Current through the 2023 Regular Session
Section 72-38-413 - Cy pres(1) Except as otherwise provided in subsection (2), if a particular charitable purpose becomes unlawful, impracticable, impossible to achieve, or wasteful: (a) the trust does not fail, in whole or in part;(b) the trust property does not revert to the settlor or the settlor's successors in interest; and(c) the court may apply cy pres to modify or terminate the trust by directing that the trust property be applied or distributed, in whole or in part, in a manner consistent with the settlor's charitable purposes.(2) A provision in the terms of a charitable trust that would result in distribution of the trust property to a noncharitable beneficiary prevails over the power of the court under subsection (1) to apply cy pres to modify or terminate the trust only if, when the provision takes effect:(a) the trust property is to revert to the settlor and the settlor is still living; or(b) fewer than 21 years have elapsed since the date of the trust's creation.Added by Laws 2013, Ch. 264, Sec. 62, eff. 10/1/2013.