<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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.sa4b855ec8a5243cc94dcbab24a7527d3Normal { 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.sa4b855ec8a5243cc94dcbab24a7527d3HG4 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.sa4b855ec8a5243cc94dcbab24a7527d3HG4C { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sa4b855ec8a5243cc94dcbab24a7527d3Normal-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.sa4b855ec8a5243cc94dcbab24a7527d3000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sa4b855ec8a5243cc94dcbab24a7527d3B { 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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES"><meta property="og:description" content="SDLRC Codified Law 55-2 - DUTIES AND LIABILITIES OF TRUSTEES"><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes/55-2"><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="sa4b855ec8a5243cc94dcbab24a7527d3Normal"><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3HG4">CHAPTER </span><a href="https://sdlegislature.gov/Statutes?Statute=55-2" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2</span></a></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3Normal"><span class="sa4b855ec8a5243cc94dcbab24a7527d3HG4C">DUTIES AND LIABILITIES OF TRUSTEES</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3Normal-000000"><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3000001"> </span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-1" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-1</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Trustee's obligation of good faith.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-2" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-2</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Trustee not to use property for his own benefit--Profit of trustee from use of property, extent of liability.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-3" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-3</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Transactions involving interest of trustee adverse to beneficiary prohibited--Exceptions.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-4" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-4</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Trustee's influence not to be used for his advantage.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-5" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-5</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Trustee not to assume a trust adverse to the interest of beneficiary.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-6" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-6</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Adverse interest of trustee--Information to beneficiary--Removal of trustee.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-7" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-7</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Fraud against beneficiary of trust.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-8" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-8</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Presumption against trustee.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-9" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-9</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Liability of trustee mingling trust property with his own.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-10" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-10</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Measure of liability for unauthorized use or disposal of trust property--Intent to serve interest of beneficiary.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-11" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-11</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Liability for acts of cotrustee.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-12" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-12</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Liability and duties of successor trustee for agreements, contracts or actions of predecessor fiduciary.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-13" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-13</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Notice to qualified beneficiaries of existence of trust--Written directions--Variation of right of a beneficiary to be informed--Confidentiality of trust information.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-13.1" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-13.1</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Information to be provided to excluded fiduciaries--Liability limits of trustee.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-14" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-14</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Duty to provide information regarding revocable trust and its administration.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-15" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-15</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Trustee authorized to distribute income or principal from first trust may appoint all or part in favor of trustee of second trust--Restrictions--Power of appointment to beneficiary of second trust.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-16" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-16</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Action that may not be taken by restricted trustee may be taken by another unrestricted trustee.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-17" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-17</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Conditions under which beneficiary has power to change trustees.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-18" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-18</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Exercise of power to distribute income or principal by written instrument--Notice to beneficiaries of first trust.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-19" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-19</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Exercise of power to distribute income or principal considered exercise of power of appointment.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-20" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-20</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Impermissible use of power.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-21" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-21</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Trustee's right to distribute income or principal in trust arising under law or terms of first trust not abridged.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-22" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-22</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Fiduciary duty to determine that substituted property is of equivalent value.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-23" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-23</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Excluded fiduciaries and trustees--Reliance on tax information--Applicability.</span></p><p dir="ltr" class="sa4b855ec8a5243cc94dcbab24a7527d3B"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-24" rel="noopener"><span class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">55-2-24</span></a><span xml:space="preserve" class="sa4b855ec8a5243cc94dcbab24a7527d3DefaultParagraphFont">    Notice to beneficiaries and other interested parties.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072633Normal { 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.s2072633SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072633CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072633Normal-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.s2072633DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072633000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072633SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072633SCL-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="s2072633Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-1"><span class="s2072633SENU">55-2-1</span></a><span xml:space="preserve" class="s2072633SENU">. </span><span class="s2072633CL">Trustee's obligation of good faith.</span></p><p dir="ltr" class="s2072633Normal-000000"><span class="s2072633DefaultParagraphFont">In all matters connected with his trust a trustee is bound to act in the highest good faith toward his beneficiary and may not obtain any advantage therein over the latter by the slightest misrepresentation, concealment, threat, or adverse pressure of any kind.</span></p><p dir="ltr" class="s2072633Normal"><span xml:space="preserve" class="s2072633000001"> </span></p><p dir="ltr" class="s2072633Normal"><span class="s2072633SCL">Source:</span><span xml:space="preserve" class="s2072633SCL-000002"> SDC 1939, § 59.0106.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072634Normal { 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.s2072634SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072634CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072634Normal-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.s2072634DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2072634Normal-000001 { margin-top: 0; margin-bottom: 0; text-indent: 0.25in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2072634000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072634SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072634SCL-000003 { 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="s2072634Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-2"><span class="s2072634SENU">55-2-2</span></a><span xml:space="preserve" class="s2072634SENU">. </span><span class="s2072634CL">Trustee not to use property for his own benefit--Profit of trustee from use of property, extent of liability.</span></p><p dir="ltr" class="s2072634Normal-000000"><span class="s2072634DefaultParagraphFont">A trustee may not in any manner use or deal with the trust property for his own profit or for any other purpose unconnected with the trust.