<html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s6ba7b06d427c4979b711da94ea869831Normal { text-align: center; 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.s6ba7b06d427c4979b711da94ea869831HG4 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s6ba7b06d427c4979b711da94ea869831HG4C { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s6ba7b06d427c4979b711da94ea869831Normal-000000 { 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.s6ba7b06d427c4979b711da94ea869831000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s6ba7b06d427c4979b711da94ea869831B { margin-left: 1.38in; text-indent: -1.38in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } </style><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 55-1B - DIRECTED TRUSTS"><meta property="og:description" content="SDLRC Codified Law 55-1B - DIRECTED TRUSTS"><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes/55-1B"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831Normal"><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831HG4">CHAPTER </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1B" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B</span></a></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831Normal"><span class="s6ba7b06d427c4979b711da94ea869831HG4C">DIRECTED TRUSTS</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831Normal-000000"><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831000001"> </span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-1" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-1</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Definition of terms.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-1.1" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-1.1</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Governing instrument may provide trust advisor or trust protector with powers and immunities of trustee.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-2" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-2</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Excluded fiduciary--Liability limits--Relief from obligations--Burden of proof against.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-3" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-3</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Death of grantor.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-4" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-4</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Trust advisor, tax trust advisor as fiduciary.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-5" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-5</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Excluded fiduciary's liability for loss if trust protector appointed.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-6" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-6</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Powers and discretions of trust protector.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-7" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-7</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Submission to court jurisdiction--Effect on trust advisor or trust protector.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-8" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-8</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Powers of trust protector incorporated by reference in will or trust instrument.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-9" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-9</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Investment, distribution, or tax trust advisor--Provided for in instrument.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-10" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-10</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Powers and discretions of investment trust advisor.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-11" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-11</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Powers and discretions of distribution trust advisor.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-12" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-12</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Powers and discretions of family advisor.</span></p><p dir="ltr" class="s6ba7b06d427c4979b711da94ea869831B"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-13" rel="noopener"><span class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">55-1B-13</span></a><span xml:space="preserve" class="s6ba7b06d427c4979b711da94ea869831DefaultParagraphFont">    Tax trust advisor--Powers and discretions.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.sae3777df590842d0a156e7e352bbdfbeNormal { 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.sae3777df590842d0a156e7e352bbdfbeSENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sae3777df590842d0a156e7e352bbdfbeCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.sae3777df590842d0a156e7e352bbdfbeStatute { 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.sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sae3777df590842d0a156e7e352bbdfbeStatuteNumber1 { margin-left: 0.75in; text-indent: -0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } p.sae3777df590842d0a156e7e352bbdfbeStatuteNumber2 { margin-left: 1.25in; text-indent: -0.50in; 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.sae3777df590842d0a156e7e352bbdfbe000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sae3777df590842d0a156e7e352bbdfbeNoIndent { text-indent: 0.00in; 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.sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sae3777df590842d0a156e7e352bbdfbeSCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 55-1B-1 - Definition of terms."><meta property="og:description" content="SDLRC Codified Law 55-1B-1 - Definition of terms."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes/55-1B-1"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeNormal"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-1" rel="noopener"><span class="sae3777df590842d0a156e7e352bbdfbeSENU">55-1B-1</span></a><span xml:space="preserve" class="sae3777df590842d0a156e7e352bbdfbeSENU">. </span><span class="sae3777df590842d0a156e7e352bbdfbeCL">Definition of terms.</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatute"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">Terms used in this chapter mean:</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber1"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(1)    "Instrument," any revocable or irrevocable trust document created inter vivos or testamentary or any custodial account agreement, whether such document or agreement was created prior to, on, or after July 1, 1997;</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber1"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(2)    "Trust protector," any person whose appointment as protector is provided for in the instrument. Such person may not be considered to be acting in a fiduciary capacity except to the extent the governing instrument provides otherwise. However, a protector shall be considered acting in a fiduciary capacity to the extent that the person exercises the authority of an investment trust advisor, a distribution trust advisor, or a tax trust advisor;</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber1"><span xml:space="preserve" class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(3)    "Trust advisor," an investment trust advisor, a distribution trust advisor, a tax trust