Bill > SB1116

This bill amends the Virginia Uniform Trust Code to expand the definitions of "independent qualified trustee" and "qualified trustee" by updating language related to who can serve in these roles. Specifically, the bill replaces the previous restrictive language about being authorized "under Title 6.2 to engage in trust business" with a broader phrase "authorized by law to act as a trustee". This change essentially allows a wider range of entities and individuals to serve as trustees for self-settled spendthrift trusts. The bill maintains the existing detailed requirements for what makes a trustee "independent" or "qualified", such as not being closely related to the settlor or having their actions directed by the settlor or the settlor's close family members. The modifications aim to provide more flexibility in trust administration while preserving the legal protections and standards for trustees. The bill does not fundamentally alter the core structure of trust law but instead makes technical adjustments to expand the potential pool of trustees that can serve in these important fiduciary roles.

Justice

https://lis.virginia.gov/bill-details/20251/SB1116