Duty and liability of directed trustee.

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  • (1) Subject to Subsection (2), a directed trustee shall take reasonable action to comply with a trust director's exercise or nonexercise of a power of direction or further power under Subsection 75-12-106(2)(a), and the trustee is not liable for the action.
  • (2) A directed trustee may not comply with a trust director's exercise or nonexercise of a power of direction or further power under Subsection 75-12-106(2)(a) to the extent that by complying the trustee would engage in willful misconduct.
  • (3) An exercise of a power of direction under which a trust director may release a trustee or another trust director from liability for breach of trust is not effective if:
    • (a) the breach involved the trustee's or other director's willful misconduct;
    • (b) the release was induced by improper conduct of the trustee or other director in procuring the release; or
    • (c) at the time of the release, the director did not know the material facts relating to the breach.
  • (4) A directed trustee that has reasonable doubt about the directed trustee's duty under this section may petition the court for instructions.
  • (5) The terms of a trust may impose a duty or liability on a directed trustee in addition to the duties and liabilities under this section.




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