advisor, or, in the case of a custodial account, a custodial account owner or the owner's designee, except that a tax trust advisor is not considered a trust advisor for purposes of § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-2-13" rel="noopener"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">55-2-13</span></a><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">;</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber1"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(4)    "Fiduciary," a trustee or custodian under any instrument, an executor, administrator, or personal representative of a decedent's estate, or any other party, including a trust advisor, a trust protector, or a trust committee, who is acting in a fiduciary capacity for any person, trust, or estate;</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber1"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(5)    "Excluded fiduciary," any fiduciary excluded from exercising certain powers under the instrument, which powers may be exercised by the grantor, custodial account owner, trust advisor, trust protector, trust committee, or other persons designated in the instrument;</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber1"><span xml:space="preserve" class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(6)    "Investment trust advisor," a fiduciary, given authority by the instrument to exercise all or any portions of the powers and discretions set forth in § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-10" rel="noopener"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">55-1B-10</span></a><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">;</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber1"><span xml:space="preserve" class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(7)    "Distribution trust advisor," a fiduciary, given authority by the instrument to exercise all or any portions of the powers and discretions set forth in § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-11" rel="noopener"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">55-1B-11</span></a><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">;</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber1"><span xml:space="preserve" class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(8)     Tax trust advisor, a fiduciary, given authority by the instrument to exercise any tax power, including all or any powers and discretions set forth in § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-13" rel="noopener"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">55-1B-13</span></a><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">;</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber1"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(9)    "Custodial account," an account, established by a party with a bank as defined in 26 U.S.C. § 408(n) (January 1, 2006) or with another person approved by the Internal Revenue Service as satisfying the requirements to be a nonbank trustee or a nonbank passive trustee set forth in U.S. Treasury Regulations promulgated under 26 U.S.C. § 408, that is governed by an instrument concerning the establishment or maintenance, or both, of an individual retirement account, qualified retirement plan, Archer medical savings account, health savings account, Coverdell education savings account, or any similar retirement or savings vehicle permitted under the Internal Revenue Code of 1986 (January 1, 2006);</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber1"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(10)    "Custodial account owner," any party who:</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber2"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(a)    Establishes a custodial account;</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber2"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(b)    Has the power to designate the beneficiaries or appoint the custodian of the custodial account; or</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber2"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(c)    Is the party who possesses the power to direct the investment, disposition, or retention of any assets in the custodial account or name an authorized designee to affect the same;</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber1"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(11)    "Family advisor," any person:</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber2"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(a)    Whose appointment is provided for in the governing instrument or by court order;</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber2"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(b)    Who is authorized to consult with or advise a fiduciary regarding fiduciary or nonfiduciary matters and actions; and</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeStatuteNumber2"><span class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont">(c)    Who may also be authorized by the governing instrument or court order to otherwise act in a nonfiduciary capacity.</span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeNormal"><span xml:space="preserve" class="sae3777df590842d0a156e7e352bbdfbe000000"> </span></p><p dir="ltr" class="sae3777df590842d0a156e7e352bbdfbeNoIndent"><span xml:space="preserve" class="sae3777df590842d0a156e7e352bbdfbeDefaultParagraphFont-000001">Source: </span><span class="sae3777df590842d0a156e7e352bbdfbeSCL">SL 1997, ch 280, § 1; SL 2005, ch 260, § 2; SL 2006, ch 248, § 1; SL 2008, ch 257, § 9; SL 2011, ch 212, § 3; SL 2016, ch 231, § 15; SL 2017, ch 204, § 15; SL 2018, ch 275, § 22; SL 2025, ch 196, § 1.</span></p></div></body></html><br /><hr><br /><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 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072620Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2072620SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072620CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072620Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2072620DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072620000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072620SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072620SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2072620Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1B-1.1"><span class="s2072620SENU">55-1B-1.1</span></a><span xml:space="preserve" class="s2072620SENU">. </span><span class="s2072620CL">Governing instrument may provide trust advisor or trust protector with powers and immunities of trustee.</span></p><p dir="ltr" class="s2072620Normal-000000"><span class="s2072620DefaultParagraphFont">Any governing instrument providing for a trust advisor or trust protector may also provide such trust advisor or trust protector with some, none, or all of the rights, powers, privileges, benefits, immunities, or authorities available to a trustee under South Dakota law or under the governing instrument. Unless the governing instrument provides otherwise, a trust advisor or trust protector has no greater liability to any person than would a trustee holding or benefiting from the rights, powers, privileges, benefits, immunities, or authority provided or allowed by the governing instrument to such trust advisor or trust protector.</span></p><p dir="ltr" class="s2072620Normal"><span xml:space="preserve" class="s2072620000001"> </span></p><p dir="ltr" class="s2072620Normal"><span class="s2072620SCL">Source:</span><span xml:space="preserve" class="s2072620SCL-000002"> SL 2011, ch 212, § 4.