093_HB2357

 
                                     LRB093 08326 LCB 08544 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 11 as follows:

 6        (760 ILCS 5/11) (from Ch. 17, par. 1681)
 7        Sec. 11.  Accounts.
 8        (a)  Every trustee at least annually shall furnish to the
 9    beneficiaries  then  entitled  to  receive  or  receiving the
10    income  from  the  trust  estate,  or  if  none,  then  those
11    beneficiaries eligible to have the benefit of the income from
12    the trust estate and all reasonably  ascertainable  remainder
13    beneficiaries   who   would  take  if  all  income  interests
14    immediately terminated, and no  powers  of  appointment  were
15    exercised,   a   current   account   showing   the  receipts,
16    disbursements and inventory of the trust  estate.  A  current
17    account  shall  be binding on the beneficiaries receiving the
18    account and on such beneficiaries' heirs and  assigns  unless
19    an   action   against   the  trustee  is  instituted  by  the
20    beneficiary or such beneficiary's heirs and assigns within  3
21    years from the date the current account is furnished.
22        (b)  Every  trustee  shall  on  termination  of the trust
23    furnish to the beneficiaries then entitled to distribution of
24    the trust estate a final account for the period from the date
25    of the last current  account  to  the  date  of  distribution
26    showing  the  inventory  of  the  trust estate, the receipts,
27    disbursements and distributions and shall make  available  to
28    such  beneficiaries  copies of prior accounts not theretofore
29    furnished.  Such final accounting shall  be  binding  on  the
30    beneficiaries  receiving the same and all persons claiming by
31    or through them, unless an  action  against  the  trustee  is
 
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 1    instituted  by  the  beneficiary  or  person  claiming  by or
 2    through him or her within 3 years from  the  date  the  final
 3    account is furnished.
 4        (c)  With  respect  to trust estates which terminated and
 5    were distributed 10 years or less prior to January  1,  1988,
 6    the  final account furnished to the beneficiaries entitled to
 7    distribution of the trust estate  shall  be  binding  on  the
 8    beneficiaries  receiving the same and all persons claiming by
 9    or through them, unless an  action  against  the  trustee  is
10    instituted  by  the  beneficiary  or  person  claiming  by or
11    through him or her within 5 years from  January  1,  1988  or
12    within   10  years  from  the  date  the  final  account  was
13    furnished, whichever is longer.
14        (d)  With respect to trust estates which  terminated  and
15    were distributed more than 10 years prior to January 1, 1988,
16    the  final account furnished to the beneficiaries entitled to
17    distribution of the trust estate  shall  be  binding  on  the
18    beneficiaries  receiving the same and all persons claiming by
19    or through them, unless an  action  against  the  trustee  is
20    instituted  by  the  beneficiary  or  person  claiming  by or
21    through him or her within 2 years from January 1, 1988.
22        (e)  If a beneficiary is under a  legal  disability,  the
23    account shall be provided to the representative of the estate
24    of  the  beneficiary  and shall be binding on the beneficiary
25    and the beneficiary's estate unless  an  action  against  the
26    trustee  is  instituted  by the representative within 3 years
27    from  the  date   the   account   is   furnished.     If   no
28    representative  for  the  estate of a beneficiary under legal
29    disability has been appointed, the account shall be  provided
30    to  a  spouse, parent, adult child, or guardian of the person
31    of the beneficiary and shall be binding  on  the  beneficiary
32    unless  an  action  is  instituted against the trustee by the
33    spouse, parent, adult child, or guardian  of  the  person  to
34    whom the account is furnished within 3 years from the date it
 
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 1    is furnished.
 2        (f)  If  the trustee is guilty of fraudulent concealment,
 3    notwithstanding subsection (a), (b), (c),  (d)  or  (e),  the
 4    beneficiary  may  bring  the action within the time limit set
 5    forth in Section 13-215 of the Code of Civil Procedure.
 6        (g)  Receipt of an account by  a  beneficiary  (or  other
 7    person,   as   provided)  is  presumed  if  the  trustee  has
 8    procedures in place requiring the mailing or delivery  of  an
 9    account  to  the  beneficiary (or other person, as provided).
10    This presumption shall apply to the mailing or delivery of an
11    account by electronic means or the provision of access to  an
12    account  by  electronic  means so long as the beneficiary has
13    agreed to receive such electronic delivery or access.
14    (Source: P.A. 92-222, eff. 8-2-01.)

15        Section 99.   Effective  date.   This  Act  takes  effect
16    January 1, 2004.