Title XXXIII, Administration of Trusts and Estates of Persons Under Disability

The meaning and effect of the terms of a trust governed by this chapter are determined by: (1) The law of the jurisdiction designated in the terms unless the designation of that jurisdiction's law is contrary to a strong public policy of the jurisdiction having the most significa…

(1) Without precluding other means for establishing a connection with the designated jurisdiction, terms of a trust designating the principal place of administration are valid and controlling if: (a) A trustee's principal place of business is located in or a trustee is a resident…

(1) Notice to a person under this chapter or the sending of a document to a person under this chapter shall be accomplished in a manner reasonably suitable under the circumstances and likely to result in receipt of the notice or document. Permissible methods of notice or for send…

(1) A charitable organization expressly designated to receive distributions under the terms of a charitable trust has the rights of a qualified beneficiary under this chapter if the charitable organization, on the date the charitable organization's qualification is being determin…

(1) For purposes of this section, "interested persons" means persons whose consent would be required to achieve a binding settlement were the settlement to be approved by the court. (2) Except as otherwise provided in subsection (3) of this section, interested persons may enter i…

The rules of construction that apply in this Commonwealth to the interpretation of and disposition of property by will also apply as appropriate to the interpretation of the terms of a trust and the disposition of the trust property.

and as rules of construction. The doctrine of worthier title and the doctrine of reversions shall not be in force in this Commonwealth as rules of law and as rules of construction. Language in a governing instrument describing the beneficiaries of a disposition as the transferor'…

(1) As used in this section, "settlor" means a person that executes a trust instrument. The term includes a person for which a fiduciary or agent is acting. (2) A trustee of a trust has an insurable interest in the life of an individual insured under a life insurance policy that …

(1) A violation by a trustee of a duty the trustee owes to a beneficiary is a breach of trust. (2) To remedy a breach of trust that has occurred or may occur, the court may: (a) Compel the trustee to perform the trustee's duties; (b) Enjoin the trustee from committing a breach of…

(1) A trustee who commits a breach of trust is liable to the beneficiaries affected for the greater of: (a) The amount required to restore the value of the trust property and trust distributions to what they would have been had the breach not occurred; or (b) The profit the trust…

(1) A trustee is accountable to an affected beneficiary for any profit made by the trustee arising from the administration of the trust, except the reasonable fee charged by the trustee, even absent a breach of trust. (2) Absent a breach of trust, a trustee is not liable to a ben…

In a judicial proceeding involving the administration of a trust, the court, as justice and equity may require, may award costs and expenses, including reasonable attorney's fees, to any party, to be paid by another party or from the trust that is the subject of the controversy.

(1) For the purposes of this section, a "report" is an account statement or other form of written disclosure made by the trustee to the beneficiary. (2) A beneficiary may not commence a proceeding against a trustee for breach of trust more than one (1) year after the date the ben…

A trustee who acts in reasonable reliance on the terms of the trust as expressed in the trust instrument is not liable to a beneficiary for a breach of trust to the extent the breach resulted from the reliance.

If the happening of an event, including marriage, divorce, performance of educational requirements, or death, affects the administration or distribution of a trust, a trustee who has exercised reasonable care to ascertain the happening of the event is not liable for a loss result…

(1) A term of a trust relieving a trustee of liability for breach of trust is unenforceable to the extent that it: (a) Relieves the trustee of liability for breach of trust committed in bad faith or with reckless indifference to the purposes of the trust or the interests of the b…

A trustee shall not be liable to a beneficiary for breach of trust if the beneficiary, while having capacity, consented to the conduct constituting the breach, released the trustee from liability for the breach, or ratified the transaction constituting the breach, unless: (1) The…

(1) Except as otherwise provided in the contract, a trustee is not personally liable on a contract properly entered into in the trustee's fiduciary capacity in the course of administering the trust if the trustee in the contract disclosed the fiduciary capacity. (2) A trustee is …

(1) 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 protected from liability as if the trustee properly…

(1) Instead of furnishing a copy of the trust instrument to a person other than a beneficiary, the trustee may furnish to the person a certification of trust containing the following information: (a) That the trust exists and the date the trust instrument was signed; (b) The iden…

In applying and construing the Uniform Trust Code, as enacted in this chapter, consideration shall be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it.

The provisions of this chapter governing the legal effect, validity, or enforceability of electronic records or electronic signatures, and of contracts formed or performed with the use of such records or signatures, conform to the requirements of Section 102 of the Electronic Sig…

If any provision of this chapter or its application to any person or circumstances is held invalid, the invalidity does not affect other provisions or applications of this chapter which can be given effect without the invalid provision or application, and to this end the provisio…

(1) Except as otherwise provided in this chapter, on July 15, 2014: (a) This chapter applies to all trusts created before, on, or after July 15, 2014; (b) This chapter applies to all judicial proceedings concerning trusts commenced on or after July 15, 2014; (c) This chapter appl…

This chapter may be cited as the Uniform Trust Code.