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s679727900a5445b6ae3067f3ff79537fNormal { 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.s679727900a5445b6ae3067f3ff79537fSENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s679727900a5445b6ae3067f3ff79537fCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s679727900a5445b6ae3067f3ff79537fStatute { 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.s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s679727900a5445b6ae3067f3ff79537fStatuteNumber1 { margin-left: 0.75in; text-indent: -0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } a.s679727900a5445b6ae3067f3ff79537f000000 { text-decoration: none; } span.s679727900a5445b6ae3067f3ff79537f000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s679727900a5445b6ae3067f3ff79537fNoIndent { text-indent: 0.00in; 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.s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s679727900a5445b6ae3067f3ff79537fSCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 55-1B-2 - Excluded fiduciary--Liability limits--Relief from obligations--Burden of proof against."><meta property="og:description" content="SDLRC Codified Law 55-1B-2 - Excluded fiduciary--Liability limits--Relief from obligations--Burden of proof against."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes/55-1B-2"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fNormal"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-2" rel="noopener"><span class="s679727900a5445b6ae3067f3ff79537fSENU">55-1B-2</span></a><span xml:space="preserve" class="s679727900a5445b6ae3067f3ff79537fSENU">. </span><span class="s679727900a5445b6ae3067f3ff79537fCL">Excluded fiduciary--Liability limits--Relief from obligations--Burden of proof against.</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fStatute"><span class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">An excluded fiduciary is not liable, either individually or as a fiduciary, for any of the following:</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fStatuteNumber1"><span class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">(1)    Any loss that results from compliance with a direction of the trust advisor, including any loss from the trust advisor breaching fiduciary responsibilities or acting beyond the trust advisor's scope of authority;</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fStatuteNumber1"><span class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">(2)    Any loss that results from a failure to take any action proposed by an excluded fiduciary, which requires a prior authorization of the trust advisor, if that excluded fiduciary timely sought but failed to obtain the authorization;</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fStatuteNumber1"><span class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">(3)    Any loss that results from any action or inaction, except for gross negligence or willful misconduct, when an excluded fiduciary is required, pursuant to the trust agreement or any other reason, to assume the role of trust advisor or trust protector;</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fStatuteNumber1"><span class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">(4)    Any loss that results from relying upon any trust advisor for valuation of trust assets; or</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fStatuteNumber1"><span class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">(5)    Any loss that results from any tax filing made or tax position taken based on the recommendations or instructions received from the tax trust advisor or from a tax preparer or professional used by the excluded fiduciary at the direction of the grantor, the tax trust advisor, or another trust fiduciary.</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fStatute"><span xml:space="preserve" class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">Any excluded fiduciary is also relieved from any obligation to independently value trust assets; to review or evaluate any direction from a distribution trust advisor; to perform </span><a id="_pagenumber5" class="s679727900a5445b6ae3067f3ff79537f000000" rel="noopener"></a><span class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">investment or suitability reviews, inquiries, or investigations; or to make recommendations or evaluations with respect to any investments to the extent the trust advisor had authority to direct the acquisition, disposition, or retention of the investment. If the excluded fiduciary offers such communication to the trust advisor, trust protector, or any investment person selected by the investment trust advisor, such action does not constitute an undertaking by the excluded fiduciary to monitor or otherwise participate in actions within the scope of the advisor's authority or to constitute any duty to do so.</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fStatute"><span class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">Any excluded fiduciary is also relieved of any duty to communicate with or warn or apprise any beneficiary or third party concerning instances in which the excluded fiduciary would or might have exercised the excluded fiduciary's own discretion in a manner different from the manner directed by the trust advisor or trust protector.</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fStatute"><span class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">Absent contrary provisions in the governing instrument, the actions of the excluded fiduciary (such as any communications with the trust advisor and others and carrying out, recording, and reporting actions taken at the trust advisor's direction) pertaining to matters within the scope of authority of the trust advisor or trust protector constitute administrative actions taken by the excluded fiduciary solely to allow the excluded fiduciary to perform those duties assigned to the excluded fiduciary under the governing instrument, and such administrative actions do not constitute an undertaking by the excluded fiduciary to monitor, participate, or otherwise take any fiduciary responsibility for actions within the scope of authority of the trust advisor or trust protector.</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fStatute"><span class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">Nothing in subdivision (2) imposes an obligation or liability with respect to a custodian of a custodial account.</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fStatute"><span class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont">In an action against an excluded fiduciary pursuant to the provisions of this section, the burden to prove the matter by clear and convincing evidence is on the person seeking to hold the excluded fiduciary liable.</span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fNormal"><span xml:space="preserve" class="s679727900a5445b6ae3067f3ff79537f000001"> </span></p><p dir="ltr" class="s679727900a5445b6ae3067f3ff79537fNoIndent"><span xml:space="preserve" class="s679727900a5445b6ae3067f3ff79537fDefaultParagraphFont-000002">Source: </span><span class="s679727900a5445b6ae3067f3ff79537fSCL">SL 1997, ch 280, § 2; SL 2006, ch 248, § 2; SL 2009, ch 252, § 13; SL 2011, ch 212, § 1; SL 2012, ch 233, § 5; SL 2016, ch 231, § 16; SL 2018, ch 275, § 23; SL 2020, ch 206, § 7; SL 2021, ch 207, § 15; SL 2025, ch 196, § 2.