the court may hear parol evidence of the circumstances surrounding the settlor at the time of the execution of the trust and parol evidence to explain all ambiguities, both latent and patent. History. — Code 1981, § 53-12-27,…

(a) A trust may be created to provide for the care of an animal that is alive during the settlor’s lifetime. The trust shall terminate upon the death of such animal or, if the trust was created to provide for the care of more than one animal alive during the settlor’s lifetime, u…

(a) A settlor shall have no power to modify or revoke a trust in the absence of an express reservation of such power. (b) A power to revoke shall be deemed to include a power to modify, and an unrestricted power to modify shall be deemed to include a power to revoke. (c) Any revo…

In exercising a power to modify the trust instrument, the settlor shall not enlarge the duties or liabilities of the trustee without the trustee’s express consent. History. — Code 1981, § 53-12-41, enacted by Ga. L. 2010, p. 579, § 1/SB 131.

A trustee shall not be liable for failing to act in accordance with the terms and conditions of an amendment or revocation of a trust of which the trustee had no notice. History. — Code 1981, § 53-12-42, enacted by Ga. L. 2010, p. 579, § 1/SB 131.

(a) A settlor’s powers with respect to revocation, amendment, or distribution of trust property may be exercised by an agent under a power of attorney only to the extent expressly authorized by the trust instrument and the power. (b) A settlor’s powers with respect to revocation,…

(a) Any judicial proceeding to contest the validity of a trust that was revocable immediately before the settlor’s death shall be commenced within two years of the settlor’s death. (b) Upon the death of the settlor of a trust that was revocable immediately before the settlor’s de…

(a) If it is proved by clear and convincing evidence that the trust provisions were affected by a mistake of fact or law, whether in expression or inducement, the court may reform the trust provisions, even if unambiguous, to conform the provisions to the settlor’s intention. (b)…

(a) The trust instrument may confer upon a trustee or other person a power to modify or terminate the trust without court approval. (b) During the settlor’s lifetime, the court shall approve a petition to modify or terminate an irrevocable trust, even if the modification or termin…

(a) As used in this Code section, the term: (1) ‘‘Original trust’’ refers to the trust from which principal is being distributed. (2) ‘‘Second trust’’ refers to the trust to which assets are being distributed from the original trust, whether a separate trust or an amended version…

(a) After notice to the qualified beneficiaries, the trustee of a trust consisting of trust property either having a total value less than $100,000.00 or for which the trustee’s annual fee for administering the trust is 5 percent or more of the market value of the principal assets …

(a) A spendthrift provision shall only be valid if it prohibits both voluntary and involuntary transfers. (b) A term of a trust providing that the interest of a beneficiary is held subject to a spendthrift trust, or words of similar import, shall be sufficient to restrain both vol…

A transferee or creditor of a beneficiary shall not compel the trustee or a trust director to pay any amount that is payable only in the discretion of the trustee or trust director regardless of whether the discretion is expressed in the form of a standard of distribution, includi…

(a)(1) As used in this subsection, the term ‘‘creditor’’ means: (A) With respect to subparagraphs (A) and (B) of paragraph (2) of this subsection, those creditors of a settlor whose claims against the property of the trust are governed by this article, including those creditors i…

This part shall be known and may be cited as the ‘‘Georgia Testamentary Additions to Trusts Act.’’ History. — Code 1981, § 53-12-100, enacted by Ga. L. 2010, p. 579, § 1/SB 131.

