Cy Pres

1. Law
2. Tennessee Code
3. Fiduciaries and Trust Estates
4. Tennessee Uniform Trust Code
5. Creation, Validity, Modification, and Termination of Trust
6. Cy Pres

1. Except as otherwise provided in subsection (b), if a particular charitable purpose becomes unlawful, impracticable, impossible to achieve, obsolete or ineffective:
   1. The trust does not fail, in whole or in part;
   2. The trust property does not revert to the settlor or the settlor’s successors in interest; and
   3. The court may apply cy pres to modify or terminate the trust by directing that the trust property be applied or distributed, in whole or in part, in a manner that fulfills as nearly as possible the settlor’s charitable intent and purposes.
2. A provision in the terms of a charitable trust that would result in distribution of the trust property to a noncharitable beneficiary prevails over the power of the court under subsection (a) to apply cy pres to modify or terminate the trust only if, when the provision takes effect:
   1. The trust property is to revert to the settlor and the settlor is still living; or
   2. Fewer than twenty-one (21) years have elapsed since the date of the trust’s creation.

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