§ 30-4-3-9 — Duty of trustee under control of third persons

Indiana § 30-4-3-9

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

Text

(Duty of Trustee under Control of Third Person)
(a) This section applies to directions given to a trustee before July
1, 2019, by a person who has power under the terms of the trust to
direct the trustee.
(b) If the terms of the trust give a person a power to direct the
trustee in the administration of the trust and those terms expressly
direct the trustee to rely, or relieve the trustee from liability if he does
rely, on that person's directions, the trustee may do so and will incur no
liability for any loss to the trust estate.
(c) If the terms of the trust give a person a power to direct the trustee
in the administration of the trust, except as provided in subsection (b):
(1) if the person holds the power as a fiduciary, the trustee has a
duty to refuse to comply with any direction which he knows or
should know would constitute a breach of a duty owed by that
person as a fiduciary; and
(2) if the person holds the power solely for his own benefit, the
trustee may refuse to comply only if the attempted exercise of the
power violates the terms of the trust with respect to that power.
Formerly: Acts 1971, P.L.416, SEC.4. As amended by
P.L.221-2019, SEC.4; P.L.231-2019, SEC.25.