{"data":{"id":"us-ky/krs-386b.12-040","jurisdiction":"us-ky","citation":"KRS 386B.12-040","heading":"Exceptions to application of subchapter.","body":"(1) As used in this section, \"power of appointment\" means a power that enables a\nperson acting in a nonfiduciary capacity to designate a recipient of an ownership\ninterest in or another power of appointment over trust property.\n(2) The provisions of KRS 386B.12-010 to 386B.12-170 shall not apply to a:\n(a) Power of appointment;\n(b) Power to appoint or remove a trustee or trust director;\n(c) Power of a settlor over a trust to the extent the settlor has a power to revoke\nthe trust;\n(d) Power of a beneficiary over a trust to the extent the exercise or nonexercise of\nthe power affects the beneficial interest of:\n1. The beneficiary; or\n2. Another beneficiary represented by the beneficiary under KRS 386B.3 -\n010 to 386B.3 -050 with respect to the exercise or nonexercise o f the\npower; or\n(e) Power over a trust if:\n1. The terms of the trust provide that the power is held in a nonfiduciary\ncapacity; and\n2. The power must be held in a nonfiduciary capacity to achieve the\nsettlor's tax objectives under the United States Internal Revenue Code of\n1986, as amended, and regulations issued thereunder, as amended.\n(3) Unless the terms of a trust provide otherwise, a  power granted to a person to\ndesignate a recipient of an ownership interest in or power of appointment over trust\nproperty which is exercisable while the person is not serving as a trustee is a power\nof appointment and not a power of direction.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=57736","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:59:19Z","sha256":"11d42c012be806fc571572ce90866e7460e9ffac9af49b9bda4de17100e75b97","source_id":"us-ky","stale":false,"prev":"us-ky/krs-386b.12-030","next":"us-ky/krs-386b.12-050"},"notice":"GroundRules: Original legal text. Not legal advice."}