Indiana Senate Bill SB0018 Comm Sub / Bill

                    *ES0018.1*
February 22, 2024
ENGROSSED
SENATE BILL No. 18
_____
DIGEST OF SB 18 (Updated February 21, 2024 10:39 am - DI 151)
Citations Affected:  IC 16-36; IC 23-18; IC 29-1; IC 29-3; IC 30-4;
IC 30-5; IC 32-17; IC 32-21; IC 36-2.
Synopsis:  Various probate matters. Expands the definition of a health
care representative. Creates a procedure to transfer the interest of
certain single member, limited liability companies to a legatee or heir
of the member upon the member's death. Provides that a court may
order a convicted felon to serve as a personal representative under
certain circumstances. Provides that a personal representative or a
trustee is not required to distribute particular assets based upon the
potential gain or loss that a distributee would realize if the assets were
sold. Provides that a verified petition for the issuance of a confidential 
(Continued next page)
Effective:  July 1, 2024.
Brown L, Koch, Carrasco
(HOUSE SPONSORS — TORR, JETER, STEUERWALD)
January 8, 2024, read first time and referred to Committee on Judiciary.
January 11, 2024, amended, reported favorably — Do Pass.
January 16, 2024, read second time, ordered engrossed. Engrossed.
January 29, 2024, read third time, passed. Yeas 49, nays 0.
HOUSE ACTION
February 6, 2024, read first time and referred to Committee on Judiciary.
February 22, 2024, amended, reported — Do Pass.
ES 18—LS 6017/DI 149 Digest Continued
health disclosure order must state whether the alleged incapacitated
person cannot provide or has refused to provide written authorization
for disclosure of certain medical information. Provides that a document
creating a power of attorney that does not contain a notary and
preparation statement may be recorded with the county recorder if the
document meets certain criteria. Provides signature formats for an
attorney in fact to use when signing an instrument on behalf of a
principal. Provides recording requirements when including cross-
references to a previously recorded document. Requires the
endorsement of the county auditor to record a transfer on death deed
and instrument. Specifies who an owner may designate as a grantee in
a beneficiary designation instrument. Clarifies the form and scope of
a transfer on death instrument. Makes conforming and technical
changes. (The introduced version of this bill was prepared by the
probate code study commission.)
ES 18—LS 6017/DI 149ES 18—LS 6017/DI 149 February 22, 2024
Second Regular Session of the 123rd General Assembly (2024)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in this style type, and deletions will appear in this style type.
  Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in  this  style  type. Also, the
word NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
  Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
between statutes enacted by the 2023 Regular Session of the General Assembly.
ENGROSSED
SENATE BILL No. 18
A BILL FOR AN ACT to amend the Indiana Code concerning
probate.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 16-36-7-13, AS ADDED BY P.L.50-2021,
2 SECTION 63, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3 JULY 1, 2024]: Sec. 13. As used in this chapter, "health care
4 representative" means a competent adult or other person designated
5 by a declarant in an advance directive to:
6 (1) make health care decisions; and
7 (2) receive health information;
8 regarding the declarant. The term includes a person who receives and
9 holds validly delegated authority from a designated health care
10 representative.
11 SECTION 2. IC 23-18-6-4, AS AMENDED BY P.L.156-2023,
12 SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
13 JULY 1, 2024]: Sec. 4. (a) Unless otherwise provided in a written
14 operating agreement, a limited liability company existing under this
15 article on or before June 30, 1999, is governed by this section.
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1 (b) Except as otherwise provided in a written operating agreement,
2 if a limited liability company has at least two (2) members, an assignee
3 of an interest may become a member only if the other members
4 unanimously consent. If a limited liability company has only one (1)
5 member, an assignee of the entire interest may become a member:
6 (1) under the terms of an agreement between the assignor and the
7 assignee; or
8 (2) except as otherwise provided in a written operating agreement
9 by a specific reference to this subsection or as otherwise provided
10 in an agreement between the assignor and the assignee,
11 automatically upon the voluntary assignment by the sole member
12 of all the member's interest to a single assignee that the member
13 consented to at the time of the assignment and that was not
14 affected by foreclosure or other similar legal process.
15 The consent of a member may be evidenced in any manner specified
16 in writing in an operating agreement, but in the absence of a
17 specification, consent must be evidenced by a written instrument, dated
18 and signed by the member.
19 (c) If:
20 (1) a limited liability company has one (1) member;
21 (2) the member of the limited liability company dies;
22 (3) the deceased member's interest in the limited liability
23 company is not registered in beneficiary form under
24 IC 32-17-14; and
25 (4) the limited liability company does not have a written
26 operating agreement that controls or specifies the transfer or
27 other disposition of the deceased member's interest;
28 the deceased member's interest passes as described in subsection
29 (d).
30 (d) This subsection applies to the transfer of a deceased
31 member's interest under the circumstances described in subsection
32 (c). Unless otherwise provided in a written operating agreement or
33 a valid disclaimer under IC 32-17.5, the deceased member's
34 interest in a limited liability company passes automatically upon
35 death to:
36 (1) a legatee identified in the deceased member's will admitted
37 to probate under IC 29-1-7; or
38 (2) the deceased member's heirs under IC 29-1-2-1 if the
39 deceased member died intestate.
40 A transfer of an interest under this subsection is subject to
41 IC 29-1-7-23 and does not affect the enforceability of a timely filed
42 claim by a creditor against the estate of the deceased member. A
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1 legatee or an heir is automatically admitted as a member of the
2 limited liability company under this subsection.
3 (e) If a personal representative is appointed under IC 29-1-10
4 for the estate of a deceased member described in subsection (c), the
5 personal representative possesses and may exercise all rights and
6 powers of the deceased member's interest before the interest of the
7 deceased member is distributed to the deceased member's legatees
8 or heirs under this section.
9 (c) (f) An assignee who becomes a member:
10 (1) has, to the extent assigned, the rights and powers and is
11 subject to the restrictions and liabilities of a member under the
12 articles of organization, any operating agreement, and this article;
13 and
14 (2) is liable for any obligations of the member's assignor for
15 unpaid contributions under IC 23-18-5-1 or for any wrongful
16 distributions under IC 23-18-5-7.
17 However, the assignee is not obligated for liabilities of which the
18 assignee had no knowledge at the time the assignee became a member
19 and that could not be ascertained from a written operating agreement.
20 (d) (g) Whether or not an assignee of an interest becomes a member,
21 the assignor is not released from the assignor's liability to the limited
22 liability company for unpaid contributions under IC 23-18-5-1 or for
23 any wrongful distributions under IC 23-18-5-7 that are solely a result
24 of the assignment.
25 (e) (h) Unless otherwise provided in a written operating agreement,
26 a member who assigns the member's entire interest in the limited
27 liability company ceases to be a member or to have the power to
28 exercise any rights of a member when an assignee of the member's
29 interest becomes a member with respect to the assigned interest.
30 SECTION 3. IC 23-18-6-4.1, AS AMENDED BY P.L.156-2023,
31 SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
32 JULY 1, 2024]: Sec. 4.1. (a) A limited liability company formed under
33 this article after June 30, 1999, is governed by this section.
34 (b) Except as otherwise provided in a written operating agreement,
35 if a limited liability company has at least two (2) members, an assignee
36 of an interest may become a member only if the other members
37 unanimously consent. If a limited liability company has only one (1)
38 member, an assignee of the entire interest may become a member:
39 (1) in accordance with the terms of an agreement between the
40 assignor and the assignee; or
41 (2) except as otherwise provided in a written operating agreement
42 by a specific reference to this subsection or as otherwise provided
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1 in an agreement between the assignor and the assignee,
2 automatically upon the voluntary assignment by the sole member
3 of all of the member's interest to a single assignee that the
4 member consented to at the time of the assignment and that was
5 not affected by foreclosure or other similar legal process.
6 The consent of a member may be evidenced in any manner specified
7 in writing in an operating agreement, but in the absence of a
8 specification, consent must be evidenced by a written instrument, dated
9 and signed by the member.
10 (c) If:
11 (1) a limited liability company has one (1) member;
12 (2) the member of the limited liability company dies;
13 (3) the deceased member's interest in the limited liability
14 company is not registered in beneficiary form under
15 IC 32-17-14; and
16 (4) the limited liability company does not have a written
17 operating agreement that controls or specifies the transfer or
18 other disposition of the deceased member's interest;
19 the deceased member's interest passes as described in subsection
20 (d).
21 (d) This subsection applies to the transfer of a deceased
22 member's interest under the circumstances described in subsection
23 (c). Unless otherwise provided in a written operating agreement or
24 a valid disclaimer under IC 32-17.5, the deceased member's
25 interest in a limited liability company passes automatically upon
26 death to:
27 (1) a legatee identified in the deceased member's will admitted
28 to probate under IC 29-1-7; or
29 (2) the deceased member's heirs under IC 29-1-2-1 if the
30 deceased member died intestate.
31 A transfer of an interest under this subsection is subject to
32 IC 29-1-7-23 and does not affect the enforceability of a timely filed
33 claim by a creditor against the estate of the deceased member. A
34 legatee or an heir is automatically admitted as a successor member
35 or a member of the limited liability company under this subsection.
36 (e) If a personal representative is appointed under IC 29-1-10
37 for the estate of a deceased member described in subsection (c), the
38 personal representative possesses and may exercise all rights and
39 powers of the deceased member's interest before the interest of the
40 deceased member is distributed to the deceased member's legatees
41 or heirs under this section.
