AB 318 — Revises various provisions relating to estates. (BDR 3-805)

(NRS 163.002) Section 32 of this bill provides that a declaration by the owner of property that he or she or another person holds all the property of the declarant in trust is - 81st Session (2021) – 4 – sufficient to create a trust over all the property of the declarant that is reliably identified as belonging to the declarant at the time of his or her death.isdeath. reliably Existing law provides that:

Existing law provides that:

and (2) the power of appointment or power to add or remove beneficiaries, appoint, remove or replace the trustee or makeSection administrative33 amendmentsof this bill instead provides that a trust is irrevocable unless a right to revoke the trust is expressly reserved by the settlor under the terms of the trust instrument, and that any authority, power or right granted to any person other than the settlor under the terms of the trust instrument or by law, including the power or right to amend the trust, does not render or make a trust revocable.

(NRS 163.004) Section 3347 of this bill instead provides that asuch trustprovisions isapply irrevocable unless a right to revokeany the trust iscreated expressly reserved by the settlor under the terms of the trust instrument, and that any authority, power or rightamended grantedbefore, toon any person other than right to amend the trust, does not render or makeafter aOctober trust1, revocable.2021.

Section 47 of or this bill provides that such provisions apply to any trust created or amended before, on or after October 1, 2021.

Existing law generally authorizes a trustee to combine two or more trusts into a single trust or divide a trust into two or more separate trusts in certaintscertain into a circumstances after giving notice to certain persons.

(NRS 163.025) Section 35 of this bill provides that if the terms of the trust instrument do not expressly authorize such a combination or division of trusts, the combination or division is required totoize be made by court order or after giving such notice.

(NRS 163.5557) Section 37 of this bill provides that the power to value non-publicly traded investments held in trust that are subject to the investment management authority of the investment trust adviser may also be graExistinggranted law prohibits a creditor of a settlor from seeking to satisfyan ainvestment claim against the settlor from the assets of a trust inadviser. certain circumstances unless the creditor can prove that trust property transferred by the settlor was transferred fraudulently or was otherwise wrongful as to the creditor.

(NRSExisting 163.5559)law Sectionprohibits 38 of this bill establishes additional circumstances that generally prohibit a creditor -of *AB318_R1* – 5 – provides that such a prohibitionsettlor does not preclude a creditor from seeking to satisfy a claim against the settlor from the assets of a spendthrift trust ifin certain circumstances unless the creditor can prove by clear and convincing evidence that trust property transferred by the settlor was fraudulenttransferred asfraudulently to the creditor or violateswas aotherwise legalwrongful obligationas owed to the creditorcreditor. under a contract or valid court order.

(NRS 163.5559) Section of this bill establishes additional circumstances that generally prohibit a creditor from seeking to satisfy a claim against the settlor from the assets of the trust and provides that such a prohibition does not preclude a creditor from seeking to satisfy a claim against the settlor of a spendthrift trust if the creditor can prove by clear and convincing evidence that trust property transferred by the settlor was fraudulent as to the creditor or violates a legal obligation owed to the creditor under a contract or valiSection 39 of this bill provides that a trustee may act at the direction or with the consent of another party pursuant to the terms of a trust instrument to appoint property of one trust to another trust and revises other provisions relating to the “second trust” for the purposes of the appointment of such property.

ofSection the39 termalso Existingrevises lawthe authorizesdefinition aof trusteethe toterm provide“second noticetrust” tofor certain persons after a revocable trust becomes irrevocable and generally prohibits any person who is provided notice from bringing an action to contest the validitypurposes of the trustappointment moreof thansuch 120property. days after notice is served.

(NRSExisting 164.021)law Sectionauthorizes 40a oftrustee thisto billprovide providesnotice thatto suchcertain persons after a prohibitionrevocable existstrust regardlessbecomes ofirrevocable whetherand agenerally petitionprohibits forany theperson assumptionwho ofis jurisdictionprovided ofnotice afrom trustbringing byan aaction courtto iscontest servedthe uponvalidity of the persontrust aftermore suchthan 120 days after notice is provided.served.

Existing(NRS law164.021) authorizesSection a40 trustee of this bill provides that such a nontestamentaryprohibition trustexists toregardless provideof noticewhether toa settlorpetition orfor the trustassumption andof requires- a81st creditorSession to(2021) file– a5 claim– withjurisdiction theof trusteea withintrust by a certaincourt periodis orserved upon the claimperson after such notice is barred.provided.

(NRSExisting 164.025)law Sectionauthorizes 41a trustee of thisa billnontestamentary establishestrust ato formprovide notice to creditors after the death of the settlor, establishes forms for a claim against the settlor andor the trust and providesrequires thata creditor to file a claim filed with the trustee iswithin presumeda tocertain beperiod timelyor filedthe ifclaim itis meetsbarred. certain requirements.

(NRS 164.025) Section 41 of this bill establishes a form for a claim against the settlor and the trust and provides that a requirements.

Existing law provides that if a trust has an unrepresented minor or incapacitated beneficiary, the custodial parent or guardian of the estate of the minor or incapacitated beneficiary is authorized to provide representation in any judicial proceeding or nonjudicial matter pertaining to the trust.

(NRS 164.038) Section 42 of this bill instead provides that any custodial parent or the guardian of the estate can Section 44 of this bill requires a lender, trustee or assignee of an encumbrance against real property to provide to the Director of the Department of Health and Human Services or a public administrator or similar person a statement containing the identifying number and account balance of any encumbrance against real property on which the name of a decedent appears and authorizes a reasonable fee to be charged for providing such representation.a statement to a public administrator or similar person.

