§ 11-106-105 — Substitution of Colorado bank or Colorado trust company

Colorado § 11-106-105

• Jurisdiction: Colorado
• Title 11: Financial
• Art.: Fiduciary Business

Text

(1) In
addition to the procedures initiated by an interested party concerning internal
affairs of the party's trust pursuant to part 2 of article 5 of title 15, or procedures
otherwise permitted by Colorado law, and unless a will, agreement, or trust
instrument otherwise provides, a company may be substituted as fiduciary for all or
a part of the fiduciary business of another company without court approval if:

(a) The successor is a Colorado affiliate of the transferor and the boards of
directors of the transferor and successor both adopt resolutions to cause the
successor to be substituted as fiduciary for all or part of the fiduciary business of
the transferor;

(b) The transferor is discontinuing all or part of its fiduciary business and the
boards of directors of the transferor and successor both adopt resolutions to cause
the successor to be substituted as fiduciary for the fiduciary business of the
transferor that is being discontinued; or

(c) There is a merger or consolidation of the transferor and the successor,
with the successor being the surviving entity, and the boards of directors of the
transferor and successor both adopt resolutions to cause the successor to be
substituted as fiduciary for all of the fiduciary business of the transferor.

(2) If the boards of directors adopt such resolutions as provided in
subsection (1) of this section and comply with the notice and delivery provisions
pursuant to subsection (3) of this section, the successor shall replace the transferor
as fiduciary and shall be the successor fiduciary possessing all the rights, powers,
and duties that were granted to or imposed on the transferor. Such rights, powers,
and duties shall vest in the successor upon effectuation of the substitution,
irrespective of the date on which the fiduciary relationship is established or of the
date of any related written agreement establishing the fiduciary relationship or of
the date of the death of any decedent whose estate is being so administered.
Nothing in connection with a substitution affects a renunciation or revocation of any
letters of administration or letters testamentary pertaining to a fiduciary
relationship or a removal or resignation of the transferor as personal
representative, trustee, custodian, or other fiduciary.

(3) At least thirty days prior to the effective date of the substitution, a
certified copy of the resolutions of the boards of directors of the transferor and
successor shall be delivered to the division of banking, and a written notice of such
substitution shall be delivered to each interested party. Delivery will be deemed to
have occurred upon the earlier of actual delivery or three days after depositing
such resolutions or notification in the United States mails, certified mail with return
receipt prepaid. The effective date of the substitution as fiduciary for all or part of
the fiduciary business, as set forth in the resolutions, shall be the date provided in
the resolutions, which shall not be earlier than thirty days after the date of delivery
in accordance with this subsection (3). If the resolutions provide no effective date,
the effective date shall be thirty days after the date of delivery in accordance with
this subsection (3).

Legislative History

Source: L. 2003: Entire article added with relocations, p. 1134, � 3, effective July 1. L. 2018: IP(1) amended, (SB 18-180), ch. 169, p. 1192, � 4, effective January 1, 2019.