42 (c) (f) An assignee who becomes a member:
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1 (1) has, to the extent assigned, the rights and powers and is
2 subject to the restrictions and liabilities of a member under the
3 articles of organization, any operating agreement, and this article;
4 and
5 (2) is liable for any obligations of the member's assignor for
6 unpaid contributions under IC 23-18-5-1 or for any wrongful
7 distributions under IC 23-18-5-7.
8 However, the assignee is not obligated for liabilities of which the
9 assignee had no knowledge at the time the assignee became a member
10 and that could not be ascertained from a written operating agreement.
11 (d) (g) Whether or not an assignee of an interest becomes a member,
12 the assignor is not released from the assignor's liability to the limited
13 liability company for unpaid contributions under IC 23-18-5-1 or for
14 any wrongful distributions under IC 23-18-5-7 that are solely a result
15 of the assignment.
16 (e) (h) Unless otherwise provided in a written operating agreement,
17 a member who assigns the member's entire interest in the limited
18 liability company ceases to be a member or to have the power to
19 exercise any rights of a member.
20 SECTION 4. IC 23-18-6-5 IS AMENDED TO READ AS
21 FOLLOWS [EFFECTIVE JULY 1, 2024]: Sec. 5. (a) A person ceases
22 to be a member of a limited liability company upon the occurrence of
23 any of the following events:
24 (1) The person withdraws from the limited liability company as
25 provided in section 6 of this chapter.
26 (2) The person ceases to be a member as provided in section 4(e)
27 or 4.1(e) 4(h) or 4.1(h) of this chapter.
28 (3) The person is removed as a member:
29 (A) in accordance with the operating agreement; or
30 (B) unless otherwise provided in a written operating
31 agreement, by the affirmative vote, approval, or consent of a
32 majority in interest of the members after the member has
33 assigned the member's entire interest in the limited liability
34 company.
35 (4) Unless otherwise provided in a written operating agreement or
36 with the written consent of all other members, in the case of a
37 member who is an individual, the individual's death.
38 (5) Unless otherwise provided in a written operating agreement or
39 with the written consent of all other members, in the case of a
40 member who is acting as a member by virtue of being a trustee of
41 a trust, the termination of the trust, but not merely the substitution
42 of a new trustee.
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1 (6) Unless otherwise provided in a written operating agreement or
2 with the written consent of all other members, in the case of a
3 member that is a partnership, limited partnership, or another
4 limited liability company, the dissolution and commencement of
5 winding up of the partnership, limited partnership, or limited
6 liability company.
7 (7) Unless otherwise provided in a written operating agreement or
8 with the written consent of all other members, in the case of a
9 member that is a corporation, the dissolution of the corporation.
10 (8) Unless otherwise provided in a written operating agreement or
11 with the written consent of all other members, in the case of a
12 member that is an estate, the distribution by the fiduciary of the
13 estate's entire interest in the limited liability company.
14 (b) A written operating agreement may provide for other events that
15 result in a person ceasing to be a member of the limited liability
16 company, including insolvency, bankruptcy, and adjudicated
17 incompetency.
18 SECTION 5. IC 23-18-9-1 IS AMENDED TO READ AS
19 FOLLOWS [EFFECTIVE JULY 1, 2024]: Sec. 1. (a) Unless otherwise
20 provided in a written operating agreement, a limited liability company
21 existing under this article on or before June 30, 1999, is governed by
22 this section.
23 (b) A limited liability company is dissolved and its affairs must be
24 wound up on the first of the following to occur:
25 (1) At the time or on the occurrence of events specified in writing
26 in the articles of organization or operating agreement.
27 (2) Written consent of all the members.
28 (3) Except as provided in IC 23-18-6-4(c), upon the death of
29 the member of a limited liability company that had one (1)
30 member, an event of dissociation occurs with respect to a
31 member, unless the business of the limited liability company is
32 continued by the consent of all the remaining members not more
33 than ninety (90) days after the occurrence of the event or as
34 otherwise provided in writing in the articles of organization or
35 operating agreement.
36 (4) Entry of a decree of judicial dissolution under section 2 of this
37 chapter.
38 SECTION 6. IC 23-18-9-1.1, AS AMENDED BY P.L.40-2013,
39 SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
40 JULY 1, 2024]: Sec. 1.1. (a) A limited liability company formed under
41 this article after June 30, 1999, is governed by this section.
42 (b) A limited liability company is dissolved and the limited liability
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1 company's affairs must be wound up when the first of the following
2 occurs:
3 (1) At the time or on the occurrence of events specified in writing
4 in the articles of organization or operating agreement.
5 (2) Subject to IC 23-18-4-4(a)(4)(A), for a limited liability
6 company:
7 (A) formed under this article after June 30, 2013, the
8 unanimous consent of the members, unless a written operating
9 agreement provides that dissolution may be authorized by the
10 vote of members holding fewer than all the interests in the
11 limited liability company or holding fewer than all interests in
12 one (1) or more classes of members; or
13 (B) formed under this article after June 30, 1999, and before
14 July 1, 2013, if there is:
15 (i) one (1) class or group of members, written consent of
16 two-thirds (2/3) in interest of the members; or
17 (ii) more than one (1) class or group of members, written
18 consent of two-thirds (2/3) in interest of each class or group
19 of members.
20 (3) Entry of a decree of judicial dissolution under section 2 of this
21 chapter.
22 (c) Except as provided in IC 23-18-6-4.1(c), upon the death of
23 the member of a limited liability company that had one (1)
24 member, a limited liability company is dissolved and the limited
25 liability company's affairs must be wound up if there are no members.
26 However, this subsection does not apply if, under a provision in the
27 operating agreement, not more than ninety (90) days after the
28 occurrence of the event that caused the last remaining member to cease
29 to be a member, either:
30 (1) the personal representative of the last remaining member
31 agrees in writing:
32 (A) to continue the business of the limited liability company;
33 and
34 (B) to the admission of the personal representative or the
35 personal representative's nominee or designee to the limited
36 liability company as a member; or
37 (2) a member is admitted to the limited liability company in the
38 manner provided for in the operating agreement specifically for
39 the admission of a member to the limited liability company after
40 the last remaining member ceases to be a member;
41 effective as of the time of the event that caused the last remaining
42 member to cease to be a member.
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1 SECTION 7. IC 29-1-8-4, AS AMENDED BY P.L.162-2022,
2 SECTION 9, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3 JULY 1, 2024]: Sec. 4. (a) As used in this section, "fiduciary" means:
4 (1) the personal representative of an unsupervised estate; or
5 (2) a person appointed by a court under this title to act on behalf
6 of the decedent or the decedent's distributees.
7 (b) Unless prohibited by order of the court and except for estates
8 being administered by supervised personal representatives, a fiduciary
9 may close an estate administered under the summary procedures of
10 section 3 of this chapter by disbursing and distributing the estate assets
11 to the distributees and other persons entitled to those assets, and by
12 filing with the court, at any time after disbursement and distribution of
13 the estate, a verified statement stating that:
14 (1) to the best knowledge of the fiduciary, the value of the gross
15 probate estate, less liens and encumbrances, did not exceed the
16 sum of:
17 (A) twenty-five thousand dollars ($25,000), for the estate of an
18 individual who dies before July 1, 2006, fifty thousand dollars
19 ($50,000), for the estate of an individual who dies after June
20 30, 2006, and before July 1, 2022, and one hundred thousand
21 dollars ($100,000), for the estate of an individual who dies
22 after June 30, 2022;
23 (B) the costs and expenses of administration; and
24 (C) reasonable funeral expenses;
25 (2) the fiduciary has fully administered the estate by disbursing
26 and distributing it to the persons entitled to it; and
27 (3) the fiduciary has sent a copy of the closing statement to all
28 distributees of the estate and to all known creditors or other
29 claimants of whom the fiduciary is aware and has furnished a full
30 accounting in writing of the administration to the distributees
31 whose interests are affected.
32 If the decedent was at least fifty-five (55) years of age at the time
33 of death and a notice of estate administration was not served upon
34 the unit under IC 29-1-7-7(d), the fiduciary shall send a copy of the
35 verified statement under this subsection to the unit by first class
36 mail.
37 (c) If no actions, claims, objections, or proceedings involving the
38 fiduciary are filed in the court within two (2) months after the closing
39 statement is filed, the closing statement filed under this section has the
40 same effect as one filed under IC 29-1-7.5-4, and the appointment of
41 the personal representative or the duties of the fiduciary, as applicable,
42 shall terminate.
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1 (d) A copy of any affidavit recorded under section 3(c) of this
2 chapter must be attached to the closing statement filed under this
3 section.
4 SECTION 8. IC 29-1-10-1, AS AMENDED BY P.L.38-2023,
5 SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
6 JULY 1, 2024]: Sec. 1. (a) Domiciliary letters testamentary or
7 domiciliary letters of general administration may be granted to one (1)
8 or more of the persons mentioned in this subsection, natural or
9 corporate, who are not disqualified, in the following order:
10 (1) To the executor or executors designated in a will that has been
11 admitted to probate.
12 (2) To a surviving spouse who is a devisee in a will that has been
13 admitted to probate.
14 (3) To a devisee in a will that has been admitted to probate.
15 (4) To the surviving spouse, or to the person or persons
16 nominated by the surviving spouse or to the surviving spouse and
17 the person or persons nominated by the surviving spouse.
18 (5) To:
19 (A) an heir;
20 (B) the person or persons nominated by an heir; or
21 (C) an heir and the person or persons nominated by an heir.
22 (6) If there is not a person listed in subdivisions (1) through (5),
23 then to any other qualified person.
