§ 30-4-3-1.5 — Revocation or amendment of trust by settlor

Indiana § 30-4-3-1.5

• Jurisdiction: Indiana
• Art. 4: TRUST CODE
• Ch. 3: Rules Governing the Rights, Powers, Duties, Liabilities,

Text

5. (a) This subsection applies to a trust created
under an instrument executed after June 30, 2005. Unless the terms of
a trust expressly provide that the trust is irrevocable, the settlor may
revoke or amend the trust.
(b) This subsection applies to a revocable trust created or funded by
at least two (2) settlors. Unless the terms of the trust provide otherwise:
(1) to the extent the trust consists of community property, the trust
may be:
(A) revoked by either spouse acting alone; and
(B) amended only by the joint action of both spouses; and
(2) to the extent the trust consists of property other than
community property, each settlor may revoke or amend the trust
with regard to the part of the trust property attributable to that
settlor's contribution.
(c) The settlor may revoke or amend a revocable trust as follows:
(1) The settlor may comply with a method provided in the terms
of the trust.
(2) If the terms of the trust do not provide a method or the terms
of the trust provide a method that is not expressly made the
exclusive method to revoke or amend the trust, the settlor may
revoke or amend the trust by:
(A) executing a later will or codicil that:
(i) expressly refers to the trust; or
(ii) specifically devises property that would otherwise have
passed according to the terms of the trust; or
(B) any other method that:
(i) is in writing; and
(ii) manifests clear and convincing evidence of the settlor's
intent.
(d) If a settlor revokes a revocable trust, the trustee shall deliver the
trust property:
(1) as the settlor directs; or
(2) as the trust instrument requires.
(e) This subsection applies to a revocable trust created or funded by
one (1) settlor after the settlor's revocation of the trust. Unless the terms
of the trust provide otherwise, if the settlor revokes the trust and the
trustee does not deliver the trust property under subsection (d) prior to
or at the revoking settlor's death, the remaining trust property becomes
part of the revoking settlor's probate estate.
(f) This subsection applies after a settlor's revocation of a revocable
trust created or funded by at least two (2) settlors. Unless the terms of
the trust provide otherwise, if a settlor revokes a trust and the trustee
does not deliver the trust property under subsection (d) at the revoking
settlor's death, the remaining trust property that the settlor contributed
to the trust becomes part of the revoking settlor's probate estate.
(g) A settlor's powers with respect to revocation, amendment, and
distribution of trust property may be exercised by an agent under a
power of attorney only to the extent expressly authorized by the terms
of the trust or the power of attorney.
(h) A guardian of a settlor may exercise the settlor's powers with
respect to revocation, amendment, or distribution of trust property only
with the approval of the court supervising the guardianship.
(i) A trustee who does not know that a trust has been revoked or
amended is not liable to the settlor or settlor's successors in interest for
distributions made and other actions taken on the assumption that the
trust had not been revoked or amended.

Legislative History

As added by P.L.238-2005, SEC.30. Amended by P.L.38-2023, SEC.16.