75-7-108 - Principal place of administration.
75-7-108. Principal place of administration.
(1) Without precluding other means for establishing a sufficient connection with thedesignated jurisdiction, terms of a trust designating the principal place of administration are validand controlling if:
(a) a trustee's principal place of business is located in or a trustee is a resident of thedesignated jurisdiction; or
(b) all or part of the administration occurs in the designated jurisdiction.
(2) A trustee is under a continuing duty to administer the trust at a place appropriate to itspurposes, its administration, and the interests of the beneficiaries.
(3) Without precluding the right of the court to order, approve, or disapprove a transfer,the trustee, in furtherance of the duty prescribed by Subsection (2), may transfer the trust'sprincipal place of administration to another state or to a jurisdiction outside of the United States.
(4) The trustee shall notify the qualified beneficiaries of a proposed transfer of a trust'sprincipal place of administration not less than 60 days before initiating the transfer. The noticeof proposed transfer must include:
(a) the name of the jurisdiction to which the principal place of administration is to betransferred;
(b) the address and telephone number at the new location at which the trustee can becontacted;
(c) an explanation of the reasons for the proposed transfer;
(d) the date on which the proposed transfer is anticipated to occur; and
(e) the date, not less than 60 days after the giving of the notice, by which the qualifiedbeneficiary must notify the trustee of an objection to the proposed transfer.
(5) The authority of a trustee under this section to transfer a trust's principal place ofadministration terminates if a qualified beneficiary notifies the trustee of an objection to theproposed transfer on or before the date specified in the notice.
(6) In connection with a transfer of the trust's principal place of administration, thetrustee may transfer some or all of the trust property to a successor trustee designated in the termsof the trust or appointed pursuant to Section 75-7-704.
Enacted by Chapter 89, 2004 General Session