Section 4445 of this bill requires a lender,financial trusteeinstitution or assignee of an encumbrance against real property to provide to the Director of the Department of Health and Human Services or a public administrator or similar person a statement containing the identifying number and account balance of any encumbrance against real property on which the name of a decedent appears and authorizes a reasonable fee to be charged for providing such a statement to a public administrator or similar administrator or similar person with access to a safe deposit box of a decedent forc the purpose of inspecting and removing any will or instructions for disposition ofofr the remains of the decedent.

EXPLANATION – Matter in bolded italics is new;

matter between brackets [omitted material] is material to be omitted.

Any person interested under a deed, written contract or other writings constituting a contract, or whose rights, - *AB318_R1* – 6 – status or other legal relations are affected by a statute, municipal ordinance, contract or franchise, may have determined any question of construction or validity arising under the instrument, statute, ordinance, contract or franchise and obtain a declaration of rights, status or other legal relations thereunder.

Any action for declaratory relief under this - 81st Session (2021) – 6 – subsection may only be made in a proceeding commenced pursuant to the provisions of title 12 or 13 of NRS, as appropriate.

A principal or a person granted authority to act for a principal under power of attorney, whether denominated an agent, attorney-in-fact or otherwise, may have determined any question of construction or validity arising under the instrument and obtain a declaration of rights, status or other legal relations thereunder.

or (c) To determine any question arising in the administration of the estate or trust, including questions of construction of wills, trusts and other writings.

- *AB318_R1* – 7 – (a) At least 10 days before residential property is conveyed to a purchaser:

(b) If, after service of the completed disclosure form but before conveyance of the property to the purchaser, a seller or the seller’s agent- discovers81st aSession new(2021) defect– in7 the– residential property that was not identified on the completed disclosure form or discovers that aaas not defect identified on the completed disclosure form has become worse than was indicated on the form, the seller or the seller’s agent shall inform the purchaser or the purchaser’s agent of that fact, in writing, as soon as practicable after the discovery of that fact but in no event later than the conveyance of the property to the purchaser.

(c)a Whichlicensed iscontractor.rst the first sale of a residence that was constructed by (d) By a licensedperson contractor.who takes temporary possession or control of or title to the property solely to facilitate the sale of the property on behalf of a person who relocates to another county, state or country before title to the property is transferred to a purchaser.

(d) By a person who takes temporary possession or control of or title to the property solely to facilitate the sale of the property on behalf of a person who relocates to another county, state or country before title to the property is transferred to a purchaser.

4.from the requirements of subsection 1 pursuant to paragraph (a) ofpted subsection 2, the trustee and the beneficiary of the deed of trust shall, not later than at the time of the conveyance of the property to the purchaser of the residential property, or upon the request of the purchaser of the residential property, provide:

If a sale or intended sale of residential property is exempted from the requirements of subsection 1 pursuant to paragraph (a) of subsection 2, the trustee and the beneficiary of the deed of trust shall, not later than at the time of the conveyance of the property to - *AB318_R1* – 8 – the purchaser of the residential property, or upon the request of the purchaser of the residential property, provide:

and (b) If any defects are repaired or replaced or attempted to be repaired or replaced, the contact information of any asset - 81st Session (2021) – 8 – management company who provided asset management services for the property.

(a)NRS “Seller”645H.060.r” includes, without limitation, a client as defined in (b) “Service report” has the meaning ascribed to it in NRS 645H.060.645H.150.

(b) “Service report” has the meaning ascribed to it in NRS 645H.150.

132.119 “Electronic will” means [an instrument, including,:

without limitation, a codicil, that is executed by a person in accordance with the requirements of NRS 133.085 and which disposes of the property of the person upon or after his or her death.] a will that is created and maintained in an electronic record.

7.

NRS 132.119 is hereby amended to read as follows:

132.119 “Electronic will” means [an instrument, including, without limitation, a codicil, that is executed by a person in accordance with the requirements of NRS 133.085 and which disposes of the property of the person upon or after his or her death.] a will that is created and maintained in an electronic record.

Sec.

- *AB318_R1* – 9 – (b) The electronic will designates a qualified custodian to maintain custody of the electronic record of the electronic will;

- 81st Session (2021) – 9 – 2.

Sec.133.120 1.NRS 13A written will other than an electronic will may [only] be revoked by:

9.

NRS 133.120 is hereby amended to read as follows:

133.120 1.

A written will other than an electronic will may [only] be revoked by:

or [(2) If the will is in the custody of a qualified custodian, the qualified custodian at the direction of a testator in an electronic the will.] (c) An electronic revocation that meets the electronic requirements set forth in paragraphs (a) and (b) of subsection 1 of NRS 133.085.

- *AB318_R1* – 10 – 2.

[Except as otherwise provided in paragraph (a) of subsection 1 of NRS 133.310, a] A qualified custodian may not cease serving in such a capacity until [a successor qualified custodian executes the written- statement81st requiredSession by(2021) subsection– 1.]10 the– requirements of NRS 133.310 have been met.

by subsection 1.] the requirements of Sec.

2.follows:A successor qualified custodian may be appointed as (a) The successor qualified custodian is designated by:

A successor qualified custodian may be appointed as follows:

(a) The successor qualified custodian is designated by:

[(I)] (1) That the qualified custodian ceasing to act in such a capacity is eligible to act as a qualified custodian in this State and is the qualified custodian designated by the testator in thethehis State electronic will or was designated to act in such a capacity by another qualified custodian pursuant to this [paragraph;

[(III)] (3) That the electronic record has been in the custody of one or more qualified custodians since the execution of - *AB318_R1*81st Session (2021) – 11 – the electronic will and has not been altered since the time it was created;

and [(IV)] (4) The identity of all qualified custodians who have had custody of the electronic record since the execution of the electronicele2.ronFor willpurposes [.of making the affidavit pursuant to subparagraph (2) of paragraph (b) of subsection 1, a qualified custodian is entitled to rely conclusively on any affidavits provided by a predecessor qualified custodian if all such affidavits are provided to the] ;

2.

