Okla. Stat. tit. 60, § 60-1303: Trust instrument defined

A. For the purposes of the Oklahoma Qualified Dispositions into

Trust Act, a trust instrument is an instrument appointing a

qualified person or qualified persons for the property that is the

subject of a disposition, which instrument:

1. Expressly incorporates the law of this state to govern the

validity, construction, and administration of the trust;

2. Is irrevocable, but a trust instrument may not be deemed

revocable on account of its inclusion of one or more of the

following:

a. a transferor's power to veto a distribution from the

trust,

b. an inter vivos power of appointment, other than an

inter vivos power exercisable solely by the transferor

in favor of the transferor, the transferor's

creditors, the transferor's estate, or the creditors

of the transferor's estate,

c. a testamentary power of appointment,

d. the transferor's potential or actual receipt of

income, including rights to such income retained in

the trust instrument,

e. the transferor's potential or actual receipt of income

or principal from a charitable remainder unitrust or

charitable remainder annuity trust as such terms are

defined in Section 664 of the Internal Revenue Code of

1986, 26 U.S.C., Section 664, as of January 1, 2009,

f. the transferor's receipt each year of a percentage of

the value as determined from time to time pursuant to

the trust instrument, but not exceeding the amount

that may be defined as income under Section 643(b) of

the Internal Revenue Code of 1986, 26 U.S.C., Section

643(b), as of January 1, 2009,

g. the transferor's receipt each year of a percentage of

the value as determined from time to time pursuant to

the trust instrument, but not exceeding the amount

that may be defined as income under Section 664 of the

Internal Revenue Code of 1986, 26 U.S.C., Section

643(b), as of January 1, 2009,

h. the transferor's potential or actual receipt or use of

principal if the potential or actual receipt or use of

principal would be the result of a qualified person,

including a qualified person acting at the direction

of a trust advisor described in this act, acting

either in the qualified person's sole discretion or

pursuant to an ascertainable standard contained in the

trust instrument,

i. the transferor's right to remove a trustee, protector,

or trust advisor and to appoint a new trustee,

protector, or trust advisor, other than a trustee who

is a related or subordinate party with respect to the

transferor within the meaning of Section 672(c) of the

Internal Revenue Code of 1986, 26 U.S.C., Section

672(c), as of January 1, 2009,

j. the transferor's potential or actual use of real

property held under a qualified personal residence

trust within the meaning of such term as described in

the regulations promulgated under Section 2702(c) of

the Internal Revenue Code of 1986, 26 U.S.C., Section

2702(c), as of January 1, 2009,

k. a pour-back provision that pours back to the

transferor's will or revocable trust all or part of

the trust assets,

l. the transferor's potential or actual receipt of income

or principal to pay, in whole or in part, income taxes

due on income of the trust if the potential or actual

receipt of income or principal is pursuant to a

provision in the trust instrument that expressly

provides for the payment of the taxes and if the

potential or actual receipt of income or principal

would be the result of a qualified person's acting in

the qualified person's discretion or pursuant to a

mandatory direction in the trust instrument or acting

at the direction of a trust advisor described in

Section 24 of this act,

m. the ability, whether pursuant to discretion,

direction, or the grantor's exercise of a testamentary

power of appointment, of a qualified person to pay,

after the death of the transferor, all or any part of

ng in

the qualified person's discretion or pursuant to a

mandatory direction in the trust instrument or acting

at the direction of a trust advisor described in

Section 24 of this act,

m. the ability, whether pursuant to discretion,

direction, or the grantor's exercise of a testamentary

power of appointment, of a qualified person to pay,

after the death of the transferor, all or any part of

the debts of the transferor outstanding at the time of

the transferor's death, the expenses of administering

the transferor's estate, or any estate or inheritance

tax imposed on or with respect to the transferor's

estate,

n. a transferor's service as a noncontrolling member of a

distribution committee that functions as a

distribution trust advisor, which is a fiduciary given

authority by the instrument to exercise all or any

portions of the powers and discretions over any

discretionary distributions of income or principal, or

o. a transferor's enjoyment of a power to reacquire the

trust corpus by substituting other property of an

equivalent value within the meaning of Section

675(4)(C) of the Internal Revenue Code of 1986, 26

U.S.C., Section 675(4)(C), as of January 1, 2021, and

3. Provides that the interest of the transferor or other

beneficiary in the trust property or the income from the trust

property may not be transferred, assigned, pledged, or mortgaged,

whether voluntarily or involuntarily, before the qualified person

distributes the property or income from the property to the

beneficiary, and such provision of the trust instrument constitutes

a restriction on the transfer of the transferor's beneficial

interest in the trust that is enforceable under applicable

nonbankruptcy law within the meaning of Section 541(c)(2) of the

Bankruptcy Code, 11 U.S.C., Section 541(c)(2), as of January 1,

2009.

B. A disposition by a trustee that is not a qualified person to

a trustee that is a qualified person may not be treated as other

than a qualified disposition solely because the trust instrument

fails to meet the requirements of paragraph 1 of subsection A of

this section.