SB759,44 14Section 44. 701.0113 of the statutes is created to read:
SB759,16,15 15701.0113 Insurable interest of trustee. (1) In this section:
SB759,16,1716 (a) “Relative” means a spouse or individual related within the 1st, 2nd, or 3rd
17degree of kinship under s. 990.001 (16).
SB759,16,1918 (b) “Settlor” means a person that executes a trust instrument and includes a
19person for whom a fiduciary or agent is acting.
SB759,16,23 20(2) A trustee of a trust has an insurable interest in the life of an individual
21insured under a life insurance policy that is owned by the trustee of the trust acting
22in a fiduciary capacity or that designates the trust itself as the owner if, on the date
23the policy is issued, all of the following apply:
SB759,16,2424 (a) The insured is any of the following:
SB759,16,2525 1. A settlor of the trust.
SB759,17,2
12. An individual in whom a settlor of the trust has, or would have had if living
2at the time the policy was issued, an insurable interest.
SB759,17,43 (b) The life insurance proceeds are primarily for the benefit of one or more trust
4beneficiaries who have any of the following:
SB759,17,55 1. An insurable interest in the life of the insured.
SB759,17,86 2. A substantial interest engendered by love or affection in the continuation of
7the life of the insured and, if not included under subd. 1., the beneficiary is a relative
8or stepchild of the insured.
SB759,45 9Section 45 . 701.0201 (3) (km) of the statutes is created to read:
SB759,17,1110 701.0201 (3) (km) Releasing a trustee, directing party, trust protector, or other
11person acting in a fiduciary capacity from liability for an action relating to the trust.
SB759,46 12Section 46 . 701.0201 (4) of the statutes is created to read:
SB759,17,1613 701.0201 (4) Except as otherwise provided in this chapter, and as applicable,
14the probate procedure described in ch. 879 applies to a proceeding brought by a
15trustee, trust protector, directing party, or beneficiary concerning the administration
16of a trust.
SB759,47 17Section 47 . 701.0203 (1) of the statutes is amended to read:
SB759,17,2318 701.0203 (1) The circuit court assigned to exercise probate jurisdiction has
19exclusive jurisdiction of proceedings in this state brought by a trustee, trust
20protector, directing party, or beneficiary concerning the administration of a trust.
21Except as otherwise provided in this chapter, and as applicable, the probate
22procedure described in ch. 879 applies to a proceeding brought by a trustee, trust
23protector, directing party, or beneficiary concerning the administration of a trust.
SB759,48 24Section 48 . 701.0302 (title) of the statutes is amended to read:
SB759,18,2
1701.0302 (title) Representation by holder of general power of
2appointment
powerholder of certain powers of appointment.
SB759,49 3Section 49 . 701.0302 of the statutes is renumbered 701.0302 (2) and amended
4to read:
SB759,18,125 701.0302 (2) To the extent there is no conflict of interest between a holder of
6a general power of appointment
powerholder and a person the persons represented
7with respect to the particular question or dispute, the holder powerholder of a
8nongeneral power of appointment other than a broad limited power of appointment

9may represent and bind the person all persons or all members of a class of persons,
10including permissible appointees and takers in default,
whose interests, as a
11permissible appointee, a taker in default, or otherwise, are subject to
may be limited
12by the exercise or nonexercise of
the power.
SB759,50 13Section 50 . 701.0302 (1) of the statutes is created to read:
SB759,18,2114 701.0302 (1) The powerholder of a general power of appointment exercisable
15in favor of the powerholder or the powerholder's estate or the powerholder of a broad
16limited power of appointment may represent and bind all persons, including
17permissible appointees and takers in default, whose interests may be eliminated by
18the exercise or nonexercise of the power. For purposes of this subsection, a general
19power of appointment does not include powers of appointment exercisable only in
20favor of the creditors of the powerholder, the creditors of the powerholder's estate,
21or both.
SB759,51 22Section 51 . 701.0303 (4) of the statutes is amended to read:
SB759,18,2423 701.0303 (4) A trustee may represent and bind the beneficiaries of the trust,
24except as to matters relating to the administration or distribution of the trust
.
