55-1-32. Factors which are not dominion and control over trust.
In the event that a party challenges a settlor or a beneficiary's influence over a trust, none of the following factors, alone or in combination, may be considered dominion and control over a trust:
(1)The settlor or a beneficiary serving as a trustee or a co-trustee as described in §55-1-28;
(2)The settlor or a beneficiary holds an unrestricted power to remove or replace a trustee;
(3)The settlor or a beneficiary is a trust administrator, a general partner of a partnership, a manager of a limited liability company, an officer of a corporation, or any other managerial function of any other type of entity, and part or all of the trust property consists of an interest in the entity;
(4)A person related by blood or adoption to the settlor or a beneficiary is appointed as trustee;
(5)The settlor's or a beneficiary's agent, accountant, attorney, financial advisor, or friend is appointed as trustee;
(6)A business associate is appointed as a trustee;
(7)A beneficiary holds any power of appointment over any or all of the trust property;
(8)The settlor holds a power to substitute property of equivalent value;
(9)The trustee may loan trust property to the settlor for less than a full and adequate rate of interest or without adequate security;
(10)The distribution language provides any discretion;
(11)The trust has only one beneficiary eligible for current distributions; or
(12)The beneficiary serving as a trust advisor for investments under subdivision 55-1B-1(6).
Source: SL 2007, ch 280, §9; SL 2009, ch 252, §6; SL 2012, ch 233, §20.