Title 68 — TRUSTS AND FIDUCIARIES

68-101. Trustees — Power of district court to appoint. When a trust exists without any appointed trustees or where any or all of the trustees renounce, die, or are discharged, the district court of the county where the trust property or some portion thereof is situated, must appo…

68-102. Death, renunciation, or discharge of trustee — Survival of trust. On the death, renunciation, or discharge of one (1) of the several number of trustees, the trust survives to the others.

68-103. Compensation of trustees. When a declaration of trust is silent upon the subject of compensation, the trustee is entitled to the same compensation as an executor. If it specifies the amount of his compensation, he is entitled to the amount thus specified and no more.

68-104. Uniform Trustees’ Powers Act — Definitions. As used in this act: (1) "Trust" means an express trust created by a trust instrument, including a will, whereby a trustee has the duty to administer a trust asset for the benefit of a named or otherwise described income or prin…

68-105. Powers of trustee conferred by trust or by law. (a) The trustee has all powers conferred upon him by the provisions of this act unless limited in the trust instrument. (b) An instrument which is not a trust under section 68-104 (1) may incorporate any part of this act by …

68-106. Powers of trustees conferred by this act. (a) From time of creation of the trust until final distribution of the assets of the trust, a trustee has the power to perform, without court authorization, every act which a prudent man would perform for the purposes of the trust…

68-106A. Fiduciary duty to determine equivalent value of substituted property. Notwithstanding the terms of a trust instrument, if a grantor has the power to substitute property of equivalent value, a trustee has a fiduciary duty to determine that the substitute property is of eq…

68-107. Trustee’s office not transferable — Transactions under chapter 14, title 26, Idaho Code, excepted. (1) The trustee shall not transfer his office to another or delegate the entire administration of the trust to a co-trustee or another. (2) Subsection (1) of this section do…

68-108. Power of court to permit deviation or to approve transactions involving conflict of interest. (a) This act does not effect the power of a court of competent jurisdiction for cause shown and upon petition of the trustee or affected beneficiary and upon appropriate notice t…

68-109. Powers exercisable by joint trustees — Liability. (a) Any power vested in 3 or more trustees may be exercised by a majority, but a trustee who has not joined in exercising a power is not liable to the beneficiaries or to others for the consequences of the exercise; and a …

68-110. Third persons protected in dealing with trustee. With respect to a third person dealing with a trustee or assisting a trustee in the conduct of a transaction, the existence of trust powers and their proper exercise by the trustee may be assumed without inquiry. The third …

68-111. Application of act. Except as specifically provided in the trust, the provisions of this act apply to any trust established after the effective date of this act.

68-112. Uniformity of interpretation. This act shall be construed to effectuate its general purpose to make uniform the law of those states which enact it.

68-113. Short title. This act may be cited as the "Uniform Trustees’ Powers Act."

68-114. Presentation of a certification of trust in lieu of the trust instrument — Effect — Form. (1) A trustee may present a certification of trust to any person in lieu of a copy of any trust instrument to establish the existence or terms of the trust. The trustee may present t…

68-115. Contents of certification of trust. (1) A certification of trust may confirm the following facts or contain the following information: (a) The existence of the trust and date of execution of any trust instrument; (b) The identity of the settlor and each currently acting t…

68-116. Dispositive provisions not required — Person presented with certification may request excerpts from trust instrument designating trustee. A certification of trust need not contain the dispositive provisions of the trust, but the person to whom the certification is present…

68-117. Reliance on facts contained in certification — Enforceability. (1) A person who acts in reliance upon a certification of trust without knowledge that the representations contained therein are incorrect is not liable to any person for so acting. A person who does not know …

68-118. Failure to demand certification or refusal to accept and rely on certification not improper act — Liability. A person’s failure to demand a certification of trust, or his refusal to accept and rely solely on a certification of trust, may not be considered to be an imprope…

68-119. Applicability. The provisions of sections 68-114 through 68-120, Idaho Code, shall apply to all trusts, whether established pursuant to Idaho law or established pursuant to the law of another state or jurisdiction.

68-120. Doctrine of worthier title inapplicable. The doctrine of worthier title shall not be applied as a rule of law or as a rule of construction. Language in a governing instrument describing the beneficiaries of a disposition as the transferor’s heirs, heirs at law, next of ki…

68-201. Residence qualification of assignee. No assignment for the benefit of creditors shall be valid unless made to a bona fide resident of this state or to a corporation duly authorized to do business in this state.