</span></p></div></body></html><br /><hr><br /><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 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072622Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2072622SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072622CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072622Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2072622DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072622000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072622SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072622SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2072622Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1B-3"><span class="s2072622SENU">55-1B-3</span></a><span xml:space="preserve" class="s2072622SENU">. </span><span class="s2072622CL">Death of grantor.</span></p><p dir="ltr" class="s2072622Normal-000000"><span class="s2072622DefaultParagraphFont">An excluded fiduciary may continue to follow the direction of the trust advisor upon the incapacity or death of the grantor if the instrument so allows.</span></p><p dir="ltr" class="s2072622Normal"><span xml:space="preserve" class="s2072622000001"> </span></p><p dir="ltr" class="s2072622Normal"><span class="s2072622SCL">Source:</span><span xml:space="preserve" class="s2072622SCL-000002"> SL 1997, ch 280, § 3.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.sb37e76ba5eaf4740983e578124c0e763Normal { 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.sb37e76ba5eaf4740983e578124c0e763SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sb37e76ba5eaf4740983e578124c0e763CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.sb37e76ba5eaf4740983e578124c0e763Statute { 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.sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.sb37e76ba5eaf4740983e578124c0e763000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sb37e76ba5eaf4740983e578124c0e763NoIndent { text-indent: 0.00in; 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.sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sb37e76ba5eaf4740983e578124c0e763SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 55-1B-4 - Trust advisor, tax trust advisor as fiduciary."><meta property="og:description" content="SDLRC Codified Law 55-1B-4 - Trust advisor, tax trust advisor as fiduciary."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes/55-1B-4"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="sb37e76ba5eaf4740983e578124c0e763Normal"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-4" rel="noopener"><span class="sb37e76ba5eaf4740983e578124c0e763SENU">55-1B-4</span></a><span xml:space="preserve" class="sb37e76ba5eaf4740983e578124c0e763SENU">. </span><span class="sb37e76ba5eaf4740983e578124c0e763CL">Trust advisor, tax trust advisor as fiduciary.</span></p><p dir="ltr" class="sb37e76ba5eaf4740983e578124c0e763Statute"><span class="sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont">If one or more trust advisors and tax trust advisors are given authority by the terms of a governing instrument to direct, consent to, or disapprove a fiduciary's investment, distribution, or tax decisions, or proposed investment, distribution, or tax decisions, such trust advisors and tax trust advisors are considered to be fiduciaries when exercising such authority.</span></p><p dir="ltr" class="sb37e76ba5eaf4740983e578124c0e763Statute"><span xml:space="preserve" class="sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont">For investment decisions, so long as there is at least one fiduciary exercising the authority of the investment advisor pursuant to § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-10" rel="noopener"><span class="sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont">55-1B-10</span></a><span xml:space="preserve" class="sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont"> for the investment, except in the case of willful misconduct or gross negligence by the fiduciary investment advisor in the selection or monitoring of the nonfiduciary trust advisors, the governing instrument may provide that such other trust advisors acting pursuant to this section are not acting in a fiduciary capacity.</span></p><p dir="ltr" class="sb37e76ba5eaf4740983e578124c0e763Statute"><span xml:space="preserve" class="sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont">For distribution decisions, so long as there is at least one fiduciary exercising the authority of the distribution advisor pursuant to § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-11" rel="noopener"><span class="sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont">55-1B-11</span></a><span xml:space="preserve" class="sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont"> for the distribution, except in the case of willful misconduct or gross negligence by the fiduciary distribution advisor in the selection or monitoring of the nonfiduciary trust advisors, the governing instrument may provide that the other trust advisors acting pursuant to this section are not acting in a fiduciary capacity.</span></p><p dir="ltr" class="sb37e76ba5eaf4740983e578124c0e763Statute"><span xml:space="preserve" class="sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont">For tax decisions, so long as there is at least one fiduciary exercising the authority of the tax trust advisor pursuant to § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-13" rel="noopener"><span class="sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont">55-1B-13</span></a><span xml:space="preserve" class="sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont"> for the tax decision, except in the case of willful misconduct or gross negligence by the fiduciary tax trust advisor in the selection or monitoring of the nonfiduciary tax trust advisors, the governing instrument may provide that such other tax trust advisors acting pursuant to this section are not acting in a fiduciary capacity.</span></p><p dir="ltr" class="sb37e76ba5eaf4740983e578124c0e763Normal"><span xml:space="preserve" class="sb37e76ba5eaf4740983e578124c0e763000000"> </span></p><p dir="ltr" class="sb37e76ba5eaf4740983e578124c0e763NoIndent"><span xml:space="preserve" class="sb37e76ba5eaf4740983e578124c0e763DefaultParagraphFont-000001">Source: </span><span class="sb37e76ba5eaf4740983e578124c0e763SCL">SL 1997, ch 280, § 4; SL 2018, ch 275, § 24; SL 2021, ch 207, § 9; SL 2025, ch 196, § 3.</span></p></div></body></html><br /><hr><br /><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 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072624Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2072624SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072624CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072624Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2072624DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072624000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072624SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072624SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2072624Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1B-5"><span class="s2072624SENU">55-1B-5</span></a><span xml:space="preserve" class="s2072624SENU">. </span><span class="s2072624CL">Excluded fiduciary's liability for loss if trust protector appointed.</span></p><p dir="ltr" class="s2072624Normal-000000"><span class="s2072624DefaultParagraphFont">If an instrument appoints a trust protector, the excluded fiduciary is not liable for any loss resulting from any action taken upon such trust protector's direction.</span></p><p dir="ltr" class="s2072624Normal"><span xml:space="preserve" class="s2072624000001"> </span></p><p dir="ltr" class="s2072624Normal"><span class="s2072624SCL">Source:</span><span xml:space="preserve" class="s2072624SCL-000002"> SL 1997, ch 280, § 5.