Bill Text: FL S1070 | 2021 | Regular Session | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Estates and Trusts
Spectrum: Slight Partisan Bill (? 2-1)
Status: (Passed) 2021-07-06 - Chapter No. 2021-183 [S1070 Detail]
Download: Florida-2021-S1070-Introduced.html
Bill Title: Estates and Trusts
Spectrum: Slight Partisan Bill (? 2-1)
Status: (Passed) 2021-07-06 - Chapter No. 2021-183 [S1070 Detail]
Download: Florida-2021-S1070-Introduced.html
Florida Senate - 2021 SB 1070 By Senator Berman 31-00557A-21 20211070__ 1 A bill to be entitled 2 An act relating to estates and trusts; amending s. 3 69.031, F.S.; requiring the court to allow an officer 4 to elect to post and maintain a certain bond; 5 requiring the court to vacate or terminate an order 6 under certain circumstances; making technical changes; 7 amending s. 732.507, F.S.; providing that certain 8 provisions of a will are void upon dissolution of 9 marriage; specifying when dissolution of marriage 10 occurs; providing applicability; amending s. 736.0103, 11 F.S.; defining terms; revising the definition of the 12 term “terms of a trust”; amending s. 736.0105, F.S.; 13 revising the exceptions for when the terms of a trust 14 do not prevail over provisions of the Florida Trust 15 Code; amending s. 736.0201, F.S.; authorizing certain 16 proceedings to determine the homestead status of real 17 property owned by a trust to be filed in the probate 18 proceeding for the settlor’s estate; requiring that 19 such proceedings be governed by the Florida Probate 20 Rules; amending s. 736.0603, F.S.; transferring 21 provisions that authorize a trustee to follow certain 22 directions; amending s. 736.0703, F.S.; conforming 23 provisions to changes made by the act; repealing s. 24 736.0808, F.S., relating to powers to direct; amending 25 s. 736.1008, F.S.; specifying that certain claims 26 barred against a trustee or trust director are also 27 barred against certain persons acting for that 28 trustee; conforming provisions to changes made by the 29 act; amending s. 736.1017, F.S.; revising the 30 information required to be included in a certification 31 of trust; amending s. 736.1105, F.S.; revising the 32 effects that subsequent marriages, births, adoptions, 33 or dissolutions of marriage have on a revocable trust; 34 providing construction; providing applicability; 35 creating s. 736.1109, F.S.; specifying how title 36 passes for certain devises of homesteads which violate 37 the State Constitution; specifying that certain powers 38 do not subject an interest in a protected homestead to 39 certain claims; providing applicability; creating part 40 XIV of chapter 736, F.S., entitled the “Florida 41 Uniform Directed Trust Act”; creating s. 736.1401, 42 F.S.; providing a short title; creating s. 736.1403, 43 F.S.; providing applicability; providing for the 44 validity of certain terms in a directed trust which 45 designate principal places of administration; creating 46 s. 736.1405, F.S.; defining the term “power of 47 appointment”; providing applicability; specifying the 48 types of powers granted to persons other than 49 trustees; creating s. 736.1406, F.S.; authorizing the 50 terms of a trust to grant a power of direction to a 51 trust director; specifying the powers included in a 52 power of direction; creating s. 736.1407, F.S.; 53 providing for limitations on trust directors; creating 54 s. 736.1408, F.S.; providing duties and liabilities 55 for trust directors; creating s. 736.1409, F.S.; 56 providing duties and liabilities for directed 57 trustees; creating s. 736.141, F.S.; requiring a 58 trustee to provide certain information to a trust 59 director; requiring a trust director to provide 60 certain information to a trustee or another trust 61 director and a qualified beneficiary; providing that a 62 trustee or a trust director acting in reliance on 63 certain information is not liable for a breach of 64 trust in certain circumstances; creating s. 736.1411, 65 F.S.; specifying that trustees and trust directors do 66 not have a duty to monitor, inform, or advise 67 specified persons under certain circumstances; 68 creating s. 736.1412, F.S.; transferring provisions 69 relating to the appointment of trustees; creating s. 70 736.1413, F.S.; providing limitations on actions 71 against trust directors; creating s. 736.1414, F.S.; 72 authorizing trust directors to assert specified 73 defenses in certain actions; creating s. 736.1415, 74 F.S.; specifying that a trust director submits to 75 specified personal jurisdiction by accepting 76 appointment as a trust director; providing 77 construction; creating s. 736.1416, F.S.; requiring 78 trust directors to be considered a trustee for certain 79 purposes; authorizing certain persons to make a 80 specified written demand to accept or confirm prior 81 acceptance of trust directorships; creating part XV of 82 chapter 736, F.S., entitled the “Community Property 83 Trust Act”; creating s. 736.1501, F.S.; providing a 84 short title; creating s. 736.1502, F.S.; defining 85 terms; creating s. 736.1503, F.S.; providing that an 86 arrangement is a community property trust in certain 87 circumstances; creating s. 736.1504, F.S.; authorizing 88 settlor spouses to agree upon certain terms in an 89 agreement establishing a community property trust; 90 specifying when a community property trust may be 91 amended or revoked; specifying qualified beneficiaries 92 of community property trusts; creating s. 736.1505, 93 F.S.; providing that settlor spouses may classify any 94 property as community property by transferring that 95 property to a community property trust regardless of 96 domicile; providing for enforceability and duration of 97 a community property trust; providing that the right 98 to manage and control certain property is determined 99 by the terms of the trust agreement; providing the 100 effect of distributions from a community property 101 trust; creating s. 736.1506, F.S.; providing for the 102 satisfaction of obligations incurred by one or both 103 spouses from a community property trust; creating s. 104 736.1507, F.S.; providing for the disposition or 105 distribution of certain property upon the death of a 106 spouse; creating s. 736.1508, F.S.; providing for the 107 termination of a community property trust upon 108 dissolution of marriage; creating s. 736.1509, F.S.; 109 providing that a community property trust does not 110 adversely affect certain rights of a child; creating 111 s. 736.151, F.S.; providing that certain property held 112 in a community property trust qualifies as homestead 113 property; creating s. 736.1511, F.S.; providing for 114 the application of the Internal Revenue Code to a 115 community property trust; creating s. 736.1512, F.S.; 116 providing that a community property trust is not 117 enforceable in certain circumstances; amending ss. 118 736.0802, 736.08125, and 738.104, F.S.; conforming 119 cross-references; amending s. 744.3679, F.S.; 120 conforming a provision to changes made by the act; 121 providing a directive to the Division of Law Revision; 122 providing for severability; providing effective dates. 123 124 Be It Enacted by the Legislature of the State of Florida: 125 126 Section 1. Effective upon this act becoming a law, section 127 69.031, Florida Statutes, is amended to read: 128 69.031 Designated financial institutions for property 129assetsin hands of guardians, curators, administrators, 130 trustees, receivers, or other officers.