Section 131: Powers and duties of fund and trustee; financial statement; amount of fund; authorized trust instrument provisions; amendments; consolidation or merger of fund; taxation
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/ma/part-i/title-xxii/chapter-164/131·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 131. A fund and the trustee shall have the rights and be subject to the legal responsibilities and obligations applicable to trusts and trustees under the General Laws, except to the extent such rights, obligations and responsibilities are in conflict with this chapter.
The fund shall annually on or before April first file with the commissioner a statement showing its financial condition as of December thirty-first of the prior year.
A fund may be established with a minimum amount of two hundred and fifty thousand dollars. Upon the petition of a trustee, the commissioner may approve such greater or lesser amount.
The trustee of a fund shall notify the commissioner of any amendment to its trust instrument within sixty days of making such amendment.
The trust instrument may provide
(a)that there shall be a minimum period during which any participant must participate in the fund;
(b)the fund may provide coverage to any participant which joins and later withdraws from the fund;
(c)that all participants shall execute a participation agreement;
(d)that the fund indemnify the trustees from all liability for his actions in good faith on behalf of the fund; and
(e)such other reasonable terms and conditions as the participants may agree upon that are consistent with the authority granted under sections one hundred and twenty-nine to one hundred and thirty-two, inclusive.
A fund may consolidate or merge with any other fund. Upon such merger or consolidation, the trustee of such funds shall notify the commissioner.
Any participant shall be considered to have insurance equivalent to commercial insurance, to the extent of limits of coverage provided by the fund, for the purposes of the requirements of insurance or commercial insurance contained in any law or any bonds, notes, mortgages, or any other agreements to which that participant is a party.
No money or any other assets in any fund shall be liable to attachment, trustee process, equitable lien or other process, or to be seized, taken, appropriated or applied by any legal or equitable process or operation of law to pay any debt or liability of any legal person except as provided in sections one hundred and twenty-nine to one hundred and thirty-two, inclusive, or in the trust instrument governing the fund.
The fund shall not be required to pay any taxes upon its income or existence and shall at all times be exempt from taxation within the commonwealth.