The two sections of the ATC dealing with notice requirements for  irrevocable trusts are §14-10105 Default and Mandatory Rules and §14-10813 Duty to Inform and Report. A charitable organization that is expressly and irrevocably designated to receive distributions under the terms of a charitable trust or a person appointed to enforce a trust created for the care of an animal or another noncharitable purpose as provided in section 14-10408 or 14-10409 has the rights of a qualified beneficiary under this chapter. In addition, effective January 1, 2009, the Arizona legislature adopted the Arizona Trust Code, which can be found in Chapter 11 of Title 14 of the Arizona Revised Statutes. To be qualified, a trust must be set up pursuant to … "Qualified beneficiary" means a beneficiary who, on the date the beneficiary's qualification is determined: (a) Is a distributee or permissible distributee of trust income or principal. Note: Whether a person is or is not a “qualified” beneficiary is important only insofar as the duties owed to them by the trustee administering the trust. "Jurisdiction", with respect to a geographic area, includes a state or country. MAJOR REFERENCES: Uniform Trust Code (2010).d administration. Nonjudicial settlement agreements; definition: ... Noncharitable trust without ascertainable beneficiary: Sec 14-10410. For instance, if a woman establishes a trust for her beneficiaries and dies, her husband and children are qualified beneficiaries. In fact, it allows a person to be a trust beneficiary even if he or she is not currently living or ascertainable. Consider the following example of a married couple who create a typical revocable living trust and name themselves, their son, and their granddaughter as beneficiaries. Unlike a will, the contents of a living trust don’t have to be distributed in probate and are not made public record. A. If the husband dies first, an irrevocable trust comes into existence with the following conditions: 1)  The surviving wife receives all of the trust income and perhaps discretionary distributions of trust principal. They also specify which duties can be eliminated by “opt out” language in the trust document. Of course, if individuals who created the trust are also acting as trustees, these notice and reporting requirements are meaningless. The payment of income and principal to Settlors. (b) Would be a distributee or permissible distributee of trust income or principal if the interests of the distributees described in subdivision (a) of this paragraph terminated on that date. §736.0801. Default Notice Requirements vs. 2. Reproduced below are the relevant portions of both ATC sections with some portions italicized for emphasis. Chapter 11 ARIZONA TRUST CODE Article 1 General Provisions § 14-10101 Short title § 14-10102 Scope § 14-10103 Definitions ... § 14-10110 Others treated as qualified beneficiaries § 14-10111 Nonjudicial settlement agreements; definition § 14-10112 Rules of construction; Article 2 Judicial Proceedings § 14-10201 Role of court in administration of trust § 14-10202 Jurisdiction over trustee and beneficiary ... § … For example, Arizona has adopted an Arizona Trust Code (“ATC”), which stipulates that an irrevocable trust can be terminated by consent of the trustee and the beneficiaries. The Arizona Trust Code also defines circumstances when a trustee may be removed by the Court. But please remember that we do not mean to suggest that our description of the law will apply in your state -- you should talk with a local estate planning or elder law attorney. See Arizona Laws 6-401; Qualified beneficiary: means a beneficiary who, on the date the beneficiary's qualification is determined: (a) Is a distributee or permissible distributee of trust income or principal. The Arizona revocable living trust is a document created by an individual who wishes to protect their assets and leave instructions for an appointed Trustee to distribute assets to Beneficiaries when they die. Qualified Beneficiary of an irrevocabletrustfor“trustees reports and other informa-tionreasonablyrelatedtothe administration of a trust.” The term “QualifiedBeneficiary”isdefinedin§14- Mandatory Notice Requirements for Irrevocable Trusts: … During the surviving spouse’s lifetime, she is considered a “qualified” beneficiary because she is currently entitled to receive trust income and principal. Arizona’s trust code provides one way for Arizona courts to assert jurisdiction over even a Texas trust. But please remember that we do not mean to suggest that our description of the law will apply in your state — you should talk with a local estate planning or elder law attorney. “Resident trust” means a trust of which the fiduciary is a resident of this state. ... are qualified. A Court may also remove a trustee on its own initiative. Arizona’s legislature made this law retroactive … This is the most important trust law development in Arizona history. See Arizona Laws 14-10103; Real property: Land, and all immovable … Default Notice Requirements vs. "Person" means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, … Because these definitions are fairly difficult to understand, hopefully the following example will illustrate these differences between these two classes of beneficiaries. On a vacancy in a trusteeship, unless a cotrustee remains in office, a report must be sent to the qualified beneficiaries by the former trustee. ... ment of the qualified beneficiaries to the appointment of a successor trustee.15 All of the representation rules still require that there be no conflict of interest between the The trustee shall notify the qualified beneficiaries of a proposed transfer of a … A. If reasonable under the circumstances, a trustee may respond to a request for information related to the administration of the trust from a beneficiary who is not a qualified beneficiary. The one class is very broad, and the other is more limited. These two classes of beneficiaries are defined in subsections 2 and 14 of Section 14-10103 of the Arizona Revised Code. In addition, the ATC provides that a Trustee can, upon notice to all “qualified… The son is also a “qualified” beneficiary because he would be entitled to receive income and principal upon his mother’s death. 2)  When the wife dies the remaining trust assets are to be distributed outright to the couple’s son. Beneficiaries and qualified beneficiaries must be notified of their right to request portions of the trust instrument that describe the beneficiary’s interest and the right to receive trustee’s report 60 days after the trustee acquires knowledge of the creation of an irrevocable trust (which happens at the time when the original trustee has passed away). Short title ... Others treated as qualified beneficiaries: Sec 14-10111. Article 1. 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