{"data":{"id":"us-ky/krs-273.615","jurisdiction":"us-ky","citation":"KRS 273.615","heading":"Delegation of management and investment functions.","body":"(1) Subject to any specific limitation set forth in a gift instrument or in law other than\nKRS 273.600 to 273.645, an institution may delegate to an external agent the\nmanagement and investment of an institutional fund to the extent that an institution\ncould prudently delegate under the circumstances. An institution shall act in good\nfaith, with the care that an ordinarily prudent person in a like position would\nexercise under similar circumstances, in:\n(a) Selecting an agent;\n(b) Establishing the scope and ter ms of the delegation, consistent with the\npurposes of the institution and the institutional fund; and\n(c) Periodically reviewing the agent's actions in order to monitor the agent's\nperformance and compliance with the scope and terms of the delegation.\n(2) In performing a delegated function, an agent owes a duty to the institution to\nexercise reasonable care to comply with the scope and terms of the delegation.\n(3) An institution that complies with subsection (1) of this section is not liable for the\ndecisions or actions of an agent to which the function was delegated.\n(4) By accepting delegation of a management or investment function from an institution\nthat is subject to the laws of the Commonwealth, an agent submits to the\njurisdiction of the courts of the  Commonwealth in all proceedings arising from or\nrelated to the delegation or the performance of the delegated function.\n(5) An institution may delegate management and investment functions to its\ncommittees, officers, or employees as authorized by law of t he Commonwealth\nother than KRS 273.600 to 273.645.","path":["KRS Chapter 273"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=13771","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:53:25Z","sha256":"b85e45b32c63fa726e5545f7ff849e67b1e68ddaa634529b9668203ef80fcd33","source_id":"us-ky","stale":false,"prev":"us-ky/krs-273.610","next":"us-ky/krs-273.620"},"notice":"GroundRules: Original legal text. Not legal advice."}