24 (b) Except as provided in subsection (g), no person is qualified to
25 serve as a domiciliary personal representative who is:
26 (1) under eighteen (18) years of age;
27 (2) incapacitated unless the incapacity is caused only by:
28 (A) physical illness;
29 (B) physical impairment; or
30 (C) physical infirmity;
31 (3) a convicted felon, either under the laws of the United States or
32 of any state or territory of the United States;
33 (4) a resident corporation not authorized to act as a fiduciary in
34 this state; or
35 (5) a person whom the court finds unsuitable.
36 (c) A nonresident individual or corporate fiduciary may qualify and
37 serve as a joint personal representative with a resident personal
38 representative only by:
39 (1) filing with the court that has jurisdiction of the administration
40 of the decedent's estate a bond in an amount:
41 (A) not less than:
42 (i) the probable value of the estate's personal property; plus
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1 (ii) the estimated rents and profits to be derived from the
2 property in the estate during the probate period; and
3 (B) not greater than the probable gross value of the estate; and
4 (2) otherwise meeting the qualifications of subsection (b).
5 If the court authorizes the joint personal representative to administer
6 the estate without court supervision under IC 29-1-7.5, the court may
7 exercise its discretion under IC 29-1-7.5-2.5(c) to increase, decrease,
8 or waive the bond that the nonresident joint personal representative
9 would otherwise be required to file under this subsection.
10 (d) A nonresident individual who otherwise qualifies under
11 subsection (b) may qualify to serve as a personal representative in
12 Indiana only by filing with the court that has jurisdiction of the
13 administration of the decedent's estate:
14 (1) notice in writing of the individual's acceptance of the
15 appointment as personal representative;
16 (2) notice of the appointment of a resident agent to accept service
17 of process, notices, and other documents; and
18 (3) a bond in an amount:
19 (A) not less than:
20 (i) the probable value of the estate's personal property; plus
21 (ii) the estimated rents and profits to be derived from the
22 property in the estate during the probate period; and
23 (B) not greater than the probable gross value of the estate.
24 If the court authorizes the nonresident personal representative to
25 administer the estate without court supervision under IC 29-1-7.5, the
26 court may exercise its discretion under IC 29-1-7.5-2.5(c) to increase,
27 decrease, or waive the bond that the nonresident personal
28 representative would otherwise be required to file under subdivision
29 (3).
30 (e) If a personal representative becomes a nonresident of this state,
31 the representative remains qualified to serve only if the representative
32 files with the court that has jurisdiction of the administration of the
33 estate a bond in an amount:
34 (1) not less than:
35 (A) the probable value of the estate's personal property; plus
36 (B) the estimated rents and profits to be derived from the
37 property in the estate during the probate period; and
38 (2) not greater than the probable gross value of the estate.
39 If the court previously authorized the personal representative to
40 administer the estate without court supervision under IC 29-1-7.5, the
41 court may exercise its discretion under IC 29-1-7.5-2.5(c) to increase,
42 decrease, or waive the bond that the nonresident personal
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1 representative would otherwise be required to file under this
2 subsection.
3 (f) A nonresident individual who satisfies the conditions of
4 subsection (d) or (e) submits personally to the jurisdiction of the court
5 in any proceeding that relates to the estate of the decedent.
6 (g) A court may order that a convicted felon may serve as a
7 domiciliary personal representative upon consideration of the
8 following:
9 (1) The amount of time that has elapsed since the person was
10 convicted of a felony.
11 (2) The nature of the felony conviction.
12 (3) Whether the felony conviction is no longer a felony charge
13 under current law.
14 (4) Whether the felony conviction has been expunged.
15 (5) Whether the person's felony conviction was acknowledged
16 in the testator's will or in a consent signed by the distributees.
17 SECTION 9. IC 29-1-17-11, AS AMENDED BY P.L.41-2012,
18 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
19 JULY 1, 2024]: Sec. 11. (a) When two (2) or more distributees are
20 entitled to distribution of an undivided interest in any real or personal
21 property of the estate, distribution shall be made of undivided interests
22 in the property unless the personal representative or one (1) or more of
23 the distributees petition the court for partition not later than the hearing
24 on the petition for final distribution. If a petition is filed, the court, after
25 notice is given to all interested persons as the court directs, shall
26 proceed in accordance with IC 32-17-4-2.5. With respect to personal
27 property, the person who files for partition shall conduct a title search
28 with the bureau of motor vehicles (if the personal property is titled) or
29 a search for liens under the Uniform Commercial Code (if the personal
30 property is not titled). The person shall file a copy of the results of the
31 search with the court.
32 (b) If:
33 (1) a distribution of particular assets of a decedent is to be made
34 to two (2) or more distributees that are entitled to receive
35 fractional shares in the assets; and
36 (2) the decedent's personal representative may, under an
37 agreement among the distributees, chooses to distribute the
38 particular assets without distributing to each distributee a pro rata
39 share of each asset; However, the personal representative shall:
40 (1) the personal representative shall distribute to each distributee a
41 pro rata share of the total fair market value of all the particular assets
42 as of the date of distribution. and
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1 (2) divide the assets in a manner that results in a fair and
2 equitable division among the distributees of any capital gain or
3 loss on the assets.
4 (c) The personal representative is not required to divide and
5 distribute particular assets under subsection (b) based upon the
6 potential gain or loss that the distributee would realize if the
7 distributed assets were sold.
8 SECTION 10. IC 29-3-4-1.5, AS ADDED BY P.L.38-2023,
9 SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
10 JULY 1, 2024]: Sec. 1.5. (a) A person may file a verified petition for
11 the issuance of a confidential health disclosure order against a
12 respondent health care provider that:
13 (1) has existing health or medical records in the possession or
14 custody of the respondent health care provider that contain
15 medical evidence of capacity or incapacity about an alleged
16 incapacitated person; or
17 (2) may be able to create a report to summarize medical evidence
18 of capacity or incapacity about an alleged incapacitated person.
19 (b) A verified petition filed under this section must state the
20 following:
21 (1) The name, age, and residence address of the alleged
22 incapacitated person.
23 (2) The name and address of any legal counsel that represents the
24 alleged incapacitated person, which is known or reasonably
25 available to the petitioner.
26 (3) The name and last known address of each person described in
27 IC 29-3-6-1(a)(4)(A) through IC 29-3-6-1(a)(4)(D).
28 (4) Facts sufficient to establish that the following conditions are
29 met:
30 (A) Any person alleges that the alleged incapacitated person
31 requires the appointment of a guardian or limited guardian
32 under this article.
33 (B) The alleged incapacitated person does not possess medical
34 evidence of capacity or incapacity sufficient to establish or
35 rebut evidence that may be presented in a hearing for the
36 appointment of a guardian under IC 29-3-5-1.
37 (C) The alleged incapacitated person cannot provide or has
38 refused to provide written authorization under 45 CFR
39 164.508 for disclosure of medical evidence of capacity or
40 incapacity about the alleged incapacitated person.
41 (D) No other person is able and willing to provide a written
42 authorization under 45 CFR 164.502(g)(2) for the disclosure
ES 18—LS 6017/DI 149 13
1 of medical evidence of capacity or incapacity about the alleged
2 incapacitated person.
3 (E) The respondent health care provider possesses medical
4 evidence of capacity or incapacity about the alleged
5 incapacitated person and is not willing to disclose the medical
6 evidence of capacity or incapacity without a written
7 authorization under 45 CFR 164.508 or a court order under 45
8 CFR 164.512.
9 (5) The name and address of the respondent health care provider.
10 (6) A description of:
11 (A) the existing health or medical records or the type of
12 existing health or medical records in the possession or custody
13 of the respondent health care provider that contain medical
14 evidence of capacity or incapacity about the alleged
15 incapacitated person; or
16 (B) a narrative report sought from the respondent health care
17 provider that would identify medical evidence of capacity or
18 incapacity about the alleged incapacitated person.
19 A petition filed under this section is not a confidential case record.
20 However, any protected health information contained within the
21 petition must be excluded from the publicly filed document and must
22 be filed as a confidential document under Rule 5(B) of the Indiana
23 Rules on Access to Court Records.
24 (c) A verified petition under this section may be combined with any
25 other petition for relief filed under this article, including a petition to
26 establish a limited or full guardianship.
27 (d) If the court receives a verified petition that complies with the
28 requirements of subsection (b), the court shall issue an order to set a
29 hearing date. In the order setting the hearing date, the court shall do the
30 following:
31 (1) Appoint an attorney or guardian ad litem to represent the
32 alleged incapacitated person if the verified petition does not
33 identify an attorney under subsection (b)(2).
34 (2) State that any person with an objection to a confidential health
35 disclosure order being issued in response to a verified petition
36 filed under this section shall file a written objection not later than
37 ten (10) days prior to the hearing date set under subsection (e) or
38 shall appear in person at the hearing to testify to the objection.
39 (e) In its discretion, the court shall set the hearing required under
40 subsection (d) on a date that is as soon as practicable.
41 (f) Not later than three (3) business days after the court issues an
42 order under subsection (d), the petitioner shall serve a copy of the
ES 18—LS 6017/DI 149 14
1 verified petition and a copy of the order setting a hearing date, by first
2 class mail, upon the following:
3 (1) The respondent health care provider.
4 (2) The alleged incapacitated person or the person having
5 physical custody and care of the alleged incapacitated person.
6 (3) The alleged incapacitated person's attorney described in
7 subsection (b)(2) or the court appointed attorney or guardian ad
8 litem appointed under subsection (d)(1).
9 (4) Each individual identified in subsection (b)(3) of the verified
10 petition.
11 (5) Each respondent health care provider identified in subsection
12 (b)(5) of the verified petition.