</span></p><p dir="ltr" class="s2072634Normal-000001"><span class="s2072634DefaultParagraphFont">If he does so, he may, at the option of the beneficiary, be required to account for all profits thereby made or to pay the value of the use of the trust property, and if he has disposed thereof, to replace it with its fruits or to account for its proceeds with interest.</span></p><p dir="ltr" class="s2072634Normal"><span xml:space="preserve" class="s2072634000002"> </span></p><p dir="ltr" class="s2072634Normal"><span class="s2072634SCL">Source:</span><span xml:space="preserve" class="s2072634SCL-000003"> SDC 1939, § 59.0107.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072635Normal { 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.s2072635SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072635CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072635Normal-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.s2072635DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2072635Normal-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.s2072635000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072635SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072635SCL-000003 { 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="s2072635Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-3"><span class="s2072635SENU">55-2-3</span></a><span xml:space="preserve" class="s2072635SENU">. </span><span class="s2072635CL">Transactions involving interest of trustee adverse to beneficiary prohibited--Exceptions.</span></p><p dir="ltr" class="s2072635Normal-000000"><span class="s2072635DefaultParagraphFont">Neither a trustee nor any of his agents may take part in any transaction concerning the trust in which he or anyone for whom he acts as agent has an interest, present or contingent, adverse to that of his beneficiary, except as follows:</span></p><p dir="ltr" class="s2072635Normal-000001"><span class="s2072635DefaultParagraphFont">(1)    When the beneficiary does have the capacity to contract and, with a full knowledge of the motives of the trustee and of all other facts concerning the transaction which might affect his own decision and without the use of any influence on the part of the trustee, permits the trustee to do so;</span></p><p dir="ltr" class="s2072635Normal-000001"><span class="s2072635DefaultParagraphFont">(2)    When the beneficiary does not have the capacity to contract but the circuit court, upon the like information of the facts, grants the like permission;</span></p><p dir="ltr" class="s2072635Normal-000001"><span class="s2072635DefaultParagraphFont">(3)    When some of the beneficiaries have the capacity to contract and some do not have it and the former grant permission for themselves and the circuit court for the latter in the manner above prescribed; or</span></p><p dir="ltr" class="s2072635Normal-000001"><span class="s2072635DefaultParagraphFont">(4)    When the instrument creating the trust expressly grants permission to the trustee to buy, sell or lease property for the trust from or to the trust.</span></p><p dir="ltr" class="s2072635Normal"><span xml:space="preserve" class="s2072635000002"> </span></p><p dir="ltr" class="s2072635Normal"><span class="s2072635SCL">Source:</span><span xml:space="preserve" class="s2072635SCL-000003"> SDC 1939, § 59.0108; SL 1981, ch 354, § 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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072636Normal { 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.s2072636SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072636CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072636Normal-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.s2072636DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072636000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072636SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072636SCL-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="s2072636Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-4"><span class="s2072636SENU">55-2-4</span></a><span xml:space="preserve" class="s2072636SENU">. </span><span class="s2072636CL">Trustee's influence not to be used for his advantage.</span></p><p dir="ltr" class="s2072636Normal-000000"><span class="s2072636DefaultParagraphFont">A trustee may not use the influence which his position gives him to obtain any advantage from his beneficiary.</span></p><p dir="ltr" class="s2072636Normal"><span xml:space="preserve" class="s2072636000001"> </span></p><p dir="ltr" class="s2072636Normal"><span class="s2072636SCL">Source:</span><span xml:space="preserve" class="s2072636SCL-000002"> SDC 1939, § 59.0109.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072637Normal { 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.s2072637SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072637CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072637Normal-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.s2072637DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072637000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072637SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072637SCL-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="s2072637Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-5"><span class="s2072637SENU">55-2-5</span></a><span xml:space="preserve" class="s2072637SENU">. </span><span class="s2072637CL">Trustee not to assume a trust adverse to the interest of beneficiary.</span></p><p dir="ltr" class="s2072637Normal-000000"><span class="s2072637DefaultParagraphFont">No trustee so long as he remains in the trust may undertake another trust adverse in its nature to the interest of his beneficiary in the subject of the trust without the consent of the latter.</span></p><p dir="ltr" class="s2072637Normal"><span xml:space="preserve" class="s2072637000001"> </span></p><p dir="ltr" class="s2072637Normal"><span class="s2072637SCL">Source:</span><span xml:space="preserve" class="s2072637SCL-000002"> SDC 1939, § 59.0110.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072638Normal { 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.s2072638SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072638CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072638Normal-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.s2072638DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072638000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072638SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072638SCL-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="s2072638Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-6"><span class="s2072638SENU">55-2-6</span></a><span xml:space="preserve" class="s2072638SENU">. </span><span class="s2072638CL">Adverse interest of trustee--Information to beneficiary--Removal of trustee.</span></p><p dir="ltr" class="s2072638Normal-000000"><span class="s2072638DefaultParagraphFont">If a trustee acquires any interest or becomes charged with any duty adverse to the interest of his beneficiary in the subject of the trust, he must immediately inform the latter thereof and may be at once removed.</span></p><p dir="ltr" class="s2072638Normal"><span xml:space="preserve" class="s2072638000001"> </span></p><p dir="ltr" class="s2072638Normal"><span class="s2072638SCL">Source:</span><span xml:space="preserve" class="s2072638SCL-000002"> SDC 1939, § 59.0111.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072639Normal { 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.s2072639SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072639CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072639Normal-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.s2072639DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072639000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072639SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072639SCL-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="s2072639Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-7"><span class="s2072639SENU">55-2-7</span></a><span xml:space="preserve" class="s2072639SENU">. </span><span class="s2072639CL">Fraud against beneficiary of trust.</span></p><p dir="ltr" class="s2072639Normal-000000"><span xml:space="preserve" class="s2072639DefaultParagraphFont">Every violation of the provisions of §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-1"><span class="s2072639DefaultParagraphFont">55-2-1</span></a><span xml:space="preserve" class="s2072639DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-6"><span class="s2072639DefaultParagraphFont">55-2-6</span></a><span class="s2072639DefaultParagraphFont">, inclusive, is a fraud against the beneficiary of the trust.</span></p><p dir="ltr" class="s2072639Normal"><span xml:space="preserve" class="s2072639000001"> </span></p><p dir="ltr" class="s2072639Normal"><span class="s2072639SCL">Source:</span><span xml:space="preserve" class="s2072639SCL-000002"> SDC 1939, § 59.0112.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072640Normal { 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.s2072640SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072640CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072640Normal-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.s2072640DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072640000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072640SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072640SCL-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="s2072640Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-8"><span class="s2072640SENU">55-2-8</span></a><span xml:space="preserve" class="s2072640SENU">. </span><span class="s2072640CL">Presumption against trustee.</span></p><p dir="ltr" class="s2072640Normal-000000"><span class="s2072640DefaultParagraphFont">All transactions between a trustee and his beneficiary during the existence of the trust or while the influence acquired by the trustee remains, by which he obtains any advantage from his beneficiary, are presumed to be entered into by the latter without sufficient consideration and under undue influence.</span></p><p dir="ltr" class="s2072640Normal"><span xml:space="preserve" class="s2072640000001"> </span></p><p dir="ltr" class="s2072640Normal"><span class="s2072640SCL">Source:</span><span xml:space="preserve" class="s2072640SCL-000002"> SDC 1939, § 59.0113.