Title 30, TRUSTS AND FIDUCIARIES

Sec. 1. In any case where real estate is to be sold under the orders of any court of competent jurisdiction, and where the law requires that a bond be given for the faithful accounting of all money which may come into the custody and possession of the guardian, trustee, receiver,…

Sec. 1.3. (a) While a trust is revocable and the settlor has the capacity to revoke the trust: (1) the rights of the beneficiaries are subject to the control of; and (2) the duties of the trustee are owed exclusively to; the settlor. (b) A settlor is presumed to have capacity for…

Sec. 1.5. (a) This subsection applies to a trust created under an instrument executed after June 30, 2005. Unless the terms of a trust expressly provide that the trust is irrevocable, the settlor may revoke or amend the trust. (b) This subsection applies to a revocable trust crea…

Sec. 10. (Liability to Third Persons) (a) Unless the terms of the contract or other non-negotiable obligation expressly provide otherwise, the trustee is not personally liable on a contract or other non-negotiable obligation with a third person made by him in the administration o…

Sec. 11. (a) The trustee is accountable to the beneficiary for the trust estate. (b) If the trustee commits a breach of trust, the trustee is liable to the beneficiary for: (1) any loss or depreciation in the value of the trust property as a result of the breach; (2) any profit m…

Sec. 12. (Liability for Breach of Trust by Co-Trustee) A trustee becomes liable to the beneficiary for a breach of trust committed by his co-trustee if he: (a) participates in the breach of trust; (b) improperly delegates the administration of the trust to the co-trustee; (c) app…

Sec. 13. (Liability of a Successor Trustee) A successor trustee becomes liable for a breach of trust of his predecessor if he: (a) fails to take whatever action is necessary to compel the predecessor trustee to deliver the trust property; or (b) fails to make a reasonable effort …

Sec. 14. (Contribution and Indemnity) (a) Except as stated in subsection (b) of this section, if two (2) or more co-trustees are liable to the beneficiary, each co-trustee is entitled to contribution from the other, provided, however, that: (1) if one (1) co-trustee is substantia…

Sec. 15. (Remedies of the Trustee against Third Persons) The trustee may maintain in his representative capacity a civil action for any legal or equitable remedy against a third person that he could maintain in his own right if he were the owner. Formerly: Acts 1971, P.L.416, SEC…

Sec. 16. (Remedies among Co-Trustees) Any trustee may maintain an action against a co-trustee to: (a) compel him to perform his duties under the trust; (b) enjoin him from committing a breach of trust; or (c) compel him to redress a breach of trust committed by him. Formerly: Act…

Sec. 17. (Remedies of Trustee against Beneficiary) The trustee may maintain a civil action against a beneficiary for any legal or equitable remedy, including, among others, a charge against the beneficiary's interest in the trust estate, in any case in which the beneficiary is li…

Sec. 18. (Other Remedies of the Trustee) (a) If there is reasonable doubt with respect to any matter relating to the administration of the trust, the trustee is entitled to be instructed by the court. (b) The trustee is entitled to a review and settlement by the court of the acco…

Sec. 19. (Relief of Trustee's Liability for Breach of Trust) (a) Unless the terms of the trust provide otherwise or unless if to do so would frustrate, impair or defeat the purposes of the trust, a beneficiary, except as provided in subsection (b) of this section, relieves the tr…

Sec. 2. (a) The settlor may provide in the terms of the trust that the interest of a beneficiary may not be either voluntarily or involuntarily transferred before payment or delivery of the interest to the beneficiary by the trustee. (b) Except as otherwise provided in subsection…

Sec. 20. (Liability of Beneficiary) (a) A beneficiary is liable for loss to the trust estate if he has: (1) misappropriated or otherwise wrongfully dealt with the trust property; (2) expressly consented to, participated in or agreed with the trustee to be liable for a breach of t…

Sec. 21. (Remedies of the Beneficiary against Third Persons) If the trustee has a claim against a third person for which he may maintain a civil action under 30-4-3-15 but he is unable, unwilling or neglects to commence the action within a reasonable time not to exceed thirty (30…

Sec. 22. (Remedies of the Beneficiary against the Trustee) (a) A beneficiary of a trust may maintain an action: (1) to compel the trustee to perform his duties; (2) to enjoin the trustee from committing an act which may be a breach of trust; (3) to compel the trustee to redress a…

Sec. 23. (Remedy of a Beneficiary against a Co-Beneficiary) (a) If no recovery can be made from the trustee for a breach of trust, a beneficiary may maintain an action against a co-beneficiary who consented to the breach for a redress of the breach, if the co-beneficiary: (1) kno…

Sec. 24.4. (a) The court may modify the administrative or dispositive terms of a trust if, because of circumstances not anticipated by the settlor, modification or termination will further the purposes of the trust. To the extent practicable, the modification must be made in acco…

Sec. 24.5. (a) This section does not apply to an easement for conservation or preservation. (b) This subsection applies to a trust consisting of trust property having a total value of less than seventy-five thousand dollars ($75,000). Unless the terms of the trust provide otherwi…

Sec. 25. (Recission and Reformation) Upon petition by an interested party, the court may rescind or reform a trust according to the same general rules applying to recission or reformation of non-trust transfers of property. Formerly: Acts 1971, P.L.416, SEC.4.