13 (6) Any other person to whom the court directs that notice be
14 served.
15 Any person who is entitled to receive notice under this subsection may
16 waive the service of notice in writing.
17 (g) At the hearing, the petitioner has the burden of proving, by a
18 preponderance of the evidence, that the conditions alleged in
19 subsection (b)(4) are met. An individual entitled to receive notice
20 under subsection (f) may present evidence at the hearing.
21 (h) If the court finds that the petitioner has proven that the
22 conditions in subsection (b)(4) apply and it is in the best interest of the
23 alleged incapacitated person to issue a confidential health disclosure
24 order, it shall grant the verified petition and issue a confidential health
25 disclosure order that requires the respondent health care provider to:
26 (1) produce a copy of the alleged incapacitated person's medical
27 records that contain medical evidence concerning the capacity or
28 incapacity of the person; or
29 (2) prepare a written narrative report for the court with a
30 professional assessment of the capacity or incapacity of the
31 alleged incapacitated person to make personal, financial, and
32 health care decisions without substantial assistance and the
33 suitability of less restrictive alternatives to a guardianship.
34 (i) A confidential health disclosure order issued by a court under
35 this section is intended to comply with the standard in 45 CFR
36 164.512(e) for disclosure of protected health information in judicial
37 proceedings.
38 (j) The respondent health care provider shall comply with the
39 confidential health disclosure order and transmit the medical evidence
40 of capacity or incapacity of the person described in subsection (h) to
41 the court. Upon receipt of the respondent health care provider's
42 response, the court shall:
ES 18—LS 6017/DI 149 15
1 (1) serve a copy of the medical records or medical report
2 produced by the respondent health care provider to the alleged
3 incapacitated person and the alleged incapacitated person's
4 attorney or guardian ad litem, not more than five (5) days after
5 receipt of the records; and
6 (2) determine, in the court's discretion, whether it is in the best
7 interest of the alleged incapacitated person to disclose all or part
8 of the medical records or medical report produced by the
9 respondent health care provider to any other individual identified
10 in the verified petition under subsection (b)(3).
11 To make a determination under subdivision (2) concerning whether the
12 medical evidence of capacity or incapacity should be disclosed to any
13 other individual, the court shall consider all material facts and
14 circumstances stated in the filed pleadings and in any hearing record;
15 medical evidence that contains a specific diagnosis of functional
16 impairment of the alleged incapacitated person; and the likelihood that
17 a limited guardianship or full guardianship may be warranted for the
18 alleged incapacitated person in the current proceeding or a future
19 proceeding under this article.
20 (k) Unless otherwise ordered by the court, the petitioner shall bear
21 the costs and expenses incurred by the respondent health care provider
22 to comply with the confidential health disclosure order.
23 (l) The record of:
24 (1) any court hearing held under this section;
25 (2) all exhibits entered during a hearing;
26 (3) all records or reports produced by a respondent health care
27 provider in response to a confidential health disclosure order; and
28 (4) all written objections filed or entered as evidence in a
29 proceeding under this section;
30 must be filed as a nonpublic document under Rule 5 of the Indiana
31 Rules on Access to Court Records.
32 (m) Once any action filed under this article concerning the alleged
33 incapacitated person has been fully adjudicated, every individual who
34 received any records in the course of those proceedings shall destroy
35 all documents that contain medical evidence of capacity or incapacity
36 about the individual alleged to be incapacitated.
37 SECTION 11. IC 30-4-1.5-12, AS ADDED BY P.L.40-2018,
38 SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
39 JULY 1, 2024]: Sec. 12. Any interested person who petitions or
40 otherwise seeks to docket files a proceeding under this article
41 regarding an electronic trust instrument under IC 30-4-6 may file with
42 the clerk of the court a complete converted copy of the electronic trust
ES 18—LS 6017/DI 149 16
1 instrument with the clerk of the court under IC 30-4-6.
2 SECTION 12. IC 30-4-3-3, AS AMENDED BY P.L.137-2016,
3 SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
4 JULY 1, 2024]: Sec. 3. (a) Except as provided in the terms of the trust
5 and subject to subsection (c), a trustee has the power to perform
6 without court authorization, except as provided in sections 4(b) and
7 5(a) of this chapter, every act necessary or appropriate for the purposes
8 of the trust including, by way of illustration and not of limitation, the
9 following powers:
10 (1) The power to:
11 (A) deal with the trust estate;
12 (B) buy, sell, or exchange and convey or transfer all property
13 (real, personal, or mixed) for cash or on credit and at public or
14 private sale with or without notice; and
15 (C) invest and reinvest the trust estate.
16 (2) The power to receive additions to the assets of the trust.
17 (3) The power to acquire an undivided interest in a trust asset in
18 which the trustee, in any trust capacity, holds an undivided
19 interest.
20 (4) The power to manage real property in every way, including:
21 (A) the adjusting of boundaries;
22 (B) erecting, altering, or demolishing buildings;
23 (C) dedicating of streets, alleys, or other public uses;
24 (D) subdividing;
25 (E) developing;
26 (F) obtaining vacation of plats;
27 (G) granting of easements and rights-of-way;
28 (H) partitioning;
29 (I) entering into party wall agreements; and
30 (J) obtaining title insurance for trust property.
31 (5) The power to:
32 (A) grant options concerning disposition of trust property,
33 including the sale of covered security options; and
34 (B) take options for acquisition of trust property, including the
35 purchase back of previously sold covered security options.
36 (6) The power to enter into a lease as lessor or lessee, with or
37 without option to renew.
38 (7) The power to enter into arrangements for exploration and
39 removal of minerals or other natural resources and enter into a
40 pooling or unitization agreement.
41 (8) The power to continue the operation or management of any
42 business or other enterprise placed in trust.
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1 (9) The power to:
2 (A) borrow money, to be repaid from trust property or
3 otherwise; and
4 (B) encumber, mortgage, pledge, or grant a security interest in
5 trust property in connection with the exercise of any power.
6 (10) The power to:
7 (A) advance money for the benefit of the trust estate and for all
8 expenses or losses sustained in the administration of the trust;
9 and
10 (B) collect any money advanced, without interest or with
11 interest, at no more than the lowest rate prevailing when
12 advanced.
13 (11) The power to prosecute or defend actions, claims, or
14 proceedings for the protection of:
15 (A) trust property; and
16 (B) the trustee in the performance of the trustee's duties.
17 (12) The power to:
18 (A) pay or contest any claim;
19 (B) settle a claim by or against the trust by compromise or
20 arbitration; and
21 (C) abandon or release, totally or partially, any claim
22 belonging to the trust.
23 (13) The power to insure the:
24 (A) trust estate against damage or loss; and
25 (B) trustee against liability with respect to third persons.
26 (14) The power to pay taxes, assessments, and other expenses
27 incurred in the:
28 (A) acquisition, retention, and maintenance of the trust
29 property; and
30 (B) administration of the trust.
31 (15) The power to:
32 (A) vote securities, in person or by a general or special proxy;
33 (B) hold the securities in the name of a nominee if the trustee
34 is a corporate trustee; and
35 (C) effect or approve, and deposit securities in connection
36 with, any change in the form of the corporation, including:
37 (i) dissolution;
38 (ii) liquidation;
39 (iii) reorganization;
40 (iv) acquisition; and
41 (v) merger.
42 (16) The power to employ persons, including:
ES 18—LS 6017/DI 149 18
1 (A) attorneys;
2 (B) accountants;
3 (C) investment advisors; and
4 (D) agents;
5 to advise and assist the trustee in the performance of the trustee's
6 duties.
7 (17) The power to effect distribution of property in cash, in kind,
8 or partly in cash and partly in kind, in divided or undivided
9 interests.
10 (18) The power to execute and deliver all instruments necessary
11 or appropriate to accomplishing or facilitating the exercise of the
12 trustee's powers.
13 (19) With respect to an interest in a proprietorship, partnership,
14 limited liability company, business trust, corporation, or another
15 form of business or enterprise, the power to:
16 (A) continue the business or enterprise; and
17 (B) take any action that may be taken by shareholders,
18 members, or property owners, including:
19 (i) merging;
20 (ii) dissolving; or
21 (iii) changing the form of business organization or
22 contributing additional capital.
23 (20) With respect to possible liability for violation of
24 environmental law, the power to:
25 (A) inspect or investigate property:
26 (i) the trustee holds or has been asked to hold; or
27 (ii) owned or operated by an organization in which the
28 trustee holds an interest or has been asked to hold an
29 interest;
30 to determine the application of environmental law with respect
31 to the property;
32 (B) take action to prevent, abate, or remedy an actual or
33 potential violation of an environmental law affecting property
34 held directly or indirectly by the trustee before or after the
35 assertion of a claim or the initiation of governmental
36 enforcement;
37 (C) decline to accept property into the trust or disclaim any
38 power with respect to property that is or may be burdened with
39 liability for violation of environmental law;
40 (D) compromise claims against the trust that may be asserted
41 for an alleged violation of environmental law; and
42 (E) pay the expense of any inspection, review, abatement, or
ES 18—LS 6017/DI 149 19
1 remedial action to comply with environmental law.
2 (21) The power to exercise elections with respect to federal, state,
3 and local taxes.
4 (22) The power to select a mode of payment under any employee
5 benefit plan or retirement plan, annuity, or life insurance payable
6 to the trustee and exercise rights under the plan, annuity, or
7 insurance, including the right to:
8 (A) indemnification:
9 (i) for expenses; and
10 (ii) against liabilities; and
11 (B) take appropriate action to collect the proceeds.
