Loan of trust funds.

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55-4-10. Loan of trust funds.

Except as provided in §§55-4-11 and 55-4-12, or except as may be expressly authorized by a court order, by the written consent of all qualified beneficiaries which may be given notwithstanding the provisions of §55-4-31, by the written authorization from or direction by a trust protector, or by the terms of the governing instrument, which may be given by the settlor notwithstanding the provisions of §55-4-30:

(1)No corporate trustee may lend trust funds to itself or an affiliate, or to any director, officer, or employee of itself or of an affiliate;

(2)No noncorporate trustee may lend trust funds to himself or herself, or to any relative, employer, employee, partner, or other business associate.

Source: SL 1943, ch 308, §3; SDC Supp 1960, §59.0503; SL 2017, ch 204, §20.


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