SB759,52 25Section 52 . 701.0303 (5) of the statutes is amended to read:
SB759,19,3
1701.0303 (5) A personal representative of a decedent's estate may represent
2and bind a person interested in the estate, except as to matters relating to the
3administration or distribution of the estate
.
SB759,53 4Section 53 . 701.0303 (6) (intro.) of the statutes is amended to read:
SB759,19,95 701.0303 (6) (intro.) A parent may represent and bind the parent's minor or
6unborn child, such child's minor and unborn issue, and the minor and unborn issue
7of a then deceased child
. If a disagreement arises between parents seeking to
8represent the same minor child or unborn child individual, representation is
9determined as follows:
SB759,54 10Section 54 . 701.0303 (6) (a) of the statutes is amended to read:
SB759,19,1411 701.0303 (6) (a) If only one parent is a beneficiary of the trust that is the subject
12of the representation, that parent may represent and bind the minor child or unborn
13child, such child's minor and unborn issue, and the minor and unborn issue of a then
14deceased child
.
SB759,55 15Section 55 . 701.0303 (6) (b) of the statutes is amended to read:
SB759,19,2016 701.0303 (6) (b) If both parents are beneficiaries of the trust that is the subject
17of the representation, the parent who is related to the settlor, other than by reason
18of being married to the other parent, may represent and bind the minor child or
19unborn child, such child's minor and unborn issue, and the minor and unborn issue
20of a then deceased child
.
SB759,56 21Section 56 . 701.0303 (6) (c) of the statutes is amended to read:
SB759,20,222 701.0303 (6) (c) Subject to s. 701.0301 (4), if neither parent is a beneficiary of
23the trust that is the subject of the representation, the parent who is the settlor of the
24trust that is the subject of the representation may represent and bind the minor child

1or unborn child, such child's minor and unborn issue, and the minor and unborn issue
2of a then deceased child
.
SB759,57 3Section 57 . 701.0303 (6) (d) of the statutes is amended to read:
SB759,20,84 701.0303 (6) (d) If neither parent is a beneficiary or settlor of the trust that is
5the subject of the representation, the parent who is related to the settlor, other than
6by reason of being married to the other parent, may represent and bind the minor
7child or unborn child, such child's minor and unborn issue, and the minor and unborn
8issue of a then deceased child
.
SB759,58 9Section 58 . 701.0303 (6) (e) of the statutes is created to read:
SB759,20,1210 701.0303 (6) (e) If an individual that is the subject of the representation is
11eligible to be represented by more than one ancestor under this subsection, the
12individual's nearest ancestor may represent and bind such individual.
SB759,59 13Section 59 . 701.0304 of the statutes is renumbered 701.0304 (1).
SB759,60 14Section 60 . 701.0304 (2) of the statutes is created to read:
SB759,20,1515 701.0304 (2) (a) In this subsection:
SB759,20,1916 1. “Contingent successor remainder beneficiary” means a beneficiary who
17would succeed to the interest of a presumptive remainder beneficiary if the
18presumptive remainder beneficiary and all of the current beneficiaries failed to take
19such interest.
SB759,20,2220 2. “More remote contingent successor remainder beneficiary” means any
21contingent successor remainder beneficiary whose interest arises only upon the
22failure of the interest of another contingent successor remainder beneficiary.
SB759,21,323 (b) A presumptive remainder beneficiary or a person authorized to represent
24the presumptive remainder beneficiary under sub. (1) may represent and bind a
25contingent successor remainder beneficiary or a more remote contingent successor

1remainder beneficiary for the same purposes, in the same circumstances, and to the
2same extent as an ascertainable beneficiary may represent and bind a minor or
3person who is incapacitated, unborn, or not reasonably ascertainable.