— 131 (1) When it is expedient in the judgment of any court 132 having jurisdiction of any estate in process of administration 133 by any guardian, curator, executor, administrator, trustee, 134 receiver, or other officer, because the size of the bond 135 required of the officer is burdensome or for other cause, the 136 court may order part or all of the personal propertyassetsof 137 the estate placed with a bank, trust company, or savings and 138 loan association (which savings and loan association is a member 139 of the Federal Savings and Loan Insurance Corporation and doing 140 business in this state) designated by the court, consideration 141 being given to any bank, trust company or savings and loan 142 association proposed by the officer. Notwithstanding the 143 foregoing, in probate proceedings and in accordance with s. 144 733.402, the court shall allow the officer at any time to elect 145 to post and maintain bond for the value of the personal 146 property, or such other reasonable amount determined by the 147 court, whereupon the court shall vacate or terminate any order 148 establishing the depository. When the property isassets are149 placed with the designated financial institution, it shall file 150 a receipt therefor in the name of the estate and give the 151 officer a copy. Such receipt shall acknowledge the property 152assetsreceived by the financial institution. All interest, 153 dividends, principal and other debts collected by the financial 154 institution on account thereof shall be held by the financial 155 institution in safekeeping, subject to the instructions of the 156 officer authorized by order of the court directed to the 157 financial institution. 158 (2) Accountings shall be made to the officer at reasonably 159 frequent intervals. After the receipt for the original property 160assetshas been filed by the financial institution, the court 161 shall waive the bond given or to be given or reduce it so that 162 it shall apply only to the estate remaining in the hands of the 163 officer, whichever the court deems proper. 164 (3) When the court has ordered any propertyassetsof an 165 estate to be placed with a designated financial institution, any 166 person or corporation having possession or control of any of the 167 propertyassets, or owing interest, dividends, principal or 168 other debts on account thereof, shall pay and deliver such 169 propertyassets, interest, dividends, principal and other debts 170 to the financial institution on its demand whether the officer 171 has duly qualified or not, and the receipt of the financial 172 institution relieves the person or corporation from further 173 responsibility therefor. 174 (4) Any bank, trust company, or savings and loan 175 association which is designated under this section, may accept 176 or reject the designation in any instance, and shall file its 177 acceptance or rejection with the court making the designation 178 within 15 days after actual knowledge of the designation comes 179 to the attention of the financial institution, and if the 180 financial institution accepts, it shall be allowed a reasonable 181 amount for its services and expenses which the court may allow 182 as a charge against the propertyassetsplaced with the 183 financial institution. 184 Section 2. Effective upon this act becoming a law, section 185 732.507, Florida Statutes, is amended to read: 186 732.507 Effect of subsequent marriage, birth, adoption, or 187 dissolution of marriage.— 188 (1) Neither subsequent marriage, birth, nor adoption of 189 descendants shall revoke the prior will of any person, but the 190 pretermitted child or spouse shall inherit as set forth in ss. 191 732.301 and 732.302, regardless of the prior will. 192 (2) Any provision of a willexecuted by a married person193 that affects the testator’s spouse isof that person shall194becomevoid upon dissolution of the marriage of the testator and 195 the spouse, whether the marriage occurred before or after the 196 execution of such will. Upon dissolution of marriagethe divorce197of that person or upon the dissolution or annulment of the198marriage. After the dissolution, divorce, or annulment, the will 199 shall beadministered andconstrued as if theformerspousehad200 died at the time of the dissolution of marriage, divorce, or201annulment of the marriage, unless the will or the dissolution or202divorce judgment expressly provides otherwise. 203 (a) Dissolution of marriage occurs at the time the 204 decedent’s marriage is judicially dissolved or declared invalid 205 by court order. 206 (b) This subsection does not invalidate a provision of a 207 will: 208 1. Executed by the testator after the dissolution of the 209 marriage; 210 2. If there is a specific intention to the contrary stated 211 in the will; or 212 3. If the dissolution of marriage judgment expressly 213 provides otherwise. 214 (3) This section applies to wills of decedents who die on 215 or after the effective date of this section. 216 Section 3. Present subsections (6) through (13), (14) 217 through (21), and (22) and (23) of section 736.0103, Florida 218 Statutes, are redesignated as subsections (8) through (15), (17) 219 through (24), and (26) and (27), respectively, new subsections 220 (6), (7), and (16) and subsection (25) are added to that 221 section, and present subsection (21) of that section is amended, 222 to read: 223 736.0103 Definitions.—Unless the context otherwise 224 requires, in this code: 225 (6) “Directed trust” means a trust for which the terms of 226 the trust grant a power of direction. 227 (7) “Directed trustee” means a trustee that is subject to a 228 trust director’s power of direction. 229 (16) “Power of direction” means a power over a trust 230 granted to a person by the terms of the trust to the extent the 231 power is exercisable while the person is not serving as a 232 trustee. The term includes a power over the investment, 233 management, or distribution of trust property, a power to amend 234 a trust instrument or terminate a trust, or a power over other 235 matters of trust administration. The term excludes the powers 236 listed in s. 736.1405(2). 237 (24)(21)“Terms of a trust” means: 238 (a) Except as otherwise provided in paragraph (b), the 239 manifestation of the settlor’s intent regarding a trust’s 240 provisions as: 241 1. Expressed in the trust instrument; or 242 2. Established by other evidence that would be admissible 243 in a judicial proceeding; or 244 (b) The trust’s provisions as established, determined, or 245 amended by: 246 1. A trustee or trust director in accordance with 247 applicable law; 248 2. Court order; or 249 3. A nonjudicial settlement agreement under s. 736.0111the250manifestation of the settlor’s intent regarding a trust’s251provisions as expressed in the trust instrument or as may be252established by other evidence that would be admissible in a253judicial proceeding. 254 (25) “Trust director” means a person who is granted a power 255 of direction by the terms of a trust to the extent the power is 256 exercisable while the person is not serving as a trustee. The 257 person is a trust director whether or not the terms of the trust 258 refer to the person as a trust director and whether or not the 259 person is a beneficiary or settlor of the trust. 260 Section 4. Paragraph (b) of subsection (2) of section 261 736.0105, Florida Statutes, is amended to read: 262 736.0105 Default and mandatory rules.— 263 (2) The terms of a trust prevail over any provision of this 264 code except: 265 (b) Subject to ss. 736.1409, 736.1411, and 736.1412, the 266 duty of the trustee to act in good faith and in accordance with 267 the terms and purposes of the trust and the interests of the 268 beneficiaries. 269 Section 5. Subsection (1) of section 736.0201, Florida 270 Statutes, is amended, and subsection (7) is added to that 271 section, to read: 272 736.0201 Role of court in trust proceedings.