ROBERT L. EHRLICH, JR., Governor                           H.B. 617

Article - Estates and Trusts

14-107.

(a)     (1) In this section the following words have the meanings indicated.

(2)     (i) "Beneficiary" means an ascertainable person who has a present
or future interest in a trust estate.

(ii) "Beneficiary" includes:

1.       If the beneficiary is a minor, the beneficiary's natural or
legal guardian; or

2.       If the beneficiary is a disabled person, as defined in §
13-101 of this article, any person acting on behalf of the beneficiary under a
guardianship, conservatorship, or committee.

(3)     "Corporate fiduciary" has the meaning stated in § 15-1A-01 of this
article.

(4)     "Life expectancy" means the life expectancy published in the life
tables issued by the U.S. Department of Health and Human Services from time to
time.

(5)     "Net annual income" means the gross income of a trust estate during
a fiscal year minus trust commissions and expenses attributable to income for that
fiscal year.

(b)     Subject to the provisions of this section, a corporate fiduciary acting as a
trustee may terminate a trust without an order of court if the fair market value of the
trust as of the trust's last anniversary date is [$50,000] $100,000 or less.

(c)      (1) A corporate fiduciary trustee proposing to terminate a trust under
this section shall send notice of the proposed termination to each cotrustee and each
beneficiary of the trust at the cotrustee's or beneficiary's last known address. The
notice shall be:

(i) Personally delivered; or

(ii) Mailed by registered or certified mail, postage prepaid, return
receipt requested.

(2) The notice required under paragraph (1) of this subsection shall
contain:

(i) The name of the trust;

(ii) The name of the person who created the trust;

(iii) The date on which the trust was established;

(iv) The name and address of the corporate fiduciary trustee
seeking to terminate the trust;

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