N.D. Cent. Code § 6-05.1-05

6-05.1-05. Transfer of fiduciary relationships from affiliated banks to subsidiary trust

companies.

1. Any subsidiary trust company which has been duly authorized to commence the

business for which it is organized, and which has made any deposit of securities

required by law, may at any time file its verified application in the district court of the

county in which its main office is located requesting that it be substituted, except as

may be expressly excluded in the application, in every fiduciary capacity for each of its

affiliated banks specified in the application, and each such specified affiliated bank

shall join in the application. Any such application must indicate the county wherein the

main office of each affiliated bank joining in the application is located and must

designate each fiduciary account existing at the date thereof with respect to which the

applicant requests substitution, but fiduciary capacities in other cases need not be

listed. Any such application must additionally set forth, with regard to each existing

fiduciary account with respect to which the applicant requests substitution, the name

and address last known to the applicant of each person entitled to mailed notice of

hearing thereon, who are as follows:

a. In the case of an existing fiduciary account which may be revoked, terminated, or

amended, each person who, alone or together with others, is empowered to

revoke, terminate, or amend the same.

b. In the case of an existing fiduciary account with respect to which any person

other than a court has the power to remove the corporate fiduciary, each person

who, alone or together with others, is empowered to remove the corporate

fiduciary.

c. In the case of an existing fiduciary account which is an estate of a deceased

person or which is a guardianship or conservatorship, the clerk of the court in

which such estate, guardianship, or conservatorship matter is pending.

d. In the case of an existing fiduciary account not described in any of the foregoing

subdivisions, each income beneficiary of such account and each beneficiary who,

were such account terminated at the date of the application respecting such

account, would be entitled to share in distributions of income or principal thereof.

e. In the case of an existing fiduciary account wherein an affiliated bank specified in

the application is acting with a cofiduciary, to each such cofiduciary.

2. When any such application has been filed with the district court, the court shall make

an order fixing a date and time for hearing thereon and directing that notice thereof be

given as hereinafter provided. The applicant shall cause a copy of such notice to be

published at least once a week for three successive weeks preceding the hearing

date, the last such publication to be at least ten days preceding the hearing date. Such

publication must be made in a newspaper of general circulation published in each

county in which the main office of an affiliated bank specified in the application is

located. In addition, at least fourteen days preceding the hearing date, the applicant

shall cause a copy of such notice to be mailed by first-class mail to each person

identified in the application as being entitled to mailed notice under the provisions of

this section, at that person's address last known to the applicant as set forth in the

application. Proof of the giving of such notice must be made on or before the hearing

date and filed in the proceeding.

3. The notice to be published and mailed with respect to each such application shall state

the time and place of the hearing thereon, the name of the subsidiary trust company

which has filed the application, the name of each affiliated bank which has joined in the

application, that the application requests that the subsidiary trust company be

substituted in every fiduciary capacity for each of its affiliated banks specified in the
ed with respect to each such application shall state

the time and place of the hearing thereon, the name of the subsidiary trust company

which has filed the application, the name of each affiliated bank which has joined in the

application, that the application requests that the subsidiary trust company be

substituted in every fiduciary capacity for each of its affiliated banks specified in the

application, and that any person entitled to receive mailed notice pursuant to this

section with respect to any existing fiduciary account may appear on or before the date

of hearing and file written objection to such substitution as to such account, and such

notice must refer to such application for further particulars.

4. On or before the date and time of hearing any such application, any person entitled to

receive mailed notice pursuant to this section with respect to any existing fiduciary

account may appear and file objection to substitution of the applicant in such account

and is then entitled to be heard with respect to such objection. The court may not apply

the provisions of this section to substitute a subsidiary trust company as fiduciary of

any existing fiduciary account with respect to which a person entitled to receive mailed

notice pursuant to this section has filed objection to substitution and has appeared and

been heard in support thereof.

5. On such date of hearing, upon finding that due notice has been given as required by

this section and upon finding that the applicant subsidiary trust company has been

duly authorized to commence the business for which it is organized by the state

banking board, or by the comptroller of the currency if the applicant is a national

banking association, and that the applicant has made such deposit of securities as

may be required by law, the district court shall enter an order substituting the applicant

in every fiduciary capacity for each of its specified affiliated banks, excepting as may

be otherwise specified in the application, and excepting fiduciary capacities in any

account with respect to which a person entitled to receive mailed notice pursuant to

this section has filed objection to substitution and has appeared and been heard in

support thereof. Upon entry of such order, or at such later date as may be specified in

such order, the applicant subsidiary trust company must, without further act, be

substituted in every such fiduciary capacity. The substitution may be made a matter of

record in any county of this state by filing a certified copy of the order of substitution in

the office of the clerk of any district court in this state or by filing a certified copy of

such order in the office of the recorder of any county of this state to be recorded and

indexed in like manner and with like effect as other orders and decrees of court are

recorded and indexed.

6. Each designation, in a will or other instrument heretofore or hereafter executed, of a

bank as fiduciary is deemed a designation of the subsidiary trust company substituted

for such bank pursuant to this section except when such will or other instrument is

executed after such substitution and expressly negates the application of this section.

Any grant in any such will or other instrument of any discretionary power is deemed

conferred upon the subsidiary trust company deemed designated as the fiduciary

pursuant to this section.

7. A bank shall account jointly with the subsidiary trust company which has been

substituted as fiduciary for such bank pursuant to this section for the accounting period

during which the subsidiary trust company is initially so substituted. Upon substitution

pursuant to this section, the bank shall deliver to the subsidiary trust company all

assets held by the bank as fiduciary, except assets held for fiduciary accounts with

respect to which there has been no substitution pursuant to this section, and upon
ank pursuant to this section for the accounting period

during which the subsidiary trust company is initially so substituted. Upon substitution

pursuant to this section, the bank shall deliver to the subsidiary trust company all

assets held by the bank as fiduciary, except assets held for fiduciary accounts with

respect to which there has been no substitution pursuant to this section, and upon

such substitution all such assets become the property of the subsidiary trust company

without the necessity of any instrument of transfer or conveyance.