A. Except as otherwise provided in Subsection B of this section, if a particular charitable purpose becomes unlawful, impracticable, impossible to achieve or wasteful:

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(1)     the trust does not fail, in whole or in part;

(2)     the trust property does not revert to the settlor or the settlor’s successors in interest; and

(3)     the court may apply cy pres to modify or terminate the trust by directing that the trust property be applied or distributed, in whole or in part, in a manner consistent with the settlor’s charitable purposes.

B. A provision in the terms of a charitable trust that would result in distribution of the trust property to a noncharitable beneficiary prevails over the power of the court under Subsection A of this section to apply cy pres to modify or terminate the trust only if, when the provision takes effect:

(1)     the trust property is to revert to the settlor and the settlor is still living; or

(2)     fewer than twenty-one years have elapsed since the date of the trust’s creation.

C. The attorney general as parens patriae is a necessary party to any cy pres proceeding in the Uniform Trust Code [46A-1-101 N.M. Stat. Ann.].