New Mexico Statutes
Article 14 - Uniform Directed Trust
Section 46-14-5 - Exclusions.

A. As used in this section, "power of appointment" means a power that enables a person acting in a nonfiduciary capacity to designate a recipient of an ownership interest in, or another power of appointment over, trust property.
B. The Uniform Directed Trust Act does not apply to a:
(1) power of appointment;
(2) power to appoint or remove a trustee or trust director;
(3) power of a settlor over a trust to the extent the settlor has a power to revoke the trust;
(4) power of a beneficiary over a trust to the extent the exercise or nonexercise of the power affects the beneficial interest of:
(a) the beneficiary; or
(b) another beneficiary represented by the beneficiary under Sections 46A-3-301 through 46A-3-305 NMSA 1978 with respect to the exercise or nonexercise of the power; or
(5) power over a trust if:
(a) the terms of the trust provide that the power is held in a nonfiduciary capacity; and
(b) the power must be held in a nonfiduciary capacity to achieve the settlor's tax objectives under the United States Internal Revenue Code of 1986, as amended, and regulations issued thereunder, as amended.
C. Unless the terms of a trust provide otherwise, a power granted to a person to designate a recipient of an ownership interest in, or power of appointment over, trust property that is exercisable while the person is not serving as a trustee is a power of appointment and not a power of direction.
History: Laws 2018, ch. 63, § 5.
Cross references. — For the federal Internal Revenue Code of 1986, see 26 U.S.C. § 1.
Effective dates. — Laws 2018, ch. 63, § 25 makes Laws 2018, ch. 63, § 5 effective January 1, 2019.