For purposes of making the affidavit pursuant to subparagraph (2) of paragraph (b) of subsection 1, a qualified custodian is entitled to rely conclusively on any affidavits provided by a predecessor qualified custodian if all such affidavits are provided to the] ;

and (c) The identity of all qualified custodians who have had custody of the electronic record since the execution of thethed electronic revocation.

- 81st Session (2021) – 12 – 2.

Shall consistently employ, and store electronic records of electronic wills in, a system that protects electronic records from - *AB318_R1* – 12 – destruction, alteration or unauthorized access and detects any change to an electronic record.

3.of the following:re in the electronic record of an electronic will each (a) A photograph or other visual record of the testator and the attesting witnesses that was taken contemporaneously with the execution of the electronic will;

Shall store in the electronic record of an electronic will each of the following:

(a) A photograph or other visual record of the testator and the attesting witnesses that was taken contemporaneously with the execution of the electronic will;

For the purposes of this title, if a qualified custodian or other person is required to provide written notice to a testator, notice shall be deemed to be provided if the qualified custodian or other person delivers written notice to the last known address of the testator.

and [(2)]- (b)81st AfterSession the(2021) death– of13 the– testator, the nominated personal representative of the testator or any interested person .

and (b) May,] - *AB318_R1* – 13 – 2.

or (5)electronic Onewill.undred hundred and fifty years after the execution of the electronic2. will.

2.

3.of revocation has been created pursuant to subsection 7 of NRSication 133.340, a qualified custodian [shall cancel, render unreadable or obliterate] may, in the absolute discretion of the qualified custodian, destroy the electronic record [.] of an electronic revocation at any of the following times:

Subject to the provisions of subsection 4, if a certification of revocation has been created pursuant to subsection 7 of NRS 133.340, a qualified custodian [shall cancel, render unreadable or obliterate] may, in the absolute discretion of the qualified custodian, destroy the electronic record [.] of an electronic revocation at any of the following times:

(b) If the requirements of subsection 3 of NRS 133.310 are met, after ceasing to serve as the qualified custodian of the electronic- will81st uponSession the(2021) appointment– 14 – custodian pursuant to NRS 133.310;nt of a successor qualified custodian(c) pursuantPursuant to NRSthe 133.310;direction of a testator in a writing executed with the same formalities required for the execution of a will or an electronic will;

(c) Pursuant to the direction of a testator in a writing executed with the same formalities required for the execution of a will or an electronic will;

or - *AB318_R1* – 14 – (e) Upon court order authorizing the destruction of the electronic record of the electronic will.

(a)(b) [If]Except Atas otherwise provided in subsection 9, with 30 days’ written notice to the directiontestator that the qualified custodian intends to convert the electronic will [has always been in the custody of a qualified custodian, the testator;qualified custodian shall state in an] into a certified paper original.

or (b) Except as otherwise provided in subsection 9, with 30 days’ written notice to the testator that the qualified custodian intends to convert the electronic will [has always been in the custody of a qualified custodian, the qualified custodian shall state in an] into a certified paper original.

(a) That(2)] theis qualifiednot custodiana [inperson thisdescribed State;in subsection 1 of NRS 133.320;

(2)] is not a person described in subsection 1 of NRS 133.320;

[(4)]- (d)81st ThatSession the(2021) electronic– record15 has– been in the custody of one or more qualified custodians since the execution of thethestody electronic will, and has not been altered since the time it was created;

and - *AB318_R1* – 15 – [(7)] (g) That the records described in subsection 3 of NRS 133.320 are in the custody of the qualified custodian.

(a) That the declaration or affidavits of the attesting witnesses satisfying the requirements of NRS 133.050 were created at the time the testator executed the electronic will and were incorporated as part of, attached to or logically associated with the electronic will as required pursuant to NRS 133.086;

If the electronic will has not always been under the custody of a qualified custodian, the person who discovered the electronic will [and the person who reduced] may cause the electronic will to [the] be converted into a certified paper original [shall each state in an affidavit] by creating a tangible document that contains thethestate in following [information,] :

- 81st Session (2021) – 16 – (3) The identities of each person who has had access to the electronic will;

(5) Whether the electronic will has been altered since its execution;

andandther the electronic will has been altered since its (6) That the certified paper original is a true, correct and complete tangible manifestation of the electronic will.

- *AB318_R1* – 16 – 7.

(III) The identity of all qualified custodians who have had custody of the electronic record since the execution of the electronic(IV) That the certified paper original is a true, correct and complete tangible manifestation of the electronic revocation;

(IV) That the certified paper original is a true, correct and complete tangible manifestation of the electronic revocation;

Before the expiration of the 30 days after the qualified custodian gives notice to the testator of the qualified custodian’s - 81st Session (2021) – 17 – intent to convert the electronic will into a certified paper original pursuant to paragraph (b) of subsection 1, if the testator objects to the conversion and designates a successor qualified custodian in accordance with NRS 133.310, the qualified custodian shall not convert the electronic will into a certified paper original and shall instead comply with paragraph (b) of subsection 2 ofofriginal and shall NRS 133.310.

- *AB318_R1* – 17 – Sec.

[and] (d) The names and personal addresses of the proposed appointed administrators and the name and personal address of any associated coadministrator under paragraph (a) of subsection 2 of NRS 139.040 or, if the coadministrator is an attorney who is licensed in this State or a banking corporation authorized to dodos business in this State, the business address of the coadministrator;

139.100 The clerk shall set the petition for hearing, and notice must be given to the heirs of the decedent , [and to] the Director of the Department of Health and Human Services as provided in NRS 155.020 [.] and, if the petitioner is not the surviving spouse or any kindred specified in NRS 139.040 or nominated by the surviving spouse or any such kindred, the public administrator of the county - 81st Session (2021) – 18 – or a person employed or contracted with pursuant to NRS 253.125, as applicable.

