Sec. 34.25.055. Conveyances to or from trusts.

364 words·~2 min read·/ak/title-34/chapter-25/34-25-055·

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)A person, including a trustee, may convey real property to a trust whether or not a trustee of the trust is named as a grantee in the instrument of conveyance. A trustee of a trust may convey real property from a trust whether or not a trustee of the trust is named as a grantor in the instrument of conveyance.

(b)In a conveyance under

(a)of this section, notice of the existence of the trust does not affect the status of a purchaser as a bona fide purchaser.

(c)Real property that is owned by a trust and that is purchased by a bona fide purchaser from a person in the person's capacity as trustee of the trust is acquired free of any claim of the beneficiaries of the trust.

(d)Notwithstanding other provisions of law, a trust instrument may not change the effect of

(c)of this section.

(e)In this section,

(1)“bona fide purchaser” means a person who purchases real property for value from a trust and who

(A)has not knowingly been a party to fraud or illegality affecting the interest of persons who are parties to the purchase transaction or beneficiaries of the trust;

(B)does not have notice of an adverse claim by a beneficiary of the trust; and

(C)has acted in good faith in the purchase transaction;

(2)“conveyance” means a conveyance made before, on, or after August 9, 2000;

(3)“purchaser” means a person who acquires real property by sale, lease, mortgage, pledge, or lien, or who otherwise deals with real property in a voluntary transaction other than by making a gift;

(4)“real property” includes an interest in real property;

(5)“value” means acquisition of property

(A)in return for a binding commitment to extend credit;

(B)as security for or in total or partial satisfaction of a claim that existed before the giving of the security;

(C)by accepting delivery of the real property under a contract that is for the purchase of the real property and that existed before the delivery; or

(D)in return for other consideration sufficient to support a contract.