74th OREGON LEGISLATIVE ASSEMBLY--2007 Regular Session
 
NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .
 
LC 687
 
                         House Bill 2360
 
Ordered printed by the Speaker pursuant to House Rule 12.00A (5).
  Presession filed (at the request of House Interim Committee on
  Judiciary for Oregon State Bar Elder Law Section)
 
 
                             SUMMARY
 
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
 
  Allows court to approve creation of trust that would terminate
conservatorship if trust is created to qualify or maintain
eligibility of protected person for needs-based government
benefits, if value of conservatorship estate does not exceed
$50,000, if purpose of conservatorship was to establish trust or
for other good cause.
 
                        A BILL FOR AN ACT
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. + }
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