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072641Normal { 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.s2072641SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072641CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072641Normal-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.s2072641DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072641000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072641SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072641SCL-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="s2072641Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-9"><span class="s2072641SENU">55-2-9</span></a><span xml:space="preserve" class="s2072641SENU">. </span><span class="s2072641CL">Liability of trustee mingling trust property with his own.</span></p><p dir="ltr" class="s2072641Normal-000000"><span class="s2072641DefaultParagraphFont">A trustee who willfully and unnecessarily mingles the trust property with his own so as to constitute himself in appearance its absolute owner is liable for its safety in all events.</span></p><p dir="ltr" class="s2072641Normal"><span xml:space="preserve" class="s2072641000001"> </span></p><p dir="ltr" class="s2072641Normal"><span class="s2072641SCL">Source:</span><span xml:space="preserve" class="s2072641SCL-000002"> SDC 1939, § 59.0114.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072642Normal { 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.s2072642SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072642CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072642Normal-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.s2072642DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072642000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072642SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072642SCL-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="s2072642Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-10"><span class="s2072642SENU">55-2-10</span></a><span xml:space="preserve" class="s2072642SENU">. </span><span class="s2072642CL">Measure of liability for unauthorized use or disposal of trust property--Intent to serve interest of beneficiary.</span></p><p dir="ltr" class="s2072642Normal-000000"><span class="s2072642DefaultParagraphFont">A trustee who uses or disposes of the trust property in any manner not authorized by the trust but in good faith and with intent to serve the interest of the beneficiary is liable only to make good whatever is lost to the beneficiary by his error.</span></p><p dir="ltr" class="s2072642Normal"><span xml:space="preserve" class="s2072642000001"> </span></p><p dir="ltr" class="s2072642Normal"><span class="s2072642SCL">Source:</span><span xml:space="preserve" class="s2072642SCL-000002"> SDC 1939, § 59.0115.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072643Normal { 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.s2072643SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072643CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072643Normal-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.s2072643DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072643000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072643SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072643SCL-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="s2072643Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-11"><span class="s2072643SENU">55-2-11</span></a><span xml:space="preserve" class="s2072643SENU">. </span><span class="s2072643CL">Liability for acts of cotrustee.</span></p><p dir="ltr" class="s2072643Normal-000000"><span class="s2072643DefaultParagraphFont">A trustee is responsible for the wrongful acts of a cotrustee to which he consented or which by his negligence he enabled the latter to commit, but for no others.</span></p><p dir="ltr" class="s2072643Normal"><span xml:space="preserve" class="s2072643000001"> </span></p><p dir="ltr" class="s2072643Normal"><span class="s2072643SCL">Source:</span><span xml:space="preserve" class="s2072643SCL-000002"> SDC 1939, § 59.0116.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s2083049Normal { 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.s2083049SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2083049CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2083049Statute { 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.s2083049DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2083049StatuteNumber1 { 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.s2083049StatuteNumber2 { 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.s2083049000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2083049NoIndent { 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.s2083049DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2083049SCL { 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 55-2-12 - Liability and duties of successor trustee for agreements, contracts or actions of predecessor fiduciary."><meta property="og:description" content="SDLRC Codified Law 55-2-12 - Liability and duties of successor trustee for agreements, contracts or actions of predecessor fiduciary."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes?Statute=55-2-12"><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="s2083049Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-12" rel="noopener"><span class="s2083049SENU">55-2-12</span></a><span xml:space="preserve" class="s2083049SENU">. </span><span xml:space="preserve" class="s2083049CL">Liability and duties of successor trustee for agreements, contracts or actions of predecessor fiduciary. </span></p><p dir="ltr" class="s2083049Statute"><span class="s2083049DefaultParagraphFont">Unless otherwise provided in the trust agreement, a successor trustee:</span></p><p dir="ltr" class="s2083049StatuteNumber1"><span class="s2083049DefaultParagraphFont">(1)    Is not individually liable for actions or inactions of a predecessor fiduciary, including agreements, contracts accountings, records, distributions, investments, modifications, reformations, or other acts entered into by its predecessor fiduciary; and</span></p><p dir="ltr" class="s2083049StatuteNumber1"><span class="s2083049DefaultParagraphFont">(2)    Does not have a duty to:</span></p><p dir="ltr" class="s2083049StatuteNumber2"><span class="s2083049DefaultParagraphFont">(a)    Confirm or validate such predecessor fiduciary's actions or inactions;</span></p><p dir="ltr" class="s2083049StatuteNumber2"><span class="s2083049DefaultParagraphFont">(b)    Confirm the validity of the trust agreement; or</span></p><p dir="ltr" class="s2083049StatuteNumber2"><span class="s2083049DefaultParagraphFont">(c)    Prosecute or seek redress for any action or inaction by the predecessor fiduciary.</span></p><p dir="ltr" class="s2083049Normal"><span xml:space="preserve" class="s2083049000000"> </span></p><p dir="ltr" class="s2083049NoIndent"><span xml:space="preserve" class="s2083049DefaultParagraphFont-000001">Source: </span><span class="s2083049SCL">SL 1991, ch 229, § 2; SL 2021, ch 207, § 10.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.sa5dda2c9832b4267b5e85f397b442eaaNormal { 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.sa5dda2c9832b4267b5e85f397b442eaaSENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sa5dda2c9832b4267b5e85f397b442eaaCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1 { 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; } span.sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber2 { 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; } p.sa5dda2c9832b4267b5e85f397b442eaaStatute { 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; } a.sa5dda2c9832b4267b5e85f397b442eaa000000 { text-decoration: none; } span.sa5dda2c9832b4267b5e85f397b442eaa000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sa5dda2c9832b4267b5e85f397b442eaaNoIndent { 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.sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sa5dda2c9832b4267b5e85f397b442eaaSCL { 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 55-2-13 - Notice to qualified beneficiaries of existence of trust--Written directions--Variation of right of a beneficiary to be informed--Confidentiality of trust information."><meta property="og:description" content="SDLRC Codified Law 55-2-13 - Notice to qualified beneficiaries of existence of trust--Written directions--Variation of right of a beneficiary to be informed--Confidentiality of trust information."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes?Statute=55-2-13"><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="sa5dda2c9832b4267b5e85f397b442eaaNormal"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-13" rel="noopener"><span class="sa5dda2c9832b4267b5e85f397b442eaaSENU">55-2-13</span></a><span xml:space="preserve" class="sa5dda2c9832b4267b5e85f397b442eaaSENU">. </span><span class="sa5dda2c9832b4267b5e85f397b442eaaCL">Notice to qualified beneficiaries of existence of trust--Written directions--Variation of right of a beneficiary to be informed--Confidentiality of trust information.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1"><span xml:space="preserve" class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(1)    Except as otherwise provided by the terms of a trust instrument governing a revocable trust and subject to § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-2-14" rel="noopener"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">55-2-14</span></a><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">, a trustee has no duty to notify the qualified beneficiaries of the trust's existence.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(2)    Except as otherwise provided by the terms of a trust instrument governing an irrevocable trust or otherwise directed in writing by the trustor, trust advisor, or trust protector, the trustee shall:</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber2"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(a)    Notify the qualified beneficiaries of the trust's existence and of the right of the qualified beneficiary to request a copy of the trust instrument pertaining to the qualified beneficiary's interest in the trust within sixty days after the trustee has accepted trusteeship of the trust, or within sixty days after the date the trustee acquires knowledge that a formerly revocable trust has become irrevocable;</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber2"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(b)    Promptly furnish to the qualified beneficiary a copy of the trust instrument upon request by the qualified beneficiary; and</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber2"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(c)    Promptly respond to a qualified beneficiary's request for information related to the administration of the trust, unless the request is unreasonable under the circumstances.