As used in this subchapter: (1) "Breach of trust" includes a violation by a trust director or trustee of a duty imposed on that director or trustee by the terms of the trust, the provisions of KRS 386B.12- 010 to 386B.12-170, or other law of this Commonwealth pertaining to trusts…

KRS 386B.12-010 to 386B.12-170 apply to a trust, whenever created, that has its principal place of administration in this Commonwealth, subject to the following rules: (1) If the trust was created before July 15, 2026, KRS 386B.12-010 to 386B.12-170 apply only to a decision or ac…

The common law and principles of equity supplement the provisions of KRS 386B.12- 010 to 386B.12-170, except to the extent modified by KRS 386B.12-010 to 386B.12-170 or another statute of this Commonwealth.

(1) As used in this section, "power of appointment" means a power that enables a person acting in a nonfiduciary capacity to designate a recipient of an ownership interest in or another power of appointment over trust property. (2) The provisions of KRS 386B.12-010 to 386B.12-170…

(1) Subject to KRS 386B.12-060, the terms of a trust may grant a power of direction to a trust director. (2) Unless the terms of a trust provide otherwise: (a) A trust director may exercise any further power appropriate to the exercise or nonexercise of power of direction granted…

A trust director is subject to the same rules as a trustee in a like position and under similar circumstances in the exercise or nonexercise of a power of direction or further power under KRS 386B.12-050(2)(a) regarding: (1) A payback provision in the terms of a trust necessary t…

(1) Subject to subsection (2) of this section, with respect to a power of direction or further power under KRS 386B.12-050(2)(a): (a) A trust director has the same fiduciary duty and liability in the exercise or nonexercise of the power: 1. If the power is held individually, as a…

(1) Subject to subsection (2) of this section, a directed trustee shall take reasonable action to comply with a trust director's exercise or nonexercise of a power of direction or further power under KRS 386B.12-050(2)(a), and the trustee is not liable for the action. (2) A direc…

(1) Subject to KRS 386B.12-100, a trustee shall provide information to a trust director to the extent the information is reasonably related to both: (a) The powers or duties of the trustee; and (b) The powers or duties of the director. (2) Subject to KRS 386B.12-100, a trust dire…

(1) Unless the terms of a trust provide otherwise: (a) The trustee shall not have a duty to: 1. Monitor a trust director; or 2. Inform or give advice to a settlor, beneficiary, trustee, or trust director concerning an instance in which the trustee might have acted differently tha…

The terms of a trust may relieve a cotrustee from duty and liability with respect to another cotrustee's exercise or nonexercise of a power of the other cotrustee to the same extent that in a directed trust a directed trustee is relieved from duty and liability with respect to a …

(1) An action against a trust director for breach of trust shall be commenced within the same limitation period as under KRS 386B.10-050 for an action for breach of trust against a trustee in a like position and under similar circumstances. (2) A report or accounting has the same…

In an action against a trust director for breach of trust, the director may assert the same defenses a trustee in a like position and under similar circumstances could assert in an action for breach of trust against the trustee.

(1) By accepting appointment as a trust director of a trust subject to the provisions of KRS 386B.12-010 to 386B.12-170, the director submits to personal jurisdiction of the courts of this Commonwealth regarding any matter related to a power or duty of the director. (2) This sect…

Unless the terms of a trust provide otherwise, the rules applicable to a trustee apply to a trust director regarding the following matters: (1) Acceptance under KRS 386B.7-010; (2) Giving of bond to secure performance under KRS 386B.7-020; (3) Reasonable compensation under KRS 38…

In applying and construing KRS 386B.12-010 to 386B.12-170, consideration shall be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it.

National Commerce Act. The provisions of KRS 386B.12-010 to 386B.12-170 modify, limit, or supersede the Electronic Signatures in Global and National Commerce Act, 15 U.S.C. sec. 7001 et seq., but do not modify, limit, or supersede 15 U.S.C. sec. 7001(c) or authorize electronic de…

As used in this subchapter: (1) "Appointive property" means the property or property interest subject to a power of appointment; (2) "Ascertainable standard" means the same as in KRS 386B.1-010; (3) "Authorized fiduciary" means: (a) A trustee or other fiduciary, other than a sett…

(1) Except as otherwise provided in subsections (2) and (3) of this section, the provisions of KRS 386B.13-010 to 386B.13-280 shall apply to an express trust that is irrevocable or revocable by the settlor only with the consent of the trustee or a person holding an adverse intere…

(1) In exercising the decanting power, an authorized fiduciary shall act in accordance with its fiduciary duties, including the duty to act in accordance with the purposes of the first trust. (2) KRS 386B.13-010 to 386B.13-280 do not create or imply a duty to exercise the decanti…

KRS 386B.13-010 to 386B.13-280 shall apply to a trust created before, on, or after July 15, 2026, which: (1) Has its principal place of administration in this Commonwealth, including a trust whose principal place of administration has been changed to this Commonwealth; or (2) Pro…