§60-175.87. Creditor attachment of mandatory distributions.
125 words·~1 min read·
/ok/title-60-property/60-175-87A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
A. If a trust created on or after November 1, 2010, contains a spendthrift provision, a creditor shall not attach present and future mandatory distributions from the trust. A creditor shall wait until a distribution is received by a beneficiary before attachment. However, an exception creditor may attach present and future mandatory distributions for child support.
B. If a trust does not contain a spendthrift provision, a creditor may attach present and future mandatory distributions from the trust at the trust level.
C. A beneficiary holding a mandatory distribution interest may enforce the interest. A court may review the distribution discretion of a trustee if the trustee acts beyond the bounds of reasonableness. Added by Laws 2010, c. 280, § 7, eff. Nov. 1, 2010.