§ 15-5-604 — Limitation on action contesting validity of revocable trust

Colorado § 15-5-604

• Jurisdiction: Colorado
• Title 15: Probate,
• Art.: Colorado Uniform Trust Code

Text

(1) (a)
A person must commence a judicial proceeding to contest the validity of a trust
that was revocable at the settlor's death within the earlier of:

(I) Three years after the settlor's death; or

(II) One hundred twenty days after the trustee sent the person a copy of the
trust instrument and a notice informing the person of the trust's existence, of the
trustee's name and address, and of the time allowed for commencing a proceeding.
A trustee is not liable to any person for giving or failing to give notice under this
section.

(b) The applicable time limit described in subsection (1)(a) of this section is
an absolute bar that may not be waived or tolled.

(2) Upon the death of the settlor of a trust that was revocable at the settlor's
death, the trustee may proceed to distribute the trust property in accordance with
the terms of the trust. The trustee is not subject to liability for doing so unless:

(a) The trustee knows of a pending judicial proceeding contesting the
validity of the trust; or

(b) A potential contestant has notified the trustee of a possible judicial
proceeding to contest the trust and a judicial proceeding is commenced within sixty
days after the contestant sent the notification.

(3) Unless a distribution or payment no longer can be questioned because of
adjudication, estoppel, or limitation, a beneficiary of a trust that is determined to
have been invalid, or a distributee of property improperly distributed or paid, or a
claimant who is improperly paid, is liable for the return of the property improperly
received and its income, if any, since the distribution, if he or she has the property. If
he or she does not have the property, then he or she is liable for the return of the
value as of the date of his or her disposition of the property improperly received,
and its income and gain, if any received by him or her.

Legislative History

Source: L. 2018: Entire article added, (SB 18-180), ch. 169, p. 1167, � 1, effective January 1, 2019.