Model Clauses

The collection. This appendix collects the one hundred seventeen model provisions drafted in chapters 6 through 46. Each appears as it does in its chapter, under a D-number, with the paragraph in which it is drafted and the chapter that discusses its design, its statutory basis and the choices it makes. The clauses are arranged in the order of the nineteen articles of the instrument plan in Table 46-1 (see supra ¶ 4610.02), so that a drafter assembling an instrument can work through them article by article. Chapter 46 explains each article and gives a checklist for it (see supra ¶¶ 4620–4680).

Conventions. Matters to be completed or chosen appear in square brackets, such as [Name], [number] or [State]. A blank for an article or section number appears as [__] or __. Capitalized terms such as Trustee, Protector, Trust Director, Investment Adviser, Independent Trustee, Settlor and Grantor carry the meaning given in the instrument's definitions article. The chapters use the vocabulary of the statute each discusses, so the terms must be conformed when clauses from different chapters are combined (see infra D-116). Several chapters present their clauses in quotation marks, and the marks are omitted here. A clause refers to "this Agreement," "this instrument," "this Deed" or "this Trust" as its chapter did, and the references should be made uniform.

Using a clause. Each clause was written for the structure its chapter describes. Before using it, the drafter should read the paragraph cited with it, confirm the current text of the governing statute and conform its cross-references to the numbering of the instrument. Clauses D-32 to D-34 assume an international trust governed by the law of the Cook Islands, Nevis or Belize. The clauses of ¶ D50 assume a trust with a United States settlor or United States beneficiaries. Appendix E assembles clauses from this appendix into five complete forms (see infra app. E).

Overlapping clauses. Some subjects are drafted in more than one chapter, for different structures. Examples are the removal of trustees by a protector, by an offshore protector and by a removal holder; the change of situs; the definition of a spouse in a dynasty trust and in a spousal lifetime access trust; the residence of a beneficiary; and the power of substitution. Each section notes the overlaps it contains and the structure each clause suits. An instrument should normally contain one clause on each subject.

Table of sections. Table D-1 lists the sections of this appendix, the articles of Table 46-1 they serve and the clauses in each.

Table D-1. The sections of this appendix