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(3)    The trustor, trust advisor, or trust protector, may, by the terms of the governing instrument, or by providing written directions to the trustee, expand, restrict, eliminate, or otherwise modify the rights of beneficiaries to information relating to a trust. Unless otherwise stated in the governing instrument, the direction of the trustor controls in the event of a conflict among written directions provided to the trustee pursuant to this section. The trustee incurs no liability for a loss or otherwise for relying upon the written directions, including an instance when the governing instrument of an irrevocable trust does not expressly authorize an expansion, restriction, or other modification of the rights of beneficiaries to information relating to a trust.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatute"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">The terms of a trust instrument governing an irrevocable trust or written directions provided pursuant to this section may expand, restrict, eliminate, or otherwise vary the right of a beneficiary to be informed of the beneficiary's interest in a trust indefinitely or for a period of time, for example:</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber2"><a id="_pagenumber11" class="sa5dda2c9832b4267b5e85f397b442eaa000000" rel="noopener"></a><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(a)    A period of time related to the age of a beneficiary;</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber2"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(b)    A period of time related to the lifetime of either a trustor or spouse of a trustor, or both;</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber2"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(c)    A period of time related to a term of years or specific date; and</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber2"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(d)    A period of time related to a specific event that is certain to occur.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1"><span xml:space="preserve" class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(4)    The terms of the governing instrument or written directions provided pursuant to this section may authorize either the trustor, trust advisor, or trust protector to appoint a representative as provided in subdivisions </span><a href="https://sdlegislature.gov/Statutes?Statute=55-18-9" rel="noopener"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">55-18-9</span></a><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(11) and (12) for the purpose of being informed, on behalf of the beneficiary, of the beneficiary's interest in a trust for the period of time that the right of a beneficiary to be informed about a beneficiary's interest is restricted or eliminated pursuant to this section.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(5)    The written directions of the trustor, whether made in the governing instrument or by separate written directions made pursuant to the governing instrument or this section, control and remain in effect upon the death of the trustor until or unless modified or revoked by a trust advisor or trust protector as permitted by the governing instrument or the trustor's written directions in effect at the time of the trustor's death. Subject to subsection (3), the written directions of a trust advisor or trust protector remain in effect until or unless a trust advisor or trust protector revokes the written directions by providing a writing to that effect to the trustee.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(6)    Any beneficiary may waive the right to the notice or information otherwise required to be furnished under this section and, with respect to future reports and other information, may withdraw a waiver previously given.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(7)    Before providing information to any qualified beneficiary, a fiduciary may require that any such qualified beneficiary or beneficiaries be bound by the same duty of confidentiality that binds the fiduciary. If trust information is sought through service of a subpoena on a fiduciary, the fiduciary may petition the court for an order that makes disclosure of trust information contingent upon the receiving party being bound by reasonable conditions to ensure the protection of confidentiality of trust information by the receiving party.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(8)    The change in the identity of a trustee, occurring as the result of a mere name change or a merger, consolidation, combination, or reorganization of a trustee, does not require notice.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(9)    For the purposes of this section, the term, qualified beneficiary, means a beneficiary that is an entity then in existence or an individual who is twenty-one years of age or older and who, on the date the beneficiary's qualification is determined:</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber2"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(a)    Is a distributee or permissible distributee of trust income or principal;</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber2"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(b)    Would be a distributee or permissible distributee of trust income or principal if the interests of the distributees terminated on that date; or</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber2"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(c)    Would be a distributee or permissible distributee of trust income or principal if the trust terminated on that date.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatute"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">However, if the distributee is then unknown because a person holds a power to change the distributee, the trustee shall give notice only to the holder of the power.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1"><span xml:space="preserve" class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(10)    For purposes of this section, the term, trust advisor, and the term, trust protector, are defined as provided in § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-1" rel="noopener"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">55-1B-1</span></a><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaStatuteNumber1"><span class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont">(11)    The provisions of this section are effective for trusts created, amended, or restated after June 30, 2002, except as otherwise directed by the trustor, trust protector, trust advisor, or other fiduciary designated by the terms of the trust. For trusts created before July 1, 2002, a trustee has no duty at common law or otherwise to notify a qualified beneficiary of the trust's existence unless otherwise directed by the trustor. The provisions of this paragraph do not apply if otherwise directed by the trustor, trust protector, trust advisor, or other fiduciary designated by the terms of the trust.</span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaNormal"><span xml:space="preserve" class="sa5dda2c9832b4267b5e85f397b442eaa000001"> </span></p><p dir="ltr" class="sa5dda2c9832b4267b5e85f397b442eaaNoIndent"><span xml:space="preserve" class="sa5dda2c9832b4267b5e85f397b442eaaDefaultParagraphFont-000002">Source: </span><span class="sa5dda2c9832b4267b5e85f397b442eaaSCL">SL 2002, ch 100, § 15; SL 2007, ch 247, § 8; SL 2008, ch 257, § 10; SL 2009, ch 252, § 16; SL 2010, ch 232, § 1; SL 2011, ch 212, § 8; SL 2017, ch 204, § 17; SL 2017, ch 208, § 30; SL 2018, ch 275, § 25; SL 2020, ch 206, § 12; SL 2023, ch 161, § 7.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.sfd15b10c32074c61a0127e0a5f79d9d4Normal { 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.sfd15b10c32074c61a0127e0a5f79d9d4SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sfd15b10c32074c61a0127e0a5f79d9d4CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.sfd15b10c32074c61a0127e0a5f79d9d4Statute { 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.sfd15b10c32074c61a0127e0a5f79d9d4DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sfd15b10c32074c61a0127e0a5f79d9d4StatuteNumber1 { 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; } span.sfd15b10c32074c61a0127e0a5f79d9d4000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sfd15b10c32074c61a0127e0a5f79d9d4NoIndent { 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.sfd15b10c32074c61a0127e0a5f79d9d4DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sfd15b10c32074c61a0127e0a5f79d9d4SCL { 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 55-2-13.1 - Information to be provided to excluded fiduciaries--Liability limits of trustee."><meta property="og:description" content="SDLRC Codified Law 55-2-13.1 - Information to be provided to excluded fiduciaries--Liability limits of trustee."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes?Statute=55-2-13.1"><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="sfd15b10c32074c61a0127e0a5f79d9d4Normal"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-13.1" rel="noopener"><span class="sfd15b10c32074c61a0127e0a5f79d9d4SENU">55-2-13.1</span></a><span xml:space="preserve" class="sfd15b10c32074c61a0127e0a5f79d9d4SENU">. </span><span class="sfd15b10c32074c61a0127e0a5f79d9d4CL">Information to be provided to excluded fiduciaries--Liability limits of trustee.</span></p><p dir="ltr" class="sfd15b10c32074c61a0127e0a5f79d9d4Statute"><span class="sfd15b10c32074c61a0127e0a5f79d9d4DefaultParagraphFont">A trust advisor, trust protector, or other fiduciary designated by the terms of the trust shall keep each excluded fiduciary designated by the terms of the trust reasonably informed about:</span></p><p dir="ltr" class="sfd15b10c32074c61a0127e0a5f79d9d4StatuteNumber1"><span class="sfd15b10c32074c61a0127e0a5f79d9d4DefaultParagraphFont">(1)    The administration of the trust with respect to any specific duty or function being performed by the trust advisor, trust protector, or other fiduciary to the extent that the duty or function would normally be performed by the excluded fiduciary or to the extent that providing such information to the excluded fiduciary is reasonably necessary for the excluded fiduciary to perform its duties; and</span></p><p dir="ltr" class="sfd15b10c32074c61a0127e0a5f79d9d4StatuteNumber1"><span xml:space="preserve" class="sfd15b10c32074c61a0127e0a5f79d9d4DefaultParagraphFont">(2)    Any other material information that the excluded fiduciary would be required to disclose to the qualified beneficiaries, regardless of whether the terms of the trust relieve the excluded fiduciary from providing such information to the qualified beneficiaries pursuant to § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-2-13" rel="noopener"><span class="sfd15b10c32074c61a0127e0a5f79d9d4DefaultParagraphFont">55-2-13</span></a><span class="sfd15b10c32074c61a0127e0a5f79d9d4DefaultParagraphFont">.