Current through L. 2024, c. 80.
Section 3B:31-38 - Discretionary trusts; effect of standarda. Whether or not a trust contains a spendthrift provision, a creditor of a beneficiary may not compel a distribution that is subject to the trustee's discretion, even if: (1) The discretion is expressed in the form of a standard of distribution; or(2) The trustee has abused the discretion.b. This section does not limit the right of a beneficiary to maintain a judicial proceeding against a trustee for an abuse of discretion or failure to comply with a standard for distribution.c. With respect to the powers set forth in section 1 of P.L. 1996, c. 41(C.3B:11-4.1), the provisions of this section shall apply even though the beneficiary is the sole trustee or a co-trustee of the trust.Added by L. 2015, c. 276,s. 1, eff. 7/17/2016.