Tennessee House Bill HB2713

Tennessee 2023-2024 Regular Session

• Introduced: 1/31/24
• Refer: 2/5/24
• Refer: 3/12/24
• Refer: 3/19/24
• Chaptered: 4/17/24
• Passed: 4/17/24

Caption

AN ACT to amend Tennessee Code Annotated, Title 35; Title 45; Title 61 and Title 66, relative to trusts and estates.

Impact

If enacted, HB 2713 is expected to influence state laws governing trusts and estates by establishing clearer guidelines and provisions for family partnerships and the roles of trustees, trust protectors, and trust advisors. This amendment aims to enhance clarity around the authority and responsibilities of individuals involved in trust management. It would also allow for more flexible arrangements regarding the replacement and appointment of trustees, potentially reducing barriers to effective estate management and addressing family dynamics in estate planning.

Summary

House Bill 2713 seeks to amend various titles within the Tennessee Code Annotated, specifically addressing provisions related to trusts and estates. The bill clarifies the definitions and roles associated with disinterested trustees, family partnerships, and powers of appointment, aiming to streamline the administration of trusts in the state. Additionally, it proposes changes to the qualifications and limitations regarding who may serve as trustees and their advisors, which could enhance the trust management process, facilitating smoother transitions in estate planning.

Sentiment

The general sentiment surrounding HB 2713 appears to be positive among stakeholders focusing on estate planning and trust management. Supporters emphasize the importance of the bill in modernizing the legal framework for trusts in Tennessee, anticipating that it will bring more efficiency and predictability to the process. However, there may be concerns regarding the definitions and exclusions that could impact certain family dynamics, though these have not been widely reported as contentious.

Contention

A notable point of contention could arise from the provisions related to family partnerships and what constitutes a disinterested trustee. Critics may argue that the definitions provided could inadvertently limit access for families wishing to manage their estates using more flexible arrangements. Additionally, the changes might raise questions about the implications for existing trusts established under older statutes, as the new bill would take effect on July 1, 2024, potentially leading to a period of adjustment for both legal practitioners and families involved in estate planning.