</span></p><p dir="ltr" class="sfd15b10c32074c61a0127e0a5f79d9d4Statute"><span class="sfd15b10c32074c61a0127e0a5f79d9d4DefaultParagraphFont">The limitation of the liability of the excluded fiduciary is not affected by the performance of the actions required above or the failure of a trust advisor, trust protector, or other fiduciary designated pursuant to the terms of the governing instrument, to perform any such actions.</span></p><p dir="ltr" class="sfd15b10c32074c61a0127e0a5f79d9d4Normal"><span xml:space="preserve" class="sfd15b10c32074c61a0127e0a5f79d9d4000000"> </span></p><p dir="ltr" class="sfd15b10c32074c61a0127e0a5f79d9d4NoIndent"><span xml:space="preserve" class="sfd15b10c32074c61a0127e0a5f79d9d4DefaultParagraphFont-000001">Source: </span><span class="sfd15b10c32074c61a0127e0a5f79d9d4SCL">SL 2023, ch 161, § 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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072646Normal { 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.s2072646SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072646CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072646Normal-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.s2072646DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2072646Normal-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.s2072646000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072646SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072646SCL-000003 { 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="s2072646Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-14"><span class="s2072646SENU">55-2-14</span></a><span xml:space="preserve" class="s2072646SENU">. </span><span class="s2072646CL">Duty to provide information regarding revocable trust and its administration.</span></p><p dir="ltr" class="s2072646Normal-000000"><span class="s2072646DefaultParagraphFont">A trustee of a revocable trust:</span></p><p dir="ltr" class="s2072646Normal-000001"><span class="s2072646DefaultParagraphFont">(1)    Subject to subdivision 3 below, shall keep the settlor reasonably informed of the trust and its administration;</span></p><p dir="ltr" class="s2072646Normal-000001"><span class="s2072646DefaultParagraphFont">(2)    Unless otherwise provided in the trust instrument, does not have a duty to inform a trust beneficiary of the trust and its administration, other than the settlor or, if the trustor is an incapacitated person, the trustor's designated agent;</span></p><p dir="ltr" class="s2072646Normal-000001"><span class="s2072646DefaultParagraphFont">(3)    Unless otherwise provided in the trust instrument, if the trustee obtains actual knowledge that the settlor of a revocable trust is an incapacitated person and has no designated agent, the trustee may in its sole discretion keep each interested trust beneficiary, who, if the settlor were then deceased, would be a current trust beneficiary, reasonably informed of the trust and its administration. Notwithstanding the provisions of the trust instrument, upon good cause shown, the court may order the trustee to keep other beneficiaries reasonably informed of the trust and its administration.</span></p><p dir="ltr" class="s2072646Normal"><span xml:space="preserve" class="s2072646000002"> </span></p><p dir="ltr" class="s2072646Normal"><span class="s2072646SCL">Source:</span><span xml:space="preserve" class="s2072646SCL-000003"> SL 2007, ch 247, § 9.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.sba320a0c801041fd9267372aa3ee9222Normal { 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; 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margin-right: 0; margin-bottom: .001pt; } p.sba320a0c801041fd9267372aa3ee9222StatuteNumber2 { 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.sba320a0c801041fd9267372aa3ee9222000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sba320a0c801041fd9267372aa3ee9222NoIndent { 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.sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sba320a0c801041fd9267372aa3ee9222SCL { 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 55-2-15 - Trustee authorized to distribute income or principal from first trust may appoint all or part in favor of trustee of second trust--Restrictions--Power of appointment to beneficiary of second trust."><meta property="og:description" content="SDLRC Codified Law 55-2-15 - Trustee authorized to distribute income or principal from first trust may appoint all or part in favor of trustee of second trust--Restrictions--Power of appointment to beneficiary of second trust."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes/55-2-15"><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="sba320a0c801041fd9267372aa3ee9222Normal"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-15" rel="noopener"><span class="sba320a0c801041fd9267372aa3ee9222SENU">55-2-15</span></a><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222SENU">. </span><span class="sba320a0c801041fd9267372aa3ee9222CL">Trustee authorized to distribute income or principal from first trust may appoint all or part in favor of trustee of second trust--Restrictions--Power of appointment to beneficiary of second trust.</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222Statute"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">Unless the terms of the governing instrument expressly provide otherwise, if a trustee has discretion under the terms of a governing instrument to make a distribution of income or principal to or for the benefit of one or more beneficiaries of a trust (the "first trust"), whether or not restricted by any standard, then the trustee, independently or with court approval, may exercise discretion by appointing part or all of the income or principal subject to the discretion in favor of a trustee of a second trust (the "second trust") under a governing instrument separate from the governing instrument of the first trust. Before exercising the discretion to appoint and distribute assets to the second trust, the trustee of the first trust shall determine whether the appointment is necessary or desirable after taking into account the purposes of the first trust, the terms and conditions of the second trust, and the consequences of the distribution.</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222Statute"><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">For the purposes of this section, a trustee of the first trust is a restricted trustee if either the trustee is a beneficiary of the first trust or if a beneficiary of the first trust has a power to change the trustees within the meaning of § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-2-17" rel="noopener"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">55-2-17</span></a><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">.</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222Statute"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">In addition, the following apply to all appointments made under this section:</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber1"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(1)    The second trust may only have as beneficiaries one or more of the beneficiaries of the first trust:</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber2"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(a)    To or for whom a discretionary distribution of income or principal may be made from the first trust;</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber2"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(b)    To or for whom a distribution of income or principal may be made in the future from the first trust at a time or upon the happening of an event specified under the first trust; or</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber2"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(c)    Both subsections (a) and (b);</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber1"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(2)    A restricted trustee of the first trust may not exercise authority over the first trust to the extent that doing so could have the effect of:</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber2"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(a)    Benefiting the restricted trustee as a beneficiary of the first trust, unless the exercise of authority is limited by an ascertainable standard based on or related to health, education, maintenance, or support; or</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber2"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(b)    Removing restrictions on discretionary distributions to a beneficiary imposed by the governing instrument under which the first trust was created, except that a provision in the second trust, which limits distributions by an ascertainable standard based on or related to the health, education, maintenance, or support of any beneficiary, is permitted, or to a trust pursuant to 42 U.S.C. § 1396p(d)(4) (January 1, 2025);</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber1"><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(3)    A restricted trustee of the first trust may not exercise authority over the first trust to the extent that doing so would have the effect of increasing the distributions that can be made from the second trust to the restricted trustees of the first trust or to a beneficiary who may change the trustees of the first trust within the meaning of § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-2-17" rel="noopener"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">55-2-17</span></a><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont"> compared to the distributions that can be made to the trustee or beneficiary, as the case may be, under the first trust, unless the