— 273 (1) Except as provided in subsections (5),and(6), and (7) 274 and s. 736.0206, judicial proceedings concerning trusts shall be 275 commenced by filing a complaint and shall be governed by the 276 Florida Rules of Civil Procedure. 277 (7) A proceeding to determine the homestead status of real 278 property owned by a trust may be filed in the probate proceeding 279 for the settlor’s estate if the settlor was treated as the owner 280 of the interest held in the trust under s. 732.4015. The 281 proceeding shall be governed by the Florida Probate Rules. 282 Section 6. Subsection (3) is added to section 736.0603, 283 Florida Statutes, to read: 284 736.0603 Settlor’s powers; powers of withdrawal.— 285 (3) Subject to ss. 736.0403(2) and 736.0602(3)(a), the 286 trustee may follow a direction of the settlor that is contrary 287 to the terms of the trust while a trust is revocable. 288 Section 7. Subsections (3), (7), and (9) of section 289 736.0703, Florida Statutes, are amended to read: 290 736.0703 Cotrustees.— 291 (3) Subject to s. 736.1412, a cotrustee must participate in 292 the performance of a trustee’s function unless the cotrustee is 293 unavailable to perform the function because of absence, illness, 294 disqualification under other provision of law, or other 295 temporary incapacity or the cotrustee has properly delegated the 296 performance of the function to another cotrustee. 297 (7) Except as otherwise provided in s. 736.1412subsection298(9), each cotrustee shall exercise reasonable care to: 299 (a) Prevent a cotrustee from committing a breach of trust. 300 (b) Compel a cotrustee to redress a breach of trust. 301(9)If the terms of a trust provide for the appointment of302more than one trustee but confer upon one or more of the303trustees, to the exclusion of the others, the power to direct or304prevent specified actions of the trustees, the excluded trustees305shall act in accordance with the exercise of the power. Except306in cases of willful misconduct on the part of the excluded307trustee, an excluded trustee is not liable, individually or as a308fiduciary, for any consequence that results from compliance with309the exercise of the power. An excluded trustee does not have a310duty or an obligation to review, inquire, investigate, or make311recommendations or evaluations with respect to the exercise of312the power. The trustee or trustees having the power to direct or313prevent actions of the excluded trustees shall be liable to the314beneficiaries with respect to the exercise of the power as if315the excluded trustees were not in office and shall have the316exclusive obligation to account to and to defend any action317brought by the beneficiaries with respect to the exercise of the318power. The provisions of s. 736.0808(2) do not apply if the319person entrusted with the power to direct the actions of the320excluded trustee is also a cotrustee.321 Section 8. Section 736.0808, Florida Statutes, is repealed. 322 Section 9. Present subsection (7) of section 736.1008, 323 Florida Statutes, is redesignated as subsection (8), a new 324 subsection (7) is added to that section, and paragraph (a) of 325 subsection (1), subsection (2), and paragraphs (a) and (c) of 326 subsection (4) of that section are amended, to read: 327 736.1008 Limitations on proceedings against trustees.— 328 (1) Except as provided in subsection (2), all claims by a 329 beneficiary against a trustee for breach of trust are barred as 330 provided in chapter 95 as to: 331 (a) All matters adequately disclosed in a trust disclosure 332 document issued by the trustee or a trust director, with the 333 limitations period beginning on the date of receipt of adequate 334 disclosure. 335 (2) Unless sooner barred by adjudication, consent, or 336 limitations, a beneficiary is barred from bringing an action 337 against a trustee for breach of trust with respect to a matter 338 that was adequately disclosed in a trust disclosure document 339 unless a proceeding to assert the claim is commenced within 6 340 months after receipt from the trustee or a trust director of the 341 trust disclosure document or a limitation notice that applies to 342 that disclosure document, whichever is received later. 343 (4) As used in this section, the term: 344 (a) “Trust disclosure document” means a trust accounting or 345 any other written report of the trustee or a trust director. A 346 trust disclosure document adequately discloses a matter if the 347 document provides sufficient information so that a beneficiary 348 knows of a claim or reasonably should have inquired into the 349 existence of a claim with respect to that matter. 350 (c) “Limitation notice” means a written statement of the 351 trustee or a trust director that an action by a beneficiary 352against the trusteefor breach of trust based on any matter 353 adequately disclosed in a trust disclosure document may be 354 barred unless the action is commenced within 6 months after 355 receipt of the trust disclosure document or receipt of a 356 limitation notice that applies to that trust disclosure 357 document, whichever is later. A limitation notice may but is not 358 required to be in the following form: “An action for breach of 359 trust based on matters disclosed in a trust accounting or other 360 written report of the trustee or a trust director may be subject 361 to a 6-month statute of limitations from the receipt of the 362 trust accounting or other written report. If you have questions, 363 please consult your attorney.” 364 (7) Any claim barred against a trustee or trust director 365 under this section is also barred against the directors, 366 officers, and employees acting for the trustee. 367 Section 10. Present paragraphs (e), (f), and (g) of 368 subsection (1) of section 736.1017, Florida Statutes, are 369 redesignated as paragraphs (f), (g), and (h), respectively, and 370 a new paragraph (e) is added to that subsection, to read: 371 736.1017 Certification of trust.— 372 (1) Instead of furnishing a copy of the trust instrument to 373 a person other than a beneficiary, the trustee may furnish to 374 the person a certification of trust containing the following 375 information: 376 (e) Whether the trust contains any powers of direction, and 377 if so, the identity of the current trust directors, the trustee 378 powers subject to a power of direction, and whether the trust 379 directors have directed or authorized the trustee to engage in 380 the proposed transaction for which the certification of trust 381 was issued. 382 Section 11. Effective upon this act becoming a law, section 383 736.1105, Florida Statutes, is amended to read: 384 (Substantial rewording of section. See 385 s. 736.1105, F.S., for present text.) 386 736.1105 Effect of subsequent marriage, birth, adoption, or 387 dissolution of marriage.— 388 (1) Neither subsequent marriage, birth, nor adoption of 389 descendants shall revoke the revocable trust of any person. 390 (2) Any provision of a revocable trust that affects the 391 settlor’s spouse is void upon dissolution of the marriage of the 392 settlor and the spouse, whether the marriage occurred before or 393 after the execution of such revocable trust. Upon dissolution of 394 marriage, the revocable trust shall be construed as if the 395 spouse had died at the time of the dissolution of marriage. 396 (a) Dissolution of marriage occurs at the time the 397 decedent’s marriage is judicially dissolved or declared invalid 398 by court order. 399 (b) This subsection does not invalidate a provision of a 400 revocable trust: 401 1. Executed by the settlor after the dissolution of the 402 marriage; 403 2. If there is a specific intention to the contrary stated 404 in the revocable trust; or 405 3. If the dissolution of marriage judgment expressly 406 provides otherwise. 