|
|
|
|
SB1494 Engrossed |
|
LRB094 10962 LCB 41550 b |
|
|
| 1 |
| AN ACT concerning trusts.
|
| 2 |
| Be it enacted by the People of the State of Illinois,
|
| 3 |
| represented in the General Assembly:
|
| 4 |
| Section 5. The Trusts and Trustees Act is amended by |
| 5 |
| changing Section 4 and adding Section 4.26 as follows:
|
| 6 |
| (760 ILCS 5/4) (from Ch. 17, par. 1654)
|
| 7 |
| Sec. 4. Powers of
Trustee.
The trustee has the powers |
| 8 |
| specified in the Sections following this Section and preceding |
| 9 |
| Section 5
4.01 through 4.25.
|
| 10 |
| (Source: P.A. 88-367.)
|
| 11 |
| (760 ILCS 5/4.26 new)
|
| 12 |
| Sec. 4.26. Small trust termination. To terminate the trust |
| 13 |
| and distribute the trust estate, including principal and |
| 14 |
| accrued and undistributed income, if the trustee determines, in |
| 15 |
| the trustee's sole discretion, that the market value of a trust |
| 16 |
| is less than $100,000 and that the costs of continuing the |
| 17 |
| trust will substantially impair accomplishment of the purpose |
| 18 |
| of the trust. |
| 19 |
| Distribution shall be made to the persons then entitled to |
| 20 |
| receive or eligible to have the benefit of the income from the |
| 21 |
| trust in the proportions in which they are entitled thereto, or |
| 22 |
| if their interests are indefinite, to those persons per stirpes |
| 23 |
| if they have a common ancestor, or if not, then in equal |
| 24 |
| shares. The trustee shall give notice to the persons at least |
| 25 |
| 30 days prior to the effective date of the termination. |
| 26 |
| If a particular trustee is an income beneficiary of the |
| 27 |
| trust or is legally obligated to an income beneficiary, then |
| 28 |
| that particular trustee may not participate as a trustee in the |
| 29 |
| exercise of this termination power; provided, however, that if |
| 30 |
| the trust has one or more co-trustees who are not so |
| 31 |
| disqualified from participating, the co-trustee or co-trustees |