In some statutes, such as those in place in New York and Delaware, the power to invade the first trust and decant to a second trust is described as the exercise of a limited power of appointment.
In addition, most statutes direct the trustee to consider the intent of the settlor when deciding whether to decant or state positively that the new trust must carry forth the grantor's purpose.
Arguably, the power to decant exists under the common law, and the new decanting statutes are simply a way of putting flesh on the bones of an existing common law trustee power which exists, at least in some form, unless specifically prohibited by the trust instrument.
Read more expansively, it would authorize a trustee to decant trust property to a new trust unless plainly prohibited by the terms of the original trust.
52) The Act as proposed was titled "An Act to Permit Trustees to Decant a Trust under Certain Circumstances" and introduced as House Bill 1288.
Several states recognize a common law right to decant.
Some attorneys decant trusts to add or change investment advisers, alter a successor trustee sequence, or remove or appoint a corporate trustee.
Total quantity or scope: WLC Decant
Properties approximately 40 qty per annum