O.C.G.A.

O.C.G.A. § 53-12-65 (2019)

Modification or termination of uneconomic trust

✓ O.C.G.A. — 2019 edition (Public.Resource.Org Release 73)

Code text and O.C.G.A. statutory annotations on this page reflect the 2019 Official Code of Georgia Annotated (Public.Resource.Org Release 73, 2019-08-21; public domain per Georgia v. Public.Resource.Org, 2020). The Syfert case-law annotations in Notes of Decisions, below, are current.

Find cases: SyfertCases citing this section GA-LEGlegis.ga.gov (official) JustiaJustia CornellLII Search CasesGoogle Scholar

(a) After notice to the qualified beneficiaries, the trustee of a trust consisting of trust property either having a total value less than $100,000.00 or for which the trustee’s annual fee for administering the trust is 5 percent or more of the market value of the principal assets of the trust as of the last day of the preceding trust accounting year may terminate the trust if the trustee concludes that the value of the trust property is insufficient to justify the cost of administration, provided that in the case of a cemetery trust, notice shall be given to the Attorney General. For purposes of this subsection, the term ‘‘cemetery trust’’ means a trust the sole purpose of which is to hold and invest property to be used for the maintenance and care of cemetery plots.

(b) The court may modify or terminate a trust or remove a trustee and appoint a different trustee if it determines that the value of the trust property is insufficient to justify the cost of administration.

(c) Upon termination of a trust under this Code section, the trustee shall distribute the trust property in a manner consistent with the purposes of the trust.

(d) This Code section shall not apply to an easement for conservation.

(e) This Code section shall not apply to trusts governed by Chapter 14 of Title 10.

History

Code 1981, § 53-12-65, enacted by Ga. L. 2010, p. 579, § 1/SB 131; Ga. L. 2018, p. 262, § 11/HB 121.

Annotations

Law reviews. - For article on the 2018 amendment of this Code section, see 35 Ga. St. U. L. Rev. 219 (2018).

ARTICLE 5 SPENDTHRIFT PROVISIONS AND CREDITORS’ RIGHTS AND CLAIMS RESEARCH REFERENCES Am. Jur. 2d. - 76 Am. Jur. 2d, Trusts, § 94 et seq. ALR. - Invalidity of spendthrift provisions as affecting other provisions of trust, 9 A.L.R.2d 1361.

Validity of spendthrift trusts, 34 A.L.R.2d 1335. Beneficiary’s right to disclaim or renounce spendthrift trust prior to acceptance, 14 A.L.R.3d 1437.