§ 14.5-402
175 words·~1 min read·
/md/estates-and-trusts/14-5-402·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§14.5–402.
(a)A trust is created only if:
(1)The settlor has capacity to create a trust;
(2)The settlor indicates an intention to create the trust;
(3)The trust has a definite beneficiary or is:
(i)A charitable trust;
(ii)A trust for the care of an animal, as provided in § 14.5–407 of this subtitle; or
(iii)A trust for a noncharitable purpose, as provided in § 14.5–408 of this subtitle; and
(4)The trustee has duties to perform.
(b)A beneficiary is definite if the beneficiary can be ascertained now or in the future, subject to any applicable rule against perpetuities.
(1)A power in a trustee or in another person under the terms of the trust to select a beneficiary from an indefinite class is valid.
(2)If the power described in paragraph
(1)of this subsection is not exercised within a reasonable time, the power fails and the property subject to the power passes to the persons that would have taken the property had the power not been conferred.