23.0644.01000
Sixty-eighth
Legislative Assembly SENATE BILL NO. 2210
of North Dakota
Introduced by
Senator Klein
1 A BILL for an Act to amend and reenact section 59-09-02 of the North Dakota Century Code,
2 relating to individual retirement and employee benefit trusts.
3 BE IT ENACTED BY THE LEGISLATIVE ASSEMBLY OF NORTH DAKOTA:
4 SECTION 1. AMENDMENT. Section 59-09-02 of the North Dakota Century Code is
5 amended and reenacted as follows:
6 59-09-02. (102) Scope.
7 1. Except as provided in subsection 2, chapters 59-09, 59-10, 59-11, 59-12, 59-13,
8 59-14, 59-15, 59-16, 59-17, 59-18, and 59-19 apply to express trusts, whether
9 charitable or noncharitable and testamentary or inter vivos, and to trusts created
10 pursuant to a statute or a judgment or decree that requires the trust to be administered
11 in the manner of an express trust.
12 2. Chapters 59-09, 59-10, 59-11, 59-12, 59-13, 59-14, 59-15, 59-16, 59-17, 59-18, and
13 59-19 do not apply to:
14 a. A trust that is part of an employee benefit arrangement or an individual retirement
15 account.
16 b. A trust account established under a qualified tuition savings program pursuant to
17 section 6-09-38.
18 c.b. Trust accounts maintained on behalf of clients or customers by licensed service
19 professionals, including trust accounts maintained by attorneys pursuant to the
20 North Dakota Rules of Professional Conduct and by real estate brokers pursuant
21 to chapter 43-23.
22 d.c. An endowment care fund established by a cemetery authority pursuant to chapter
23 23-21.
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1 e.d. Funds maintained by public bodies as defined by chapter 1-07 or other
2 governmental unit entities.
3 f.e. Trust funds held for a single business transaction or an escrow arrangement.
4 g.f. Trusts created by a depository agreement with a financial institution.
5 h.g. An account maintained under the North Dakota Uniform Transfers to Minors Act
6 as contained in chapter 47-24.1.
7 i.h. A fund maintained pursuant to court order in conjunction with a bankruptcy
8 proceeding or a business liquidation.
9 j.i. A voting trust described in chapter 10-19.1.
10 k.j. Funds maintained to manage proceeds from class actions.
11 l.k. A trust created solely to secure the performance of an obligation.
12 m.l. A trust created on behalf of a resident of a residential facility.
13 n.m. A trust managed by a nonprofit association for disabled individuals under
14 42 U.S.C. 1396p(d)(4), as in effect on the effective date of chapters 59-09, 59-10,
15 59-11, 59-12, 59-13, 59-14, 59-15, 59-16, 59-17, 59-18, and 59-19 and under the
16 rules adopted by the department of health and human services.
17 o.n. A resulting or constructive trust.
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Statutes affected:
INTRODUCED: 59-09-02
Enrollment: 59-09-02