</span></p></div></body></html><br /><hr><br /><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 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2079873Normal { 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.s2079873SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2079873CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2079873Statute { 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.s2079873DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2079873StatuteNumber1 { 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; } a.s2079873000000 { text-decoration: none; } p.s2079873Statute-000001 { text-indent: 0.25in; 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.s2079873000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2079873DefaultParagraphFont-000003 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2079873SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2079873Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1B-6"><span class="s2079873SENU">55-1B-6</span></a><span xml:space="preserve" class="s2079873SENU">. </span><span class="s2079873CL">Powers and discretions of trust protector.</span></p><p dir="ltr" class="s2079873Statute"><span class="s2079873DefaultParagraphFont">The powers and discretions of a trust protector are as provided in the governing instrument and may be exercised or not exercised, in the best interests of the trust, in the sole and absolute discretion of the trust protector and are binding on all other persons. The powers and discretion may include the following:</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span xml:space="preserve" class="s2079873DefaultParagraphFont">(1)    Modify or amend the trust instrument to achieve favorable tax status or respond to </span><a id="_pagenumber6" class="s2079873000000"></a><span class="s2079873DefaultParagraphFont">changes in the Internal Revenue Code, state law, or the rulings and regulations thereunder;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(2)    Increase or decrease the interests of any beneficiaries to the trust;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(3)    Modify the terms of any power of appointment granted by the trust. However, a modification or amendment may not grant a beneficial interest to any individual or class of individuals not specifically provided for under the trust instrument;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(4)    Remove and appoint a trustee, a fiduciary provided for in the governing trust instrument, trust advisor, investment committee member, or distribution committee member;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span xml:space="preserve" class="s2079873DefaultParagraphFont">(5)    Terminate the trust; </span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(6)    Veto or direct trust distributions;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(7)    Change situs or governing law of the trust, or both;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(8)    Appoint a successor trust protector;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(9)    Interpret terms of the trust instrument at the request of the trustee;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(10)    Advise the trustee on matters concerning a beneficiary;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(11)    Amend or modify the trust instrument to take advantage of laws governing restraints on alienation, distribution of trust property, or the administration of the trust;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(12)    Reserved;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(13)    Add to the trust an individual beneficiary or beneficiaries from a class of individuals identified in the governing instrument;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(14)    Add to the trust a charitable beneficiary or beneficiaries from a class of charities identified in the trust instrument;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span class="s2079873DefaultParagraphFont">(15)    Provide other powers and discretions in the governing instrument;</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span xml:space="preserve" class="s2079873DefaultParagraphFont">(16)    Remove a representative as provided in subdivision </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-18-4"><span class="s2079873DefaultParagraphFont">55-18-4</span></a><span class="s2079873DefaultParagraphFont">(3);</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span xml:space="preserve" class="s2079873DefaultParagraphFont">(17)    Appoint a representative as provided in subdivision </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-18-9"><span class="s2079873DefaultParagraphFont">55-18-9</span></a><span class="s2079873DefaultParagraphFont">(12); and</span></p><p dir="ltr" class="s2079873StatuteNumber1"><span xml:space="preserve" class="s2079873DefaultParagraphFont">(18)    Act as a representative as provided in subdivision </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-18-9"><span class="s2079873DefaultParagraphFont">55-18-9</span></a><span class="s2079873DefaultParagraphFont">(11).</span></p><p dir="ltr" class="s2079873Statute-000001"><span xml:space="preserve" class="s2079873DefaultParagraphFont">In addition to the powers and discretions granted to the trust protector in the governing instrument, the trust protector may also exercise any of the powers and discretions granted to a trust protector under § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-13"><span class="s2079873DefaultParagraphFont">55-2-13</span></a><span xml:space="preserve" class="s2079873DefaultParagraphFont"> to the extent such exercise is not prohibited under the terms of the governing instrument.</span></p><p dir="ltr" class="s2079873Statute-000001"><span xml:space="preserve" class="s2079873DefaultParagraphFont">The powers referenced in subdivisions (5), (6), and (11) may be granted notwithstanding the provisions of §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-3-24"><span class="s2079873DefaultParagraphFont">55-3-24</span></a><span xml:space="preserve" class="s2079873DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-3-28"><span class="s2079873DefaultParagraphFont">55-3-28</span></a><span class="s2079873DefaultParagraphFont">, inclusive.</span></p><p dir="ltr" class="s2079873Normal"><span xml:space="preserve" class="s2079873000002"> </span></p><p dir="ltr" class="s2079873Normal"><span xml:space="preserve" class="s2079873DefaultParagraphFont-000003">Source: </span><span class="s2079873SCL">SL 1997, ch 280, § 6; SL 2005, ch 260, § 3; SL 2009, ch 252, § 14; SL 2013, ch 239, § 20; SL 2016, ch 231, § 17; SL 2017, ch 208, § 29; SL 2020, ch 206, § 8.</span></p></div></body></html><br /><hr><br /><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 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072626Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2072626SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072626CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072626Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2072626DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072626000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072626SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072626SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2072626Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1B-7"><span class="s2072626SENU">55-1B-7</span></a><span xml:space="preserve" class="s2072626SENU">. </span><span class="s2072626CL">Submission to court jurisdiction--Effect on trust advisor or trust protector.