UTC 813. Duty to inform and report
(1)A trustee shall keep the qualified beneficiaries of the trust reasonably informed about the administration of the trust and of the material facts necessary for those beneficiaries to protect their interests. If reasonable under the circumstances, a trustee may respond to a request for information related to the administration of the trust from a beneficiary who is not a qualified beneficiary.
(2)Intentionally left blank —Ed.
(a)Upon request of a qualified beneficiary, a trustee shall promptly furnish to the qualified beneficiary a copy of the trust instrument.
(b)Within a reasonable time after accepting a trusteeship, a trustee shall notify all qualified beneficiaries of the acceptance and of the trustee’s name, address and telephone number.
(c)Except as provided in subsection (10) of this section, within a reasonable time after the date the trustee acquires knowledge of the creation of an irrevocable trust, or the date the trustee acquires knowledge that a formerly revocable trust has become irrevocable, whether by the death of the settlor or otherwise, the trustee shall notify the qualified beneficiaries of the trust’s existence, of the identity of the settlor or settlors, of the right to request a copy of the trust instrument and of the right to a trustee’s report as provided in subsection (3) of this section.
(d)A trustee shall notify the qualified beneficiaries in advance of any change in the method or rate of the trustee’s compensation.
(3)Intentionally left blank —Ed.
(a)Except as provided in subsection (10) of this section, a trustee shall send a trustee report, at least annually and upon termination of the trust, to the permissible distributees of trust income or principal and to other qualified beneficiaries who request the report. The report must include a listing of trust property and liabilities, and must show the market values of trust assets, if feasible. The report must reflect all receipts and disbursements of the trust, including the source and amount of the trustee’s compensation.
(b)Upon a vacancy in a trusteeship, unless a cotrustee remains in office, and if required by the successor trustee or the court, the former trustee shall send a trustee report for the period from the prior report, if any, through the time of vacancy to the qualified beneficiaries of the trust.
(c)A personal representative, conservator or guardian may send the qualified beneficiaries a trustee report on behalf of a deceased or financially incapable trustee.
(4)A qualified beneficiary may waive the right to a trustee report or other information otherwise required to be furnished under this section. A qualified beneficiary may withdraw a waiver at any time for the purpose of future reports and other information.
(5)A trustee may charge a reasonable fee to a beneficiary for providing information under this section.
(6)A beneficiary’s request for any information under this section must be with respect to a single trust that is sufficiently identified to enable the trustee to locate the trust’s records.
(7)If the trustee is bound by any confidentiality restrictions regarding a trust asset, any beneficiary eligible under this section to receive information about that asset must agree to be bound by the same confidentiality restrictions before receiving the information.
(8)Despite any other provision of this section, information, notice and reports required by this section shall be given only to the settlor’s spouse if:
(a)The spouse survives the settlor;
(b)The spouse is financially capable;
(c)The spouse is the only permissible distributee of the trust; and
(d)All of the other qualified beneficiaries of the trust are descendants of the spouse.
(9)Notwithstanding any other provision of this section, while the settlor of a revocable trust is alive, beneficiaries other than the settlor have no right to receive notice, information or reports under this section.
(10)A trustee need not provide a qualified beneficiary with the notice of the right to a trustee’s report under subsection (2)(c) of this section, and need not send trustee reports to the beneficiary under subsection (3) of this section, until six months after a revocable trust becomes irrevocable if the beneficiary’s only interest in the trust is a distribution of a specific item of property or distribution of a specific amount of money. The trustee must provide the notice of the right to a trustee’s report required by subsection (2)(c) of this section at the end of the six-month period if the beneficiary has not received distribution of the specific item of property or specific amount of money before the end of the period. If notice is provided to a qualified beneficiary under this subsection, the trustee must thereafter send trustee reports to the beneficiary until distribution of the specific item of property or specific amount of money. [2005 c.348 §71; 2009 c.275 §18; 2013 c.529 §19]
(2)Section 71 (2)(c) of this 2005 Act [130.710 (UTC 813. Duty to inform and report) (2)(c)] applies only to irrevocable trusts created on or after the effective date of this 2005 Act and to revocable trusts that become irrevocable on or after the effective date of this 2005 Act. [2005 c.348 §72]
Section 130.710 — UTC 813. Duty to inform and report,
Notes of Decisions
Petitioners, qualified beneficiaries of revocable trust, are entitled to obtain from trustees any information of material facts necessary to enable petitioners to protect beneficial interest under terms of trust even where material facts regard actions taken before death of settlor and before qualified beneficiaries’ right to material facts is enforceable. Tseng v. Tseng, 271 Or App 657, 352 P3d 74 (2015), Sup Ct review denied
Law Review Citations
42 WLR 187 (2006)