Indiana Statutes

§ 30-4-3-20 — Liability of beneficiary

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

(Liability of Beneficiary)

(a)A beneficiary is liable for loss to the trust estate if he has:
(1)misappropriated or otherwise wrongfully dealt with the trust property;
(2)expressly consented to, participated in or agreed with the trustee to be liable for a breach of trust committed by the trustee;
(3)failed to repay an advance or loan of trust funds;
(4)failed to repay a distribution or disbursement from the trust estate in excess of that to which he is entitled; or
(5)breached a contract to pay money or deliver property to the trustee to be held by the trustee as part of the trust estate.
(b)Unless the terms of the trust provide otherwise a beneficiary of a trust is liable to the extent of his interest in the trust estate for the amount of any debt owed the trust estate by him. For

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