407 (3) This section applies to revocable trusts of decedents 408 who die on or after the effective date of this section. 409 Section 12. Section 736.1109, Florida Statutes, is created 410 to read: 411 736.1109 Testamentary and revocable trusts; homestead 412 protections.— 413 (1) If a devise of homestead under a trust violates the 414 limitations on the devise of homestead in s. 4(c), Art. X of the 415 State Constitution, title shall pass as provided in s. 732.401 416 at the moment of death. 417 (2) A power of sale or general direction to pay debts, 418 expenses and claims within the trust instrument does not subject 419 an interest in the protected homestead to the claims of 420 decedent’s creditors, expenses of administration, and 421 obligations of the decedent’s estate as provided in s. 422 736.05053. 423 (3) If a trust directs the sale of property that would 424 otherwise qualify as protected homestead, and the property is 425 not subject to the constitutional limitations on the devise of 426 homestead under the State Constitution, title shall remain 427 vested in the trustee and subject to the provisions of the 428 trust. 429 (4) This section applies only to trusts described in s. 430 733.707(3) and to testamentary trusts. 431 (5) This section is intended to clarify existing law and 432 applies to the administration of trusts and estates of decedents 433 who die before, on, or after July 1, 2021. 434 Section 13. Part XIV of chapter 736, Florida Statutes, 435 consisting of ss. 736.1401-736.1416, Florida Statutes, is 436 created and entitled the “Florida Uniform Directed Trust Act.” 437 Section 14. Section 736.1401, Florida Statutes, is created 438 to read: 439 736.1401 Short title.—This part may be cited as the 440 “Florida Uniform Directed Trust Act.” 441 Section 15. Section 736.1403, Florida Statutes, is created 442 to read: 443 736.1403 Application; principal place of administration.— 444 (1) This part applies to a trust subject to this chapter, 445 whenever created, that has its principal place of administration 446 in the state, subject to the following rules: 447 (a) If the trust was created before July 1, 2021, this part 448 applies only to a decision or action occurring on or after July 449 1, 2021. 450 (b) If the principal place of administration of the trust 451 is changed to the state on or after July 1, 2021, this part 452 applies only to a decision or action occurring on or after the 453 date of the change. 454 (2) In addition to the provisions of s. 736.0108, in a 455 directed trust, terms of the trust that designate the principal 456 place of administration of the trust in the state are valid and 457 controlling if a trust director’s principal place of business is 458 located in or a trust director is a resident of the state. 459 Section 16. Section 736.1405, Florida Statutes, is created 460 to read: 461 736.1405 Exclusions.— 462 (1) As used in this section, the term “power of 463 appointment” means a power that enables a person acting in a 464 nonfiduciary capacity to designate a recipient of an ownership 465 interest in or another power of appointment over trust property. 466 (2) Unless the terms of a trust expressly provide otherwise 467 by specific reference to this part, section, or paragraph, this 468 part does not apply to: 469 (a) A power of appointment; 470 (b) A power to appoint or remove a trustee or trust 471 director; 472 (c) A power of a settlor over a trust while the trust is 473 revocable by that settlor; 474 (d) A power of a beneficiary over a trust to the extent the 475 exercise or nonexercise of the power affects the beneficial 476 interest of: 477 1. The beneficiary; or 478 2. Another beneficiary represented by the beneficiary under 479 ss. 736.0301-736.0305 with respect to the exercise or 480 nonexercise of the power; 481 (e) A power over a trust if the terms of the trust provide 482 that the power is held in a nonfiduciary capacity; and 483 1. The power must be held in a nonfiduciary capacity to 484 achieve the settlor’s tax objectives under the United States 485 Internal Revenue Code of 1986, as amended, and regulations 486 issued thereunder, as amended; or 487 2. It is a power to reimburse the settlor for all or a part 488 of the settlor’s income tax liabilities attributable to the 489 income of the trust; or 490 (f) A power to add or to release a power under the trust 491 instrument if the power subject to addition or release causes 492 the settlor to be treated as the owner of all or any portion of 493 the trust for federal income tax purposes. 494 (3) Unless the terms of a trust provide otherwise, a power 495 granted to a person other than a trustee: 496 (a) To designate a recipient of an ownership interest in 497 trust property, including a power to terminate a trust, is a 498 power of appointment and not a power of direction. 499 (b) To create, modify, or terminate a power of appointment 500 is a power of direction and not a power of appointment, except a 501 power to create a power of appointment that is an element of a 502 broader power to affect an ownership interest in trust property 503 beyond the mere creation of a power of appointment, such as a 504 power to appoint trust property in further trust, is a power of 505 appointment and not a power of direction. 506 Section 17. Section 736.1406, Florida Statutes, is created 507 to read: 508 736.1406 Power of trust director.— 509 (1) Subject to s. 736.1407, the terms of a trust may grant 510 a power of direction to a trust director. 511 (2) A power of direction includes only those powers granted 512 by the terms of the trust. 513 (3) Unless the terms of a trust provide otherwise: 514 (a) A trust director may exercise any further power 515 appropriate to the exercise or nonexercise of a power of 516 direction granted to the trust director under subsection (1); 517 and 518 (b) Trust directors with joint powers must act by majority 519 decision. 520 Section 18. Section 736.1407, Florida Statutes, is created 521 to read: 522 736.1407 Limitations on trust director.—A trust director is 523 subject to the same rules as a trustee in a like position and 524 under similar circumstances in the exercise or nonexercise of a 525 power of direction or further power under s. 736.1406(3)(a) 526 regarding: 527 (1) A payback provision in the terms of a trust necessary 528 to comply with the reimbursement requirements of s. 1917 of the 529 Social Security Act, 42 U.S.C. s. 1396p(d)(4)(A), as amended, 530 and regulations issued thereunder, as amended. 531 (2) A charitable interest in the trust, including notice 532 regarding the interest to the Attorney General. 533 Section 19. Section 736.1408, Florida Statutes, is created 534 to read: 535 736.1408 Duty and liability of trust director.— 536 (1) Subject to subsection (2), with respect to a power of 537 direction or further power under s. 736.1406(3)(a): 538 (a) A trust director has the same fiduciary duty and 539 liability in the exercise or nonexercise of the power: 540 1. If the power is held individually, as a sole trustee in 541 a like position and under similar circumstances; or 542 2. If the power is held jointly with a trustee or another 543 trust director, as a cotrustee in a like position and under 544 similar circumstances. 545 (b) The terms of the trust may vary the trust director’s 546 duty or liability to the same extent the terms of the trust may 547 vary the duty or liability of a trustee in a like position and 548 under similar circumstances. 