Effective April 2010, Michigan joins 21 states in adopting the UTC to provide less confusion with the administration of trusts.

The Uniform Trust Code (UTC) is a model code for states to use to create a uniform, comprehensive, easy-to-find body of trust law. With some exceptions, it is generally a default statute or is used to supplement and revise state’s existing laws concerning trusts.

It was written by the Uniform Law Commissioners, part of the National Conference of Commissioners on Uniform State Laws, in 2000 and last amended in 2005. It is approved by the American Bar Association, American Bankers Association as well as the AARP.

Some form of the UTC is currently adopted in the following 22 states: Alabama, Arizona, Arkansas, Florida, Kansas, Maine, Missouri, Michigan, Nebraska, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Oregon, Pennsylvania, South Carolina, Tennessee, Utah, Vermont, Virginia and Wyoming; plus the District of Columbia. Four additional states have introduced bills to adopt it and several other states are reviewing the bill.

Without good state trust laws, attorneys, trustees, beneficiaries, and third parties dealing with trusts find only minimal statutory and case law to interpret trusts, to try to fill in blanks when trusts are silent, unclear on issues, or have contradictory provisions.

Another need, especially important in our nomadic society, is having a body of trust law that is similar to the law in other states. The Uniform Trust Code was developed to provide concise, flexible and easily accessible rules concerning the use of trusts. Without the Uniform Trust Code many states relied upon common law to settle disputes. The UTC specifically addresses many issues that cause disputes or ambiguities such as trustee delegation.