{"data":{"id":"us-ky/krs-386b.1-010","jurisdiction":"us-ky","citation":"KRS 386B.1-010","heading":"Definitions for chapter.","body":"As used in this chapter, unless the context requires otherwise:\n(1) \"Action\" with respect to an act of a trustee, includes a failure to act;\n(2) \"Ascertainable standard\" means a standard relating to an individual's health,\neducation, support, or maintenanc e within the meaning of 26 U.S.C. sec.\n2041(b)(1)(A) or 26 U.S.C. sec. 2514(c)(1), as amended;\n(3) \"Beneficiary\" means a person that:\n(a) Has a present or future beneficial interest in a trust, vested or contingent; or\n(b) In a capacity other than that of trustee, holds a power of appointment over\ntrust property;\n(4) \"Charitable trust\" means a trust, or part of a trust, established for a charitable\npurpose as described in KRS 386B.4-050(1);\n(5) \"Conservator\" means a person appointed by the court to administ er the estate of a\nminor or adult individual;\n(6) \"Environmental law\" means a federal, state, or local law, rule, regulation, or\nordinance relating to protection of the environment;\n(7) \"Guardian\" means a person appointed by the court, a parent, or a spouse to make\ndecisions regarding the support, care, education, health, and welfare of a minor or\nadult individual. The term shall not include a guardian ad litem;\n(8) \"Interests of the bene ficiaries\" means the beneficial interests provided in the terms\nof the trust;\n(9) \"Jurisdiction,\" with respect to a geographic area, includes a state or country;\n(10) \"Person\" means any individual or entity as defined in KRS 446.010;\n(11) \"Power of direction\":\n(a) Means a power over a trust granted to a person by the terms of the trust to the\nextent the power is exercisable while the person is not serving as a trustee;\n(b) Includes a power over the investment, management, or distribution of trust\nproperty or other matters of trust administration; and\n(c) Excludes the powers described in KRS 386B.12-040(2);\n(12) \"Power of withdrawal\" means a presently exercisable general power of appointment\nother than a power:\n(a) Exercisable by a trustee and limited by an ascertainable standard; or\n(b) Exercisable by another person only on the consent of the trustee or a person\nholding an adverse interest;\n(13) \"Property\" means anything that may be the subject of ownership, whether legal or\nequitable, or any interest therein;\n(14) \"Qualified beneficiary\" means a beneficiary who, on the date the beneficiary's\nqualification is determined:\n(a) Is a distributee or permissible distributee of trust income or principal;\n(b) Would be a distributee or permissible distributee of trust income or principal\nif the interests of the distributees described in paragraph (a) of this subsection\nended on that date without causing the trust to end; or\n(c) Would be a distributee or permissible distributee of trust income or principal\nif the trust ended on that date;\n(15) \"Revocable,\" as applied to a trust, means revocable by the settlor without the\nconsent of the trustee or a person holding an adverse interest;\n(16) \"Settlor\" means a person, including a testator, who creates or contributes property\nto a trust. If more than one (1) person creates or contributes property to a trust, each\nperson is a settlor of the part of the trust property attributable to that person's\ncontribution except to the extent another person has the power to revoke or\nwithdraw that part;\n(17) \"Spendthrift provision\" means a term of a trust which restrains both voluntary and\ninvoluntary transfer of a beneficiary's interest;\n(18) \"State\" means a state of the United States, the District of Columbia, Puerto Rico,\nthe United States Virgin Islands, or any territory or insular possession subject to the\njurisdiction of the United States. The term includes an Indian tribe or band\nrecognized by federal law or formally acknowledged by a state;\n(19) \"Terms of a trust\" means:\n(a) Except as otherwise provided in paragraph (b) of this subsection, the\nmanifestation of the settlor's intent regarding a trust's provisions as:\n1. Expressed in the trust instrument; or\n2. Established by other evidence that would be admissible in a judicial\nproceeding; or\n(b) The trust's provisions as established, determined, or amended by:\n1. A trustee or trust director in accordance with applicable law;\n2. A court order; or\n3. A nonjudicial settlement agreement under KRS 386B.1-090;\n(20) (a) \"Trust\" means an express trust established by a trust instrument, including a\nwill, whereby a trustee has the duty to administer a trust asset for the benefit\nof a named or otherwise describ ed income or principal beneficiary, or both.\nThis definition includes oral trusts.\n(b) \"Trust\" does not include a resulting or constructive trust, a business trust\nwhich provides for certificates to be issued to the beneficiary, an investment\ntrust, a voting trust, a security instrument, a trust established by the judgment\nof a court, a liquidation trust, or a trust for the primary purpose of paying\ndividends, interests, interest coupons, salaries, wages, pensions or profits, or\nemployee benefits of any kind, an instrument in which a person is nominee or\nescrowee for another, a trust established in deposits in any financial\ninstitution, or other trust the nature of which does not admit of general trust\nadministration;\n(21) \"Trust director\" means a person th at is granted power of direction by the terms of a\ntrust to the extent the power is exercisable while the person is not serving as a\ntrustee. The person is a trust director whether or not the terms of the trust refer to\nthe person as a trust director and whether or not the person is a beneficiary or settlor\nof the trust;\n(22) \"Trust instrument\" means an instrument signed by the settlor that contains terms of\nthe trust, including any amendments thereto; and\n(23) \"Trustee\" includes an original, additional, and successor trustee, and a cotrustee.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=57779","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:59:18Z","sha256":"ef932ba5726fb29ef18f1a9d43deb51e6f57e2358212a59312e1563dd2acc165","source_id":"us-ky","stale":false,"prev":"us-ky/krs-386a.9-010","next":"us-ky/krs-386b.1-020"},"notice":"GroundRules: Original legal text. Not legal advice."}