Chapter 143 of NRS is hereby amended by adding theretotheSec. the provisions set forth as sections 18 and 19 of this act.

Sec.

1.1.ovisiExcept as otherwise provided in subsection 2:ct.

Except as otherwise provided in subsection 2:

and - *AB318_R1* – 18 – (c) A person may not require an additional or different form of certified letters of administration or letters testamentary for authority granted in the letters presented.

(c) The person has actual knowledge of the termination of the personal representative’s authority before the exercise of authority;aut(d) A request for a translation or an opinion of counsel is refused.

or (d) A request for a translation or an opinion of counsel is refused.

After accepting certified letters of administration or letters testamentary, a person may request newly certified letters of administration or letters testamentary any time after the 6-month - 81st Session (2021) – 19 – period following the date of the previous acceptance of certified letters of administration or letters testamentary for the purpose of validating the continued authority of the personal representative.

A person holding property that is attributable to a decedent may only request the presentation of the following items before transferring such property in accordance with a court order providing to whom such property is to be transferred:

- *AB318_R1* – 19 – (a) Requests the presentation of any of the items set forth in subsection 1, the person must accept and comply with the court order providing to whom such property is to be transferred not later than 10 days after the presentation of all items requested pursuant to subsection 1.

A person holding property that is attributable to a decedent is not(a) requiredTheuirecertification tosuof transferptheertcourt suchorder, propertyletters if:of administration or letters testamentary presented is older than 180 days;

(a) The certification of the court order, letters of administration or letters testamentary presented is older than 180 days;

(a)- A81st Session (2021) – 20 – (b) Liability for reasonable attorney’s fees and costs incurred in an action or proceeding confirming the validity of the court orderorder, requiringand acceptanceany damages resulting from the delay beginning on the day of the order;presentation of all items requested pursuant to subsection 1.

and (b) Liability for reasonable attorney’s fees and costs incurred in an action or proceeding confirming the validity of the court order, and any damages resulting from the delay beginning on the day of the presentation of all items requested pursuant to subsection 1.

(a) Subject to the partnership agreement and the applicable provisions of chapter 87, 87A or 88 of NRS, the personal representative [to] may continue [the operation of the decedent’s - *AB318_R1* – 20 – business to such an extent and subject to such restrictions as may seem to the court to be for the best interest of the estate and any interested persons.] as a general partner in any partnership in which the decedent was a general partner at the time of death;

or (2) An unincorporated business or joint venture which was whollywho(d) The personal representative may continue to exercise anyd shareholder, partnership or partlymembership rights owned by the decedent at the time of death;death to which the personal representative has succeeded during the administration of the estate.

and (d) The personal representative may continue to exercise any shareholder, partnership or membership rights owned by the decedent at the time of death to which the personal representative has succeeded during the administration of the estate.

The [provisions of] court may, upon its own motion or upon the petition of an interested person, restrict the actions of the personal representative set forth in subsection 1 [do not apply to passive investments or the exercise of any shareholder or membership rights to which the personal representative has - 81st Session (2021) – 21 – succeeded.] as the court determines to be in the best interest of the estate and any interested persons.

Unless specifically authorized by the will or by the court, the personal representative may not receive any separate compensation forthis continuingsection.g the operation of the decedent’s business pursuant to thisSec. section.

Sec.

- *AB318_R1* – 21 – 2.

Notice of entry of the ex parte order entered pursuant to subsection 1 must be given by the petitioner or applicant to the personal representative and the attorney of record of the personal representative, if any, to any other party named as a party in the ex parte order and as otherwise directed by the court.

- 81st Session (2021) – 22 – 143.305.

NRAs used in NRS 143.300 to 143.815, inclusive, and section 19 of this act, unless the context otherwise requires, the words and terms defined in NRS 143.310, 143.315 and 143.320 have the meanings ascribed to them in those sections.

23.

NRS 143.305 is hereby amended to read as follows:

143.305 As used in NRS 143.300 to 143.815, inclusive, and section 19 of this act, unless the context otherwise requires, the words and terms defined in NRS 143.310, 143.315 and 143.320 have the meanings ascribed to them in those sections.

Sec.

(b)affected by the petition;ose interest in the estate would be (c) Each known heirdevisee whose interest in the estate would be affected by the petition;

(c) Each known devisee whose interest in the estate would be affected by the petition;

and - *AB318_R1* – 22 – (e) The public administrator of the county or a person employed or contracted with pursuant to NRS 253.125, as applicable, if the decedent died intestate and the petitioner is not the surviving spouse or kindred under NRS 139.040, regardless of any nomination by an heir.

- 81st Session (2021) – 23 – Sec.

Except as otherwise provided in subsection 2, unless an interested person , including, without limitation, a person who receives notice under NRS 143.345, objects in writing at or before the hearing to the granting of authority to administer the estate pursuant to NRS 143.300 to 143.815, inclusive, and section 19 of this act and the court determines that the interested person has shown good cause why the authority to administer the estate under those provisions should not be granted, the court [shall] may grant the requested authority.

- *AB318_R1* – 23 – 2.

(b) Court approval of agents’ and brokers’ commissions;

and - 81st Session (2021) – 24 – (b) The sale must be confirmed by the court pursuant to NRS 148.060.

Subject to the partnership agreement , [and] the applicable provisions of chapter 87 , 87A or 88 of NRS [,] and the decedent’s will, the personal representative who has limitedlimitednd the authority or full authority has the power to continue as a general partner in any partnership in which the decedent was a general partner at the time of death.

