New Mexico § 46-12-112 - Decanting power under limited distributive discretion
Full text of New Mexico New Mexico Statutes Annotated § 46-12-112 — Decanting power under limited distributive discretion, with citation guidance and answers to common questions.
§ 46-12-112. Decanting power under limited distributive discretion
A. As used in this section, “ limited distributive discretion ” means a discretionary power of distribution that is limited to an ascertainable
standard or a reasonably definite standard. B. An authorized fiduciary that has limited distributive discretion over the principal
of the first trust for benefit of one or more current beneficiaries may exercise the
decanting power over the principal of the first trust. C. Under this section and subject to Section 1-114 of the Uniform Trust Decanting
Act, a second trust may be created or administered under the law of any jurisdiction. Under this section, the second trusts, in the aggregate, shall grant each beneficiary
of the first trust beneficial interests that are substantially similar to the beneficial
interests of the beneficiary in the first trust. D. A power to make a distribution under a second trust for the benefit of a beneficiary
who is an individual is substantially similar to a power under the first trust to
make a distribution directly to the beneficiary. A distribution is for the benefit of a beneficiary if: (1) the distribution is applied for the benefit of the beneficiary; (2) the beneficiary is under a legal disability or the trustee reasonably believes
the beneficiary is incapacitated and the distribution is made as permitted under the
Uniform Trust Code; or (3) the distribution is made as permitted under the terms of the first-trust instrument
and the second-trust instrument for the benefit of the beneficiary. E. If an authorized fiduciary has limited distributive discretion over part but not
all of the principal of a first trust, the fiduciary may exercise the decanting power
provided by this section over that part of the principal over which the authorized
fiduciary has limited distributive discretion.
Source: official New Mexico text · Last verified 2026-08-27
Frequently Asked Questions About New Mexico § 46-12-112
What does New Mexico Statutes Annotated § 46-12-112 cover?
Section 46-12-112 ("Decanting power under limited distributive discretion") is part of the New Mexico Statutes Annotated, the codified statutory law of New Mexico. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite New Mexico § 46-12-112?
A common citation format is "New Mexico Statutes Annotated § 46-12-112" (New Mexico). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of New Mexico law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the New Mexico official source linked on this page or consult a licensed New Mexico attorney.
How does New Mexico § 46-12-112 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in New Mexico can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in New Mexico.