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Bill

HB 2243

Uniform Trust Code; expands certain specific powers of trustee.

2025 Regular Session Introduced by Rae Cousins

Virginia law expands trustee powers under the Uniform Trust Code, granting broader discretion in trust asset management effective July 1, 2025.

Acts of Assembly Chapter text (CHAP0165)
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Bill Summary · HB 2243

Legislative bill overview

HB 2243 amends Virginia's Uniform Trust Code to expand specific powers granted to trustees in managing trust assets and operations. The bill grants trustees additional authority in areas previously restricted or undefined under state law, allowing for more flexible trust administration. This became effective July 1, 2025.

Why is this important

Trust administration directly affects how estates and assets are managed for beneficiaries across Virginia. Expanding trustee powers can streamline trust management and reduce the need for court intervention, but it also increases trustee discretion in financial decisions affecting beneficiaries' interests. This impacts families with trusts, estate planning practices, and the fiduciary responsibilities trustees must uphold.

Potential points of contention

  • Trustee accountability: Broader powers may reduce oversight mechanisms, creating concern about whether trustees have adequate checks on potentially self-interested decisions
  • Beneficiary protection: Expanded discretion could disadvantage beneficiaries if trustees make decisions that prioritize their own interests or misinterpret vague authority grants
  • Consistency with settlor intent: Without explicit limitations, trustees might exercise new powers in ways the trust creator never intended, particularly in complex family situations

Compiled from official sources — confirm details with the bill’s official record.

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