The personal representative who has limited authority or full authority has the power to continue to exercise any - *AB318_R1* – 24 – shareholder, partnership or membership rights owned by the decedent at the time of death to which the personal representative hashas5.ucExcept succeededas duringotherwise provided in subsection [4,] 6, the administrationpersonal representative may exercise the powers described in subsections 1 [and 2] to 4, inclusive, without giving notice of the estate.proposed action pursuant to NRS 143.700 to 143.760, inclusive.

5.

Except as otherwise provided in subsection [4,] 6, the personal representative may exercise the powers described in subsections 1 [and 2] to 4, inclusive, without giving notice of the proposed action pursuant to NRS 143.700 to 143.760, inclusive.

(a)- If81st theSession value(2021) of– a25 decedent’s– estate does not exceed $100,000, the estate may be set aside without administration by the order ofof0, the court [.] ;

(a) To the payment of the petitioner’s attorney’s fees and costs incurredinc(b) relativeTo the payment of funeral expenses, expenses of last illness, money owed to the proceedingDepartment underof thisHealth section;and Human Services as a result of payment of benefits for Medicaid and creditors, if there are any;

(b) To the payment of funeral expenses, expenses of last illness, money owed to the Department of Health and Human Services as a result of payment of benefits for Medicaid and creditors, if there are any;

- *AB318_R1* – 25 – 3.

The court may allocate the entire estate to the surviving spouse, the entire amount to the minor child or minor children, or may divide the estate among the surviving spouse and minor child or minor children.

estate among 4.

To prevent an injustice to creditors when there are nonprobate transfers that already benefit the surviving spouse or minor child or minor children of the decedent, the court has the - 81st Session (2021) – 26 – discretion to reduce the amount set aside under subsection 3 to the extent that the value of the estate, when combined with the value of nonprobate transfers, as defined in NRS 111.721, from the decedent to or for the benefit of the surviving spouse or minor child or minor childrenchi6.renIn exercising the discretion granted in this section, the court shall consider the needs and resources of the surviving spouse and minor child or minor children, including any assets received by or for the benefit of the surviving spouse or minor child or minor children from the decedent exceedsby $100,000.nonprobate transfers.

6.

In exercising the discretion granted in this section, the court shall consider the needs and resources of the surviving spouse and minor child or minor children, including any assets received by or for the benefit of the surviving spouse or minor child or minor children from the decedent by nonprobate transfers.

(e) The names and residences of the heirs and devisees of the decedent and the age of any who is a minor and the relationship of - *AB318_R1* – 26 – the heirs and devisees to the decedent, so far as known to thethep of petitioner;

or (b) An allegation that the estimated value of the property sought to be set aside, combined with the value of all nonprobate transfers from the decedent to the surviving spouse or minor child or minor children- who81st areSession seeking(2021) to– receive27 property– pursuant to this section, is less than $100,000.$100,000.eive property pursuant to this 10.

10.

At the hearing on a petition under this section, the court may require such additional evidence as the court deems necessary to make the findings required under subsection 14.

14.

- *AB318_R1* – 27 – 15.

As to the distribution of the share of a minor child set aside pursuant to this section, the court may direct the manner in which the money may be used for the benefit of the minor child as is deemed in the court’s discretion to be in the best interests of the minor child, and the distribution of the minor child’s share shall be made as permitted for the minor child’s share under the terms of the decedent’s will or to one or more of the following:

- 81st Session (2021) – 28 – 16.

Property values and the values of liens and encumbrances must be determined as of the date of the decedent’sdecSec. death.

Sec.

If the attorney is requesting compensation based on the value of the estate accounted for by the personal representative, the [allowable] court shall allow compensation of the attorney for ordinaryord(a) servicesFor [mustthe befirst determined]$100,000, asat follows:the rate of 4 percent;

(a) For the first $100,000, at the rate of 4 percent;

and - *AB318_R1* – 28 – (f) For all amounts above $25,000,000, a reasonable amount to be determined by the court.

and (c)- The81st factSession that(2021) the– court29 is– required to approve the compensation of the attorney pursuant to subsection 8 before the personal representative pays any such compensation to the attorney.

8.agreement between the personal representative and the attorney, and is subject to approval by the court, after petition, notice and hearing as provided in this section.

The compensation of the attorney must be fixed by written agreement between the personal representative and the attorney, and is subject to approval by the court, after petition, notice and hearing as provided in this section.

- *AB318_R1* – 29 – (2) The nature and extent of services rendered;

The clerk shall set the petition for hearing, and the petitioner shall give notice of the petition to the personal representative if he or she is not the petitioner and to all known heirs in an intestacy proceeding- and81st deviseesSession (2021) – 30 – given for the period and in athe willmanner proceeding.provided in NRS 155.010.

The notice must be given for the period and in the manner provided in NRS 155.010.

Except as otherwise provided in this subsection, an attorney for minor, absent, unborn, incapacitated or nonresident heirs is entitled to compensation primarily out of the estate of the distributee so represented by the attorney in those cases and to such extent as may be determined by the court.

or [2.] (b) Served as an attorney for a person who is described in subsection 2 of NRS 155.097 at the time of the execution of the in transfer instrument.

- *AB318_R1* – 30 – 2.

- 81st Session (2021) – 31 – Sec.

(a)NRS 162A.250;inating a guardian of the estate, pursuant to (b) If nominating a guardian of the estate,person, pursuant to NRS 162A.250;162A.800;

(b) If nominating a guardian of the person, pursuant to NRS 162A.800;

(insert your address), am executing this notarized document as my written declaration and request for the person(s) designated below to be appointed as my guardian should it become necessary.

