14-7413. Principal receipts


A trustee shall allocate to principal:


1. To the extent not allocated to income under this article, assets received from a
transferor during the transferor's lifetime, a decedent's estate, a trust with a
terminating income interest or a payer under a contract naming the trust or its trustee
as beneficiary.


2. Money or other property received from the sale, exchange, liquidation or change
in form of a principal asset, including realized profit, subject to this article.


3. Amounts recovered from third parties to reimburse the trust because of
disbursements described in section 14-7426, subsection A, paragraph 7 or for other
reasons to the extent not based on the loss of income.


4. Proceeds of property taken by eminent domain, but a separate award made for the
loss of income with respect to an accounting period during which a current income
beneficiary had a mandatory income interest is income.


5. Net income received in an accounting period during which there is no beneficiary
to whom a trustee may or must distribute income.


6. Other receipts as provided in sections 14-7417 through 14-7424.