549 (2) Unless the terms of a trust provide otherwise, if a 550 trust director is licensed, certified, or otherwise authorized 551 or permitted by law other than this part to provide health care 552 in the ordinary course of the trust director’s business or 553 practice of a profession, to the extent the trust director acts 554 in that capacity the trust director has no duty or liability 555 under this part. 556 (3) The terms of a trust may impose a duty or liability on 557 a trust director in addition to the duties and liabilities under 558 this section. 559 Section 20. Section 736.1409, Florida Statutes, is created 560 to read: 561 736.1409 Duty and liability of directed trustee.— 562 (1) Subject to subsection (2), a directed trustee shall 563 take reasonable action to comply with a trust director’s 564 exercise or nonexercise of a power of direction or further power 565 under s. 736.1406(3)(a) and the trustee is not liable for such 566 reasonable action. 567 (2) A directed trustee may not comply with a trust 568 director’s exercise or nonexercise of a power of direction or 569 further power under s. 736.1406(3)(a) to the extent that by 570 complying the trustee would engage in willful misconduct. 571 (3) Before complying with a trust director’s exercise of a 572 power of direction, the directed trustee shall determine whether 573 or not the exercise is within the scope of the trust director’s 574 power of direction. The exercise of a power of direction is not 575 outside the scope of a trust director’s power of direction 576 merely because the exercise constitutes or may constitute a 577 breach of trust. 578 (4) An exercise of a power of direction under which a trust 579 director may release a trustee or another trust director from 580 liability for breach of trust is not effective if: 581 (a) The breach involved the trustee’s or other director’s 582 willful misconduct; 583 (b) The release was induced by improper conduct of the 584 trustee or other director in procuring the release; or 585 (c) At the time of the release, the trust director did not 586 know the material facts relating to the breach. 587 (5) A directed trustee that has reasonable doubt about its 588 duty under this section may apply to the court for instructions, 589 with attorney fees and costs to be paid from assets of the trust 590 as provided in this code. 591 (6) The terms of a trust may impose a duty or liability on 592 a directed trustee in addition to the duties and liabilities 593 under this part. 594 Section 21. Section 736.141, Florida Statutes, is created 595 to read: 596 736.141 Duty to provide information.— 597 (1) Subject to s. 736.1411, a trustee shall provide 598 information to a trust director to the extent the information is 599 reasonably related to the powers or duties of the trust 600 director. 601 (2) Subject to s. 736.1411, a trust director shall provide 602 information to a trustee or another trust director to the extent 603 the information is reasonably related to the powers or duties of 604 the trustee or other trust director. 605 (3) A trustee that acts in reliance on information provided 606 by a trust director is not liable for a breach of trust to the 607 extent the breach resulted from the reliance, unless by so 608 acting the trustee engages in willful misconduct. 609 (4) A trust director that acts in reliance on information 610 provided by a trustee or another trust director is not liable 611 for a breach of trust to the extent the breach resulted from the 612 reliance, unless by so acting the trust director engages in 613 willful misconduct. 614 (5) A trust director shall provide information within the 615 trust director’s knowledge or control to a qualified beneficiary 616 upon a written request of a qualified beneficiary to the extent 617 the information is reasonably related to the powers or duties of 618 the trust director. 619 Section 22. Section 736.1411, Florida Statutes, is created 620 to read: 621 736.1411 No duty to monitor, inform, or advise.— 622 (1) Notwithstanding s. 736.1409(1), unless the terms of a 623 trust provide otherwise: 624 (a) A trustee does not have a duty to: 625 1. Monitor a trust director; or 626 2. Inform or give advice to a settlor, beneficiary, 627 trustee, or trust director concerning an instance in which the 628 trustee might have acted differently than the trust director. 629 (b) By taking an action described in paragraph (a), a 630 trustee does not assume the duty excluded by paragraph (a). 631 (2) Notwithstanding s. 736.1408(1), unless the terms of a 632 trust provide otherwise: 633 (a) A trust director does not have a duty to: 634 1. Monitor a trustee or another trust director; or 635 2. Inform or give advice to a settlor, beneficiary, 636 trustee, or another trust director concerning an instance in 637 which the trust director might have acted differently than a 638 trustee or another trust director. 639 (b) By taking an action described in paragraph (a), a trust 640 director does not assume the duty excluded by paragraph (a). 641 Section 23. Section 736.1412, Florida Statutes, is created 642 to read: 643 736.1412 Application to cotrustee.— 644 (1) The terms of a trust may provide for the appointment of 645 more than one trustee but confer upon one or more of the 646 trustees, to the exclusion of the others, the power to direct or 647 prevent specified actions of the trustees. 648 (2) The excluded trustees shall act in accordance with the 649 exercise of the power in the manner, and with the same duty and 650 liability, as directed trustees with respect to a trust 651 director’s power of direction under ss. 736.1409, 736.141, and 652 736.1411. 653 (3) The trustee or trustees having the power to direct or 654 prevent actions of the excluded trustees shall be liable to the 655 beneficiaries with respect to the exercise of the power as if 656 the excluded trustees were not in office and shall have the 657 exclusive obligation to account to and to defend any action 658 brought by the beneficiaries with respect to the exercise of the 659 power. 660 Section 24. Section 736.1413, Florida Statutes, is created 661 to read: 662 736.1413 Limitation of action against trust director.— 663 (1) An action against a trust director for breach of trust 664 must be commenced within the same limitation period as under s. 665 736.1008 in an action for breach of trust against a trustee in a 666 like position and under similar circumstances. 667 (2) A trust accounting or any other written report of a 668 trustee or a trust director has the same effect on the 669 limitation period for an action against a trust director for 670 breach of trust that such trust accounting or written report 671 would have under s. 736.1008 in an action for breach of trust 672 against a trustee in a like position and under similar 673 circumstances. 674 Section 25. Section 736.1414, Florida Statutes, is created 675 to read: 676 736.1414 Defenses in action against trust director.—In an 677 action against a trust director for breach of trust, the trust 678 director may assert the same defenses a trustee in a like 679 position and under similar circumstances could assert in an 680 action for breach of trust against the trustee. 681 Section 26. Section 736.1415, Florida Statutes, is created 682 to read: 683 736.1415 Jurisdiction over trust director.— 684 (1) By accepting appointment as a trust director of a trust 685 subject to this part, the trust director submits to the personal 686 jurisdiction of the courts of the state regarding any matter 687 related to a power or duty of the trust director. 688 (2) This section does not preclude other methods of 689 obtaining jurisdiction over a trust director. 690 Section 27. Section 736.1416, Florida Statutes, is created 691 to read: 692 736.1416 Office of trust director.