 |
Laws of North Carolina (Last Updated: May 12, 2015) |
 |
Chapter36C. North Carolina Uniform Trust Code. |
|
Article10. Liability of Trustees and Rights of Persons Dealing with Trustees |
§36C-10-1012. Protection of person dealing with trustee
-
(a) A person other than a beneficiary who in good faith assists a trustee, or who in good faith and for value deals with a trustee, without knowledge that the trustee is exceeding or improperly exercising the trustee's powers, is protected from liability as if the trustee properly exercised the power.
(b) A person other than a beneficiary who in good faith deals with a trustee is not required to inquire into the extent of the trustee's powers or the propriety of their exercise.
(c) A person who in good faith delivers assets to a trustee need not ensure their proper application.
(d) A person other than a beneficiary who in good faith assists a former trustee, or who in good faith and for value deals with a former trustee, without knowledge that the trusteeship has terminated is protected from liability as if the former trustee were still a trustee.
(e) Comparable protective provisions of other laws relating to commercial transactions or transfer of securities by fiduciaries prevail over the protection provided by this section.
(f) A person is not required to obtain a certification under G.S. 36C-10-1013 in order to be entitled to the protections of this section.