exercise of authority is limited by an ascertainable standard based on or related to health, education, maintenance, or support;</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber1"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(4)    The provisions of subdivisions (2) and (3) only apply to restrict the authority of a trustee if either a trustee, or a beneficiary who may change the trustee, is a United States citizen or domiciliary under the Internal Revenue Code, or the trust owns property that would be subject to United States estate or gift taxes if owned directly by the person;</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber1"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(5)    In the case of any trust contributions that have been treated as gifts qualifying for the exclusion from gift tax described in 26 U.S.C. § 2503(b) (January 1, 2026), by reason of the application of 26 U.S.C. § 2503(c) (January 1, 2026), the governing instrument for the second trust must provide that the beneficiary's remainder interest vests no later than the date upon which the interest would have vested under the terms of the governing instrument for the first trust;</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber1"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(6)    The exercise of authority may not reduce any income interest of any income beneficiary of any of the following trusts:</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber2"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(a)    A trust for which a marital deduction has been taken for federal tax purposes under 26 U.S.C. § 2056 or 2523 (January 1, 2026) or for state tax purposes under any comparable provision of applicable state law;</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber2"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(b)    A charitable remainder trust under 26 U.S.C. § 664 (January 1, 2026); or</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber2"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(c)    A grantor retained annuity or unitrust trust under 26 U.S.C. § 2702 (January 1, 2026);</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber1"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(7)    The exercise of authority does not apply to trust property subject to a presently exercisable power of withdrawal held by a trust beneficiary to whom, or for the benefit of whom, the trustee has authority to make distributions, unless after the exercise of authority, the beneficiary's power of withdrawal is unchanged with respect to the trust property;</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber1"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(8)    The exercise of authority is not prohibited by a spendthrift clause or by a provision in the governing instrument, which prohibits amendment or revocation of the trust;</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber1"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(9)    Any appointment made by a trustee is considered a distribution by the trustee pursuant to the trustee's distribution powers and authority; and</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222StatuteNumber1"><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">(10)    If the trustee's distribution discretion is not subject to a standard, or if the trustee's distribution discretion is subject to a standard that does not create a support interest, then the court may review the trustee's determination or any related appointment only pursuant to § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1-43" rel="noopener"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">55-1-43</span></a><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">. Any other court review of the trustee's determination or any related appointment may be made only pursuant to § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1-42" rel="noopener"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">55-1-42</span></a><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">.</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222Statute"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">Notwithstanding the foregoing provisions of this section, the governing instrument of the second trust may grant a power of appointment to one or more of the beneficiaries of the second trust who are beneficiaries of the first trust. The power of appointment may include the power to appoint trust property to the holder of the power of appointment, the holder's creditors, the holder's estate, the creditors of the holder's estate, or any other person, whether or not the person is a trust beneficiary.</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222Statute"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">A trustee's power described in this section may be exercised by either an actual distribution of property to one or more second trusts or by modifying the terms of the first trust to create the second trust with or without an actual distribution. If the power is exercised by modifying the terms of the first trust, the trustee may treat the second trust created by the modification as a new trust, in which case property of the first trust would be transferred to the second trust, or treat the second trust as a continuation of the first trust, for titling purposes, in which case property of the first trust would not need to be retitled.</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222Statute"><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">In the case of an exercise of the power that is structured as a trustee's modification of the first trust, notwithstanding § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-2-18" rel="noopener"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">55-2-18</span></a><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">, the trustee shall provide at least twenty days' advance written notice to the qualified beneficiaries, applying chapter </span><a href="https://sdlegislature.gov/Statutes?Statute=55-18" rel="noopener"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">55-18</span></a><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">, unless the trustee receives written waivers of the notice from the qualified beneficiaries.</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222Statute"><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">The trustee's power, which is described in and constrained by this section, remains separate and distinct from trust reformation or termination under §§ </span><a href="https://sdlegislature.gov/Statutes?Statute=55-3-24" rel="noopener"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">55-3-24</span></a><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes?Statute=55-3-26" rel="noopener"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">55-3-26</span></a><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">, inclusive, </span><a href="https://sdlegislature.gov/Statutes?Statute=55-3-28" rel="noopener"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">55-3-28</span></a><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">, and other provisions of law allowing trust modifications.</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222Statute"><span class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont">This section applies to any trust administered under the laws of this state, including a trust for which the governing jurisdiction is transferred to this state.</span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222Normal"><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222000000"> </span></p><p dir="ltr" class="sba320a0c801041fd9267372aa3ee9222NoIndent"><span xml:space="preserve" class="sba320a0c801041fd9267372aa3ee9222DefaultParagraphFont-000001">Source: </span><span class="sba320a0c801041fd9267372aa3ee9222SCL">SL 2007, ch 281, § 1; SL 2008, ch 257, § 11; SL 2009, ch 252, § 17; SL 2011, ch 212, § 10; SL 2012, ch 233, § 4; SL 2013, ch 239, § 16; SL 2017, ch 204, § 18; SL 2021, ch 207, § 4; SL 2025, ch 196, § 6; SL 2026, ch 198, § 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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072648Normal { 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.s2072648SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072648CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072648Normal-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.s2072648DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072648000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072648SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072648SCL-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="s2072648Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-16"><span class="s2072648SENU">55-2-16</span></a><span xml:space="preserve" class="s2072648SENU">. </span><span class="s2072648CL">Action that may not be taken by restricted trustee may be taken by another unrestricted trustee.</span></p><p dir="ltr" class="s2072648Normal-000000"><span class="s2072648DefaultParagraphFont">Any action that may not be taken by a trustee of the first trust by reason of the restrictions in subdivision 55-2-15(2) may instead be taken by any other trustee of the first trust who is not so restricted, or, if none, by the next available party who can be a successor trustee and who is not so restricted. The second trust may be a trust created or administered under the laws of any jurisdiction, within or without the United States.</span></p><p dir="ltr" class="s2072648Normal"><span xml:space="preserve" class="s2072648000001"> </span></p><p dir="ltr" class="s2072648Normal"><span class="s2072648SCL">Source:</span><span xml:space="preserve" class="s2072648SCL-000002"> SL 2007, ch 281, § 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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072649Normal { 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.s2072649SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072649CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072649Normal-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.s2072649DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072649000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072649SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072649SCL-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="s2072649Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-17"><span class="s2072649SENU">55-2-17</span></a><span xml:space="preserve" class="s2072649SENU">. </span><span class="s2072649CL">Conditions under which beneficiary has power to change trustees.