§ 36C-5-508. Protective trusts.
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§ 36C-5-508. Protective trusts.
Except with respect to an interest retained by the settlor, a "protective trust interest" means an interest in a trust in which the terms of the trust provide that the interest terminates or becomes discretionary if:
(1)The beneficiary alienates or attempts to alienate that interest; or
(2)Any creditor attempts to reach the beneficiary's interest by attachment, levy, or otherwise; or
(3)The beneficiary becomes insolvent or bankrupt. (2005-192, s. 2.)