§ 30-4-10-44 — Determinable charitable interest; authority of the attorney general

(a) As used in this section, "determinable
charitable interest" means a charitable interest that is a right to a
mandatory distribution currently, periodically, on the occurrence of a
specified event, or after the passage of a specified time and that is
unconditional or will be held solely for charitable purposes.
(b) As used in this section, "unconditional" means not subject to the
occurrence of a specified event that is not certain to occur, other than
a requirement in a trust instrument that a charitable organization be in
existence or qualify under a particular provision of the United States
Internal Revenue Code of 1986, as amended and in effect on July 1,
2022, on the date of the distribution, if the charitable organization
meets the requirement on the date of determination.
(c) If a first trust contains a determinable charitable interest, the
attorney general has the rights of a qualified beneficiary and may
represent and bind the charitable interest.
(d) If a first trust contains a charitable interest, the second trust must
not:
(1) diminish the charitable interest;
(2) diminish the interest of an identified charitable organization
that holds the charitable interest;
(3) alter any charitable purpose stated in the first-trust instrument;
or
(4) alter any condition or restriction related to the charitable
interest.
(e) If there are two (2) or more second trusts, the second trusts shall
be treated as one (1) trust for purposes of determining whether the
exercise of the decanting power diminishes the charitable interest or
diminishes the interest of an identified charitable organization for
purposes of subsection (d).
(f) If a first trust contains a determinable charitable interest, the
second trust that includes a charitable interest pursuant to subsection
(c) must be administered under the law of this state unless:
(1) the attorney general, after receiving notice under section 35 of
this chapter, fails to object in a signed record delivered to the
authorized fiduciary within the notice period;
(2) the attorney general consents in a signed record to the second
trust being administered under the law of another jurisdiction; or
(3) the court approves the exercise of the decanting power.
(g) This chapter does not limit the powers and duties of the attorney
general under the laws of this state other than this chapter.

Legislative History

As added by P.L.161-2022, SEC.3.