Constitutional and Other Issues in the Application of the Nebraska Uniform Trust Code to Preexisting Trusts

I. Introduction . . . . . 313 II. General Applicability to Trusts Created before January 1, 2005 . . . . . 317 A. Scope of Retroactive Application . . . . . 317 B. Constitutional Limitations . . . . . 318 C. Evolution of UTC Section 1106 and Its Comment . . . . . 324 D. Administrative Provisions . . . . . 327 III. Judicial Proceedings . . . . . 329 IV. Rules of Construction and Presumptions . . . . . 330 A. Clear Indication of a Contrary Intent . . . . . 330 B. Rules of Construction . . . . . 334 1. Scope of “Rules of Construction” . . . . . 334 2. Constitutional Limitations . . . . . 337 C. Presumptions . . . . . 338 1. Scope of Presumptions . . . . . 338 2. Constitutional Limitations . . . . . 340 V. Act Done Before the Effective Date . . . . . 340 VI. Statutes of Limitations . . . . . 341 VII. Substantive Trust Rules Warranting Special Consideration . . . . . 343 A. Claims of Certain Judgment Creditors Against Spendthrift and Discretionary Trusts . . . . . 343 B. Nonjudicial Settlements . . . . . 345 C. Modification or Termination of a Noncharitable Irrevocable Trust by Consent . . . . . 349 D. Modification or Termination Because of Unanticipated Circumstances . . . . . 352 E . Cy Pres . . . . . 355 F. Discretionary Distributions of a Trustee-Beneficiary . . . . . 356 VIII. Nebraska Constitutional Equity Jurisdiction . . . . . 359 IX. Nebraska Supreme Court Jurisdiction of Constitutional Issues . . . . . 361 X . Conclusion . . . . . 363