68-301. Definition of terms. In this chapter unless the context or subject-matter otherwise requires: 1. "Bank" includes any person or association of persons, whether incorporated or not, carrying on the business of banking. "Fiduciary" includes a trustee under any trust, express…

68-302. Application of payments made to fiduciaries. A person who in good faith pays or transfers to a fiduciary any money or other property which the fiduciary as such is authorized to receive, is not responsible for the proper application thereof by the fiduciary; and any right…

68-304. Transfer of negotiable instrument by fiduciary. If any negotiable instrument payable or indorsed to a fiduciary as such is indorsed by the fiduciary, or if any negotiable instrument payable or indorsed to his principal is indorsed by a fiduciary empowered to indorse such …

68-305. Check drawn by fiduciary payable to third person. If a check or other bill of exchange is drawn by a fiduciary as such, or in the name of his principal by a fiduciary empowered to draw such instrument in the name of his principal, the payee is not bound to inquire whether…

68-306. Check drawn by and payable to fiduciary. If a check or other bill of exchange is drawn by a fiduciary as such or in the name of his principal by a fiduciary empowered to draw such instrument in the name of his principal, payable to the fiduciary personally, or payable to …

68-307. Deposit in name of fiduciary as such. If a deposit is made in a bank to the credit of a fiduciary as such, the bank is authorized to pay the amount of the deposit or any part thereof upon the check of the fiduciary, signed with the name in which such deposit is entered, w…

68-308. Deposit in name of principal. If a check is drawn upon the account of his principal in a bank by a fiduciary who is empowered to draw checks upon his principal’s account, the bank is authorized to pay such check without being liable to the principal, unless the bank pays …

68-309. Deposit in fiduciary’s personal account. If a fiduciary makes a deposit in a bank to his personal credit of checks drawn by him upon an account in his own name as fiduciary or of the checks payable to him as fiduciary, or of checks drawn by him upon an account in the name…

68-310. Deposit in names of two or more trustees. When a deposit is made in a bank in the name of two (2) or more persons as trustees and a check is drawn upon the trust account by any trustee or trustees authorized by the other trustee or trustees to draw checks upon the trust a…

68-311. Chapter not retroactive. The provisions of this chapter shall not apply to transactions taking place prior to the time when it takes effect.

68-312. Cases not provided for in chapter. In any case not provided for in this chapter the rules of law and equity, including the law merchant and those rules of law and equity relating to trusts, agency, negotiable instruments and banking, shall continue to apply.

68-313. Uniformity of interpretation. This chapter shall be so interpreted and construed as to effectuate its general purpose to make uniform the law of those states which enact it.

68-314. Short title. This chapter may be cited as the Uniform Fiduciaries Law.

68-315. Inconsistent laws repealed. All acts or parts of acts inconsistent with this chapter are hereby repealed.

68-401. Mortgage loans insurable by federal housing administrator — Authority to make. The following persons, corporations, institutions and officers are hereby authorized to make such loans, secured by real property or leasehold as the federal housing administrator insures or ma…

68-402. Securities of federal housing administrator and national mortgage associations legal investments. It shall be lawful for banks, trust companies, insurance companies, loan and building corporations, building and loan associations, savings and loan associations, and other s…

68-403. Other laws declared inapplicable. No law of this state, requiring securities upon which loans or investments may be made or prescribing the nature, amount or form of such security, or prescribing or limiting the period for which loans or investments may be made, shall be …

68-404. Federal Home Loan Bank securities made legal investments. Executors, administrators, guardians, trustees and other fiduciaries of every kind and nature, land and building corporations, building and loan associations, savings and loan associations and other savings or inve…

68-404A. Banks and trust companies — Investment in mutual funds. (1) In addition to other investments authorized by law for the investment of funds held by a fiduciary, or by the instrument governing the fiduciary relationship, and notwithstanding any other provision of law, a ba…

68-405. Housing bonds legal investments. Notwithstanding any restrictions on investments contained in any laws of this state all banks, bankers, trust companies, savings banks and institutions, building and loan associations, savings and loan associations, investment companies an…

68-406. Life, endowment and annuity contracts — Investment of funds. All guardians, trustees and other fiduciaries may legally invest any funds administered by them in any life, endowment or annuity contracts issued by any legal reserve life insurance company authorized to do bus…

68-407. Public and trust funds — Investment in port district obligations. Notwithstanding the provisions of the Public Depository Law, or of any other statute of the state of Idaho to the contrary, it shall be lawful for the state of Idaho and any of its departments, institutions…

68-501. Prudent investor rule. (1) Except as otherwise provided in subsection (2) of this section, a trustee who invests and manages trust assets owes a duty to the beneficiaries of the trust to comply with the prudent investor rule set forth in this act. (2) The prudent investor…

68-502. Standard of care — Portfolio strategy — Risk and return objectives. (1) A trustee shall invest and manage trust assets as a prudent investor would, by considering the purposes, terms, distribution requirements and other circumstances of the trust. In satisfying this stand…

68-503. Diversification. A trustee shall diversify the investments of the trust unless the trustee reasonably determines that, because of special circumstances, the purposes of the trust are better served without diversifying.

68-504. Duties at inception of trusteeship. Within a reasonable time after accepting a trusteeship or receiving trust assets, a trustee shall review the trust assets and make and implement decisions concerning the retention and disposition of assets, in order to bring the trust p…

68-505. Loyalty. A trustee shall invest and manage the trust assets solely in the interest of the beneficiaries.

68-506. Impartiality. If a trust has two (2) or more beneficiaries, the trustee shall act impartially in investing and managing the trust assets, taking into account any differing interests of the beneficiaries.