28A-22-10. Distribution of assets of inoperative trust.
When the facts at the time of distribution of property to a trust are such that the trust would be inoperative under the terms of the instrument creating the trust for any reason, including the death of a beneficiary, renunciation by a beneficiary, the exercise of a right to withdraw the property by a beneficiary, or the attainment of a stipulated age by a beneficiary, the personal representative or the trustee authorized or required to make the distribution of that property to the trust may distribute the property directly to the person or persons entitled to it under the terms of the instrument creating the trust without the interposition of the establishment of the trust. If only a portion of the trust would be inoperative, the property distributable to that portion of the trust may be distributed directly to the person or persons entitled to the property under the terms of the instrument creating the trust. (2001-413, s. 3.)
Structure North Carolina General Statutes
North Carolina General Statutes
Chapter 28A - Administration of Decedents' Estates
§ 28A-22-1 - Scheme of distribution; testate and intestate estates.
§ 28A-22-2 - Shares of after-born and after-adopted children.
§ 28A-22-3 - Special proceeding against unknown heirs of decedent before distribution of estate.
§ 28A-22-4 - Distribution to nonresident trustee only upon appointment of process agent.
§ 28A-22-5 - Distribution of assets in kind in satisfaction of devises and transfers in trust.
§ 28A-22-6 - Agreements with taxing authorities to secure benefit of federal marital deduction.
§ 28A-22-7 - Distribution to parent or guardian of a minor.
§ 28A-22-8 - Executor or trustee; discretion over distributions.
§ 28A-22-9 - Distribution to known but unlocated devisees or heirs.