Existing law, the Uniform Principal and Income Act, generally sets forth the powers and duties of a fiduciary of a trust. These powers and duties are related to, among other matters, the allocation of receipts and disbursements between principal and income, making adjustments between principal and income, and converting a trust to a unitrust.
This bill would repeal the Uniform Principal and Income Act, and would recast, revise, and expand those provisions as the Uniform Fiduciary Income and Principal Act, for similar purposes. The bill would define relevant terminology in this regard. The bill would expressly provide that its provisions, with specified exceptions, apply when California is the principal place of administration of a trust or estate or the situs of property that is not held in a trust or estate and is subject to a life estate or other term interest, as specified. The bill would declare that by accepting the trusteeship of a trust having its principal place of administration in, or by moving the principal place of administration of a trust to, California, a trustee submits to the application of the bill to any matter within the scope of the bill involving the trust.