Utah Code 75-7-402. Requirements for creation
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(1) A trust is created only if:
Terms Used In Utah Code 75-7-402
- 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
- Person: means an individual or an organization. See Utah Code 75-1-201 v2
- Property: includes both real and personal property or any interest therein and means anything that may be the subject of ownership. See Utah Code 75-1-201 v2
- Statute: A law passed by a legislature.
- Trust: includes :(60)(a)(i) a health savings account, as defined in Section 223of the Internal Revenue Code;(60)(a)(ii) an express trust, private or charitable, with additions thereto, wherever and however created; or(60)(a)(iii) a trust created or determined by judgment or decree under which the trust is to be administered in the manner of an express trust. See Utah Code 75-1-201 v2
- Trustee: A person or institution holding and administering property in trust.
- Trustee: includes an original, additional, and successor trustee, and cotrustee, whether or not appointed or confirmed by the court. See Utah Code 75-1-201 v2
(1)(a) the settlor has capacity to create a trust, which standard of capacity shall be the same as for a person to create a will;(1)(b) the settlor indicates an intention to create the trust or a statute, judgment, or decree authorizes the creation of a trust;(1)(c) the trust has a definite beneficiary or is:(1)(c)(i) a charitable trust;(1)(c)(ii) a trust for the care of an animal, as provided in Section75-2-1001 ; or(1)(c)(iii) a trust for a noncharitable purpose, as provided in Section75-2-1001 ;(1)(d) the trustee has duties to perform; and(1)(e) the same person is not the sole trustee and sole beneficiary.
(2) A beneficiary is definite if the beneficiary can be ascertained now or in the future, subject to any applicable rule against perpetuities.
(3) A power in a trustee to select a beneficiary from an indefinite class is valid. If the power is not exercised within a reasonable time, the power fails and the property subject to the power passes to the persons who would have taken the property had the power not been conferred.