NRS 163.417
Limitations on actions of creditors and courts: Trust property not subject to trustee’s personal obligations

  • beneficial interests may not be transferred under certain circumstances.

1.

A creditor may not exercise, and a court may not order the exercise of:

(a)

A power of appointment or any other power concerning a trust that is held by a beneficiary;

(b)

Any power listed in NRS 163.5553 that is held by a trust protector as defined in NRS 163.5547 or any other person;

(c)

A trustee’s discretion to:

(1)

Distribute any discretionary interest;

(2)

Distribute any mandatory interest which is past due directly to a creditor; or

(3)

Take any other authorized action in a specific way; or

(d)

A power to distribute a beneficial interest of a trustee solely because the beneficiary is a trustee.

2.

Trust property is not subject to the personal obligations of the trustee, even if the trustee is insolvent or bankrupt.

3.

A settlor may provide in the terms of the trust instrument that a beneficiary’s beneficial interest may not be transferred, voluntarily or involuntarily, before the trustee has delivered the interest to the beneficiary.

Source: Section 163.417 — Limitations on actions of creditors and courts: Trust property not subject to trustee’s personal obligations; beneficial interests may not be transferred under certain circumstances., https://www.­leg.­state.­nv.­us/NRS/NRS-163.­html#NRS163Sec417.

Last Updated

Jun. 24, 2021

§ 163.417’s source at nv​.us