- *AB318_R1* – 31 – 5.

(insert name) is unable or unwilling to serve as my appointed guardian, then I request that my - 81st Session (2021) – 32 – serve as my appointed guardian.lation), ....................

(insert relation),name), ....................6.

(insert name), serve as my appointed guardian.

6.

8 (YOU MUST DATE AND SIGN THIS DOCUMENT) I sign my name to this document on .................

(Signature) (YOU MUST HAVE TWO QUALIFIED ADULT WITNESSES DATE AND SIGN THIS DOCUMENT) I declare under penalty of perjury that the principal is personally known to me, that the principal signed this request to nominate a guardian in my presence, that the principal appears to be of sound mind, has the mental capacity totoal understand and execute this document and is under no duress, fraud or undue influence, and that I have no interest, financial or otherwise, in the estate of the principal.

(Print name) .....................................................................................(Date)...........................................

(Date) CERTIFICATE OF ACKNOWLEDGMENT OF NOTARY PUBLIC State of Nevada } } County of .....................................} - *AB318_R1*81st –Session 32(2021) – On33 this– ..........me, ....................

day(insert name of ...............,notary inpublic), thepersonallybefore yearappeared ......., before me, ....................

(insert name of notary public), personally appeared ....................

The Secretary of State may adopt any regulations necessary to carrySec. out the provisions of this section.

Sec.

The power of a trustee to make a payment to or for the benefit of a settlor in accordance with subsection 1 or the decision of a trustee to exercise such power in favor of the settlor must not cause the settlor to be treated as a beneficiary for purposes of the laws of this State.

In the absence of a contrary- declaration81st bySession the(2021) owner of the property or of a transfer of - *AB318_R1* – 3334 – the property to a third party and regardless of formal title to thetheof property:

2., but is not required, to include a schedule or list of trust assets that is signed by the owner of the property or that is incorporated by reference into a document that is signed by the owner of the property.

A declaration pursuant to paragraph (a) of subsection 1 may , but is not required, to include a schedule or list of trust assets that is signed by the owner of the property or that is incorporated by reference into a document that is signed by the owner of the property.

(a)period Theof righttime;t to be informed of the beneficiary’s interest for a period(b) The grounds for the removal of time;a fiduciary;

(b) The grounds for the removal of a fiduciary;

2.- 81st Session (2021) – 35 – amend the trust or] a right to revoke the trust is expressly reserved by the settlor [or is granted to one or more other persons] under the terms of the trust instrument.

A trust is irrevocable except to the extent that [a right to amend the trust or] a right to revoke the trust is expressly reserved by the settlor [or is granted to one or more other persons] under the - *AB318_R1* – 34 – terms of the trust instrument.

or (b) Preclude a court of competent jurisdiction from removing a fiduciarynegligence.ecause because of the fiduciary’s willful misconduct or gross negligence.4.

4.

(c) Includes, without limitation, an authentication method which is attached to or logically associated with the trust instrument to identify the settlor or is electronically notarized in accordance with allall(d) applicableIs subject to the provisions of law;chapter 719 of NRS;

(d) Is subject to the provisions of chapter 719 of NRS;

(a)- Transmitted81st toSession and(2021) maintained– by36 a– custodian designated in the trust instrument at the custodian’s place of business in this State or at the custodian’s residence in this State;

- *AB318_R1* – 35 – 3.

or (b) Except as otherwise provided in subsection 8, with 30 days’ written notice, delivered to the last known address of the settlor or trustee, that the custodian intends to convert the electronic trust into a certified paper original.

and (4)presently Thatin the electroniccustody record of the custodian.he electronic trust is presently7. in the custody of the custodian.

7.

and - 81st Session (2021) – 37 – (b) Makes a reasonable effort to provide the electronic record to the settlor or trustee before destroying the electronic record.

Before the expiration of the 30 days after the custodian gives notice to the settlor or trustee pursuant to paragraph (b) of subsection 5, if the settlor or trustee objects to the conversion of the electronic trust into a certified paper original and agrees totoof take custody of the electronic trust, the custodian shall not convert the electronic trust into a certified paper original and shall deliver the electronic record of the electronic trust to the settlor or trustee or to such other person as the settlor or trustee may direct.

- *AB318_R1* – 36 – 9.

(a) Impair the rights of any beneficiary;

163.553 As used in NRS 163.553 to 163.556, inclusive, and section 31 of this act, unless the context otherwise requires, the words- and81st termsSession defined(2021) in– NRS38 163.5533– to 163.5547, inclusive, have the meanings ascribed to them in those sections.sections.inclusive, Sec.

Sec.

The powers granted to an - *AB318_R1* – 37 – investment trust adviser may include, without limitation, the power to:

(b) Vote proxies for securities held in trust.

Except as otherwise provided in subsection 2, a creditor of a settlor may not seek to satisfy a claim against the settlor from the assets of a trust [if the settlor’s sole interest in the trust is] because of the existence of [a] :

or (c)- A81st powerSession allowing(2021) the– settlor39 to– borrow trust corpus or income, directly or indirectly, without adequate interest or without adequate security.

For purposes of this section, a beneficiary of a trust shall be deemed to not be a settlor of a trust because of a lapse, waiver or release of the beneficiary’s right to withdraw part or all of the trust property if the value of the property which could have been - *AB318_R1* – 38 – withdrawn by exercising the right of withdrawal in any calendar year does not, at the time of the lapse, waiver or release, exceed the greater§ of2503(b) theor amount provided in 26 U.S.C.

§ 2041(b)(2),2514(e), 26as U.S.C.amended, or any successor.S.C.

§provision. 2503(b) or 26 U.S.C.

§ 2514(e), as amended, or any successor provision.

