A trustee may convert a trust to a total return trust as described in this Article if all of the following apply:
         (1) The trust describes the amount that may or must
    
be distributed to a beneficiary by referring to the trust’s income, and the trustee determines that conversion to a total return trust will enable the trustee to better carry out the purposes of the trust and the conversion is in the best interests of the beneficiaries;
        (2) the trustee sends a written notice of the
    
trustee’s decision to convert the trust to a total return trust, specifying a prospective effective date for the conversion and including a copy of this Article, to all of the qualified beneficiaries; and
        (3) no qualified beneficiary objects to the
    
conversion to a total return trust in a writing delivered to the trustee within 60 days after the notice is sent.

Terms Used In Illinois Compiled Statutes 760 ILCS 3/1102

  • Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
  • Trustee: A person or institution holding and administering property in trust.
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