— 693 (1) Unless the terms of a trust provide otherwise, a trust 694 director shall be considered a trustee for purposes of the 695 following: 696 (a) Role of court under s. 736.0201. 697 (b) Proceedings for review of employment of agents and 698 review of compensation of trustee and employees of a trust under 699 s. 736.0206. 700 (c) Representation by holder of power of appointment under 701 s. 736.0302(4). 702 (d) Designated representative under s. 736.0306(2). 703 (e) Requirements for creation of a trust under s. 704 736.0402(3). 705 (f) As to allowing application by the trust director for 706 judicial modification, construction, or termination under s. 707 736.04113, s. 736.04114, s. 736.04115, or s. 736.0414(2) if the 708 trust director is so authorized by the terms of the trust. 709 (g) Discretionary trusts and the effect of a standard under 710 s. 736.0504. 711 (h) Creditors’ claims against settlor under s. 712 736.0505(1)(c). 713 (i) Trustee’s duty to pay expenses and obligations of a 714 settlor’s estate under s. 736.05053(4). 715 (j) Acceptance or declination under s. 736.0701. 716 (k) Giving of bond to secure performance under s. 736.0702. 717 (l) Vacancy and appointment of successor under s. 736.0704. 718 (m) Resignation under s. 736.0705. 719 (n) Removal under s. 736.0706, but not to give the trust 720 director the power to request removal of a trustee. 721 (o) Reasonable compensation under s. 736.0708. 722 (p) Reimbursement of expenses under s. 736.0709. 723 (q) Payment of costs or attorney fees under s. 736.0802(10) 724 if the trust director has a power of direction or, if the trust 725 director has a further power to direct, the payment of such 726 costs or attorney fees under s. 736.1406(2) or (3)(a). 727 (r) Discretionary power and tax savings provisions under s. 728 736.0814. 729 (s) Administration pending outcome of contest or other 730 proceeding under s. 736.08165. 731 (t) Applicability of chapter 518 under s. 736.0901. 732 (u) Nonapplication of prudent investor rule under s. 733 736.0902. 734 (v) Remedies for breach of trust under s. 736.1001. 735 (w) Damages for breach of trust under s. 736.1002. 736 (x) Damages in absence of breach under s. 736.1003. 737 (y) Attorney fees and costs under s. 736.1004. 738 (z) Trustee’s attorney fees under s. 736.1007(5), (6), and 739 (7). 740 (aa) Reliance on a trust instrument under s. 736.1009. 741 (bb) Events affecting administration under s. 736.1010. 742 (cc) Exculpation under s. 736.1011. 743 (dd) Beneficiary’s consent, release, or ratification under 744 s. 736.1012. 745 (ee) Limitations on actions against certain trusts under s. 746 736.1014. 747 (2) If a person has not accepted a trust directorship under 748 the terms of the trust or under s. 736.0701 or a trustee, 749 settlor, or a qualified beneficiary of the trust is uncertain 750 whether such acceptance has occurred, a trustee, settlor, or a 751 qualified beneficiary of the trust may make a written demand on 752 a person designated to serve as a trust director, with a written 753 copy to the trustees, to accept or confirm prior acceptance of 754 the trust directorship in writing. A written acceptance, written 755 acknowledgment of prior acceptance, or written declination of 756 the trust directorship shall be delivered by the designated 757 trust director within 60 days after receipt of such demand to 758 all trustees, qualified beneficiaries, and the settlor if 759 living. 760 Section 28. Part XV of chapter 736, Florida Statutes, 761 consisting of ss. 736.1501-736.1512, Florida Statutes, is 762 created and entitled the “Community Property Trust Act.” 763 Section 29. Section 736.1501, Florida Statutes, is created 764 to read: 765 736.1501 Short title.—This part may be cited as the 766 “Community Property Trust Act.” 767 Section 30. Section 736.1502, Florida Statutes, is created 768 to read: 769 736.1502 Definitions.—Unless the context otherwise 770 requires, as used in this part: 771 (1) “Community property” means the property and the 772 appreciation of and income from the property owned by a 773 qualified trustee of a community property trust during the 774 marriage of the settlor spouses. The property owned by a 775 community property trust pursuant to this part and the 776 appreciation of and income from such property shall be deemed to 777 be community property for purposes of general law. 778 (2) “Community property trust” means an express trust that 779 complies with s. 736.1503 and is created on or after July 1, 780 2021. 781 (3) “Decree” means a judgment or other order of a court of 782 competent jurisdiction. 783 (4) “Dissolution” means either: 784 (a) Termination of a marriage by a decree of dissolution, 785 divorce, annulment, or declaration of invalidity; or 786 (b) Entry of a decree of legal separation maintenance. 787 (5) “During marriage” means a period that begins at 788 marriage and ends upon the dissolution of marriage or upon the 789 death of a spouse. 790 (6) “Qualified trustee” means either: 791 (a) A natural person who is a resident of the state; or 792 (b) A company authorized to act as a trustee in the state. 793 794 A qualified trustee’s powers include, but are not limited to, 795 maintaining records for the trust on an exclusive or a 796 nonexclusive basis and preparing or arranging for the 797 preparation of, on an exclusive or a nonexclusive basis, any 798 income tax returns that must be filed by the trust. 799 (7) “Settlor spouses” means a married couple who 800 establishes a community property trust pursuant to this part. 801 Section 31. Section 736.1503, Florida Statutes, is created 802 to read: 803 736.1503 Requirements for community property trust.—An 804 arrangement is a community property trust if one or both settlor 805 spouses transfer property to a trust that: 806 (1) Expressly declares that the trust is a community 807 property trust within the meaning of this part. 808 (2) Has at least one trustee who is a qualified trustee, 809 provided that both spouses or either spouse also may be a 810 trustee. 811 (3) Is signed by both settlor spouses consistent with the 812 formalities required for the execution of a trust under this 813 chapter. 814 (4) Contains substantially the following language in 815 capital letters at the beginning of the community property trust 816 agreement: 817 818 THE CONSEQUENCES OF THIS COMMUNITY PROPERTY TRUST MAY 819 BE VERY EXTENSIVE, INCLUDING, BUT NOT LIMITED TO, YOUR 820 RIGHTS WITH RESPECT TO CREDITORS AND OTHER THIRD 821 PARTIES, AND YOUR RIGHTS WITH YOUR SPOUSE DURING THE 822 COURSE OF YOUR MARRIAGE, AT THE TIME OF A DIVORCE, AND 823 UPON THE DEATH OF YOU OR YOUR SPOUSE. ACCORDINGLY, 824 THIS TRUST AGREEMENT SHOULD BE SIGNED ONLY AFTER 825 CAREFUL CONSIDERATION. IF YOU HAVE ANY QUESTIONS ABOUT 826 THIS TRUST AGREEMENT, YOU SHOULD SEEK COMPETENT AND 827 INDEPENDENT LEGAL ADVICE. 828 829 Section 32. Section 736.1504, Florida Statutes, is created 830 to read: 831 736.1504 Agreement establishing community property trust; 832 amendments and revocation.— 833 (1) In the agreement establishing a community property 834 trust, the settlor spouses may agree upon: 835 (a) The rights and obligations in the property transferred 836 to the trust, notwithstanding when and where the property is 837 acquired or located. 838 (b) The management and control of the property transferred 839 into the trust. 840 (c) The disposition of the property transferred to the 841 trust on dissolution, death, or the occurrence or nonoccurrence 842 of another event, subject to ss. 736.1507 and 736.1508. 843 (d) Whether the trust is revocable or irrevocable. 