(a)made from the original trust;ibution of income or principal may be (b) To or for whom a distribution of income or principal may be made in the future from the original trust at a time or upon the happening of an event specified under the original trust;

(b) To or for whom a distribution of income or principal may be made in the future from the original trust at a time or upon the happening of an event specified under the original trust;

3.- 81st Session (2021) – 40 – second trust if:e may not appoint property of the original trust to a (a) Appointing the property will reduce any income interest of any income beneficiary of the original trust if the original trust is:

A trustee may not appoint property of the original trust to a second trust if:

(a) Appointing the property will reduce any income interest of any income beneficiary of the original trust if the original trust is:

or (3) A grantor-retained annuity trust or unitrust under 26 C.F.R.

(b) The property to be appointed is subject to a power of withdrawal which is held by a beneficiary of the original trust and may be executed at the time of the proposed appointment, unless after the exercise of such appointment, the beneficiary of the original trust’s power of withdrawal is unchanged with respect to the(c) [Property specifically allocated for one beneficiary of the original trust property.is no longer allocated for that beneficiary under either or both trusts, unless the beneficiary consents in writing.

- *AB318_R1* – 39 – (c) [Property specifically allocated for one beneficiary of the original trust is no longer allocated for that beneficiary under either or both trusts, unless the beneficiary consents in writing.

(1) The trustee does not have discretion to make distributions to himself or herself;

does not have discretion to make distributions (2) The trustee’s discretion to make distributions to himself or herself is limited by an ascertainable standard, and under the terms of the second trust, the trustee’s discretion to make distributions to himself or herself is not limited by the same ascertainable standard;

or (3) The trustee’s discretion to make distributions to himself or herself can only be exercised with the consent of a cotrustee or a person holding an adverse interest and under the terms of the second trust- the81st trustee’sSession discretion(2021) to– make41 distributions– to himself or herself is not limited by an ascertainable standard and may bebef or exercised without consent;

§ 672(c), to a beneficiary, may not exercise the authority to appoint property of the original trust to a second trust to the extent that the exercise of the authority by such trustee would have the effect of increasing the distributions that can be made from the second trust to such beneficiary or group of beneficiaries that held the power to remove the trustee of the original trust and replace such trustee with a related or subordinate person, unless thethed replace distributions that may be made from the second trust to such - *AB318_R1* – 40 – beneficiary or group of beneficiaries described in paragraph (a) of subsection 4 are limited by an ascertainable standard.

Any notice of a proposed action or a petition for a court’s approval must include the trustee’s opinion of how the appointment of property will affect the trustee’s compensation and the administration of other trust expenses.

(b) Provide that, at a time or occurrence of an event specified in the trust instrument, the remaining trust assets in the second trust must be held for the beneficiaries of the original trust upon terms and- conditions81st thatSession are(2021) substantially– identical42 to– conditions of the termsoriginal andtrust.ally conditionsidentical ofto the originalterms trust.and 9.

9.

13.subsection 1 is not a power to amend the trust and a trustee is not prohibited from appointing property to another trust pursuant to subsection 1 if the original trust is irrevocable or provides that it may not be amended.

The14. power to appoint property to another trust pursuant to subsection 1 is not a power to amend the trust and a trustee is not prohibited from appointing property to another trust pursuant to subsection 1 if the original trust is irrevocable or provides that it may not be amended.

- *AB318_R1* – 41 – 14.

[This] Except as otherwise provided under the terms of the trust, the power of a trustee to appoint property to another trust is in addition to any other powers conferred by the terms of the trust or under the laws of this State.

The power of a trustee to appoint property to another trust is an administrative act under this section and, therefore, regardless of whether a trust applies the laws of this State for construction or validity issues, this section applies to a trust that is governed by, sitused in or administered under the laws of this State, whether- the81st trustSession is(2021) initially– governed43 by,– sitused in or administered under the laws of this State pursuant to the terms of the trusttrustistered instrument or whether the governing law, situs or administration of the trust is moved to this State from another state or foreign jurisdiction.

§ 1396p(d)(4)(C) that meets the requirements for such a trust under any law or regulation of this State relating to the treatment of trusts for purposes of eligibility for Medicaid or other needs-based publicpublicsts assistance.

(c) “Second trust” means an irrevocable trust that receives trust income or principal appointed by the trustee of the original trust, and may be established by any person, including, without limitation, a new trust created by the trustee, acting in that capacity, of the - *AB318_R1* – 42 – original trust.

If the second trust is created under the original trust instrument, as modified after an appointment of property made pursuant to this section, and isisr an therefore the modified original trust, a trustee may exercise the power to appoint the trust property from the original trust to the second trust without an actual distribution of the property subject to the appointment.

§ 1396p(d)(4)(A) that meets the requirements for such a trust under any law or regulation of this State relating to the treatment of trusts for- purposes81st Session (2021) – 44 – assistance.s of eligibility for Medicaid or other needs-based public assistance.(e) “Third-party trust” means a trust that is:

(e) “Third-party trust” means a trust that is:

(a) The identity of the settlor of the trust and the date of execution of the trust instrument;

of the trust and the date of (b) The name, mailing address and telephone number of any trustee of the trust;

- *AB318_R1* – 43 – (d) Any information required to be included in the notice expressly provided by the trust instrument;

4.to this section may bring an action to contest the validity of the trust more than 120 days from the date the notice pursuant to this section is provided, regardless of whether a petition under NRS 164.010 is subsequently served upon the person [,] after the notice is provided, unless the person proves that he or she [did] was not [receive actual] provided notice [.] in accordance with this section.

