| Chapter 059 |
| 2016 -- H 7445 Enacted 06/08/2016 |
| A N A C T |
| RELATING TO PROPERTY - ESTATES IN REAL PROPERTY |
| Introduced By: Representatives Craven, Ajello, Carson, Shekarchi, and Solomon |
| Date Introduced: February 03, 2016 |
| It is enacted by the General Assembly as follows: |
| SECTION 1. Chapter 34-4 of the General Laws entitled "Estates in Real Property" is |
| hereby amended by adding thereto the following section: |
| 34-4-30. Conveyance to or by nominee trust. – (a) Notwithstanding the provisions of |
| §34-4-27, title to real estate conveyed to a nominee trust or to the trustee of a nominee trust and |
| conveyances of real estate by a trustee of a nominee trust are not on that account defective, and |
| the conveyance shall be deemed valid so long as the following shall have occurred: |
| (1) A memorandum of trust pursuant to §34-4-27 shall have been properly prepared and |
| recorded; and |
| (2) The trustee of the nominee trust shall include in the memorandum of trust a statement |
| to the effect that the trustee has received the consent of each of the beneficiaries authorizing the |
| action of the trustee as required by the nominee trust. |
| (b) A trustee executing a memorandum of trust and representing that they have obtained |
| the consent of the beneficiaries shall be subject to personal liability to each of the beneficiaries as |
| well as the grantees and the grantees' successors and/or assigns under the instrument purported to |
| be executed with the consent of the beneficiaries, in the event such consent was not obtained. |
| (c) A nominee trust is defined as a trust in which the trustee(s) is/are not granted |
| discretionary authority to act without the consent, concurrence, or direction of the beneficiaries. |
| SECTION 2. This act shall take effect upon passage and shall apply retroactively to prior |
| deeds from and to a nominee trust. |
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| LC004387 |
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