When the donor makes a discretionary charitable gift the following provisions apply:

(1) The person to whom discretion is given shall choose the charitable beneficiaries and charitable purposes within a reasonable time after having accepted the duty to select the beneficiaries or purposes of the discretionary charitable gift;

Terms Used In Tennessee Code 35-13-105

  • charitable: as used in this chapter , unless expressly indicated not to be charitable by the context in which they are used. See Tennessee Code 35-13-102
  • Charitable gift: means any gift clearly intended for charitable purposes. See Tennessee Code 35-13-102
  • Code: includes the Tennessee Code and all amendments and revisions to the code and all additions and supplements to the code. See Tennessee Code 1-3-105
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Court: means the chancery court or other court exercising equity jurisdiction or a probate court of record. See Tennessee Code 35-13-102
  • Discretionary charitable gift: means a charitable gift that has indefinite beneficiaries, objects, purposes or subjects. See Tennessee Code 35-13-102
  • Donor: The person who makes a gift.
  • Donor: means the person making the lifetime or testamentary charitable gift. See Tennessee Code 35-13-102
  • Gift: A voluntary transfer or conveyance of property without consideration, or for less than full and adequate consideration based on fair market value.
  • Personal representative: when applied to those who represent a decedent, includes executors and administrators, unless the context implies heirs and distributees. See Tennessee Code 1-3-105
  • Trustee: A person or institution holding and administering property in trust.
(2) If a donor makes a testamentary discretionary charitable gift not in trust and does not expressly designate the person to select the charitable beneficiaries or the charitable purposes, the personal representative of the donor’s estate shall select the beneficiaries or the charitable purposes, or both, of the gift;
(3) If a donor makes a testamentary discretionary charitable gift in trust and does not expressly designate the person to select the charitable beneficiaries or the charitable purposes, the trustee shall select the charitable beneficiaries or the charitable purposes, or both, of the gift and, if appropriate, shall establish a trust or charitable corporation or other legal entity to implement the discretionary charitable gift;
(4) If the court receives notice that the person having the discretion is not ready, willing or able to perform the selection duties within a reasonable time or to establish the trust or other organization, the court shall select the person to exercise the discretion. If the discretionary gift is in trust, the court may exercise the power granted under the Uniform Trust Code, compiled in chapter 15 of this title.
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