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273.620 Release or modification of restrictions on management, investment,
or purpose.
(1)
(2)
(3)
(4)
If the donor consents in a record, an institution may release or modify, in whole
or in part, a restriction contained in a gift instrument on the management,
investment, or purpose of an institutional fund. A release or modification may
not allow a fund to be used for a purpose other than a charitable purpose of the
institution.
The court, upon application of an institution, may modify a restriction contained
in a gift instrument regarding the management or investment of an institutional
fund if the restriction has become impracticable or wasteful, if it impairs the
management or investment of the fund, or if, because of circumstances not
anticipated by the donor, a modification of a restriction will further the purposes
of the fund. The institution shall notify the Attorney General of the application,
and the Attorney General shall be given an opportunity to be heard. To the
extent practicable, any modification shall be made in accordance with the
donor's probable intention.
If a particular charitable purpose or a restriction contained in a gift instrument
on the use of an institutional fund becomes unlawful, impracticable, impossible
to achieve, or wasteful, the court, upon application of an institution, may modify
the purpose of the fund or the restriction on the use of the fund in a manner
consistent with the charitable purpose expressed in the gift instrument. The
institution shall notify the Attorney General of the application, and the Attorney
General shall be given an opportunity to be heard.
If an institution determines that a restriction contained in a gift instrument on
the management, investment, or purpose of an institutional fund is unlawful,
impracticable, impossible to achieve, or wasteful, the institution, sixty (60) days
after notification to the Attorney General, may release or modify the restriction,
in whole or part, if:
(a) The institutional fund subject to the restriction has a total value of less
than fifty thousand dollars ($50,000);
(b) More than twenty (20) years have elapsed since the fund was
established; and
(c) The institution uses the property in a manner consistent with the
charitable purposes expressed in the gift instrument.
Effective:July 15, 2010
History: Created 2010 Ky. Acts ch. 34, sec. 5, effective July 15, 2010.
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