844 (e) Any other matter that affects the property transferred 845 to the trust and does not violate public policy or general law 846 imposing a criminal penalty, or result in the property not being 847 treated as community property under the laws of any 848 jurisdiction. 849 (2) In the event of the death of a settlor spouse, the 850 surviving spouse may amend a community property trust regarding 851 the disposition of that spouse’s one-half share of the community 852 property, regardless of whether the agreement provides that the 853 community property trust is irrevocable. 854 (3) A community property trust may be amended or revoked by 855 the settlor spouses unless the agreement itself specifically 856 provides that the community property trust is irrevocable. 857 (4) Notwithstanding any other provision of this code, the 858 settlor spouses shall be deemed to be the only qualified 859 beneficiaries of a community property trust until the death of 860 one of the settlor spouses, regardless of whether the trust is 861 revocable or irrevocable. After the death of one of the settlor 862 spouses, the surviving spouse shall be deemed to be the only 863 qualified beneficiary as to his or her share of the community 864 property trust. 865 Section 33. Section 736.1505, Florida Statutes, is created 866 to read: 867 736.1505 Classification of property as community property; 868 enforcement; duration; management and control; effect of 869 distributions.— 870 (1) Whether both, one, or neither is domiciled in the 871 state, settlor spouses may classify any or all of their property 872 as community property by transferring that property to a 873 community property trust and providing in the trust that the 874 property is community property pursuant to this part. 875 (2) A community property trust is enforceable without 876 consideration. 877 (3) All property owned by a community property trust is 878 community property under the laws of the state during the 879 marriage of the settlor spouses. 880 (4) The right to manage and control property that is 881 transferred to a community property trust is determined by the 882 terms of the trust agreement. 883 (5) When property is distributed from a community property 884 trust, the property shall no longer constitute community 885 property within the meaning of this part, provided that 886 community property as classified by a jurisdiction other than 887 the state retains its character as community property to the 888 extent otherwise provided by ss. 732.216-732.228. 889 Section 34. Section 736.1506, Florida Statutes, is created 890 to read: 891 736.1506 Satisfaction of obligations.—Except as provided in 892 s. 4, Art. X of the State Constitution: 893 (1) An obligation incurred by only one spouse before or 894 during the marriage may be satisfied from that spouse’s one-half 895 share of a community property trust. 896 (2) An obligation incurred by both spouses during the 897 marriage may be satisfied from a community property trust of the 898 settlor spouses. 899 Section 35. Section 736.1507, Florida Statutes, is created 900 to read: 901 736.1507 Death of a spouse.—Upon the death of a spouse, 902 one-half of the aggregate value of the property held in a 903 community property trust established by the settlor spouses 904 reflects the share of the surviving spouse and is not subject to 905 testamentary disposition by the decedent spouse or distribution 906 under the laws of succession of the state. The other one-half of 907 the value of that property reflects the share of the decedent 908 spouse and is subject to testamentary disposition or 909 distribution under the laws of succession of the state. Unless 910 provided otherwise in the community property trust agreement, 911 the trustee has the power to distribute assets of the trust in 912 divided or undivided interests and to adjust resulting 913 differences in valuation. A distribution in kind may be made on 914 the basis of a non-pro rata division of the aggregate value of 915 the trust assets, on the basis of a pro rata division of each 916 individual asset, or by using both methods. The decedent’s 917 spouse’s one-half share shall not be included in the elective 918 estate. 919 Section 36. Section 736.1508, Florida Statutes, is created 920 to read: 921 736.1508 Dissolution of marriage.—Upon the dissolution of 922 the marriage of the settlor spouses, the community property 923 trust shall terminate and the trustee shall distribute one-half 924 of the trust assets to each spouse, with each spouse receiving 925 one-half of each asset, unless otherwise agreed to in writing by 926 both spouses. For purposes of this act, s. 61.075 does not apply 927 to the disposition of the assets and liabilities held in a 928 community property trust. 929 Section 37. Section 736.1509, Florida Statutes, is created 930 to read: 931 736.1509 Right of child to support.—A community property 932 trust does not adversely affect the right of a child of the 933 settlor spouses to support that either spouse would be required 934 to give under the applicable laws of the settlor spouses’ state 935 of domicile. 936 Section 38. Section 736.151, Florida Statutes, is created 937 to read: 938 736.151 Homestead property.— 939 (1) Property that is transferred to or acquired subject to 940 a community property trust may continue to qualify or may 941 initially qualify as the settlor spouses’ homestead within the 942 meaning of s. 4(a)(1), Art. X of the State Constitution and for 943 all purposes of general law, provided that the property would 944 qualify as the settlor spouses’ homestead if title was held in 945 one or both of the settlor spouses’ individual names. 946 (2) The settlor spouses shall be deemed to have beneficial 947 title in equity to the homestead property held subject to a 948 community property trust for all purposes, including for 949 purposes of s. 196.031. 950 Section 39. Section 736.1511, Florida Statutes, is created 951 to read: 952 736.1511 Application of Internal Revenue Code; community 953 property classified by another jurisdiction.—For purposes of the 954 application of s. 1014(b)(6) of the Internal Revenue Code of 955 1986, 26 U.S.C. s. 1014(b)(6), as of January 1, 2021, a 956 community property trust is considered a trust established under 957 the community property laws of the state. Community property, as 958 classified by a jurisdiction other than this state, which is 959 transferred to a community property trust retains its character 960 as community property while in the trust. If the trust is 961 revoked and property is transferred on revocation of the trust, 962 the community property as classified by a jurisdiction other 963 than the state retains its character as community property to 964 the extent otherwise provided by ss. 732.216-732.228. 965 Section 40. Section 736.1512, Florida Statutes, is created 966 to read: 967 736.1512 Unenforceable trusts.— 968 (1) A community property trust executed during marriage is 969 not enforceable if the spouse against whom enforcement is sought 970 proves that: 971 (a) The trust was unconscionable when made; 972 (b) The spouse against whom enforcement is sought did not 973 execute the community property trust agreement voluntarily; or 974 (c) Before execution of the community property trust 975 agreement, the spouse against whom enforcement is sought: 976 1. Was not given a fair and reasonable disclosure of the 977 property and financial obligations of the other spouse. 978 2. Did not voluntarily sign a written waiver expressly 979 waiving right to disclosure of the property and financial 980 obligations of the other spouse beyond the disclosure provided. 