No duty to monitor, inform, or advise

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72-40-115. No duty to monitor, inform, or advise. (1) Unless the terms of a trust provide otherwise:

(a) a trustee does not have a duty to:

(i) monitor a trust director; or

(ii) inform or give advice to a settlor, beneficiary, trustee, or trust director concerning an instance in which the trustee might have acted differently than the director; and

(b) by taking an action described in subsection (1)(a), a trustee does not assume the duty excluded by subsection (1)(a).

(2) Unless the terms of a trust provide otherwise:

(a) a trust director does not have a duty to:

(i) monitor a trustee or another trust director; or

(ii) inform or give advice to a settlor, beneficiary, trustee, or another trust director concerning an instance in which the director might have acted differently than a trustee or another trust director; and

(b) by taking an action described in subsection (2)(a), a trust director does not assume the duty excluded by subsection (2)(a).

History: En. Sec. 11, Ch. 325, L. 2021.


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