North Dakota § 59-18-12 (1012) Protection of person dealing with trustee

North Dakota Statutes

§ 59-18-12 — (1012) Protection of person dealing with trustee

North Dakota § 59-18-12

Title 59Trusts, Uses, and Powers

Ch. 59-18Trustee Liability and Dealings

This text of North Dakota § 59-18-12 ((1012) Protection of person dealing with trustee) is published on Counsel Stack Legal Research, covering North Dakota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

N.D. Cent. Code § 59-18-12 (2026).

Text

1.A person other than a beneficiary who in good faith assists a trustee, or who in good faith and for value deals with a trustee, without knowledge that the trustee is exceeding or improperly exercising the trustee's powers, is protected from liability as if the trustee properly exercised the power.

2.A person other than a beneficiary who in good faith deals with a trustee is not required to inquire into the extent of the trustee's powers or the propriety of their exercise.

3.A person who in good faith delivers assets to a trustee need not ensure their proper application.

4.A person other than a beneficiary who in good faith assists a former trustee, or who in good faith and for value deals with a former trustee, without knowledge that the trusteeship has terminated, is protected from

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1. A person other than a beneficiary who in good faith assists a trustee, or who in good
faith and for value deals with a trustee, without knowledge that the trustee is
exceeding or improperly exercising the trustee's powers, is protected from liability as if
the trustee properly exercised the power.
2. A person other than a beneficiary who in good faith deals with a trustee is not required
to inquire into the extent of the trustee's powers or the propriety of their exercise.
3. A person who in good faith delivers assets to a trustee need not ensure their proper
application.
4. A person other than a beneficiary who in good faith assists a former trustee, or who in
good faith and for value deals with a former trustee, without knowledge that the
trusteeship has terminated, is protected from liability as if the former trustee were still a
trustee.
5. Comparable protective provisions of other laws relating to commercial transactions or
transfer of securities by fiduciaries prevail over the protection provided by this section.