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Illinois · Through at least Public Act 104-790

760 ILCS 3/506: Overdue distribution.

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Where this section sits in the code
  1. CHAPTER 760 TRUSTS AND FIDUCIARIES
  2. Illinois Trust Code.

(a) In this Section, "mandatory distribution" means a distribution of income or principal that the trustee is required to make to a beneficiary under the trust instrument, including a distribution upon termination of the trust. The term does not include a distribution subject to the exercise of the trustee's discretion even if (1) the discretion is expressed in the form of a standard of distribution, or (2) the terms of the trust authorizing a distribution couple language of discretion with language of direction.

(b) Whether or not a trust contains a spendthrift provision, a creditor or assignee of a beneficiary may reach a mandatory distribution of income or principal, including a distribution upon termination of the trust, if the trustee has not made the distribution to the beneficiary within a reasonable time after the designated distribution date.

Collected 2026-09-15T04:46:44Z. Source file · JSON

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