Chapter 62 Oregon Laws 2007

 

AN ACT

 

HB 2360

 

Relating to conservatorships; creating new provisions; and amending ORS 125.440.

 

Be It Enacted by the People of the State of Oregon:

 

          SECTION 1. ORS 125.440 is amended to read:

          125.440. A conservator may perform the following acts only with prior court approval:

          (1) Convey or release contingent or expectant interests of the protected person in property, including marital property rights and any right of survivorship incident to joint tenancy or tenancy by the entirety.

          (2) Create revocable or irrevocable trusts of property of the estate. A trust created by the conservator may extend beyond the period of disability of the protected person or beyond the life of the protected person. A trust created by the conservator must be consistent with the will of the protected person or any other written or oral expression of testamentary intent made by the protected person before the person became incapacitated. The court may not approve a trust that has the effect of terminating the conservatorship unless:

          (a) The trust is created for the purpose of qualifying the protected person for needs-based government benefits or maintaining the eligibility of the protected person for needs-based government benefits;

          (b) The value of the conservatorship estate, including the amount to be transferred to the trust, does not exceed $50,000;

          (c) The purpose of establishing the conservatorship was to create the trust; or

          (d) The conservator shows other good cause to the court.

          (3) Exercise rights of the protected person to elect options and change beneficiaries under insurance and annuity policies and to surrender the policies for their cash value.

          (4) Disclaim any interest the protected person may have by testate or intestate succession or by inter vivos transfer.

          (5) Authorize, direct or ratify any annuity contract or contract for life care.

 

          SECTION 2. The amendments to ORS 125.440 by section 1 of this 2007 Act apply to conservatorships established prior to, on or after the effective date of this 2007 Act.

 

Approved by the Governor April 17, 2007

 

Filed in the office of Secretary of State April 17, 2007

 

Effective date January 1, 2008

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