Title Minnesota Statutes, Minnesota Statutes

501C.0105 DEFAULT AND MANDATORY RULES. (a) Except as otherwise provided in the terms of a trust, this chapter governs the duties and powers of a trustee, relations among trustees, and the rights and interests of a beneficiary. (b) The terms of a trust prevail over any provision o…

501C.0106 COMMON LAW OF TRUSTS; PRINCIPLES OF EQUITY. The common law of trusts and principles of equity supplement this chapter, except to the extent modified by this chapter or another law of this state. History: 2015 c 5 art 1 s 6

501C.0107 GOVERNING LAW. (a) The meaning and legal effect of the terms of a trust are determined by: (1) the law of the jurisdiction designated in the terms of the trust unless the application of that jurisdiction's law is contrary to a strong public policy of the jurisdiction ha…

501C.0108 PRINCIPAL PLACE OF ADMINISTRATION. (a) Without precluding other means for establishing a sufficient connection with the designated jurisdiction, terms of a trust designating the initial principal place of administration are valid and controlling if: (1) a trustee's prin…

501C.0109 METHODS AND WAIVER OF NONJUDICIAL NOTICE. (a) Notice to a person under this chapter or the sending of a document to a person under this chapter must be accomplished in a manner reasonably suitable under the circumstances and that is likely to result in receipt of the no…

501C.0110 OTHERS TREATED AS QUALIFIED BENEFICIARIES. (a) Whenever notice to qualified beneficiaries of a trust is required under this chapter, the trustee must also give notice to any other beneficiary who has sent the trustee a request for notice. (b) A charitable organization e…

501C.0111 NONJUDICIAL SETTLEMENT AGREEMENTS. (a) For purposes of this section, "interested persons" means persons whose consent would be required in order to achieve a binding settlement were the settlement to be approved by the court. (b) Except as otherwise provided in paragrap…

501C.0112 RULES OF CONSTRUCTION. The rules of construction that apply in this state 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. History: 2015 c 5 ar…

501C.0201 ROLE OF COURT IN ADMINISTRATION OF TRUST AND NATURE OF JUDICIAL PROCEEDING. (a) An interested person may petition the district court and invoke its jurisdiction as provided in sections 501C.0201 to 501C.0208 for those matters specified in section 501C.0202. (b) As used …

501C.0202 SUBJECT MATTER OF JUDICIAL PROCEEDINGS. A judicial proceeding, whether filed by petition under the district court's in rem or in personam jurisdiction, involving a trust may relate to one or more of the following matters: (1) to confirm an action taken by a trustee; (2)…

501C.0203 ORDER FOR HEARING AND NOTICE. § Subdivision 1.In rem judicial proceedings. Upon the filing of a petition under the district court's in rem jurisdiction by an interested person, the court shall, by order, fix a time and place for a hearing. Notice of the judicial proceed…

501C.0204 ORDER AND APPEAL. § Subdivision 1.In rem judicial proceedings. Upon the hearing of a petition under the district court's in rem jurisdiction, the court shall make an order it considers appropriate. The order is binding in rem upon the trust estate and all interested per…

501C.0205 COURT-SUPERVISED TRUSTS. (a) A person appointed as trustee of a trust or any interested person may file in the district court an ex parte petition to confirm the appointment of the trustee and specify the manner in which the trustee must qualify for appointment. Any suc…

501C.0206 PERSONAL JURISDICTION OVER TRUSTEE AND BENEFICIARY. (a) By accepting the trusteeship of a trust having its principal place of administration in this state or by moving the principal place of administration to this state, the trustee submits to the personal jurisdiction …

501C.0207 VENUE. (a) Except as otherwise provided in paragraph (b), venue for a judicial proceeding involving a trust is as follows: (1) in the case of a trust created by will, in the district court for (i) the county of this state where the will was probated, (ii) the county of …

501C.0208 APPLICATION. Sections 501C.0201 to 501C.0207 do not limit or abridge the power or jurisdiction of the court over trusts, trustees, and beneficiaries. History: 2015 c 5 art 2 s 8