(a) A devise or bequest, the validity of which is determinable by the law of this state, may be made by a will to the trustee of a trust established or to be established by the testator or by the testator and some other person or by some other person, including a funded or unfund…

The trustee of a trust established by the testator or others as provided in Code Section 53-12-101 shall not be required to inquire into or audit the actions of the executor of the testator’s estate or to make any claim against the executor unless specifically directed to do so by…

This part shall apply to all devises or bequests made in the will of a testator dying on or after May 31, 1968, whether the will is executed before or after such date. This part shall not invalidate a devise or bequest to a trustee made by a will executed prior to May 31, 1968, b…

A resulting trust is a trust implied for the benefit of the settlor or the settlor’s successors in interest when it is determined that the settlor did not intend that the holder of the legal title to the trust property also should have the beneficial interest in the property under …

(a) A purchase money resulting trust is a resulting trust implied for the benefit of the person paying consideration for the transfer to another person of legal title to real or personal property. (b) Except as provided in subsection (c) of this Code section, the payment of consid…

(a) A constructive trust is a trust implied whenever the circumstances are such that the person holding legal title to property, either from fraud or otherwise, cannot enjoy the beneficial interest in the property without violating some established principle of equity. (b) The per…

In all cases in which a trust is sought to be implied, the court may hear parol evidence of the nature of the transaction, the circumstances, and the conduct of the parties, either to imply or rebut the trust. History. — Code 1981, § 53-12-133, enacted by Ga. L. 2010, p. 579, § 1…

As used in this article, the term: (1) ‘‘Deed’’ means and includes any written agreement, declaration of trust, or other instrument which creates a trust estate in the trustee named therein and sets forth the terms and conditions of the trust and which indicates an intention, eit…

The owners of property located in this state or persons desiring to acquire beneficial ownership of such property may create by deed an estate therein and in the improvements made thereon and in the property to be acquired, for the benefit of themselves and such other persons, whet…

(a) The deed creating a trust estate as provided in Code Section 53-12-151 shall, within 30 days of the execution thereof, be filed by the trustee in the office of the clerk of the superior court of the county in which the principal office of the trust is located. The trustee shal…

If the deed creating a trust estate under Code Section 53-12-151 so provides, the trustee may conduct and transact the affairs of the trust estate under a business or trade name, which name shall be set forth in the deed. The name may include the word ‘‘trust’’ but shall not incl…

When an estate is created pursuant to Code Section 53-12-151 and from time to time thereafter, the trustee shall issue such certificates of beneficial interest as may be provided for by the deed to the persons who are beneficially interested in the estate or who become so interested…

The trustee of a trust created under Code Section 53-12-151 shall have sole and exclusive management and control of the property, in accordance with the terms of the deed creating the estate. The exercise by the trustee of any power granted or conferred by the deed, including the…

In addition to investments in any property, the trustee of a trust created under Code Section 53-12-151 may invest any funds of the trust estate in investments authorized by trustees under the laws of this state; provided, however, that the deed creating the estate may further li…

Each trust created pursuant to this article shall make a return to the Secretary of State, upon the creation of the trust and annually thereafter, in the same manner and embracing the same information, insofar as applicable, as returns by corporations which are required to be mad…

Upon the termination of the estate created under Code Section 53-12-151, the legal title to all the property belonging to the estate which is then undisposed of shall pass to and vest in the persons who are, at that time, the beneficiaries of the estate, in shares corresponding to…

(a) Any trust created pursuant to this article may be merged into a domestic corporation for profit organized under the laws of this state and subject to Title 14 if the deed creating the trust expressly authorizes the merger. (b) With respect to the required procedure for the mer…

(a) A charitable trust is a trust in which the settlor provides that the trust property shall be used exclusively for charitable purposes. (b) Charitable purposes shall include: (1) The relief of poverty; (2) The advancement of education; (3) The advancement of ethics and religio…

The settlor of a charitable trust may retain the power to select the charitable purposes or charitable beneficiaries, or may grant the trustee or any other person the power to select charitable purposes or charitable beneficiaries or to engage in the charitable purposes, without re…

If a charitable trust or gift cannot be executed in the manner provided by the settlor or donor, the superior court shall exercise equitable powers in such a way as will as nearly as possible effectuate the intention of the settlor or donor. History. — Code 1981, § 53-12-172, ena…