TRUST INSTRUMENT, CERT. OF TRUST                                 H.B. 5362 (H-2) & 5398 (H-4):

                                                                                                    SUMMARY OF BILL

                                                                                      REPORTED FROM COMMITTEE

House Bill 5362 (Substitute H-2 as reported without amendment)

House Bill 5398 (Substitute H-4 as reported without amendment)

Sponsor:  Representative Peter J. Lucido

House Committee:  Judiciary

Senate Committee:  Judiciary

CONTENT

House Bill 5362 (H-2) would amend the Michigan Trust Code (MTC) to modify the information required to be in a certificate of trust.

House Bill 5398 (H-4) would amend Public Act 133 of 1991, which pertains to the use and recording of certain documents regarding trusts in the case of conveyed real property, to do the following:

-- Refer to a "trust instrument", instead of a "trust agreement".

-- Refer to a "certificate of trust", instead of a "certificate of trust existence and authority".

-- Require a certificate of trust to be recorded as a separate document it accompanied an instrument that conveys, encumbers, or otherwise affects real property.

The bill also would repeal Sections 2, 3, and 6 of the Public Act 133. (Those sections pertain to certificates of trust existence and authority, the execution of a certificate of trust existence and authority, and indexing a certificate of trust existence and authority, respectively.) 

MCL 700.7913 (H.B. 5362)                                        Legislative Analyst:  Stephen Jackson

       565.431 et al. (H.B. 5398)

FISCAL IMPACT

The bills would have no fiscal impact on State or local government.

Date Completed:  12-13-18                                                 Fiscal Analyst:  Abbey Frazier

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.