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386A.8-040 Winding up.
(1)
(2)
(3)
After dissolution, a statutory trust continues its existence as a statutory trust, but
may not carry on any activities except as is appropriate to wind up and liquidate its
activities and affairs, including:
(a) Collecting the assets of the trust;
(b) Disposing of the properties of the trust that will not be distributed in kind to
beneficial owners of the trust;
(c) Discharging or making provision for discharging the liabilities of the trust,
including entering into agreements with creditors for the satisfaction thereof;
(d) Distributing the remaining property of the trust in accordance with KRS
386A.8-080; and
(e) Doing every other act necessary to wind up and liquidate the trust's activities
and affairs.
In winding up a statutory trust's activities, a trust may:
(a) Preserve the trust's activities and property as a going concern for a reasonable
time;
(b) Prosecute, defend, or settle actions or proceedings whether civil, criminal, or
administrative, including by mediation or arbitration; and
(c) Transfer the property of the trust.
The dissolution of a statutory trust does not:
(a) Prevent the commencement of a proceeding by or against the trust in its name;
(b) Abate or suspend a proceeding by or against the trust pending on the effective
date of dissolution;
(c) Transfer title to the trust's property;
(d) Terminate the authority of the registered agent of the statutory trust;
(e) Abate or suspend KRS 386A.3-040; or
(f) Abate or suspend KRS 386A.4-020.
Effective: July 12, 2012
History: Created 2012 Ky. Acts ch. 81, sec. 67, effective July 12, 2012.
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