981 3. Did not have notice of the property or financial 982 obligations of the other spouse. 983 (2) Whether a community property trust is unconscionable 984 shall be determined by a court as a matter of law. 985 (3) A community property trust may not be deemed 986 unenforceable because the settlor spouses did not have separate 987 legal representation when executing the trust. 988 Section 41. Paragraph (f) of subsection (5) of section 989 736.0802, Florida Statutes, is amended to read: 990 736.0802 Duty of loyalty.— 991 (5) 992 (f)1. The trustee of a trust as defined in s. 731.201 may 993 request authority to invest in investment instruments described 994 in this subsection other than a qualified investment instrument, 995 by providing to all qualified beneficiaries a written request 996 containing the following: 997 a. The name, telephone number, street address, and mailing 998 address of the trustee and of any individuals who may be 999 contacted for further information. 1000 b. A statement that the investment or investments cannot be 1001 made without the consent of a majority of each class of the 1002 qualified beneficiaries. 1003 c. A statement that, if a majority of each class of 1004 qualified beneficiaries consent, the trustee will have the right 1005 to make investments in investment instruments, as defined in s. 1006 660.25(6), which are owned or controlled by the trustee or its 1007 affiliate, or from which the trustee or its affiliate receives 1008 compensation for providing services in a capacity other than as 1009 trustee, that such investment instruments may include investment 1010 instruments sold primarily to trust accounts, and that the 1011 trustee or its affiliate may receive fees in addition to the 1012 trustee’s compensation for administering the trust. 1013 d. A statement that the consent may be withdrawn 1014 prospectively at any time by written notice given by a majority 1015 of any class of the qualified beneficiaries. 1016 1017 A statement by the trustee is not delivered if the statement is 1018 accompanied by another written communication other than a 1019 written communication by the trustee that refers only to the 1020 statement. 1021 2. For purposes of paragraph (e) and this paragraph: 1022 a. “Majority of the qualified beneficiaries” means: 1023 (I) If at the time the determination is made there are one 1024 or more beneficiaries as described in s. 736.0103(19)(c)s.1025736.0103(16)(c), at least a majority in interest of the 1026 beneficiaries described in s. 736.0103(19)(a)s.1027736.0103(16)(a), at least a majority in interest of the 1028 beneficiaries described in s. 736.0103(19)(b)s.1029736.0103(16)(b), and at least a majority in interest of the 1030 beneficiaries described in s. 736.0103(19)(c)s.1031736.0103(16)(c), if the interests of the beneficiaries are 1032 reasonably ascertainable; otherwise, a majority in number of 1033 each such class; or 1034 (II) If there is no beneficiary as described in s. 1035 736.0103(19)(c)s. 736.0103(16)(c), at least a majority in 1036 interest of the beneficiaries described in s. 736.0103(19)(a)s.1037736.0103(16)(a)and at least a majority in interest of the 1038 beneficiaries described in s. 736.0103(19)(b)s.1039736.0103(16)(b), if the interests of the beneficiaries are 1040 reasonably ascertainable; otherwise, a majority in number of 1041 each such class. 1042 b. “Qualified investment instrument” means a mutual fund, 1043 common trust fund, or money market fund described in and 1044 governed by s. 736.0816(3). 1045 c. An irrevocable trust is created upon execution of the 1046 trust instrument. If a trust that was revocable when created 1047 thereafter becomes irrevocable, the irrevocable trust is created 1048 when the right of revocation terminates. 1049 Section 42. Paragraph (a) of subsection (2) of section 1050 736.08125, Florida Statutes, is amended to read: 1051 736.08125 Protection of successor trustees.— 1052 (2) For the purposes of this section, the term: 1053 (a) “Eligible beneficiaries” means: 1054 1. At the time the determination is made, if there are one 1055 or more beneficiaries as described in s. 736.0103(19)(c) s. 1056736.0103(16)(c), the beneficiaries described in s. 1057 736.0103(19)(a) and (c)s. 736.0103(16)(a) and (c); or 1058 2. If there is no beneficiary as described in s. 1059 736.0103(19)(c)s. 736.0103(16)(c), the beneficiaries described 1060 in s. 736.0103(19)(a) and (b)s. 736.0103(16)(a) and (b). 1061 Section 43. Paragraph (d) of subsection (9) of section 1062 738.104, Florida Statutes, is amended to read: 1063 738.104 Trustee’s power to adjust.— 1064 (9) 1065 (d) For purposes of subsection (8) and this subsection, the 1066 term: 1067 1. “Eligible beneficiaries” means: 1068 a. If at the time the determination is made there are one 1069 or more beneficiaries described in s. 736.0103(19)(c)s.1070736.0103(16)(c), the beneficiaries described in s. 1071 736.0103(19)(a) and (c)s. 736.0103(16)(a) and (c); or 1072 b. If there is no beneficiary described in s. 1073 736.0103(19)(c)s. 736.0103(16)(c), the beneficiaries described 1074 in s. 736.0103(19)(a) and (b)s. 736.0103(16)(a) and (b). 1075 2. “Super majority of the eligible beneficiaries” means: 1076 a. If at the time the determination is made there are one 1077 or more beneficiaries described in s. 736.0103(19)(c)s.1078736.0103(16)(c), at least two-thirds in interest of the 1079 beneficiaries described in s. 736.0103(19)(a)s. 736.0103(16)(a)1080 or two-thirds in interest of the beneficiaries described in s. 1081 736.0103(19)(c)s. 736.0103(16)(c), if the interests of the 1082 beneficiaries are reasonably ascertainable; otherwise, it means 1083 two-thirds in number of either such class; or 1084 b. If there is no beneficiary described in s. 1085 736.0103(19)(c)s. 736.0103(16)(c), at least two-thirds in 1086 interest of the beneficiaries described in s. 736.0103(19)(a)s.1087736.0103(16)(a)or two-thirds in interest of the beneficiaries 1088 described in s. 736.0103(19)(b)s. 736.0103(16)(b), if the 1089 interests of the beneficiaries are reasonably ascertainable, 1090 otherwise, two-thirds in number of either such class. 1091 Section 44. Subsection (1) of section 744.3679, Florida 1092 Statutes, is amended to read: 1093 744.3679 Simplified accounting procedures in certain 1094 cases.— 1095 (1) In a guardianship of property, when all propertyassets1096 of the estate isarein designated depositories under s. 69.031 1097 and the only transactions that occur in that account are 1098 interest accrual, deposits from a settlement, or financial 1099 institution service charges, the guardian may elect to file an 1100 accounting consisting of: 1101 (a) The original or a certified copy of the year-end 1102 statement of the ward’s account from the financial institution; 1103 and 1104 (b) A statement by the guardian under penalty of perjury 1105 that the guardian has custody and control of the ward’s property 1106 as shown in the year-end statement. 1107 Section 45. The Division of Law Revision is directed to 1108 replace the phrase “the effective date of this section” wherever 1109 it occurs in this act with the date those sections become law. 1110 Section 46. If any provision of this act or the application 1111 thereof to any person or circumstance is held invalid, the 1112 invalidity does not affect other provisions or applications of 1113 this act which can be given effect without the invalid provision 1114 or application, and to this end the provisions of this act are 1115 severable. 1116 Section 47. Except as otherwise expressly provided in this 1117 act and except for this section, which shall take effect upon 1118 this act becoming a law, this act shall take effect July 1, 1119 2021.