12 (23) The power to make loans out of trust property, including
13 loans to a beneficiary on terms and conditions the trustee
14 determines fair and reasonable under the circumstances. The
15 trustee has a lien on future distributions for repayment of the
16 loans.
17 (24) The power to pledge trust property to guarantee loans made
18 by others to the beneficiary on terms and conditions the trustee
19 considers to be fair and reasonable under the circumstances. The
20 trustee has a lien on future distributions for repayment of the
21 loans.
22 (25) The power to:
23 (A) appoint a trustee to act in another jurisdiction with respect
24 to trust property located in the other jurisdiction;
25 (B) confer on the appointed trustee all the appointing trustee's
26 powers and duties;
27 (C) require the appointed trustee to furnish security; and
28 (D) remove the appointed trustee.
29 (26) With regard to a beneficiary who is under a legal disability
30 or whom the trustee reasonably believes is incapacitated, the
31 power to pay an amount distributable to the beneficiary by:
32 (A) paying the amount directly to the beneficiary;
33 (B) applying the amount for the beneficiary's benefit;
34 (C) paying the amount to the beneficiary's guardian;
35 (D) paying the amount to the beneficiary's custodian under
36 IC 30-2-8.5 to create a custodianship or custodial trust;
37 (E) paying the amount to an adult relative or another person
38 having legal or physical care or custody of the beneficiary to
39 be expended on the beneficiary's behalf, if the trustee does not
40 know of a guardian, custodian, or custodial trustee; or
41 (F) managing the amount as a separate fund on the
42 beneficiary's behalf, subject to the beneficiary's continuing
ES 18—LS 6017/DI 149 20
1 right to withdraw the distribution.
2 (27) The power to:
3 (A) combine at least two (2) trusts into one (1) trust; or
4 (B) divide one (1) trust into at least two (2) trusts;
5 after notice to the qualified beneficiaries, if the result does not
6 impair the rights of any beneficiary or adversely affect
7 achievement of the purposes of the trust.
8 (b) Any act under subsection (a)(4), an option under subsection
9 (a)(5), a lease under subsection (a)(6), an arrangement under
10 subsection (a)(7), and an encumbrance, mortgage, pledge, or security
11 interest under subsection (a)(9) may be for a term either within or
12 extending beyond the term of the trust.
13 (c) In acquiring, investing, reinvesting, exchanging, retaining,
14 selling, and managing property for any trust, the trustee thereof shall
15 exercise the judgment and care required by IC 30-4-3.5. Within the
16 limitations of the foregoing standard, the trustee is authorized to
17 acquire and retain every kind of property, real, personal, or mixed, and
18 every kind of investment, including specifically, but without in any way
19 limiting the generality of the foregoing, bonds, debentures, and other
20 corporate obligations, stocks, preferred or common, and real estate
21 mortgages, which persons of prudence, discretion, and intelligence
22 acquire or retain for their own account, and within the limitations of the
23 foregoing standard, the trustee is authorized to retain property properly
24 acquired, without limitation as to time and without regard to its
25 suitability for original purchase. Within the limitations of the foregoing
26 standard, the trustee is authorized to sell covered security options and
27 to purchase back previously sold covered security options.
28 (d) If a distribution of particular trust assets is to be made to two (2)
29 or more beneficiaries entitled to receive fractional shares in those
30 assets, the trustee:
31 (1) may distribute the particular assets without distributing to
32 each beneficiary a pro rata share of each asset; However, the
33 trustee shall:
34 (1) (2) shall distribute to each beneficiary a pro rata share of the
35 total fair market value of all of the particular assets as of the date
36 of distribution; and
37 (2) cause the distribution to result in a fair and equitable division
38 among the beneficiaries of capital gain or loss on the assets.
39 (3) is not required to allocate and distribute particular assets
40 based upon the potential gain or loss that the beneficiaries
41 would realize if the particular assets were sold.
42 (e) If the trust is terminated or partially terminated, the trustee may
ES 18—LS 6017/DI 149 21
1 send to the beneficiaries a proposal for distribution. If the proposal for
2 distribution informs the beneficiary that the beneficiary:
3 (1) has a right to object to the proposed distribution; and
4 (2) must object not later than thirty (30) days after the proposal
5 for distribution was sent;
6 the right of the beneficiary to object to the proposed distribution
7 terminates if the beneficiary fails to notify the trustee of an objection
8 within the time limit set forth in subdivision (2).
9 (f) When any real or personal property subject to a lien (as defined
10 by IC 29-1-17-9(a)) is specifically distributable, the distributee shall
11 take the property subject to the lien unless the terms of the trust provide
12 expressly or by necessary implication that the lien be otherwise paid.
13 If:
14 (1) an event occurs that makes the property distributable; and
15 (2) the holder of a lien on the property receives payment on a
16 claim based upon the obligation secured by the lien;
17 the property subject to the lien shall be charged with the reimbursement
18 to the trust of the amount of the payment for the benefit of the
19 beneficiaries entitled to the distribution, unless the terms of the trust
20 provide expressly or by necessary implication that the payment be
21 charged against the residue of the trust estate.
22 (g) For purposes of subsection (f), a general directive or authority
23 in the trust for payment of debts does not imply an intent that the
24 distribution of property subject to a lien be made free from the lien.
25 (h) IC 32-39-2-8, IC 32-39-2-9, and IC 32-39-2-10 apply to the right
26 of a trustee acting under a trust to access:
27 (1) the content of an electronic communication (as defined in
28 IC 32-39-1-6);
29 (2) a catalogue of electronic communications (as defined in
30 IC 32-39-1-5); or
31 (3) any other digital asset (as defined in IC 32-39-1-10).
32 SECTION 13. IC 30-4-3-6, AS AMENDED BY P.L.56-2020,
33 SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
34 JULY 1, 2024]: Sec. 6. (a) The trustee has a duty to administer a trust
35 according to the terms of the trust.
36 (b) Unless the terms of the trust or the provisions of section 1.3 of
37 this chapter provide otherwise, the trustee also has a duty to do the
38 following:
39 (1) Administer the trust in a manner consistent with IC 30-4-3.5.
40 (2) Take possession of and maintain control over the trust
41 property.
42 (3) Preserve the trust property.
ES 18—LS 6017/DI 149 22
1 (4) Make the trust property productive for both the income and
2 remainder beneficiary. As used in this subdivision, "productive"
3 includes the production of income or investment for potential
4 appreciation.
5 (5) Keep the trust property separate from the trustee's individual
6 property and separate from or clearly identifiable from property
7 subject to another trust.
8 (6) Maintain clear and accurate accounts with respect to the trust
9 estate.
10 (7) Except as provided in subsection (c), keep the following
11 beneficiaries reasonably informed about the administration of the
12 trust and of the material facts necessary for the beneficiaries to
13 protect their interests:
14 (A) A current income beneficiary.
15 (B) A beneficiary who will become an income beneficiary
16 upon the expiration of the term of the current income
17 beneficiary, if the trust has become irrevocable by:
18 (i) the terms of the trust instrument; or
19 (ii) the death of the settlor.
20 A trustee satisfies the requirements of this subdivision by
21 providing a beneficiary described in clause (A) or (B), upon the
22 beneficiary's written request, access to the trust's accounting and
23 financial records concerning the administration of trust property
24 and the administration of the trust.
25 (8) Upon:
26 (A) the trust becoming irrevocable:
27 (i) by the terms of the trust instrument; or
28 (ii) by the death of the settlor; and
29 (B) the written request of an income beneficiary or
30 remainderman;
31 promptly provide a copy of the complete trust instrument to the
32 income beneficiary or remainderman. This subdivision does not
33 prohibit the terms of the trust from requiring the trustee to
34 separately provide each beneficiary only the portions of the trust
35 instrument that describe or pertain to that beneficiary's interest in
36 the trust and the administrative provisions of the trust instrument
37 that pertain to all beneficiaries of the trust.
38 (9) Take whatever action is reasonable to realize on claims
39 constituting part of the trust property.
40 (10) Defend actions involving the trust estate.
41 (11) Supervise any person to whom authority has been delegated.
42 (12) Determine the trust beneficiaries by acting on information:
ES 18—LS 6017/DI 149 23
1 (A) the trustee, by reasonable inquiry, considers reliable; and
2 (B) with respect to heirship, relationship, survivorship, or any
3 other issue relative to determining a trust beneficiary.
4 (c) The terms of a trust may expand, restrict, eliminate, or otherwise
5 vary the right of a beneficiary to be informed of the beneficiary's
6 interest in a trust for a period of time, including a period of time related
7 to:
8 (1) the age of the beneficiary;
9 (2) the lifetime of a settlor or the spouse of a settlor;
10 (3) a term of years or a period of time ending on a specific date;
11 or
12 (4) a specific event that is certain to occur.
13 (d) During any period of time that the trust instrument restricts or
14 eliminates the right of a beneficiary to be informed of the beneficiary's
15 interest in a trust, a designated representative for the beneficiary:
16 (1) shall represent that beneficiary and bind that beneficiary's
17 interests for purposes of any judiciary judicial proceeding or
18 nonjudicial matter involving the trust unless the court finds, after
19 a hearing upon notice, that a conflict of interest exists between the
20 beneficiary and the designated representative;
21 (2) has the authority to initiate or defend and participate in any
22 proceeding relating to the trust under this article or under IC 30-2
23 on behalf of the beneficiary; and
24 (3) shall not disclose to the beneficiary the information provided
25 by the trustee unless the court orders disclosure or the trustee
26 agrees to the disclosure.