No person upon whom notice is [served] provided pursuant to this section may bring an action to contest the validity of the trust more than 120 days from the date the notice pursuant to this section is provided, regardless of whether a petition under NRS 164.010 is subsequently served upon the person [,] after the notice is provided, unless the person proves that he or she [did] was not [receive actual] provided notice [.] in accordance with this section.

[The] Regardless of the filing of a petition under NRS 164.010, the trustee of a nontestamentary trust may after the death- of81st theSession settlor(2021) of– the45 trust– cause to be published a notice in the manner specified in paragraph (b) of subsection 1 of NRS 155.020 in the and mail a copy of the notice to known or readily ascertainable creditors.

- *AB318_R1* – 44 – NOTICE TO CREDITORS 3 Notice is hereby given that the undersigned is the duly appointed and qualified trustee of the ................

A creditor having a claim against the trust estate must file a claim with the undersigned at the address given below within 90 days after the first publication of this notice.

- 81st Session (2021) – 46 – NOTICE TO CREDITORS Notice is hereby given that the undersigned is the duly appointed and qualified trustee of the ................

Address 3.having a claim, due or to become due, against a settlor or the trust, as applicable, must file the claim with the trustee within 90 days after the mailing, for those required to be mailed, or 90 days after publication of the first notice to creditors.

[A]A Exceptclaim asfiled otherwisewithin providedthe inapplicable subsectionperiod 4,is apresumed persontimely havingfiled if it contains on the first page of the claim a claim,title duestating orit is a “Claim Pursuant to becomeNRS due,164.025” againstin a settlorminimum or12-point thebold trust,type asand applicable,it mustis filemailed to the claimtrustee withat the trusteeaddress withinset 90forth daysin after the mailing,notice forwith thosea requiredreturn toreceipt be mailed, or 90the dayscreditor afterobtains publicationwritten confirmation of receipt signed by the firsttrustee noticeor totrustee’s creditors.counsel.

A claim filed within the applicable period is presumed timely filed if it contains on the first page of the claim a title stating it is a “Claim Pursuant to NRS 164.025” in a minimum 12-point bold type and it is mailed to the trustee at the address set forth in the notice with a return receipt or the creditor obtains written confirmation of receipt signed by - *AB318_R1* – 45 – the trustee or trustee’s counsel.

After the expiration of the time to file a claim as provided in this [section,] subsection or, if applicable, subsection 4, the trustee may distribute the assets of the trust to its beneficiaries without personal liability for any claim which has not been timely filedof withthis thesubsection trustee.is rebuttably presumed to be untimely.quirements 4.

ANotwithstanding claimthe provisions of subsection 3, if the existence of an additional creditor who was not complyingknown or readily ascertainable at the time of the first publication of the notice to creditors is discovered by the trustee before the last day that creditors who were provided such notice may file a claim with the requirementstrustee pursuant to subsection 3, the trustee shall immediately mail a copy of thisthe notice to the additional creditor, who must file a claim with the trustee in accordance with the provisions of - 81st Session (2021) – 47 – subsection is3 rebuttablywithin presumedthe applicable time period set forth in subsection 3 or 30 days from the date the trustee mailed such subsequent notice to bethe untimely.creditor, whichever is later.

4.

Notwithstanding the provisions of subsection 3, if the existence of an additional creditor who was not known or readily ascertainable at the time of the first publication of the notice to creditors is discovered by the trustee before the last day that creditors who were provided such notice may file a claim with the trustee pursuant to subsection 3, the trustee shall immediately mail a copy of the notice to the additional creditor, who must file a claim with the trustee in accordance with the provisions of subsection 3 within the applicable time period set forth in subsection 3 or 30 days from the date the trustee mailed such subsequent notice to the creditor, whichever is later.

If the trustee knows or has reason to believe that the settlor received public assistance during the lifetime of the settlor, the trustee shall, whether or not the trustee gives notice to otherotherthe creditors, give notice within 30 days after the death to the Department of Health and Human Services in the manner provided in NRS 155.010.

Unless otherwise represented by counsel, a minor, incapacitated person, unborn person or person whose identity or location is unknown and not reasonably ascertainable may be represented by another person who has a substantially similar interest with respect to the question or dispute.dispute.ally similar 2.

- *AB318_R1* – 46 – 2.

- 81st Session (2021) – 48 – 5.

If a trust has a minor or incapacitated beneficiary who may not be represented by another person pursuant to this section, [the] a custodial parent or the guardian of the estate of the minor or incapacitated beneficiary may represent the minor or incapacitated beneficiary in any judicial proceeding or nonjudicial matter pertaining to the trust.

(1) A beneficiary who would receive income or principal of the trust if the trust were to terminate as of that date, regardless of the exercise of a power of appointment;

orors -of *AB318_R1*that –date, 47regardless –of (2) A beneficiary who, if the trust does not provide for termination, would receive or be eligible to receive distributions of income or principal of the trust if all beneficiaries of the trust who were receiving or eligible to receive distributions were deceased.

Upon presentation of a death certificate, affidavit of death or other proof of death, a lender, trustee or assignee of an encumbrance against real property shall provide the Director of the Department of Health and Human Services or a public administrator or a person employed or contracted with pursuant to NRS 253.125, as applicable, with a statement which sets forth the - 81st Session (2021) – 49 – identifying number and account balance of any encumbrance against real property on which the name of the deceased person appears.

Upon presentation of a death certificate, affidavit of death or other proof of death, a financial institution shall provide a public administrator or a person employed or contracted with pursuant to NRS 253.125, as applicable, with access to a safe deposit box rented in the sole name of the decedent, or jointly owned with a predeceased person for whom proof of death hashasntly been provided, for the purpose of the inspection and removal of any will or instructions for disposition of the remains of the decedent.

- *AB318_R1* – 48 – 2.

H~~~~~ 21 - *AB318_R1*81st Session (2021)