501C.0301 REPRESENTATION: BASIC EFFECT. (a) Notice to a person who may represent and bind another person under sections 501C.0302 to 501C.0305 has the same effect as if notice were given directly to the other person. (b) The consent, agreement, or waiver of a person who may repre…

501C.0302 REPRESENTATION BY HOLDER OF A POWER OF APPOINTMENT. For purposes of giving notice, waiving notice, initiating a proceeding, granting consent or approval, or objecting with regard to any proceedings under this chapter, the sole holder or all co-holders of a presently exe…

501C.0303 REPRESENTATION BY FIDUCIARIES AND PARENTS. (a) To the extent there is no conflict of interest between the representative and the person represented or among those being represented with respect to a particular question or dispute: (1) a conservator may represent and bin…

501C.0304 REPRESENTATION BY PERSON HAVING SUBSTANTIALLY IDENTICAL INTEREST. Unless otherwise represented under section 501C.0302, 501C.0303, or 501C.0305, a minor, an incapacitated or unborn individual, or a person whose identity or location is unknown and not reasonably ascertai…

501C.0305 REPRESENTATION BY COURT; APPOINTMENT OF REPRESENTATIVE. (a) In any in rem proceeding, if a person with an interest in a trust is a minor or an incapacitated person as defined in section 524.5-102 and has no conservator within the state, or if a person with an interest i…

501C.0401 METHODS OF CREATING TRUST. (a) A trust may be created by: (1) transfer of property to another person as trustee during the settlor's lifetime or by will or other disposition taking effect upon the settlor's death; (2) declaration by the owner of property that the owner …

501C.0402 REQUIREMENTS FOR CREATION. (a) A trust is created only if: (1) the settlor has capacity to transfer property free from trust, except that if a trust is a revocable trust, the settlor has capacity as required under section 501C.0601; (2) the settlor indicates an intentio…

501C.0403 TRUSTS CREATED IN OTHER JURISDICTIONS. A trust not created by will is validly created if its creation complies with the law of jurisdiction in which the trust instrument is executed, or the law of the jurisdiction in which, at the time of execution: (1) the settlor was …

501C.0404 TRUST PURPOSES. A trust may be created only to the extent its purposes are lawful, not contrary to public policy, and possible to achieve. A trust and its terms must be for the benefit of its beneficiaries. History: 2015 c 5 art 4 s 4

501C.0406 CREATION OF TRUST INDUCED BY FRAUD, DURESS, OR UNDUE INFLUENCE. A trust is void to the extent its creation was induced by fraud, duress, or undue influence. History: 2015 c 5 art 4 s 5

501C.0407 EVIDENCE OF ORAL TRUST. The formal expression of intent to create a trust can be either written or oral subject to the requirements of sections 513.04 with respect to the conveyance of interest in land except up to a one-year lease and 524.2-502 with respect to a testam…

501C.0408 TRUST FOR CARE OF ANIMAL. § Subdivision 1.Creation of an animal trust authorized; termination. A trust may be created to provide for the care of an animal alive during the settlor's lifetime. The trust terminates upon the death of the animal or, if the trust was created…

501C.0409 NONCHARITABLE TRUST WITHOUT ASCERTAINABLE BENEFICIARY. Except as otherwise provided in section 501C.0408 or by another statute, the following rules apply: (1) A trust may be created for a noncharitable purpose without a definite or definitely ascertainable beneficiary o…

501C.0410 MODIFICATION OR TERMINATION OF TRUST; PROCEEDINGS FOR APPROVAL OR DISAPPROVAL. (a) In addition to the methods of termination prescribed by sections 501C.0411 to 501C.0414, a trust terminates to the extent the trust is revoked or expires pursuant to its terms, no purpose…

501C.0411 MODIFICATION OR TERMINATION OF NONCHARITABLE IRREVOCABLE TRUST BY CONSENT. (a) A noncharitable irrevocable trust may be modified or terminated upon consent of the settlor and all beneficiaries, even if the modification or termination is inconsistent with a material purp…