27 An alleged conflict of interest between a beneficiary and the
28 beneficiary's designated representative may be asserted to the court by
29 the beneficiary whose right to be informed of the beneficiary's interest
30 in a trust is restricted or eliminated in the trust instrument or by any
31 other person authorized to represent and bind that beneficiary's interest
32 under IC 30-4-6-10.5.
33 (e) If:
34 (1) a beneficiary is an adult and has not been adjudicated to be an
35 incapacitated person;
36 (2) the trust instrument restricts or eliminates the right of the
37 beneficiary to be informed of the beneficiary's interest in a trust;
38 and
39 (3) the beneficiary discovers material information about the
40 beneficiary's interest in the trust from sources other than the
41 trustee;
42 subsections (c) and (d) do not prohibit the beneficiary from demanding
ES 18—LS 6017/DI 149 24
1 or petitioning for an accounting or statement regarding the trust under
2 IC 30-4-5-12(c), from receiving a copy of all relevant portions of the
3 trust instrument, or from demanding and receiving, under subsection
4 (b)(7), other information about the trust and its administration that is
5 consistent with the content and scope of the information that the
6 beneficiary received from sources other than the trustee. The
7 beneficiary may also initiate and participate in any proceeding against
8 or with the trustee under this chapter.
9 SECTION 14. IC 30-4-7-7 IS AMENDED TO READ AS
10 FOLLOWS [EFFECTIVE JULY 1, 2024]: Sec. 7. After a compromise
11 is executed, an interested person may docket the trust and submit the
12 following documents to the court for the court's approval:
13 (1) The agreement executed under section 6 of this chapter.
14 (2) A copy of the trust instrument filed under IC 30-4-6.
15 (3) Any other relevant documents.
16 SECTION 15. IC 30-5-3-3 IS AMENDED TO READ AS
17 FOLLOWS [EFFECTIVE JULY 1, 2024]: Sec. 3. (a) Except as
18 provided in subsection (b), an attorney in fact may act under a power
19 of attorney, including executing an instrument on the principal's
20 behalf under IC 30-5-8-8, without recording the power of attorney
21 with the county recorder.
22 (b) An attorney in fact shall record the power of attorney authorizing
23 the execution of a document that must be recorded before presenting
24 the document for recording.
25 (c) A county recorder may not accept a document for recording if
26 the document:
27 (1) was executed; and
28 (2) is presented;
29 by an attorney in fact whose power of attorney is unrecorded.
30 (d) Except as provided in subsection (e), a document creating a
31 power of attorney must comply with recording requirements, including
32 notary and preparation statements, to be recorded under this section.
33 (e) An original document that created a power of attorney or a
34 copy of the document that created the power of attorney may be
35 recorded under this section if:
36 (1) the original document was executed by the principal in
37 accordance with IC 30-5-4-1(a)(4)(B) or IC 30-5-11-4(a)(2);
38 and
39 (2) a proof (as defined in IC 32-21-2-1.7) that:
40 (A) is signed by at least one (1) of the attesting witnesses;
41 and
42 (B) complies with IC 33-42;
ES 18—LS 6017/DI 149 25
1 is attached to the original document or the copy.
2 (e) (f) A document that is presented by an attorney in fact for
3 recording must reference the book and page or instrument number
4 where the instrument creating the power of attorney is recorded before
5 the document may be presented by the attorney in fact.
6 SECTION 16. IC 30-5-8-8 IS ADDED TO THE INDIANA CODE
7 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
8 1, 2024]: Sec. 8. (a) This section applies to an instrument executed
9 under this article by an attorney in fact on a principal's behalf.
10 (b) As used in this section, "agent" has the same meaning as
11 "attorney in fact" as defined in IC 30-5-2-2.
12 (c) A principal's power of attorney may authorize an attorney
13 in fact to execute an instrument on the principal's behalf if a
14 statement appears:
15 (1) above;
16 (2) beside; or
17 (3) below;
18 the attorney in fact's signature.
19 (d) A statement under subsection (c) must:
20 (1) identify the principal; and
21 (2) indicate that the attorney in fact is acting as the principal's
22 agent under the power of attorney.
23 (e) Any of the following example signature formats comply with
24 this section and indicate that the attorney in fact is acting as the
25 principal's agent under the power of attorney:
26 (1) Attorney in fact's signature
27 (Principal's name) by (attorney in fact's name), agent
28 (2) Principal's signature signed by the attorney in fact
29 (Principal's name) by (attorney in fact's name), POA
30 (3) Attorney in fact's signature
31 (Principal's name) by (attorney in fact's name), AIF
32 (4) Principal's printed name
33 Attorney in fact's signature
34 By: (Attorney in fact's name), as attorney in fact
35 (5) Principal's printed name
36 Attorney in fact's signature
37 By: (Attorney in fact's name), agent
38 (6) Principal's printed name
39 Attorney in fact's signature
40 By: (Attorney in fact's name), POA
41 (7) Principal's printed name
42 Attorney in fact's signature
ES 18—LS 6017/DI 149 26
1 By: (Attorney in fact's name), AIF
2 The examples listed in this subsection are not an exhaustive list.
3 (f) If an attorney in fact executes a deed or other instrument
4 that must be recorded in the office of a county recorder, the
5 instrument may incorporate by reference part or all of the
6 principal's power of attorney that was previously recorded under
7 IC 30-5-3-3.
8 SECTION 17. IC 32-17-14-11, AS AMENDED BY P.L.36-2011,
9 SECTION 13, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
10 JULY 1, 2024]: Sec. 11. (a) A transfer on death deed transfers the
11 interest provided to the beneficiary if the transfer on death deed is:
12 (1) executed by the owner or owner's legal representative; and
13 (2) recorded with the recorder of deeds in the county in which the
14 real property is situated before the death of the owner.
15 (b) A transfer on death deed is void if it is not recorded with the
16 recorder of deeds in the county in which the real property is situated
17 before the death of the owner.
18 (c) A transfer on death deed is not required to be supported by
19 consideration or delivered to the grantee beneficiary.
20 (d) A transfer on death deed may be used to transfer an interest in
21 real property to either a revocable or an irrevocable trust.
22 (e) If the owner records a transfer on death deed, the effect of the
23 recording the transfer on death deed is determined as follows:
24 (1) If the owner's interest in the real property is as a tenant by the
25 entirety, the conveyance is inoperable and void unless the other
26 spouse joins in the conveyance.
27 (2) If the owner's interest in the real property is as a joint tenant
28 with rights of survivorship, the conveyance severs the joint
29 tenancy and the cotenancy becomes a tenancy in common.
30 (3) If the owner's interest in the real property is as a joint tenant
31 with rights of survivorship and the property is subject to a
32 beneficiary designation, a conveyance of any joint owner's interest
33 has no effect on the original beneficiary designation for the
34 nonsevering joint tenant.
35 (4) If the owner's interest is as a tenant in common, the owner's
36 interest passes to the beneficiary as a transfer on death transfer.
37 (5) If the owner's interest is a life estate determined by the owner's
38 life, the conveyance is inoperable and void.
39 (6) If the owner's interest is any other interest, the interest passes
40 in accordance with this chapter and the terms and conditions of
41 the conveyance establishing the interest. If a conflict exists
42 between the conveyance establishing the interest and this chapter,
ES 18—LS 6017/DI 149 27
1 the terms and conditions of the conveyance establishing the
2 interest prevail.
3 (f) A beneficiary designation in a transfer on death deed may be
4 worded in substance as "(insert owner's name) conveys and warrants
5 (or quitclaims) to (insert owner's name), TOD to (insert beneficiary's
6 name)". This example is not intended to be exhaustive.
7 (g) A transfer on death deed using the phrase "pay on death to" or
8 the abbreviation "POD" may not be construed to require the liquidation
9 of the real property being transferred.
10 (h) This section does not preclude other methods of conveying real
11 property that are permitted by law and have the effect of postponing
12 enjoyment of an interest in real property until after the death of the
13 owner. This section applies only to transfer on death deeds and does
14 not invalidate any deed that is otherwise effective by law to convey title
15 to the interest and estates provided in the deed.
16 (i) The endorsement of the county auditor under IC 36-2-11-14 and
17 IC 36-2-9-18 is not necessary to record a transfer on death deed under
18 this section.
19 SECTION 18. IC 32-17-14-13, AS ADDED BY P.L.143-2009,
20 SECTION 41, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
21 JULY 1, 2024]: Sec. 13. (a) A transferor An owner of property, with
22 or without consideration, may execute a written instrument directly
23 transferring the property to one (1) or more individuals as a transferee
24 grantee to hold as owner in beneficiary form. Any grantee may be an
25 individual different from or in addition to the owner who executes
26 the instrument.
27 (b) A transferee grantee under an instrument described in
28 subsection (a) is considered the owner of the property for all purposes
29 and has all the rights to the property provided by law to the owner of
30 the property, including the right to revoke or change the beneficiary
31 designation.
32 (c) A direct transfer of property to a transferee grantee to hold as
33 owner in beneficiary form is effective when the written instrument
34 perfecting the transfer becomes effective to make the transferee
35 grantee the owner.
36 (d) A beneficiary designation in an instrument described in
37 subsection (a) may be worded in substance as "(insert owner's
38 name) conveys and warrants (or quitclaims) to (insert grantee's
39 name(s)), TOD to (insert beneficiary's name)". This example is not
40 intended to be exhaustive.
41 (e) A beneficiary designation in an instrument described in
42 subsection (a) is void if the instrument:
ES 18—LS 6017/DI 149 28
1 (1) conveys real property; and
2 (2) is not recorded with the recorder of deeds in the county in
3 which the real property is situated before the grantee's death.