</span></p><p dir="ltr" class="s2072649Normal-000000"><span xml:space="preserve" class="s2072649DefaultParagraphFont">For the purposes of § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-15"><span class="s2072649DefaultParagraphFont">55-2-15</span></a><span class="s2072649DefaultParagraphFont">, a beneficiary shall be considered to have the power to "change the trustees" if he or she can, alone or with others, name himself or herself as a trustee or can remove a trustee and replace that trustee with a new trustee who is the beneficiary or who is related or subordinate (as defined in § 672 of the I.R.C.) to the beneficiary.</span></p><p dir="ltr" class="s2072649Normal"><span xml:space="preserve" class="s2072649000001"> </span></p><p dir="ltr" class="s2072649Normal"><span class="s2072649SCL">Source:</span><span xml:space="preserve" class="s2072649SCL-000002"> SL 2007, ch 281, § 3; SL 2009, ch 252, § 18.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072650Normal { 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.s2072650SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072650CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072650Normal-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.s2072650DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072650000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072650SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072650SCL-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="s2072650Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-18"><span class="s2072650SENU">55-2-18</span></a><span xml:space="preserve" class="s2072650SENU">. </span><span class="s2072650CL">Exercise of power to distribute income or principal by written instrument--Notice to beneficiaries of first trust.</span></p><p dir="ltr" class="s2072650Normal-000000"><span xml:space="preserve" class="s2072650DefaultParagraphFont">The exercise of the power to distribute the income or principal of the trust under § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-15"><span class="s2072650DefaultParagraphFont">55-2-15</span></a><span xml:space="preserve" class="s2072650DefaultParagraphFont"> shall be by an instrument in writing, signed and acknowledged by the trustee and filed with the records of the trust. The trustee of the first trust may notify the beneficiaries of the first trust, in writing, prior to the effective date of the trustee's exercise of the power under § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-15"><span class="s2072650DefaultParagraphFont">55-2-15</span></a><span xml:space="preserve" class="s2072650DefaultParagraphFont"> (applying chapter </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-18"><span class="s2072650DefaultParagraphFont">55-18</span></a><span xml:space="preserve" class="s2072650DefaultParagraphFont">). A copy of the exercise of this authority and the second trust agreement shall satisfy this notice provision. For the purposes of this section, the term, beneficiaries, means those persons who would be entitled to notice and a copy of the first trust instrument under § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-13"><span class="s2072650DefaultParagraphFont">55-2-13</span></a><span class="s2072650DefaultParagraphFont">.</span></p><p dir="ltr" class="s2072650Normal"><span xml:space="preserve" class="s2072650000001"> </span></p><p dir="ltr" class="s2072650Normal"><span class="s2072650SCL">Source:</span><span xml:space="preserve" class="s2072650SCL-000002"> SL 2007, ch 281, § 4; SL 2009, ch 252, § 19; SL 2013, ch 239, § 17; SL 2017, ch 208, § 31.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072651Normal { 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.s2072651SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072651CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072651Normal-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.s2072651DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072651000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072651SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072651SCL-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="s2072651Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-19"><span class="s2072651SENU">55-2-19</span></a><span xml:space="preserve" class="s2072651SENU">. </span><span class="s2072651CL">Exercise of power to distribute income or principal considered exercise of power of appointment.</span></p><p dir="ltr" class="s2072651Normal-000000"><span xml:space="preserve" class="s2072651DefaultParagraphFont">The exercise of the power to distribute the income or principal of the trust under § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-15"><span class="s2072651DefaultParagraphFont">55-2-15</span></a><span xml:space="preserve" class="s2072651DefaultParagraphFont"> shall be considered the exercise of a power of appointment (other than a power to appoint to the trustee, the trustee's creditors, the trustee's estate, or the creditors of the trustee's estate).</span></p><p dir="ltr" class="s2072651Normal"><span xml:space="preserve" class="s2072651000001"> </span></p><p dir="ltr" class="s2072651Normal"><span class="s2072651SCL">Source:</span><span xml:space="preserve" class="s2072651SCL-000002"> SL 2007, ch 281, § 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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072652Normal { 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.s2072652SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072652CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072652Normal-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.s2072652DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072652000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072652SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072652SCL-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="s2072652Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-20"><span class="s2072652SENU">55-2-20</span></a><span xml:space="preserve" class="s2072652SENU">. </span><span class="s2072652CL">Impermissible use of power.</span></p><p dir="ltr" class="s2072652Normal-000000"><span xml:space="preserve" class="s2072652DefaultParagraphFont">The power under § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-15"><span class="s2072652DefaultParagraphFont">55-2-15</span></a><span xml:space="preserve" class="s2072652DefaultParagraphFont"> may not be exercised to suspend the power to alienate trust property or extend the first trust beyond the permissible period of any rule against perpetuities applicable to the first trust.</span></p><p dir="ltr" class="s2072652Normal"><span xml:space="preserve" class="s2072652000001"> </span></p><p dir="ltr" class="s2072652Normal"><span class="s2072652SCL">Source:</span><span xml:space="preserve" class="s2072652SCL-000002"> SL 2007, ch 281, § 6; SL 2011, ch 212, § 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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072653Normal { 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.s2072653SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072653CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072653Normal-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.s2072653DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072653000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072653SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072653SCL-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="s2072653Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-21"><span class="s2072653SENU">55-2-21</span></a><span xml:space="preserve" class="s2072653SENU">. </span><span class="s2072653CL">Trustee's right to distribute income or principal in trust arising under law or terms of first trust not abridged.</span></p><p dir="ltr" class="s2072653Normal-000000"><span xml:space="preserve" class="s2072653DefaultParagraphFont">No provision of §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-15"><span class="s2072653DefaultParagraphFont">55-2-15</span></a><span xml:space="preserve" class="s2072653DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-20"><span class="s2072653DefaultParagraphFont">55-2-20</span></a><span class="s2072653DefaultParagraphFont">, inclusive, may be construed to abridge the right of any trustee who has power to distribute income or principal in further trust which arises under statute, common law, or the terms of the first trust.</span></p><p dir="ltr" class="s2072653Normal"><span xml:space="preserve" class="s2072653000001"> </span></p><p dir="ltr" class="s2072653Normal"><span class="s2072653SCL">Source:</span><span xml:space="preserve" class="s2072653SCL-000002"> SL 2007, ch 281, § 7; SL 2009, ch 252, § 20.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2072654Normal { 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.s2072654SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072654CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2072654Normal-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.s2072654DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072654000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2072654SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2072654SCL-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="s2072654Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=55-2-22"><span class="s2072654SENU">55-2-22</span></a><span xml:space="preserve" class="s2072654SENU">. </span><span class="s2072654CL">Fiduciary duty to determine that substituted property is of equivalent value.</span></p><p dir="ltr" class="s2072654Normal-000000"><span class="s2072654DefaultParagraphFont">Notwithstanding the terms of a trust instrument, if a settlor has a power to substitute property of equivalent value, a trustee has a fiduciary duty to determine that the substituted property is of equivalent value, prior to allowing the substitution.</span></p><p dir="ltr" class="s2072654Normal"><span xml:space="preserve" class="s2072654000001"> </span></p><p dir="ltr" class="s2072654Normal"><span class="s2072654SCL">Source:</span><span xml:space="preserve" class="s2072654SCL-000002"> SL 2009, ch 252, § 21.