Sec. 5. (a) If the duty of the trustee in the exercise of any power conflicts with the trustee's individual interest or the trustee's interest as trustee of another trust, the power may be exercised only under one (1) of the following circumstances:
(1) The trustee receives court authorization to exercise the power with notice to interested persons as the court may direct.
(2) The trustee gives notice of the proposed action in accordance with IC 30-2-14-16 and:
(A) the trustee receives the written authorization of all interested persons to the proposed action within the period specified in the notice of the proposed action; or
(B) a beneficiary objects to the proposed action within the period specified in the notice of the proposed action, but the trustee receives court authorization to exercise the power.
(3) The exercise of the power is specifically authorized by the terms of the trust.
(b) For purposes of this section, the interest of an affiliate of the trustee will be deemed to be the interest of the trustee.
Formerly: Acts 1971, P.L.416, SEC.4. As amended by P.L.61-2006, SEC.7.
Structure Indiana Code
Title 30. Trusts and Fiduciaries
30-4-3-1.3. Revocable Trusts; Powers of Settlor; Duties of Trustees
30-4-3-1.5. Revocation or Amendment of Trust by Settlor
30-4-3-2. Power to Restrain Transfer of a Beneficiary's Interest
30-4-3-3.2. Perpetual Care Fund Trusts; Trustee Withdrawals
30-4-3-4. Exercise of Powers by Multiple, Successor, or Surviving Trustees
30-4-3-5. Conflict of Interest in Exercise of Powers
30-4-3-7. Self-Dealing; Transactions Between Trusts
30-4-3-7.5. Transactions Authorized
30-4-3-8. Duties of Co-Trustees
30-4-3-9. Duty of Trustee Under Control of Third Persons
30-4-3-10. Liability to Third Persons
30-4-3-11. Potential Liability of Trustee to Beneficiary; Remedies; Removal of Trustee
30-4-3-12. Liability for Breach of Trust by Co-Trustee
30-4-3-13. Liability of a Successor Trustee
30-4-3-14. Contribution and Indemnity
30-4-3-15. Remedies of Trustee Against Third Persons
30-4-3-16. Remedies Among Co-Trustees
30-4-3-17. Remedies of Trustee Against Beneficiary
30-4-3-18. Other Remedies of the Trustee
30-4-3-19. Relief of Trustee's Liability for Breach of Trust
30-4-3-20. Liability of Beneficiary
30-4-3-21. Remedies of Beneficiary Against Third Persons
30-4-3-22. Remedies of the Beneficiary Against the Trustee
30-4-3-23. Remedy of a Beneficiary Against a Co-Beneficiary
30-4-3-24.4. Modification or Termination of Trust by Court
30-4-3-24.5. Termination by Trustee of Trust With Value Less Than $75,000
30-4-3-25. Rescission and Reformation
30-4-3-25.5. Distribution of Terminated Trust; Payment of Federal and State Taxes
30-4-3-26. Power to Direct a Deviation From the Terms of the Trust
30-4-3-29. Removal, Resignation, and Appointment of Trustees
30-4-3-29.3. Power to Appoint a Successor Trustee
30-4-3-29.5. Corporate Trustee That Acquires Trust Due to Change in Control
30-4-3-30. Effect of This Article on the Court's Equity Powers
30-4-3-32. Trustee's Liability for Breach of Trust
30-4-3-33. Trustee Vacancies; Priority for Filling Vacancy
30-4-3-34. Petition to Determine Heirs and Interests in Trust Estate