SB759,21,94 (c) If a presumptive remainder beneficiary does not represent a more remote
5contingent successor remainder beneficiary, a contingent successor remainder
6beneficiary may represent and bind a more remote contingent successor remainder
7beneficiary for the same purposes, in the same circumstances, and to the same extent
8as an ascertainable beneficiary may represent and bind a minor or person who is
9incapacitated, unborn, or not reasonably ascertainable.
SB759,21,1310 (d) A contingent successor remainder beneficiary or a more remote contingent
11successor remainder beneficiary may be represented under pars. (b) and (c) whether
12or not the contingent successor remainder beneficiary or more remote contingent
13successor remainder beneficiary lacks capacity.
SB759,21,1714 (e) Under pars. (b) and (c), the difference between a beneficiary's interest as a
15presumptive remainder beneficiary or contingent successor remainder beneficiary
16does not constitute a conflict of interest as to any more remote contingent successor
17remainder beneficiary.
SB759,61 18Section 61 . 701.0305 (1) of the statutes is renumbered 701.0305.
SB759,62 19Section 62 . 701.0305 (2) of the statutes is renumbered 701.0307 (1).
SB759,63 20Section 63 . 701.0305 (3) of the statutes is renumbered 701.0307 (2).
SB759,64 21Section 64 . 701.0306 of the statutes is created to read:
SB759,22,2 22701.0306 Designated representative. (1) If specifically nominated in the
23trust instrument, one or more persons may be designated to represent and bind a
24beneficiary and receive any notice, information, accounting, or report. The trust
25instrument may also authorize any one or more persons to designate one or more

1persons to represent and bind a beneficiary and receive any notice, information,
2accounting, or report.
SB759,22,4 3(2) Except as otherwise provided in this chapter, a person designated in sub.
4(1) may not represent and bind a beneficiary while that person is serving as trustee.
SB759,22,7 5(3) Except as otherwise provided in this chapter, a person designated in sub.
6(1) may not represent and bind another beneficiary if the person designated also is
7a beneficiary, unless one of the following applies:
SB759,22,88 (a) That person was named by the settlor.
SB759,22,99 (b) That person is one of the following:
SB759,22,1010 1. The beneficiary's spouse.
SB759,22,1111 2. A grandparent or descendant of a grandparent of the beneficiary.
SB759,22,1212 3. A grandparent or descendant of a grandparent of the beneficiary's spouse.
SB759,65 13Section 65 . 701.0307 (title) of the statutes is created to read:
SB759,22,14 14701.0307 (title) Role of a representative or guardian ad litem.
SB759,66 15Section 66 . 701.0308 of the statutes is created to read:
SB759,22,19 16701.0308 Liability of representative. No representative or guardian ad
17litem is liable to the beneficiary whose interests are represented, or to anyone
18claiming through that beneficiary, for any actions or omissions to act made in good
19faith.
SB759,67 20Section 67 . 701.0401 (5m) of the statutes is created to read:
SB759,22,2521 701.0401 (5m) A declaration of an intent to create a trust with the intention
22that the trust will later be funded by assets of the person who created the trust or
23by another person with legal authority to fund the trust. The person making the
24declaration is considered to have created the trust, regardless of whether the person
25funds the trust with the person's own assets.
SB759,68
1Section 68. 701.0402 (1) (e) of the statutes is amended to read:
SB759,23,32 701.0402 (1) (e) The same person is not the sole trustee and sole beneficiary,
3and there are no remainder beneficiaries other than the person's estate
.
SB759,69 4Section 69 . 701.0405 (1) of the statutes is repealed.
SB759,70 5Section 70 . 701.0408 of the statutes is amended to read:
SB759,23,10 6701.0408 Trust for care of animal. (1) A An animal trust may be created
7to provide for the care of an animal alive during the settlor's lifetime. The animal
8trust terminates upon the death of the animal or, if the animal trust was created to
9provide for the care of more than one animal alive during the settlor's lifetime, upon
10the death of the last surviving animal.
SB759,23,15 11(2) A An animal trust authorized by this section may be enforced by a person
12appointed in the terms of the trust or, if no person is so appointed, by a person
13appointed by the court
an animal protector. A person having an interest in the
14welfare of the animal may request the court to appoint a person to enforce the trust
15or to remove a person appointed under this subsection
an animal protector.