</span></p><p dir="ltr" class="s2072626Normal-000000"><span class="s2072626DefaultParagraphFont">By accepting an appointment to serve as a trust advisor or trust protector of a trust that is subject to the laws of this State, the trust advisor or the trust protector submits to the jurisdiction of the courts of South Dakota even if investment advisory agreements or other related agreements provide otherwise, and the trust advisor or trust protector may be made a party to any action or proceeding if issues relate to a decision or action of the trust advisor or trust protector.</span></p><p dir="ltr" class="s2072626Normal"><span xml:space="preserve" class="s2072626000001"> </span></p><p dir="ltr" class="s2072626Normal"><span class="s2072626SCL">Source:</span><span xml:space="preserve" class="s2072626SCL-000002"> SL 1997, ch 280, § 7.</span></p></div></body></html><br /><hr><br /><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 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072627Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2072627SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072627CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072627Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2072627DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072627000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072627SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072627SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2072627Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1B-8"><span class="s2072627SENU">55-1B-8</span></a><span xml:space="preserve" class="s2072627SENU">. </span><span class="s2072627CL">Powers of trust protector incorporated by reference in will or trust instrument.</span></p><p dir="ltr" class="s2072627Normal-000000"><span xml:space="preserve" class="s2072627DefaultParagraphFont">Any of the powers enumerated in § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1B-6"><span class="s2072627DefaultParagraphFont">55-1B-6</span></a><span class="s2072627DefaultParagraphFont">, as they exist at the time of the signing of a will by a testator or at the time of the signing of a trust instrument by a trustor, may be, by appropriate reference made thereto, incorporated in whole or in part in such will or trust instrument, by a clearly expressed intention of a testator of a will or trustor of a trust instrument.</span></p><p dir="ltr" class="s2072627Normal"><span xml:space="preserve" class="s2072627000001"> </span></p><p dir="ltr" class="s2072627Normal"><span class="s2072627SCL">Source:</span><span xml:space="preserve" class="s2072627SCL-000002"> SL 2005, ch 260, § 4.</span></p><p dir="ltr" class="s2072627Normal"><span xml:space="preserve" class="s2072627000001"> </span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.sdd26a38c2a2e450cab840f35d0518322Normal { 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.sdd26a38c2a2e450cab840f35d0518322SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sdd26a38c2a2e450cab840f35d0518322CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.sdd26a38c2a2e450cab840f35d0518322Statute { 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.sdd26a38c2a2e450cab840f35d0518322DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.sdd26a38c2a2e450cab840f35d0518322000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sdd26a38c2a2e450cab840f35d0518322NoIndent { text-indent: 0.00in; 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.sdd26a38c2a2e450cab840f35d0518322DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sdd26a38c2a2e450cab840f35d0518322SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 55-1B-9 - Investment, distribution, or tax trust advisor--Provided for in instrument."><meta property="og:description" content="SDLRC Codified Law 55-1B-9 - Investment, distribution, or tax trust advisor--Provided for in instrument."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes/55-1B-9"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="sdd26a38c2a2e450cab840f35d0518322Normal"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-9" rel="noopener"><span class="sdd26a38c2a2e450cab840f35d0518322SENU">55-1B-9</span></a><span xml:space="preserve" class="sdd26a38c2a2e450cab840f35d0518322SENU">. </span><span class="sdd26a38c2a2e450cab840f35d0518322CL">Investment, distribution, or tax trust advisor--Provided for in instrument.</span></p><p dir="ltr" class="sdd26a38c2a2e450cab840f35d0518322Statute"><span class="sdd26a38c2a2e450cab840f35d0518322DefaultParagraphFont">A trust instrument governed by the laws of this state may provide for a person to act as an investment trust advisor, a distribution trust advisor, or a tax trust advisor, respectively, with regard to investment decisions, distribution decisions, or tax decisions, respectively. Unless otherwise provided or restricted by the terms of the governing instrument, any person may simultaneously serve as a trust advisor and a trust protector.</span></p><p dir="ltr" class="sdd26a38c2a2e450cab840f35d0518322Normal"><span xml:space="preserve" class="sdd26a38c2a2e450cab840f35d0518322000000"> </span></p><p dir="ltr" class="sdd26a38c2a2e450cab840f35d0518322NoIndent"><span xml:space="preserve" class="sdd26a38c2a2e450cab840f35d0518322DefaultParagraphFont-000001">Source: </span><span class="sdd26a38c2a2e450cab840f35d0518322SCL">SL 2005, ch 260, § 5; SL 2017, ch 204, § 16; SL 2025, ch 196, § 4.</span></p></div></body></html><br /><hr><br /><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 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2079866Normal { 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.s2079866SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2079866CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2079866Statute { 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.s2079866DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2079866StatuteNumber1 { 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.s2079866000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2079866DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2079866SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2079866Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1B-10"><span class="s2079866SENU">55-1B-10</span></a><span xml:space="preserve" class="s2079866SENU">. </span><span class="s2079866CL">Powers and discretions of investment trust advisor.</span></p><p dir="ltr" class="s2079866Statute"><span class="s2079866DefaultParagraphFont">The powers and discretions of an investment trust advisor shall be as provided in the trust instrument and may be exercised or not exercised, in the best interests of the trust, in the sole and absolute discretion of the investment trust advisor and are binding on any other person and any other interested party, fiduciary, and excluded fiduciary. In addition to the powers and discretions granted to the investment trust advisor in the governing instrument, the investment trust advisor may also exercise any of the following powers and discretions to the extent such exercise is not prohibited under the terms of the governing instrument:</span></p><p dir="ltr" class="s2079866StatuteNumber1"><span class="s2079866DefaultParagraphFont">(1)    Direct the trustee with respect to the retention, purchase, sale, exchange, tender, or other transaction affecting the ownership thereof or rights therein of trust investments. These powers include the pledge or encumbrance of trust property, lending of trust assets, either secured or unsecured, at terms defined by the investment trust advisor to any party including beneficiaries of the trust