SB 49 - AS INTRODUCED
SENATE BILL 49
SPONSORS: Sen. D'Allesandro, Dist 20; Sen. Bradley, Dist 3; Rep. Hunt, Ches. 11
COMMITTEE: Ways and Means
This bill expands the list of persons who may represent the interests of certain beneficiaries, clarifies the meaning of “second trust” in a decanting, and allows trustees to engage in investing strategies focused on social, environmental, governance, or other values or beliefs of the persons interested in the trust, at the express direction of those persons.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twenty One
Be it Enacted by the Senate and House of Representatives in General Court convened:
(8) A representative who is expressly appointed under the terms of the governing trust instrument, either directly or by appointment of one or more persons who are expressly authorized under the terms of the trust instrument to do so, may represent and bind one or more beneficiaries of the trust as to any matter involving the trust. A representative appointed pursuant to this paragraph shall be presumed to be a fiduciary and, unless otherwise provided under the terms of the trust, must deliver to the trustee a written acceptance of appointment as representative. A representative may not be appointed pursuant to this paragraph to represent the interests of a charitable beneficiary subject to the authority of the director of charitable trusts, as provided in statute and common law.
(a-1)(1) For purposes of this section, “second trust” means: (A) an irrevocable trust already in existence, whether created by the settlor of the first trust or a different settlor; (B) a trust that is a complete restatement of the first trust, which may be created by the authorized fiduciary of the first trust or another person as the nominal grantor; (C) the first trust as modified to create the second trust; or (D) a new trust created by the authorized fiduciary or another person as the nominal settlor for the purpose of decanting.
(2) If a second trust is created by restating or modifying the first trust: (A) the second trust may, but need not, have the same name as the first trust; and (B) the second trust may, but need not, obtain a new taxpayer identification number. If no new taxpayer identification number is obtained, the second trust may continue to use the taxpayer identification number of the first trust.
(3) All title to real property and other property owned by the first trust and all contractual rights possessed by the first trust are vested in the second trust without reversion or impairment, subject to the provisions of paragraph (b); and
(b) The prudent investor rule may be expanded, restricted, eliminated, or otherwise altered by the terms of the trust except as provided in RSA 564-B:1-105(b)(2) and (3). A trustee is not liable to a beneficiary to the extent that the trustee acted in good faith and reasonable reliance on (1) the [provisions] express terms of the trust, [or] (2) a court order, [or determined not to diversify the investments of a trust in good faith in reliance on the express terms of the trust or a court order or pursuant to] (3) RSA 564-B:9-903, or (4) RSA 564-B:9-902(c)(10).
(8) needs for liquidity, regularity of income, and preservation or appreciation of capital; [and]
(9) an asset's special relationship or special value, if any, to the purposes of the trust or to one or more of the beneficiaries[.]; and
(10) unless contrary to settlor intent or otherwise prohibited by RSA 564-B:1-111(c), for a trust not subject to RSA 292-B, the expressed wishes of the interested persons of the trust, including where applicable the director of charitable trusts as described in RSA 564-B:1-111(a), as reflected in a nonjudicial settlement agreement pursuant to RSA 564-B:1-111, to have the trustee, trust advisor, or trust protector engage in investing strategies that align with the interested persons' social, environmental, or governance objectives or other values or beliefs of the interested persons, regardless of investment performance.
|Jan. 27, 2021||Senate||Hearing|
|Feb. 4, 2021||Senate||Floor Vote|
Feb. 4, 2021: Ought to Pass: RC 23Y-1N, MA; OT3rdg; 02/04/2021; SJ 3
Feb. 4, 2021: Committee Report: Ought to Pass, 02/04/2021; Vote 5-0; CC; SC 10
Jan. 27, 2021: Remote Hearing: 01/27/2021, 01:15 pm; Links to join the hearing can be found in the Senate Calendar; SC 8
Jan. 6, 2021: Introduced 01/06/2021 and Referred to Ways and Means; SJ 3