If a trustee disclaims an interest in property that otherwise would have become trust property, the interest does not become trust property.
History: Laws 2001, ch. 290, § 8; 1978 Comp., § 46-10-8 recompiled as § 45-2-1108 by Laws 2011, ch. 124, § 101.
ANNOTATIONSRecompilations. — Laws 2011, ch. 124, § 101 recompiled former 46-10-8 NMSA 1978 as 45-2-1108 NMSA 1978, effective January 1, 2012.
COMMENT
This section deals with disclaimer of a right to receive property into a trust, and thus applies only to trustees. (A disclaimer of a right to receive property by a fiduciary acting on behalf of an individual, such as a personal representative, conservator, guardian, or agent is governed by the section of the statute applicable to the type of interest being disclaimed.) The instrument under which the right to receive the property was created may govern the disposition of the property in the event of a disclaimer by providing for a disposition when the trust does not exist. When the instrument does not make such a provision, the doctrine of resulting trust will carry the property back to the donor. The effect of the actions of co-trustees will depend on the state law governing the action of multiple trustees. Every disclaimer by a trustee must be compatible with the trustee's fiduciary obligations.