Pub. 2 2011 Issue 2

www.wvbankers.org 12 A trustee is still subject to the traditional fiduciary duties of acting in good faith, loyalty and impartial administration. Should you require more information concerning the legal and business aspects of the above, please feel free to contact the authors, Robert Kiss or Emily Lambright Robert S. Kiss is a partner, and Emily R. Lambright, CPA is an associate with Bowles Rice McDavid Graff & Love LLP. Both are members of the Bowles Rice Tax Team in the firm’s Charleston, West Virginia office. Robert S. Kiss Emily Lambright E-mail: E-mail: rkiss@bowlesrice.com elambright@bowlesrice.com Phone: Phone: (304) 347-1736 (304) 347-1124 tive, so it would apply to trusts created on or after the effective date of the UTC. Another notable change is that a trustee need only post bond if the trust instrument requires it (or a court orders it). Other changes relate to trustee duties keeping certain beneficiaries informed about trust events, limitations on trustee liability, and allowance of reasonable trustee fees and reimbursement of trust expenses. The UTC also allows West Virginians their first opportunity to establish a trust for their pets. Although the UTC introduces trustees to a host of new concepts, it does not change the basic tenets of trusteeship. A trustee is still subject to the traditional fiduciary duties of acting in good faith, loyalty and impartial administration. The UTC still respects that the language of a trust instrument prevails over a statutory provision, with few exceptions, and it largely works with the common law of trusts and principles of equity unless those are specifically modified by statute. While the brave new world of the UTC may seem like a scary new world for institutional trustees, the UTC presents the opportu- nity to address some of the more common trust problems faced by trustees today. We encourage you to consult with your legal advisor to discuss how the UTC might be used to assist you as an institutional trustee. n