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Current as of January 02, 2024 | Updated by Findlaw Staff
(a) A trustee, trust advisor or trust protector is entitled to be reimbursed out of the trust property, with interest as appropriate, for:
(1) Expenses that were properly incurred in the administration of the trust; and
(2) To the extent necessary to prevent unjust enrichment of the trust, expenses that were not properly incurred in the administration of the trust.
(b) An advance, either by the trustee, trust advisor, or trust protector or by a person named in § 35-15-701(c)(1), of money gives rise to a lien against trust property to secure reimbursement with reasonable interest. Failure to pay to or reimburse a trustee for expenses incurred pursuant to subsection (a) gives rise to a lien against all trust property for the payment of all sums due or to become due for services, expenses, advances, and the costs and expenses of enforcing such payment or reimbursement.
(c) A trustee may pay properly incurred expenses directly from the trust estate, including the payment of attorney's fees and expenses in defense of an action of the trustee. This subsection (c) does not limit the ability of the court to prevent further disbursement from the trust by the trustee, or demand immediate reimbursement back to the trust property at any time, or authorize an award pursuant to part 10 of this chapter.
Cite this article: FindLaw.com - Tennessee Code Title 35. Fiduciaries and Trust Estates § 35-15-709 - last updated January 02, 2024 | https://codes.findlaw.com/tn/title-35-fiduciaries-and-trust-estates/tn-code-sect-35-15-709/
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature before relying on it for your legal needs.
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