SB759,23,20 16(3) Property of a an animal trust authorized by this section may be applied
17only to its intended use, except to the extent the court determines that the value of
18the animal trust property exceeds the amount required for the intended use.
19Property not required for the intended use must be distributed to the settlor, if then
20living, otherwise to the settlor's successors in interest.
SB759,71 21Section 71 . 701.0410 (2) of the statutes is amended to read:
SB759,24,422 701.0410 (2) A proceeding to approve or disapprove a proposed modification or
23termination under ss. 701.0411 to 701.0416, or a proposed trust combination or
24division under s. 701.0417, may be commenced by a trustee or beneficiary, and a
25proceeding to approve or disapprove a proposed modification or termination under

1s. 701.0411 may be commenced by the settlor. The settlor of a charitable trust may
2maintain a proceeding to modify the trust under s. 701.0413. A Except as provided
3in s. 701.0411 (1m), a
trustee does not have standing to oppose a proposed
4modification or termination commenced under s. 701.0411 (1).
SB759,72 5Section 72 . 701.0410 (3) of the statutes is amended to read:
SB759,24,146 701.0410 (3) A trustee may not be compelled by a modification or termination
7under this section or under ss. 701.0411 to 701.0416 to make distributions to or for
8any beneficiary of a trust for an individual with a disability or to terminate the trust,
9during the lifetime of the individual with a disability. A court may modify the terms
10of a trust for that has an individual with a disability as a beneficiary with retroactive
11effect or reform the terms of such trust to achieve the settlor's objective or, if because
12of circumstances not anticipated by the settlor, to otherwise further the purposes of
13the trust so that it does not result in trust property being countable as resources or
14income of the individual with a disability for purposes of public assistance.
SB759,73 15Section 73 . 701.0411 (1) of the statutes is amended to read:
SB759,24,2316 701.0411 (1) A Except as provided in sub. (1m), a noncharitable irrevocable
17trust may be modified or terminated, with or without court approval, upon consent
18of the settlor and all beneficiaries, even if the modification or termination is
19inconsistent with a material purpose of the trust. A settlor's power to consent to a
20trust's modification or termination may be exercised by a representative under s.
21701.0303 only if the representative is specifically authorized to consent to a trust's
22modification or termination under a power of attorney, the terms of the trust, or by
23a court under a guardianship or conservatorship.
SB759,74 24Section 74 . 701.0411 (1m) of the statutes is created to read:
SB759,25,3
1701.0411 (1m) A trust described in 42 USC 1396p (d) (4) may be terminated
2or modified under sub. (1) only with consent of the trustee, and is not considered
3revocable because it lacks ascertainable remainder beneficiaries.
SB759,75 4Section 75 . 701.0411 (2) (intro.) of the statutes is created to read:
SB759,25,65 701.0411 (2) (intro.) With the approval of the court, any of the following may
6occur:
SB759,76 7Section 76 . 701.0411 (2) (a) of the statutes is amended to read:
SB759,25,108 701.0411 (2) (a) A noncharitable irrevocable trust may be terminated upon
9consent of all of the beneficiaries if the court concludes that continuance of the trust
10is not necessary to achieve any material purpose of the trust.
SB759,77 11Section 77 . 701.0411 (2) (b) of the statutes is amended to read:
SB759,25,1412 701.0411 (2) (b) A noncharitable irrevocable trust may be modified upon
13consent of all of the beneficiaries if the court concludes that modification is not
14inconsistent with a material purpose of the trust.
SB759,78 15Section 78. 701.0411 (7) of the statutes is amended to read:
SB759,25,2016 701.0411 (7) A party proposing to modify or terminate a trust under sub. (1)
17or, (2), or (6) shall give notice of the proposed modification or termination to the
18settlor, if living, the trustee, each trust protector, each directing party, and each
19beneficiary at least 30 days before the proposed effective date of the modification or
20termination.
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