59-09-08. (108) Principal place of administration

59-09-08. (108) Principal place of administration

1. Without precluding other means for establishing a sufficient connection with the

designated jurisdiction, terms of a trust designating the principal place of

administration are valid and controlling if a trustee's principal place of business is

located in or a trustee is a resident of the designated jurisdiction, or all or part of the

administration occurs in the designated jurisdiction.

2. A trustee is under a continuing duty to administer the trust at a place appropriate to its

purposes, its administration, and the interests of the beneficiaries.

3. Without precluding the right of the court to order, approve, or disapprove a transfer, the

trustee, in furtherance of the duty prescribed by subsection 2, may transfer the trust's

principal place of administration to another state or to a jurisdiction outside of the

United States.

4. The trustee shall notify the qualified beneficiaries of a proposed transfer of a trust's

principal place of administration or a proposed transfer of some or all of the trust

property to a successor trustee not less than sixty days before initiating the transfer.

The notice of proposed transfer must include the name of the jurisdiction to which the

principal place of administration is to be transferred; the address and telephone

number at the new location at which the trustee can be contacted; an explanation of

the reasons for the proposed transfer; the date on which the proposed transfer is

anticipated to occur; and the date, not less than sixty days after the giving of the

notice, by which the qualified beneficiary must notify the trustee of an objection to the

proposed transfer.

5. The authority of a trustee under this section to transfer a trust's principal place of

administration or a proposed transfer of some or all of the trust property to a successor

trustee terminates if a majority of the qualified beneficiaries notify the trustee of an

objection to the proposed transfer on or before the date specified in the notice.

6. In connection with a transfer of the trust's principal place of administration, the trustee

may transfer some or all of the trust property to a successor trustee designated in the

terms of the trust or appointed pursuant to section 59-15-04.