N.D. Cent. Code § 59-13-06

Current through the 2023 Legislative Sessions
Section 59-13-06 - (506) Overdue distribution
1. In this section, "mandatory distribution" means a distribution of income or principal which the trustee is required to make to a beneficiary under the terms of the trust, 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:
a. The discretion is expressed in the form of a standard of distribution; or
b. The terms of the trust authorizing a distribution couple language of discretion with language of direction.
2. 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.

N.D.C.C. § 59-13-06