and the investment and reinvestment of principal and income of the trust;</span></p><p dir="ltr" class="s2079866StatuteNumber1"><span class="s2079866DefaultParagraphFont">(2)    Vote proxies for securities held in trust;</span></p><p dir="ltr" class="s2079866StatuteNumber1"><span xml:space="preserve" class="s2079866DefaultParagraphFont">(3)    Select one or more investment advisers, managers, or counselors, including the trustee, and delegate to them any of its powers; </span></p><p dir="ltr" class="s2079866StatuteNumber1"><span class="s2079866DefaultParagraphFont">(4)    Direct the trustee with respect to any additional powers and discretions over investment and management of trust assets provided in the governing instrument;</span></p><p dir="ltr" class="s2079866StatuteNumber1"><span class="s2079866DefaultParagraphFont">(5)    Direct the trustee as to the value of nonpublicly traded trust investments;</span></p><p dir="ltr" class="s2079866StatuteNumber1"><span xml:space="preserve" class="s2079866DefaultParagraphFont">(6)    Direct the trustee as to any investment or management power referenced in chapter </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1A"><span class="s2079866DefaultParagraphFont">55-1A</span></a><span class="s2079866DefaultParagraphFont">; and</span></p><p dir="ltr" class="s2079866StatuteNumber1"><span xml:space="preserve" class="s2079866DefaultParagraphFont">(7)    Exercise the powers granted to an investment trust advisor in § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-13"><span class="s2079866DefaultParagraphFont">55-2-13</span></a><span class="s2079866DefaultParagraphFont">.</span></p><p dir="ltr" class="s2079866Normal"><span xml:space="preserve" class="s2079866000000"> </span></p><p dir="ltr" class="s2079866Normal"><span xml:space="preserve" class="s2079866DefaultParagraphFont-000001">Source: </span><span class="s2079866SCL">SL 2005, ch 260, § 6; SL 2012, ch 233, § 6; SL 2014, ch 226, § 17; SL 2020, ch 206, § 9.</span></p></div></body></html><br /><hr><br /><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 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2079864Normal { 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.s2079864SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2079864CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2079864Statute { 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.s2079864DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } a.s2079864000000 { text-decoration: none; } span.s2079864000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2079864DefaultParagraphFont-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2079864SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2079864Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1B-11"><span class="s2079864SENU">55-1B-11</span></a><span xml:space="preserve" class="s2079864SENU">. </span><span class="s2079864CL">Powers and discretions of distribution trust advisor.</span></p><p dir="ltr" class="s2079864Statute"><span xml:space="preserve" class="s2079864DefaultParagraphFont">The powers and discretions of a distribution trust advisor over any discretionary distributions of income or principal, including distributions pursuant to an ascertainable standard or other criteria and appointments pursuant to § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-15"><span class="s2079864DefaultParagraphFont">55-2-15</span></a><span xml:space="preserve" class="s2079864DefaultParagraphFont">, shall be provided in the trust instrument and may be exercised or not exercised, in the best interests of the trust, in the sole and absolute discretion of the distribution trust advisor and are binding on any other person and any other interested party, fiduciary, and excluded fiduciary. Unless the terms of the governing instrument provide otherwise, then, in </span><a id="_pagenumber8" class="s2079864000000"></a><span xml:space="preserve" class="s2079864DefaultParagraphFont">addition to the powers and discretions granted to the distribution trust advisor in the trust instrument, the distribution trust advisor shall direct the trustee with regard to all discretionary distributions to beneficiaries, may direct appointments pursuant to § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-15"><span class="s2079864DefaultParagraphFont">55-2-15</span></a><span xml:space="preserve" class="s2079864DefaultParagraphFont">, and may exercise any of the powers and discretions granted to a distribution trust advisor in § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-13"><span class="s2079864DefaultParagraphFont">55-2-13</span></a><span class="s2079864DefaultParagraphFont">.</span></p><p dir="ltr" class="s2079864Normal"><span xml:space="preserve" class="s2079864000001"> </span></p><p dir="ltr" class="s2079864Normal"><span xml:space="preserve" class="s2079864DefaultParagraphFont-000002">Source: </span><span class="s2079864SCL">SL 2005, ch 260, § 7; SL 2009, ch 252, § 15; SL 2011, ch 212, § 5; SL 2012, ch 233, § 7; SL 2020, ch 206, § 10.</span></p></div></body></html><br /><hr><br /><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 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2079863Normal { 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.s2079863SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2079863CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2079863Statute { 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.s2079863DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2079863StatuteNumber1 { 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; } p.s2079863Statute-000000 { text-indent: 0.25in; 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; } a.s2079863000001 { text-decoration: none; } span.s2079863000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2079863DefaultParagraphFont-000003 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2079863SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2079863Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-1B-12"><span class="s2079863SENU">55-1B-12</span></a><span xml:space="preserve" class="s2079863SENU">. </span><span class="s2079863CL">Powers and discretions of family advisor.</span></p><p dir="ltr" class="s2079863Statute"><span class="s2079863DefaultParagraphFont">The powers and discretions of a family advisor are as provided in the governing instrument or by court order and may be exercised or not exercised, in the best interests of the trust, in the sole and absolute discretion of the family advisor. The powers and discretions may only include the following:</span></p><p dir="ltr" class="s2079863StatuteNumber1"><span class="s2079863DefaultParagraphFont">(1)    Remove and appoint a trustee, a fiduciary provided for in the governing trust instrument, trust advisor, investment committee member, or distribution committee member;</span></p><p dir="ltr" class="s2079863StatuteNumber1"><span class="s2079863DefaultParagraphFont">(2)    Appoint a trust protector, or a family advisor;</span></p><p dir="ltr" class="s2079863StatuteNumber1"><span class="s2079863DefaultParagraphFont">(3)    Advise the trustee on matters concerning any beneficiary; receive trust accountings, investment reports, and other information from the trustee or to which a beneficiary is entitled; attend meetings whether in person or by any other means with the trustee, investment trust advisors, distribution trust advisors, or other advisors whether in person or by any means, electronic or otherwise; and to consult with a fiduciary regarding both fiduciary and nonfiduciary matters or actions, all without any power or discretion to take any action as a fiduciary; or</span></p><p dir="ltr" class="s2079863StatuteNumber1"><span xml:space="preserve" class="s2079863DefaultParagraphFont">(4)    Provide direction regarding notification of qualified beneficiaries pursuant to § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-13"><span class="s2079863DefaultParagraphFont">55-2-13</span></a><span class="s2079863DefaultParagraphFont">.