Georgia § 53-12-500 - Definitions.

§ 53-12-500. Definitions.

As used in this article, the term: "Directed trustee" means a trustee that is subject to a trust director's power of direction. "Power of appointment" means a power that enables a person, acting in a nonfiduciary capacity, to: Designate a recipient of either an ownership interest in or another power of appointment over trust property; Rescind or terminate either an ownership interest in or another power of appointment over trust property; and Determine when a beneficiary shall have the rights granted under Code Sections 53-12-242 and 53-12-243 or similar rights granted under the governing instrument. "Power of direction" means a power over a trust granted to a person by the trust instrument to the extent the power is exercisable in a capacity other than as a trustee. Such term includes a power over the administration of the trust or the investment, management, or distribution of the trust property; a power to consent to a trustee's actions, whether through exercise of an affirmative power to consent or through nonexercise of a veto power over a trustee's actions, where a trustee may not act without such consent; and all further powers appropriate to the exercise or nonexercise of such powers held by the trust director pursuant to subsection (a) of Code Section 53-12-502. Such term shall exclude the powers described in subsection (b) of Code Section 53-12-501. "Trust director" means a person that is granted a power of direction by a trust to the extent the power is exercisable in a capacity other than as a trustee, regardless of whether the trust instrument refers to such person as a trust director and regardless of whether the person is a beneficiary or settlor of the trust. (Code 1981, § 53-12-500 , enacted by Ga. L. 2018, p. 262, § 25/HB 121; Ga. L. 2020, p. 377, § 1-87/HB 865.) The 2020 amendment, effective January 1, 2021, in paragraph (2), substituted ": (A) Designate" for "designate", added a semicolon at the end of present subparagraph (2)(A), and added subparagraphs (2)(B) and (2)(C); in paragraph (3), substituted "in a capacity other than" for "while the person is not serving" in the first sentence and in the second sentence, substituted "where" for "when", substituted "and all" for "a power to represent a beneficiary, other than a power under Code Section 53-12-8; and, except as otherwise provided in the trust instrument, any", and added "held by the trust director pursuant to subsection (a) of Code Section 53-12-502"; and, in paragraph (4), substituted "in a capacity other than" for "while the person is not serving", substituted "whether" for "how", and inserted "as a trust director". Law reviews. - For article on the 2018 enactment of this article, see 35 Ga. St. U. L. Rev. 219 (2018). For annual survey on wills, trusts, guardianships, and fiduciary administration, see 70 Mercer L. Rev. 275 (2018).