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.sff5f909951f24d1ba048f1fe81b4c1bcNormal { 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.sff5f909951f24d1ba048f1fe81b4c1bcSENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sff5f909951f24d1ba048f1fe81b4c1bcCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.sff5f909951f24d1ba048f1fe81b4c1bcStatute { 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.sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sff5f909951f24d1ba048f1fe81b4c1bcStatuteNumber1 { 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; } span.sff5f909951f24d1ba048f1fe81b4c1bc000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.sff5f909951f24d1ba048f1fe81b4c1bcNoIndent { 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.sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.sff5f909951f24d1ba048f1fe81b4c1bcSCL { 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 55-2-23 - Excluded fiduciaries and trustees--Reliance on tax information--Applicability."><meta property="og:description" content="SDLRC Codified Law 55-2-23 - Excluded fiduciaries and trustees--Reliance on tax information--Applicability."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes/55-2-23"><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="sff5f909951f24d1ba048f1fe81b4c1bcNormal"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-23" rel="noopener"><span class="sff5f909951f24d1ba048f1fe81b4c1bcSENU">55-2-23</span></a><span xml:space="preserve" class="sff5f909951f24d1ba048f1fe81b4c1bcSENU">. </span><span class="sff5f909951f24d1ba048f1fe81b4c1bcCL">Excluded fiduciaries and trustees--Reliance on tax information--Applicability.</span></p><p dir="ltr" class="sff5f909951f24d1ba048f1fe81b4c1bcStatute"><span xml:space="preserve" class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">An excluded fiduciary, as defined in § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-1B-1" rel="noopener"><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">55-1B-1</span></a><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">, who receives tax information regarding an asset or entity owned by the trust, any trustee of a trust that holds an asset or entity owned by the trust but who does not manage the asset or entity, and any trustee who receives tax information from the settlor, the settlor's agents, a tax trust advisor, or other individuals regarding matters that have tax implications to the trust or trust beneficiaries, may rely, without liability, on tax information it receives in any of the above situations. By way of example, if a trustee holds in trust a limited liability company interest but does not manage the limited liability company, the trustee may rely, without limitation, on any tax information received from the manager of the limited liability company or its accountant or agents.</span></p><p dir="ltr" class="sff5f909951f24d1ba048f1fe81b4c1bcStatute"><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">The tax information that a trustee may rely on in the above situations may include the following:</span></p><p dir="ltr" class="sff5f909951f24d1ba048f1fe81b4c1bcStatuteNumber1"><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">(1)    The accuracy of any information reported on a tax return;</span></p><p dir="ltr" class="sff5f909951f24d1ba048f1fe81b4c1bcStatuteNumber1"><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">(2)    A copy of a tax return provided by the tax return preparer or the taxpayer filing the return;</span></p><p dir="ltr" class="sff5f909951f24d1ba048f1fe81b4c1bcStatuteNumber1"><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">(3)    The representation of another fiduciary or tax advisor who filed or prepared a tax return as to the amount of any item reported on that return;</span></p><p dir="ltr" class="sff5f909951f24d1ba048f1fe81b4c1bcStatuteNumber1"><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">(4)    The settlor's representation regarding whether a gift or generation skipping transfer tax form has ever been filed, as well as how much of the respective exemptions have been utilized; or</span></p><p dir="ltr" class="sff5f909951f24d1ba048f1fe81b4c1bcStatuteNumber1"><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">(5)    The direction from the grantor's or settlor's tax advisors based upon any contribution or distribution, or both, for the appropriate tax filings.</span></p><p dir="ltr" class="sff5f909951f24d1ba048f1fe81b4c1bcStatute"><span xml:space="preserve" class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">An entity, for purposes of this section, is defined as set out in subdivisions </span><a href="https://sdlegislature.gov/Statutes?Statute=47-34A-101" rel="noopener"><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">47-34A-101</span></a><span xml:space="preserve" class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">(7) and </span><a href="https://sdlegislature.gov/Statutes?Statute=47-34A-101" rel="noopener"><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">47-34A-101</span></a><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">(13).</span></p><p dir="ltr" class="sff5f909951f24d1ba048f1fe81b4c1bcStatute"><span class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont">This section applies to any trust in existence on or created on or after July 1, 2012.</span></p><p dir="ltr" class="sff5f909951f24d1ba048f1fe81b4c1bcNormal"><span xml:space="preserve" class="sff5f909951f24d1ba048f1fe81b4c1bc000000"> </span></p><p dir="ltr" class="sff5f909951f24d1ba048f1fe81b4c1bcNoIndent"><span xml:space="preserve" class="sff5f909951f24d1ba048f1fe81b4c1bcDefaultParagraphFont-000001">Source: </span><span class="sff5f909951f24d1ba048f1fe81b4c1bcSCL">SL 2012, ch 233, § 21; SL 2025, ch 196, § 7.</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 55-2 - DUTIES AND LIABILITIES OF TRUSTEES</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s50820077d09241f0a2bd55bc68fd0b1aNormal { 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.s50820077d09241f0a2bd55bc68fd0b1aSENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s50820077d09241f0a2bd55bc68fd0b1aCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s50820077d09241f0a2bd55bc68fd0b1aStatute { 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.s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s50820077d09241f0a2bd55bc68fd0b1aStatuteNumber1 { 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; } span.s50820077d09241f0a2bd55bc68fd0b1a000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s50820077d09241f0a2bd55bc68fd0b1aNoIndent { 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.s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s50820077d09241f0a2bd55bc68fd0b1aSCL { 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 55-2-24 - Notice to beneficiaries and other interested parties."><meta property="og:description" content="SDLRC Codified Law 55-2-24 - Notice to beneficiaries and other interested parties."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes?Statute=55-2-24"><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="s50820077d09241f0a2bd55bc68fd0b1aNormal"><a href="https://sdlegislature.gov/Statutes?Statute=55-2-24" rel="noopener"><span class="s50820077d09241f0a2bd55bc68fd0b1aSENU">55-2-24</span></a><span xml:space="preserve" class="s50820077d09241f0a2bd55bc68fd0b1aSENU">. </span><span class="s50820077d09241f0a2bd55bc68fd0b1aCL">Notice to beneficiaries and other interested parties.</span></p><p dir="ltr" class="s50820077d09241f0a2bd55bc68fd0b1aStatute"><span xml:space="preserve" class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">Except as otherwise provided by chapter </span><a href="https://sdlegislature.gov/Statutes?Statute=21-22" rel="noopener"><span class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">21-22</span></a><span xml:space="preserve" class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">, § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-4-58" rel="noopener"><span class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">55-4-58</span></a><span xml:space="preserve" class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">, or by the terms of a governing instrument, and in addition to the methods of notice allowed or mandated by title 15, notice to beneficiaries and other persons interested in a trust pursuant to § </span><a href="https://sdlegislature.gov/Statutes?Statute=55-2-13" rel="noopener"><span class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">55-2-13</span></a><span xml:space="preserve" class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont"> or otherwise may be carried out by means of any of the following methods:</span></p><p dir="ltr" class="s50820077d09241f0a2bd55bc68fd0b1aStatuteNumber1"><span class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">(1)    By delivery to the person, to the person's last known address, or to an address supplied by the person;</span></p><p dir="ltr" class="s50820077d09241f0a2bd55bc68fd0b1aStatuteNumber1"><span class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">(2)    By U.S. mail, postage prepaid, addressed to the person at the person's last known address, or to an address supplied by the person;</span></p><p dir="ltr" class="s50820077d09241f0a2bd55bc68fd0b1aStatuteNumber1"><span class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">(3)    By facsimile to a facsimile number of such person;</span></p><p dir="ltr" class="s50820077d09241f0a2bd55bc68fd0b1aStatuteNumber1"><span xml:space="preserve" class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">(4)    By electronic communication, as defined by subdivision </span><a href="https://sdlegislature.gov/Statutes?Statute=55-19-1" rel="noopener"><span class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">55-19-1</span></a><span class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">(12); or</span></p><p dir="ltr" class="s50820077d09241f0a2bd55bc68fd0b1aStatuteNumber1"><span class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont">(5)    By posting on or sending to an electronic network or site accessible via the internet, mobile application, computer, mobile device, tablet, or any other electronic device, together with separate notice of the posting provided to the person in conformity with subdivisions (1), (2), (3), or (4) of this section.</span></p><p dir="ltr" class="s50820077d09241f0a2bd55bc68fd0b1aNormal"><span xml:space="preserve" class="s50820077d09241f0a2bd55bc68fd0b1a000000"> </span></p><p dir="ltr" class="s50820077d09241f0a2bd55bc68fd0b1aNoIndent"><span xml:space="preserve" class="s50820077d09241f0a2bd55bc68fd0b1aDefaultParagraphFont-000001">Source: </span><span class="s50820077d09241f0a2bd55bc68fd0b1aSCL">SL 2023, ch 161, § 9.</span></p></div></body></html>