Bill
HB 146
Maryland HB 146 allows a trustee to resign with 30 days’ notice to beneficiaries, settlor, co-trustees, and successor appointors, without court approval, preserving liability and p
I’m seeing conflicting materials in the packet you provided (multiple different HB 146s from different states and subject areas). To be sure I summarize the correct bill, do you want a summary of:
Below is a ready summary of the Maryland HB 146 (Estates & Trusts — Resignation of Trustee), since that bill is fully documented in your materials. If you’d prefer a different HB 146, tell me which one and I’ll prepare that instead.
Summary — Maryland HB 146 (Estates & Trusts — Resignation of Trustee — Notice)
Purpose and intent
- To authorize trustees under the Maryland Trust Act to resign without seeking prior court approval so long as specified notice is provided — thereby providing a non‑judicial pathway for trustee resignation while preserving protections for trusts and beneficiaries.
Key provisions
- Amends Maryland Code, Estates & Trusts §14.5‑705.
- A trustee may resign either:
- By providing at least 30 days’ notice to each of the following:
- the qualified beneficiaries of the trust;
- the settlor, if living;
- all co‑trustees; and
- any person who has the right to replace or appoint a successor to the resigning trustee; or
- With the approval of the court (the existing route).
- When the court approves a resignation, it may issue orders and impose conditions reasonably necessary to protect trust property.
- Resignation does not discharge or otherwise affect the resigning trustee’s liability (or the liability of a surety on the trustee’s bond) for acts or omissions occurring while the trustee served.
- Retains existing protections concerning duties of a resigning trustee (e.g., the duty to deliver trust property expeditiously to a successor or other entitled person until delivery occurs), to the extent consistent with the statute and trust terms.
Who is affected
- Trustees of trusts governed by the Maryland Trust Act (both professional and individual trustees).
- Qualified beneficiaries and settlors — they must receive the 30‑day notice in many resignations.
- Co‑trustees and persons empowered to appoint successors (e.g., trust protectors, appointing authorities).
- Courts: may see fewer routine resignation petitions but retain authority to review and impose protective conditions when court approval is sought.
Procedural and timeline aspects
- The new notice‑based resignation option requires at least 30 days’ advance written notice to the listed parties.
- The act preserves the option to seek court approval if parties choose that route.
- Effective date: October 1, 2025 (per the bill text).
- Fiscal notes accompanying the bill state it would not directly affect State or local finances and would have minimal small‑business effect.
Practical impact and considerations
- Likely reduces the administrative burden and cost of routine trustee resignations that are uncontested and where successor appointment is clear.
- Preserves protections for beneficiaries via the 30‑day notice requirement and the continued potential for court oversight when needed.
- Liability for prior acts is expressly preserved, maintaining an accountability mechanism for resigning trustees.
Status (from your documents)
- House version and committee reports recorded; documents show final enactment as Chapter 228, approved by the Governor on April 22, 2025, and effective October 1, 2025.
If you want, I can:
- Produce a short comparison (before vs. after) in bullet form;
- Draft a one‑page explainer for trustees and beneficiaries about how to use/respond to the 30‑day notice; or
- Summarize a different HB 146 from the packet (please indicate which).
Compiled from official sources — confirm details with the bill’s official record.
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