North Dakota Code 59-21-01 – Definitions
In this chapter:
Terms Used In North Dakota Code 59-21-01
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- 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
- Gift: A voluntary transfer or conveyance of property without consideration, or for less than full and adequate consideration based on fair market value.
- Individual: means a human being. See North Dakota Code 1-01-49
- Person: means an individual, organization, government, political subdivision, or government agency or instrumentality. See North Dakota Code 1-01-49
- Property: includes property, real and personal. See North Dakota Code 1-01-49
- Trustee: A person or institution holding and administering property in trust.
1. “Charitable purpose” means the relief of poverty, the advancement of education, the advancement of religion, the promotion of health, or any other purpose the achievement of which is beneficial to the community.
2. “Endowment fund” means an institutional fund or part thereof that, under the terms of a gift instrument, is not wholly expendable by the institution on a current basis. The term does not include assets that an institution designates as an endowment fund for its own use.
3. “Gift instrument” means a record, including an institutional solicitation, under which property is granted to, transferred to, or held by an institution as an institutional fund.
4. “Institution” means:
a. A person, other than an individual, organized and operated exclusively for charitable purposes; b. A government or governmental entity, to the extent that it holds funds exclusively for a charitable purpose; or
c. A trust that had both charitable and noncharitable interests, after all noncharitable interests have terminated.
5. “Institutional fund” means a fund held by an institution exclusively for charitable purposes. The term does not include:
a. Program-related assets; b. A fund held for an institution by a trustee that is not an institution; c. A fund in which a beneficiary that is not an institution has an interest, other than an interest that could arise upon violation or failure of the purposes of the fund; or
d. Perpetual trust funds established by article IX of the Constitution of North Dakota.
6. “Program-related asset” means an asset held by an institution primarily to accomplish a charitable purpose of the institution and not primarily for investment.
7. “Record” means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.