4 (f) An instrument described in subsection (a) is effective to
5 convey title to the grantee regardless of whether a beneficiary
6 designation is void under subsection (e).
7 (g) If an instrument described in subsection (a) conveys real
8 property, the endorsement of the county auditor under
9 IC 36-2-11-14 and IC 36-2-9-18 is necessary to record the
10 instrument.
11 SECTION 19. IC 32-21-1-14, AS AMENDED BY P.L.185-2021,
12 SECTION 35, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
13 JULY 1, 2024]: Sec. 14. A conveyance of land by an attorney in fact
14 (as defined in IC 30-5-2-2) under IC 30-5-3-3 is not good effective
15 unless the attorney in fact is empowered by to make the conveyance
16 under a power of attorney (as defined in IC 30-5-2-7) that:
17 (1) is executed or signed by the principal (as defined in
18 IC 30-5-2-8); and
19 (2) has an acknowledgment (as defined in IC 33-42-0.5-2) or a
20 proof (as defined in and permitted under IC 32-21-2).
21 SECTION 20. IC 32-21-2-16 IS ADDED TO THE INDIANA
22 CODE AS A NEW SECTION TO READ AS FOLLOWS
23 [EFFECTIVE JULY 1, 2024]: Sec. 16. (a) A county recorder shall
24 include a cross-reference concerning a previously recorded
25 document if:
26 (1) the person presenting the document for recording has
27 made a request to the county recorder for a cross-reference
28 between the document being recorded and a previously
29 recorded document; and
30 (2) the front page of the document to be recorded contains a
31 cross-reference to a previously recorded document.
32 (b) The requirements of subsection (a) do not apply to the
33 following:
34 (1) A reference required in an affidavit under IC 29-1-7-23 to
35 a previously recorded deed or other instrument.
36 (2) A reference required in a document under IC 30-5-3-3 to
37 a previously recorded power of attorney.
38 (3) A reference required in an affidavit under IC 32-17-14-26
39 to a previously recorded transfer on death deed.
40 (4) A reference required in an easement under IC 32-23-2-5
41 to a recorded plat or a recorded deed of record.
42 (5) A reference required in an affidavit of service of notice
ES 18—LS 6017/DI 149 29
1 under IC 32-28-13-7 to a statement of intention to hold a
2 common law lien.
3 (6) A reference required in an affidavit of service of notice
4 under IC 32-28-14-9 to a homeowners association lien.
5 (7) A reference required in a document under a statute or
6 county ordinance to a previously recorded document.
7 SECTION 21. IC 36-2-9-18, AS AMENDED BY P.L.26-2022,
8 SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
9 JULY 1, 2024]: Sec. 18. (a) Before the auditor makes the endorsement
10 required by IC 36-2-11-14, the auditor may require that a tax
11 identification number identifying the affected real property be placed
12 on an instrument that conveys, creates, encumbers, assigns, or
13 otherwise disposes of an interest in or a lien on real property. The tax
14 identification number may be established by the auditor with the
15 approval of the state board of accounts. If the tax identification number
16 is affixed to the instrument or if a tax identification number is not
17 required, the auditor shall make the proper endorsement on demand.
18 (b) On request, a county auditor shall provide assistance in
19 obtaining the proper tax identification number for instruments subject
20 to this section.
21 (c) The tax administration number established by this section is for
22 use in administering statutes concerning taxation of real property and
23 is not competent evidence of the location or size of the real property
24 affected by the instrument.
25 (d) After December 31, 2023, A county auditor may not refuse to
26 endorse a deed or instrument under this section as required by
27 IC 36-2-11-14 because the deed or instrument is:
28 (1) an electronic document; or
29 (2) made under IC 32-17-14.
30 (e) The legislative body of a county shall adopt an ordinance
31 requiring the auditor to collect a fee in the amount of ten dollars ($10)
32 for each:
33 (1) deed; or
34 (2) legal description of each parcel contained in the deed;
35 for which the auditor makes a real property endorsement. This fee is in
36 addition to any other fee provided by law. The auditor shall place the
37 revenue received under this subsection in a dedicated fund for use in
38 maintaining property tax records, in traditional or electronic format.
39 SECTION 22. IC 36-2-11-14, AS AMENDED BY P.L.106-2007,
40 SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
41 JULY 1, 2024]: Sec. 14. (a) The recorder may record:
42 (1) a deed of partition;
ES 18—LS 6017/DI 149 30
1 (2) a conveyance of land; or
2 (3) an affidavit of transfer to real estate; or
3 (4) a deed or instrument made under IC 32-17-14;
4 only if it has been endorsed by the auditor of the proper county as "duly
5 entered for taxation subject to final acceptance for transfer", "not
6 taxable", or "duly entered for taxation" as provided by IC 36-2-9-18.
7 (b) A county auditor may not refuse to endorse a deed or
8 instrument under IC 36-2-9-18 as required by this section because
9 the deed or instrument is made under IC 32-17-14.
10 (b) (c) A recorder who violates this section shall forfeit the sum of
11 five dollars ($5), to be recovered by an action in the name of the
12 county, for the benefit of the common school fund.
ES 18—LS 6017/DI 149 31
COMMITTEE REPORT
Madam President: The Senate Committee on Judiciary, to which
was referred Senate Bill No. 18, has had the same under consideration
and begs leave to report the same back to the Senate with the
recommendation that said bill be AMENDED as follows:
Page 7, after line 42, begin a new paragraph and insert:
"SECTION 7. IC 29-1-5-8, AS AMENDED BY P.L.136-2018,
SECTION 214, IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2024]: Sec. 8. If after making a will the testator
is divorced, testator's marriage is dissolved or annulled, all
provisions in the will in favor of the testator's former spouse are
revoked as of the time of the dissolution or annulment of the
marriage. The will provisions remain revoked even if the testator
remarries the former spouse. Annulment of the testator's marriage
shall have the same effect as a divorce. With this exception, no written
will, nor any part of the will, can be revoked by any change in the
circumstances or condition of the testator.".
Page 10, between lines 34 and 35, begin a new paragraph and insert:
"SECTION 10. IC 29-1-10-1, AS AMENDED BY P.L.38-2023,
SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2024]: Sec. 1. (a) Domiciliary letters testamentary or
domiciliary letters of general administration may be granted to one (1)
or more of the persons mentioned in this subsection, natural or
corporate, who are not disqualified, in the following order:
(1) To the executor or executors designated in a will that has been
admitted to probate.
(2) To a surviving spouse who is a devisee in a will that has been
admitted to probate.
(3) To a devisee in a will that has been admitted to probate.
(4) To the surviving spouse, or to the person or persons
nominated by the surviving spouse or to the surviving spouse and
the person or persons nominated by the surviving spouse.
(5) To:
(A) an heir;
(B) the person or persons nominated by an heir; or
(C) an heir and the person or persons nominated by an heir.
(6) If there is not a person listed in subdivisions (1) through (5),
then to any other qualified person.
(b) Except as provided in subsection (g), no person is qualified to
serve as a domiciliary personal representative who is:
(1) under eighteen (18) years of age;
ES 18—LS 6017/DI 149 32
(2) incapacitated unless the incapacity is caused only by:
(A) physical illness;
(B) physical impairment; or
(C) physical infirmity;
(3) a convicted felon, either under the laws of the United States or
of any state or territory of the United States;
(4) a resident corporation not authorized to act as a fiduciary in
this state; or
(5) a person whom the court finds unsuitable.
(c) A nonresident individual or corporate fiduciary may qualify and
serve as a joint personal representative with a resident personal
representative only by:
(1) filing with the court that has jurisdiction of the administration
of the decedent's estate a bond in an amount:
(A) not less than:
(i) the probable value of the estate's personal property; plus
(ii) the estimated rents and profits to be derived from the
property in the estate during the probate period; and
(B) not greater than the probable gross value of the estate; and
(2) otherwise meeting the qualifications of subsection (b).
If the court authorizes the joint personal representative to administer
the estate without court supervision under IC 29-1-7.5, the court may
exercise its discretion under IC 29-1-7.5-2.5(c) to increase, decrease,
or waive the bond that the nonresident joint personal representative
would otherwise be required to file under this subsection.
(d) A nonresident individual who otherwise qualifies under
subsection (b) may qualify to serve as a personal representative in
Indiana only by filing with the court that has jurisdiction of the
administration of the decedent's estate:
(1) notice in writing of the individual's acceptance of the
appointment as personal representative;
(2) notice of the appointment of a resident agent to accept service
of process, notices, and other documents; and
(3) a bond in an amount:
(A) not less than:
(i) the probable value of the estate's personal property; plus
(ii) the estimated rents and profits to be derived from the
property in the estate during the probate period; and
(B) not greater than the probable gross value of the estate.
If the court authorizes the nonresident personal representative to
administer the estate without court supervision under IC 29-1-7.5, the
court may exercise its discretion under IC 29-1-7.5-2.5(c) to increase,
ES 18—LS 6017/DI 149 33
decrease, or waive the bond that the nonresident personal
representative would otherwise be required to file under subdivision
(3).
(e) If a personal representative becomes a nonresident of this state,
the representative remains qualified to serve only if the representative
files with the court that has jurisdiction of the administration of the
estate a bond in an amount:
(1) not less than:
(A) the probable value of the estate's personal property; plus
(B) the estimated rents and profits to be derived from the
property in the estate during the probate period; and
(2) not greater than the probable gross value of the estate.
If the court previously authorized the personal representative to
administer the estate without court supervision under IC 29-1-7.5, the
court may exercise its discretion under IC 29-1-7.5-2.5(c) to increase,
decrease, or waive the bond that the nonresident personal
representative would otherwise be required to file under this
subsection.
