Colorado § 15-16-802 - Definitions.

§ 15-16-802. Definitions.

As used in this part 8, unless the context otherwise requires:

(1) "Breach of trust" includes a violation by a trust director or trustee of a duty imposed on that director or trustee by the terms of the trust, this part 8, or law of this state other than this part 8 pertaining to trusts.

(2) "Directed trust" means a trust for which the terms of the trust grant a power of direction.

(3) "Directed trustee" means a trustee that is subject to a trust director's power of direction.

(4) "Person" means an individual, estate, business or nonprofit entity, public corporation, government or governmental subdivision, agency, or instrumentality, or other legal entity.

(5) "Power of direction" means a power over a trust granted to a person by the terms of the trust to the extent the power is exercisable while the person is not serving as a trustee. The term includes a power over the investment, management, or distribution of trust property or other matters of trust administration. The term excludes the powers described in section 15-16-805 (2).

(6) "Settlor" means a person, including a testator, that creates, or contributes property to, a trust. If more than one person creates or contributes property to a trust, each person is a settlor of the portion of the trust property attributable to that person's contribution except to the extent another person has the power to revoke or withdraw that portion.

(7) "State" means a state of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or any other territory or possession subject to the jurisdiction of the United States.

(8) "Terms of a trust" means:

(a) Except as otherwise provided in subsection (8)(b) of this section, the manifestation of the settlor's intent regarding a trust's provisions as:

(I) Expressed in the trust instrument; or

(II) As may be established by other evidence in a judicial proceeding; or

(b) The trust's provisions as established, determined, or amended by:

(I) A trustee or trust director in accordance with applicable law;

(II) Court order;

(III) A nonjudicial settlement agreement; or

(IV) By alternative dispute resolution.

(9) "Trust director" means a person that is granted a power of direction by the terms of a trust to the extent the power is exercisable while the person is not serving as a trustee. The person is a trust director whether or not the terms of the trust refer to the person as a trust director and whether or not the person is a beneficiary or settlor of the trust.

(10) "Trustee" includes an original, additional, and successor trustee, and a cotrustee.

(11) "Willful misconduct" means intentional wrongdoing and not mere negligence, gross negligence, or recklessness.

(12) "Wrongdoing" means malicious conduct or conduct designed to defraud or seek an unconscionable advantage.

Source: L. 2019: Entire part R&RE, (SB 19-105), ch. 51, p. 166, § 1, effective August 2.