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New Jersey Statutes, Title: 3B, ADMINISTRATION OF ESTATES--DECEDENTS AND OTHERS

    Chapter 31: Uniform Trust Code

      Section: 3B:31-36: Spendthrift provision.

          3B:31-36. Spendthrift Provision.

a. A spendthrift provision is valid only if it restrains both voluntary and involuntary transfer of a beneficiary's interest.

b. A term of the trust providing that the interest of a beneficiary is held subject to a "spendthrift trust," or words of similar import, is sufficient to restrain both voluntary and involuntary transfer of the beneficiary's interest.

c. A beneficiary may not transfer an interest in a trust in violation of a valid spendthrift provision and, except as otherwise provided in this article, a creditor or assignee of the beneficiary may not reach the interest or a distribution by the trustee before its receipt by the beneficiary.

d. A spendthrift provision is valid even though a beneficiary is named as the sole trustee or as a co-trustee of the trust.

e. A valid spendthrift provision does not prevent the appointment of interests through the exercise of a power of appointment.

L.2015, c.276, s.1.

This section added to the Rutgers Database: 2016-02-15 11:38:27.






Older versions of 3b:31-36 (if available):



Court decisions that cite this statute: CLICK HERE.


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