State Codes and Statutes

Statutes > South-dakota > Title-55 > Chapter-01 > Statute-55-1-32

55-1-32. Factors which are not dominion and control over trust. In the event that a party challenges a settlor or a beneficiary's influence over a trust, none of the following factors, alone or in combination, may be considered dominion and control over a trust:
(1) The settlor or a beneficiary serving as a trustee or a co-trustee as described in § 55-1-28;
(2) The settlor or a beneficiary holds an unrestricted power to remove or replace a trustee;
(3) The settlor or a beneficiary is a trust administrator, a general partner of a partnership, a manager of a limited liability company, an officer of a corporation, or any other managerial function of any other type of entity, and part or all of the trust property consists of an interest in the entity;
(4) A person related by blood or adoption to the settlor or a beneficiary is appointed as trustee;
(5) The settlor's or a beneficiary's agent, accountant, attorney, financial advisor, or friend is appointed as trustee;
(6) A business associate is appointed as a trustee;
(7) A beneficiary holds any power of appointment over any or all of the trust property;
(8) The settlor holds a power to substitute property of equivalent value;
(9) The trustee may loan trust property to the settlor for less than a full and adequate rate of interest or without adequate security;
(10) The distribution language provides any discretion; or
(11) The trust has only one beneficiary eligible for current distributions.

Source: SL 2007, ch 280, § 9; SL 2009, ch 252, § 6.