§ 36C-10-1012. Protection of person dealing with trustee.
§ 36C‑10‑1012. Protection of person dealing with trustee.
(a) A person other thana beneficiary who in good faith assists a trustee, or who in good faith and forvalue deals with a trustee, without knowledge that the trustee is exceeding orimproperly exercising the trustee's powers, is protected from liability as ifthe trustee properly exercised the power.
(b) A person other thana beneficiary who in good faith deals with a trustee is not required to inquireinto the extent of the trustee's powers or the propriety of their exercise.
(c) A person who ingood faith delivers assets to a trustee need not ensure their properapplication.
(d) A person other thana beneficiary who in good faith assists a former trustee, or who in good faithand for value deals with a former trustee, without knowledge that thetrusteeship has terminated is protected from liability as if the former trusteewere still a trustee.
(e) Comparableprotective provisions of other laws relating to commercial transactions ortransfer of securities by fiduciaries prevail over the protection provided bythis section.
(f) A person is notrequired to obtain a certification under G.S. 36C‑10‑1013 in orderto be entitled to the protections of this section. (2005‑192, s. 2.)