<html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 55-1-21.8 - Distribution of property upon termination of purpose of trust. </title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072523Normal { text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2072523SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072523CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072523Normal-000000 { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2072523DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2072523Normal-000001 { margin-left: 0.70in; text-indent: -0.45in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } span.s2072523000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072523SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072523SCL-000003 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } body { text-decoration-skip-ink: none; } </style></head><body><div><p dir="ltr" class="s2072523Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1-21.8"><span class="s2072523SENU">55-1-21.8</span></a><span xml:space="preserve" class="s2072523SENU">. </span><span class="s2072523CL">Distribution of property upon termination of purpose of trust.</span></p><p dir="ltr" class="s2072523Normal-000000"><span class="s2072523DefaultParagraphFont">Upon termination of a purpose trust, the trustee shall distribute any remaining trust property as directed in the governing instrument. Only in the event that the governing instrument is silent shall the trustee, upon termination of a purpose trust, distribute any remaining trust property as follows:</span></p><p dir="ltr" class="s2072523Normal-000001"><span xml:space="preserve" class="s2072523DefaultParagraphFont">(1)    If the trust was created in a nonresiduary clause in a testator's will and the will fails to direct the distribution of unexpended trust property, then under the residuary clause of the testator's will, and for the purposes of § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=29A-2-707"><span class="s2072523DefaultParagraphFont">29A-2-707</span></a><span class="s2072523DefaultParagraphFont">, the residuary clause is treated as creating a future interest under the terms of a trust; and</span></p><p dir="ltr" class="s2072523Normal-000001"><span xml:space="preserve" class="s2072523DefaultParagraphFont">(2)    Otherwise, to the trustor's heirs under § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=29A-2-711"><span class="s2072523DefaultParagraphFont">29A-2-711</span></a><span class="s2072523DefaultParagraphFont">.</span></p><p dir="ltr" class="s2072523Normal"><span xml:space="preserve" class="s2072523000002"> </span></p><p dir="ltr" class="s2072523Normal"><span class="s2072523SCL">Source:</span><span xml:space="preserve" class="s2072523SCL-000003"> SL 2018, ch 275, § 11.</span></p></div></body></html>