Sec. 25.5. (a) This section applies beginning October 1, 2009. (b) Except as provided in subsection (d), when a trust created to comply with 42 U.S.C. 1396p(d)(4)(A) is terminated, the trustee shall not distribute trust property to any person entitled to payment from the trust un…

Sec. 26. (Power to Direct a Deviation from the Terms of the Trust) (a) Upon petition by the trustee or a beneficiary, the court shall direct or permit the trustee to deviate from a term of the trust if, owing to circumstances not known to the settlor and not anticipated by him, c…

Sec. 27. (a) If property is given to a trust for a benevolent public purpose and the property is to be applied to a particular charitable purpose, and it is or becomes impossible, impracticable, wasteful, or illegal to carry out the particular purpose, and if the settlor manifest…

Sec. 29. (a) A trustee may be removed as follows: (1) By the court. (2) By the person, if any, who by the terms of the trust is authorized to remove the trustee. (3) Unless the terms of the trust instrument provide otherwise, by a beneficiary of the trust whose petition is grante…

Sec. 29.3. (a) The power to appoint a successor trustee under a governing instrument or under section 33 of this chapter includes: (1) the power to appoint multiple successor trustees; and (2) the power to allocate trustee powers to one (1) or more trustees. (b) A trustee to whom…

Sec. 29.5. (a) Except as provided in subsection (b) and unless the trust instrument provides otherwise, a corporate trustee that acquires a trust as a result of a change in control may not: (1) decline to accept the trust property; (2) resign as trustee; or (3) otherwise refuse t…

Sec. 3. (a) Except as provided in the terms of the trust and subject to subsection (c), a trustee has the power to perform without court authorization, except as provided in sections 4(b) and 5(a) of this chapter, every act necessary or appropriate for the purposes of the trust i…

Sec. 3.2. The trustee of a trust established as the perpetual care fund of a cemetery under IC 23-14-48-2 may, under IC 23-14-48-2.2, without court authorization, withdraw from the trust the amounts allowed by IC 23-14-48-2 to pay the cost of perpetual care of the cemetery, notwi…

Sec. 30. (Effect of This Article on the Court's Equity Powers) Except as otherwise provided in this article, the article shall not be construed to limit the general equity powers of the court over the administration of trusts. Formerly: Acts 1971, P.L.416, SEC.4.

Sec. 31. (a) This section is enacted for the purpose of confirming the power of Indiana courts to modify trusts for a benevolent public purpose, and transfers not in trust as described in Section 170(f)(3)(A) of the Internal Revenue Code, to effect compliance with Sections 170, 6…

Sec. 32. (a) Except as stated in subsections (b) and (c), the trustee, by provisions of the trust, can be relieved of liability for breach of trust. (b) A provision in the trust instrument is not effective to relieve the trustee of liability for breach of trust committed in bad f…

Sec. 33. (a) In addition to the terms of a trust regarding the circumstances under which a trustee vacancy occurs, a trustee vacancy occurs if: (1) a person designated as trustee does not accept being trustee; (2) a person designated as trustee cannot be identified or does not ex…

Sec. 34. (a) At any time during the administration of a trust, a trustee or any interested person may petition the court to determine the: (1) heirs of: (A) the settlor; or (B) any person named in the trust; and (2) respective interests of the persons described in subdivision (1)…

Sec. 35. (a) This section is intended to ensure that if real property is transferred to one (1) or more revocable trusts created by a husband and wife for estate planning purposes, the husband and wife will maintain real estate ownership protections equivalent to those they would…

Sec. 37. (a) If a beneficiary of a trust cannot be found after a reasonable search, the trustee may file a petition setting out the facts of the unsuccessful search. The court may order the trustee to sell the shares of the trust to which the beneficiary is entitled and to pay th…

Sec. 38. (a) This section does not apply to a trust if the application of this section disqualifies the trust for, or reduces the amount of, a marital or charitable deduction available to any person for state or federal: (1) income; (2) gift; or (3) estate; tax purposes. (b) As u…

Sec. 4. (Exercise of Powers by Multiple, Successor, or Surviving Trustees) Unless the terms of the trust provide otherwise: (a) Any power vested in two (2) trustees must be exercised by them jointly; any power vested in three (3) or more trustees must be exercised by a majority. …

Sec. 5. (a) If the duty of the trustee in the exercise of any power conflicts with the trustee's individual interest or the trustee's interest as trustee of another trust, the power may be exercised only under one (1) of the following circumstances: (1) The trustee receives court…

Sec. 6. (a) The trustee has a duty to administer a trust according to the terms of the trust. (b) Unless the terms of the trust or the provisions of section 1.3 of this chapter provide otherwise, the trustee also has a duty to do the following: (1) Administer the trust in a manne…

Sec. 6.5. If the happening of an event, including: (1) marriage; (2) divorce; (3) performance of educational requirements; or (4) death; affects the administration or distribution of a trust, a trustee who has exercised reasonable care to ascertain the happening of the event is n…

Sec. 7. (a) Unless the terms of the trust provide otherwise or the transaction is authorized under section 7.5 of this chapter, IC 28-1-12-8, or IC 28-6.1-6-26, the trustee has a duty: (1) not to loan funds to the trustee or an affiliate; (2) not to purchase or participate in the…

Sec. 7.5. A transaction otherwise prohibited by section 7 of this chapter is authorized if: (1) the proposed prohibited transaction is authorized by the written consent of all qualified beneficiaries; or (2) the proposed prohibited transaction is approved by an order of the court…

Sec. 8. (Duties of Co-Trustee) Unless the terms of the trust provide otherwise, if there are two (2) or more trustees, each has a duty to: (a) participate in the administration of the trust; (b) take whatever action is reasonable to prevent a co-trustee from committing a breach o…

Sec. 9. (Duty of Trustee under Control of Third Person) (a) This section applies to directions given to a trustee before July 1, 2019, by a person who has power under the terms of the trust to direct the trustee. (b) If the terms of the trust give a person a power to direct the t…

Sec. 1. The rules of law contained in this article shall be interpreted and applied to the terms of a power of attorney to implement the intent of the principal and the purposes of the power of attorney. If the rules of law conflict with the terms of the power of attorney, the te…