(f) A nonresident individual who satisfies the conditions of
subsection (d) or (e) submits personally to the jurisdiction of the court
in any proceeding that relates to the estate of the decedent.
(g) A court may order that a convicted felon may serve as a
domiciliary personal representative upon consideration of the
following:
(1) The amount of time that has elapsed since the person was
convicted of a felony.
(2) The nature of the felony conviction.
(3) Whether the felony conviction is no longer a felony charge
under current law.
(4) Whether the felony conviction has been expunged.
(5) Whether the person's felony conviction was acknowledged
in the testator's will or in a consent signed by the
distributees.".
Page 12, between lines 38 and 39, begin a new paragraph and insert:
"SECTION 11. IC 29-3-4-1.5, AS ADDED BY P.L.38-2023,
SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2024]: Sec. 1.5. (a) A person may file a verified petition for
the issuance of a confidential health disclosure order against a
respondent health care provider that:
(1) has existing health or medical records in the possession or
custody of the respondent health care provider that contain
medical evidence of capacity or incapacity about an alleged
ES 18—LS 6017/DI 149 34
incapacitated person; or
(2) may be able to create a report to summarize medical evidence
of capacity or incapacity about an alleged incapacitated person.
(b) A verified petition filed under this section must state the
following:
(1) The name, age, and residence address of the alleged
incapacitated person.
(2) The name and address of any legal counsel that represents the
alleged incapacitated person, which is known or reasonably
available to the petitioner.
(3) The name and last known address of each person described in
IC 29-3-6-1(a)(4)(A) through IC 29-3-6-1(a)(4)(D).
(4) Facts sufficient to establish that the following conditions are
met:
(A) Any person alleges that the alleged incapacitated person
requires the appointment of a guardian or limited guardian
under this article.
(B) The alleged incapacitated person does not possess medical
evidence of capacity or incapacity sufficient to establish or
rebut evidence that may be presented in a hearing for the
appointment of a guardian under IC 29-3-5-1.
(C) The alleged incapacitated person cannot provide or has
refused to provide written authorization under 45 CFR
164.508 for disclosure of medical evidence of capacity or
incapacity about the alleged incapacitated person.
(D) No other person is able and willing to provide a written
authorization under 45 CFR 164.502(g)(2) for the disclosure
of medical evidence of capacity or incapacity about the alleged
incapacitated person.
(E) The respondent health care provider possesses medical
evidence of capacity or incapacity about the alleged
incapacitated person and is not willing to disclose the medical
evidence of capacity or incapacity without a written
authorization under 45 CFR 164.508 or a court order under 45
CFR 164.512.
(5) The name and address of the respondent health care provider.
(6) A description of:
(A) the existing health or medical records or the type of
existing health or medical records in the possession or custody
of the respondent health care provider that contain medical
evidence of capacity or incapacity about the alleged
incapacitated person; or
ES 18—LS 6017/DI 149 35
(B) a narrative report sought from the respondent health care
provider that would identify medical evidence of capacity or
incapacity about the alleged incapacitated person.
A petition filed under this section is not a confidential case record.
However, any protected health information contained within the
petition must be excluded from the publicly filed document and must
be filed as a confidential document under Rule 5(B) of the Indiana
Rules on Access to Court Records.
(c) A verified petition under this section may be combined with any
other petition for relief filed under this article, including a petition to
establish a limited or full guardianship.
(d) If the court receives a verified petition that complies with the
requirements of subsection (b), the court shall issue an order to set a
hearing date. In the order setting the hearing date, the court shall do the
following:
(1) Appoint an attorney or guardian ad litem to represent the
alleged incapacitated person if the verified petition does not
identify an attorney under subsection (b)(2).
(2) State that any person with an objection to a confidential health
disclosure order being issued in response to a verified petition
filed under this section shall file a written objection not later than
ten (10) days prior to the hearing date set under subsection (e) or
shall appear in person at the hearing to testify to the objection.
(e) In its discretion, the court shall set the hearing required under
subsection (d) on a date that is as soon as practicable.
(f) Not later than three (3) business days after the court issues an
order under subsection (d), the petitioner shall serve a copy of the
verified petition and a copy of the order setting a hearing date, by first
class mail, upon the following:
(1) The respondent health care provider.
(2) The alleged incapacitated person or the person having
physical custody and care of the alleged incapacitated person.
(3) The alleged incapacitated person's attorney described in
subsection (b)(2) or the court appointed attorney or guardian ad
litem appointed under subsection (d)(1).
(4) Each individual identified in subsection (b)(3) of the verified
petition.
(5) Each respondent health care provider identified in subsection
(b)(5) of the verified petition.
(6) Any other person to whom the court directs that notice be
served.
Any person who is entitled to receive notice under this subsection may
ES 18—LS 6017/DI 149 36
waive the service of notice in writing.
(g) At the hearing, the petitioner has the burden of proving, by a
preponderance of the evidence, that the conditions alleged in
subsection (b)(4) are met. An individual entitled to receive notice
under subsection (f) may present evidence at the hearing.
(h) If the court finds that the petitioner has proven that the
conditions in subsection (b)(4) apply and it is in the best interest of the
alleged incapacitated person to issue a confidential health disclosure
order, it shall grant the verified petition and issue a confidential health
disclosure order that requires the respondent health care provider to:
(1) produce a copy of the alleged incapacitated person's medical
records that contain medical evidence concerning the capacity or
incapacity of the person; or
(2) prepare a written narrative report for the court with a
professional assessment of the capacity or incapacity of the
alleged incapacitated person to make personal, financial, and
health care decisions without substantial assistance and the
suitability of less restrictive alternatives to a guardianship.
(i) A confidential health disclosure order issued by a court under
this section is intended to comply with the standard in 45 CFR
164.512(e) for disclosure of protected health information in judicial
proceedings.
(j) The respondent health care provider shall comply with the
confidential health disclosure order and transmit the medical evidence
of capacity or incapacity of the person described in subsection (h) to
the court. Upon receipt of the respondent health care provider's
response, the court shall:
(1) serve a copy of the medical records or medical report
produced by the respondent health care provider to the alleged
incapacitated person and the alleged incapacitated person's
attorney or guardian ad litem, not more than five (5) days after
receipt of the records; and
(2) determine, in the court's discretion, whether it is in the best
interest of the alleged incapacitated person to disclose all or part
of the medical records or medical report produced by the
respondent health care provider to any other individual identified
in the verified petition under subsection (b)(3).
To make a determination under subdivision (2) concerning whether the
medical evidence of capacity or incapacity should be disclosed to any
other individual, the court shall consider all material facts and
circumstances stated in the filed pleadings and in any hearing record;
medical evidence that contains a specific diagnosis of functional
ES 18—LS 6017/DI 149 37
impairment of the alleged incapacitated person; and the likelihood that
a limited guardianship or full guardianship may be warranted for the
alleged incapacitated person in the current proceeding or a future
proceeding under this article.
(k) Unless otherwise ordered by the court, the petitioner shall bear
the costs and expenses incurred by the respondent health care provider
to comply with the confidential health disclosure order.
(l) The record of:
(1) any court hearing held under this section;
(2) all exhibits entered during a hearing;
(3) all records or reports produced by a respondent health care
provider in response to a confidential health disclosure order; and
(4) all written objections filed or entered as evidence in a
proceeding under this section;
must be filed as a nonpublic document under Rule 5 of the Indiana
Rules on Access to Court Records.
(m) Once any action filed under this article concerning the alleged
incapacitated person has been fully adjudicated, every individual who
received any records in the course of those proceedings shall destroy
all documents that contain medical evidence of capacity or incapacity
about the individual alleged to be incapacitated.".
Page 13, between lines 3 and 4, begin a new paragraph and insert:
"SECTION 13. IC 30-4-2-15 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2024]: Sec. 15. (a) This section
does not apply to a trust:
(1) that is irrevocable on the date of a divorce or an annulment; or
(2) created by:
(A) the settlor and the settlor's spouse or former spouse under
a written agreement with each other that requires the creation
of the trust; or
(B) a court order.
(b) If, after creating a revocable trust, the settlor is divorced or the
marriage of the settlor to the settlor's spouse is annulled, the settlor's
former spouse shall for the purposes of the trust be treated as if the
spouse had died before the settlor died. settlor's marriage is dissolved
or annulled, all provisions in the revocable trust in favor of the
settlor's former spouse are revoked as of the time of the dissolution
or annulment of the marriage. The trust provisions remain revoked
even if the settlor remarries the former spouse.".
Renumber all SECTIONS consecutively.
and when so amended that said bill do pass.
ES 18—LS 6017/DI 149 38
(Reference is to SB 18 as introduced.)
BROWN L, Chairperson
Committee Vote: Yeas 11, Nays 0.
_____
COMMITTEE REPORT
Mr. Speaker: Your Committee on Judiciary, to which was referred
Senate Bill 18, has had the same under consideration and begs leave to
report the same back to the House with the recommendation that said
bill be amended as follows:
Delete pages 8 through 9.
Page 13, delete lines 17 through 42.
Page 14, delete lines 1 through 29.
Page 19, delete lines 15 through 31.
Page 29, delete lines 38 through 42.
Delete page 30.
Page 31, delete lines 1 through 34.
 Page 35, delete lines 40 through 42.
Delete pages 36 through 40.
Renumber all SECTIONS consecutively.
and when so amended that said bill do pass.
(Reference is to SB 18 as printed January 12, 2024.)
JETER
Committee Vote: yeas 9, nays 0.
ES 18—LS 6017/DI 149