TITLE XXXV BANKS AND BANKING; LOAN ASSOCIATIONS; CREDIT UNIONS
CHAPTER 383-C TRUST COMPANY ACT
ARTICLE 3 Trust Business
Section 383-C:3-301
383-C:3-301 Trust Business Generally. –
Consistent with a business plan and capital plan approved by the commissioner and for so long as it is authorized to transact business in this state and holds a valid charter as a trust company, a trust company shall have power:
(a) To execute all the powers and possess all the privileges conferred on state banks, other than the power to accept deposits;
(b) To be appointed and to act as trustee, trust advisor, or trust protector of any trust or as executor of any estate;
(c) To be appointed and to act as receiver, assignee, or agent for any person or entity;
(d) To act as fiscal or transfer agent of the United States or any other person or entity and, in that capacity, to receive and disburse money;
(e) To transfer, register, and countersign certificates of stock, bonds, or other evidences of indebtedness and to act as attorney-in-fact or agent of any entity for any purpose, statutory or otherwise;
(f) To act as trustee under any mortgage, bonds, or debentures issued by any person, and to accept and execute any municipal or corporate trust;
(g) To receive and manage any sinking fund of any entity upon those terms as may be agreed upon between the entity and those dealing with, or having an interest in, the sinking fund;
(h) To collect coupons on, or interest upon, all manner of securities, when authorized so to do, by the parties depositing the securities;
(i) To accept trusts from and execute trusts for married persons in respect of the separate property of the married persons, to be their individual or joint agent in the management of the property, and to transact any business in relation to the property;
(j) To act as receiver or trustee of the estate of any person, or to be appointed to any trust by any court; to act as assignee under any assignment for the benefit of creditors of any debtor, whether made under statute or otherwise, and to be the custodian of any moneys or assets paid into court;
(k) To be appointed and to act under the order or appointment of any court of competent jurisdiction or otherwise (i) as guardian, receiver, trustee, committee, or conservator of the estate of any minor, any person deemed by law to be incompetent to manage his or her affairs, or any other conservatee, or in any other fiduciary capacity, or (ii) as receiver, trustee, or committee of the property or estate of any person in insolvency or bankruptcy proceedings; but this power shall not be construed to deprive any other person of any legal right to have issued to the person a letter of guardianship or of administration;
(l) To be appointed and to accept the appointment of executor of, or trustee under, the last will and testament, or administrator with or without the will annexed, of the estate of any deceased person;
(m) To act in a fiduciary capacity, including (i) to take, and accept, and execute any and all trusts, duties, or powers of whatever nature or description that may be conferred upon or entrusted or committed to the trust company by any person; (ii) to exercise any other authority, trust, or power conferred upon or entrusted or committed to the trust company by grant, assignment, transfer, devise, bequest, or otherwise; (iii) to exercise any power or authority that may be granted to the trust company by order of any court of competent jurisdiction or any surrogate; and (iv) to receive, take, use, manage, hold, and dispose of, according to the terms of any trust, duty, or powers any property or estate, real or personal, that is the subject of the trust, duty, or power;
(n) Generally to execute trusts of every description not inconsistent with law;
(o) To purchase, invest in, sell, and otherwise transact in securities, promissory notes, bills of exchange, bonds, debentures, or mortgages and, when moneys are borrowed or received for investment, to provide security for the borrowing or receipt of money for investment, so long as the trust company does not issue any surety or insurance for investment or engage in the business of receiving or holding deposits;
(p) To act as trustee for a New Hampshire investment trust organized under RSA 293-B;
(q) To act as a custodian for any person to hold the property, including the person's securities, bonds, and cash, in custody for safekeeping, so long as a trust company does not engage in the business of receiving of deposits; and
(r) To purchase for the fiduciary estate directly from underwriters or distributors or in the secondary market:
(1) Bonds or other securities underwritten or distributed by the trust company or an affiliate of the trust company or by a syndicate which includes the trust company or affiliate, provided that the trust company discloses in any written communication or account statement reflecting the purchase of the bonds or securities the nature of the interest of such trust company or affiliate in the underwriting or distribution of the bonds and securities and whether the trust company or affiliate received any fee in connection with the purchase; and
(2) Securities of any investment company as defined under the federal Investment Company Act of 1940 for which the trust company or affiliate acts as advisor, distributor, transfer agent, registrar, sponsor, manager, shareholder servicing agent, or custodian, provided that the trust company discloses in any written communication or account statement reflecting the purchase of the securities the nature of the relationship and whether the trust company or affiliate received any fee for providing such services.
(3) The authority granted in paragraphs (1) and (2) of this subsection may be exercised only if:
(i) The investment is not expressly prohibited by the instrument, judgment, decree, or order establishing the fiduciary relationship;
(ii) The trust company discloses in writing to the person or persons to whom it sends account statements its intent to exercise the authority granted in paragraphs (i) and (ii) prior to the first exercise of that authority; and
(iii) The trust company procures in writing the consent of its cofiduciaries with discretionary investment powers, if any, to the investment.
(4) A trust company, acting in a fiduciary capacity pursuant to paragraphs (1) and (2), may:
(i) Invest in the securities of an investment company, investment trust, or other company to which the fiduciary or its affiliate provides services in a capacity other than as trustee, such as advisor, distributor, transfer agent, registrar, sponsor, manager, shareholder servicing agent, administrator, or custodian, and the investment is not presumed to be affected by a conflict between personal and fiduciary interests if the investment complies with the prudent investor standard pursuant to article 9 of RSA 564-B.
(ii) Be compensated by the investment company, investment trust, or other company for providing services in a capacity other than as trustee, such as advisor, distributor, transfer agent, registrar, sponsor, manager, shareholder servicing agent, administrator, or custodian, if the fiduciary at least annually notifies each person to whom it is required to send account statements under RSA 564-B:8-813 of the rate and method by which the compensation was determined.
(5) Nothing in this subsection shall affect the degree of prudence which is required of fiduciaries under the laws of this state. Any bonds or securities purchased under authority of this section shall have sufficient liquidity and investment quality to satisfy the principles of fiduciary investment and the terms of the instrument, judgment, decree, or order establishing the fiduciary relationship.
(6) No trust company which is acting in a fiduciary capacity shall purchase for the fiduciary estate any fixed income or equity security issued by the trust company or an affiliate thereof, unless the trust company is expressly authorized to do so by the terms of the instrument creating the trust, a court order, the written consent of the grantor of the trust, or the written consent of the qualified beneficiaries of the trust, as defined in RSA 564-B:1-103.