§ 37A-1-104.9. Applicability. - North Carolina Statutes

§ 37A‑1‑104.9. Applicability.

This Part shall apply to alltrusts in existence on, or created after January 1, 2004, unless (i) thegoverning instrument contains a provision clearly expressing the settlor'sintention that the current beneficiary or beneficiaries are to receive anamount other than a reasonable current return from the trust, (ii) the trust isa trust described in section 170(f)(2)(B), section 664(d), section 2702(a)(3),or section 2702(b) of the Code, (iii) the trust is a trust under which anyamount is, or has been in the past, set aside permanently for charitablepurposes unless the income from the trust also is devoted permanently tocharitable purposes, or (iv) the governing instrument expressly prohibits useof this Part by specific reference to this Part, or expressly states thesettlor's intent that net income not be calculated as a unitrust amount. Aprovision in the governing instrument that "the provisions of Part 2 ofArticle 1 of Chapter 37A of the General Statutes or any corresponding provisionof future law, shall not be used in the administration of this trust." or"the trustee shall not determine the distributions to the incomebeneficiary as a unitrust amount." or similar words reflecting that intentis sufficient to preclude the use of this Part. (2003‑232, s. 2; 2005‑244,s. 5; 2007‑106, s. 50.)