633.4214  Duties with regard to discretionary powers.

1.  A trustee shall exercise a discretionary power within the bounds of reasonable judgment and in accordance with applicable fiduciary principles and the terms of the trust.

2.  Notwithstanding the use of such terms as "absolute", "sole", or "uncontrolled" in the grant of discretion, a trustee shall act in accordance with fiduciary principles and shall not act in bad faith or in disregard of the purposes of the trust or the power. Absent an abuse of discretion, a trustee's exercise of discretion is not subject to control by a court.

Section History: Recent form

  99 Acts, ch 125, §60, 109


  Section effective July 1, 2000; 99 Acts, ch 125, §109

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