</span></p><p dir="ltr" class="s2079863Statute-000000"><span class="s2079863DefaultParagraphFont">A family advisor is not required to exercise any powers or discretions under any circumstances. Every action or inaction by a family advisor is a nonfiduciary action or inaction and a family advisor is absolutely excluded from liability to any other person for an action or inaction as a family advisor. A court may review a family advisor's exercise of the powers described in subdivisions (1), (2), and (4) only if the family advisor acts dishonestly or with an improper motive but may not review a family advisor's failure to exercise any powers. A reasonableness standard may not be applied to any action or inaction of a family advisor. Other than for the two circumstances listed above, a court has no jurisdiction to review a family advisor's action or inaction.</span></p><p dir="ltr" class="s2079863Statute-000000"><a id="_pagenumber9" class="s2079863000001"></a><span class="s2079863DefaultParagraphFont">A family advisor is entitled to compensation as provided in the governing instrument. If the governing instrument does not provide for or establish compensation, a family advisor is entitled to reasonable compensation for the exercise of the powers and discretions granted to the family advisor pursuant to this chapter.</span></p><p dir="ltr" class="s2079863Normal"><span xml:space="preserve" class="s2079863000002"> </span></p><p dir="ltr" class="s2079863Normal"><span xml:space="preserve" class="s2079863DefaultParagraphFont-000003">Source: </span><span class="s2079863SCL">SL 2016, ch 231, § 18; SL 2020, ch 206, § 11.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 55-1B - DIRECTED TRUSTS</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s593e028ae76841afbf99ad886bbf7fc0Normal { 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.s593e028ae76841afbf99ad886bbf7fc0SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s593e028ae76841afbf99ad886bbf7fc0CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s593e028ae76841afbf99ad886bbf7fc0Statute { 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.s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s593e028ae76841afbf99ad886bbf7fc0StatuteNumber1 { margin-left: 0.75in; text-indent: -0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } p.s593e028ae76841afbf99ad886bbf7fc0StatuteNumber2 { margin-left: 1.25in; text-indent: -0.50in; 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.s593e028ae76841afbf99ad886bbf7fc0000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s593e028ae76841afbf99ad886bbf7fc0NoIndent { text-indent: 0.00in; 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.s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s593e028ae76841afbf99ad886bbf7fc0SCL { 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><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 55-1B-13 - Tax trust advisor--Powers and discretions."><meta property="og:description" content="SDLRC Codified Law 55-1B-13 - Tax trust advisor--Powers and discretions."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes/55-1B-13"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0Normal"><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-13" rel="noopener"><span class="s593e028ae76841afbf99ad886bbf7fc0SENU">55-1B-13</span></a><span xml:space="preserve" class="s593e028ae76841afbf99ad886bbf7fc0SENU">. </span><span class="s593e028ae76841afbf99ad886bbf7fc0CL">Tax trust advisor--Powers and discretions.</span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0Statute"><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">The powers and discretions of a tax trust advisor must be as provided in the governing instrument and may be exercised or not exercised, in the best interests of the trust, in the sole and absolute discretion of the tax trust advisor and are binding on any other person and any other interested party, fiduciary, and excluded fiduciary. In addition to the powers and discretions granted to the tax trust advisor in the governing instrument, the tax trust advisor may also exercise any of the following powers and discretions to the extent the exercise is not prohibited under the terms of the governing instrument:</span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0StatuteNumber1"><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">(1)    Direct the trustee with respect to tax matters related to the trust, including tax elections, tax returns to be filed, positions to be taken on tax returns, tax payments to be made, and the anticipated tax impact to the trust or a beneficiary of any transaction involving the trust, including:</span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0StatuteNumber2"><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">(a)    The retention, purchase, sale, exchange, or tender of any asset of the trust;</span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0StatuteNumber2"><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">(b)    Any contribution to or distribution from the trust: or</span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0StatuteNumber2"><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">(c)    Any contribution to or distribution from an entity owned by the trust;</span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0StatuteNumber1"><span xml:space="preserve" class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">(2)    Direct the trustee to rely on any tax information received pursuant to § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-2-23" rel="noopener"><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">55-2-23</span></a><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">;</span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0StatuteNumber1"><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">(3)    Select one or more tax advisors to prepare tax returns or other related filings;</span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0StatuteNumber1"><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">(4)    Direct the trustee to sign and file tax returns;</span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0StatuteNumber1"><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">(5)    Direct the trustee with respect to any additional powers and discretions over tax-related matters provided in the governing instrument; and</span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0StatuteNumber1"><span xml:space="preserve" class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">(6)    Direct the trustee as to any tax-related powers referenced in chapter </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1A" rel="noopener"><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">55-1A</span></a><span class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont">.</span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0Normal"><span xml:space="preserve" class="s593e028ae76841afbf99ad886bbf7fc0000000"> </span></p><p dir="ltr" class="s593e028ae76841afbf99ad886bbf7fc0NoIndent"><span xml:space="preserve" class="s593e028ae76841afbf99ad886bbf7fc0DefaultParagraphFont-000001">Source: </span><span class="s593e028ae76841afbf99ad886bbf7fc0SCL">SL 2025, ch 196, § 5.</span></p></div></body></html>