Senate Bill No. 167
(By Senator Love)
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[Introduced January 16, 1998; referred to the Committee
on the Judiciary.]
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A BILL to amend and reenact section eighteen, article one,
chapter thirty-six of the code of West Virginia, one
thousand nine hundred thirty-one, as amended, relating to
trust estates; and providing that a cocreation of a trust by
a husband and wife is treated as a transfer of property from
one to the benefit of the other and excluded from the
liabilities or alienation by the beneficiary.
Be it enacted by the Legislature of West Virginia:
That section eighteen, article one, chapter thirty-six of
the code of West Virginia, one thousand nine hundred thirty-one,
as amended, be amended and reenacted to read as follows:
ARTICLE 1. CREATION OF ESTATES GENERALLY.
§36-1-18. Trust estates; debts of beneficiaries; spendthrift
trusts.
Estates of every kind in real or personal property, holden
or possessed in trust, shall be subject to the debts and charges
of the persons to whose use or for whose benefit they are holden
or possessed, as they would be if those persons owned the like
interest in the things holden or possessed, as in the uses or
trusts thereof; but where the creator of the trust has expressly
so provided in the instrument or conveyance creating the trust,
real or personal property may be held in trust upon condition
that the income therefrom shall be applied by the trustee to the
support and maintenance of a beneficiary or beneficiaries of the
trust in being at the time of the creation of the trust, other
than the creator of the trust, for the life of such beneficiary
or beneficiaries, without being subject to the liabilities of, or
alienation by, such beneficiary or beneficiaries. A cocreation
of a trust by a husband and wife shall be treated as a transfer
of property from one to the benefit of the other and therefore
excluded from the liabilities of, or alienation by, the
beneficiary.
NOTE: The purpose of this bill is to provide that the co- creation of a trust by a husband and wife is to be treated as a
transfer of property from the benefit of one to the other and
excluded from the liabilities of, or alienation by, the
beneficiary.
Strike-throughs indicate language that would be stricken
from the present law, and underscoring indicates new language
that would be added.