28-73-411. Modification or termination of noncharitable irrevocable trust by consent.

Arkansas Code — all titles (historical 2020) · legal_authorities

28-73-411. Modification or termination of noncharitable irrevocable trust by consent.

28-73-411. Modification or termination of noncharitable irrevocable trust by consent. (a)(1) 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 purpose of the trust. (2) A settlor's power to consent to a trust's modification or termination may be exercised by: (A) an agent under a power of attorney only to the extent expressly authorized by the power of attorney or the terms of the trust; (B) the settlor's conservator with the approval of the court supervising the conservatorship if an agent is not so authorized; or (C) the settlor's guardian with the approval of the court supervising the guardianship if an agent is not so authorized and a conservator has not been appointed. (b) A noncharitable irrevocable trust may be: (1) terminated upon consent of all of the beneficiaries if a court concludes that continuance of the trust is not necessary to achieve any material purpose of the trust; or (2) modified upon consent of all of the beneficiaries if a court concludes that modification is not inconsistent with a material purpose of the trust. (c) A spendthrift provision in the terms of the trust is presumed to constitute a material purpose of the trust. (d) Upon termination of a trust under subsection (a) or (b), the trustee shall distribute the trust property as agreed by the beneficiaries. (e) If not all of the beneficiaries consent to a proposed modification or termination of the trust under subsection (a) or (b), the modification or termination may be approved by a court if the court is satisfied that: (1) if all of the beneficiaries had consented, the trust could have been modified or terminated under this sectio

Source: Arkansas Code — historical release 78 (November 6, 2020) · 28-73-411

Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. A text match is a research starting point; applicability is not established.