501C.0412 MODIFICATION OR TERMINATION BECAUSE OF UNANTICIPATED CIRCUMSTANCES OR INABILITY TO ADMINISTER TRUST EFFECTIVELY. (a) The court may modify the administrative or dispositive terms of a trust or terminate the trust if, because of circumstances not anticipated by the settlo…

501C.0414 MODIFICATION OR TERMINATION OF UNECONOMIC TRUST. (a) After notice to the qualified beneficiaries, the trustee of a trust consisting of trust property having a total value less than $150,000 may terminate the trust if the trustee concludes that the value of the trust pro…

501C.0415 REFORMATION TO CORRECT MISTAKES. The court may reform the terms of a trust, even if unambiguous, to conform the terms to the settlor's intention if it is proved by clear and convincing evidence what the settlor's intention was and that the terms of the trust were affect…

501C.0416 MODIFICATION TO ACHIEVE SETTLOR'S TAX OBJECTIVES. To achieve settlor's tax objectives, the court may modify the terms of a trust in a manner that is not contrary to the settlor's probable intention. The court may provide that the modification has retroactive effect. His…

501C.0417 COMBINATION AND DIVISION OF TRUSTS. After notice to the qualified beneficiaries, a trustee may combine two or more trusts into a single trust or divide a trust into two or more separate trusts, if the result does not impair rights of any beneficiary or adversely affect …

501C.0502 SPENDTHRIFT PROVISION. (a) A trust has a valid spendthrift provision if: (1) the trust includes a provision that restricts both voluntary and involuntary transfers of a beneficiary's interest; or (2) by the terms of the trust instrument, the settlor manifests an intenti…

501C.0504 RIGHT TO COMPEL DISTRIBUTION. (a) Whether or not a trust contains a spendthrift provision, a creditor of a beneficiary may not compel a distribution that is subject to the trustee's discretion, even if: (1) the discretion is expressed in the form of a standard of distri…

501C.0505 CREDITOR'S CLAIM AGAINST SETTLOR. Whether or not the terms of a trust contain a spendthrift provision, the following rules apply: (1) During the lifetime of the settlor, the property of a revocable trust is subject to claims of the settlor's creditors. (2) With respect …

501C.0506 OVERDUE DISTRIBUTION. (a) In this section, "mandatory distribution" means a distribution of income or principal which the trustee is required to make to a beneficiary under the terms of the trust, including a distribution upon termination of the trust. The term does not…

501C.0507 PERSONAL OBLIGATIONS OF TRUSTEE. Trust property is not subject to personal obligations of the trustee, even if the trustee becomes insolvent or bankrupt. History: 2015 c 5 art 5 s 5

501C.0601 CAPACITY OF SETTLOR OF REVOCABLE TRUST. The capacity required to create, amend, or revoke a revocable trust, or to direct the actions of the trustee of a revocable trust, is the same as that required to make a will. History: 2015 c 5 art 6 s 1

501C.0602 REVOCATION OR AMENDMENT OF REVOCABLE TRUST. (a) Unless the terms of a trust expressly provide that the trust is revocable, the settlor may not revoke or amend the trust. (b) If a revocable trust is created or funded by more than one settlor: (1) to the extent the trust …

501C.0603 WRITTEN STATEMENT REGARDING TANGIBLE PERSONAL PROPERTY. A revocable trust may be amended by a written statement disposing of items of tangible personal property not otherwise specifically disposed of by the settlor's will or the trust instrument, other than money, coin …

501C.0604 SETTLOR'S POWERS. While a trust is revocable, rights of the beneficiaries are subject to the control of, and the duties of the trustee are owed exclusively to, the settlor. History: 2015 c 5 art 6 s 4

501C.0605 LIMITATION ON ACTION CONTESTING VALIDITY OF REVOCABLE TRUST; DISTRIBUTION OF TRUST PROPERTY. (a) A person may commence a judicial proceeding to contest the validity of a trust that was revocable immediately prior to the settlor's death within the earlier of: (1) three y…