Section 35-15-509 - Judicial foreclosure of beneficial interests, powers of appointment, and reserved powers prohibited - Certain reaches prohibitedRegardless of whether or not a trust contains a spendthrift provision:
(1) No beneficial interest, power of appointment, or reserved power in a trust shall be judicially foreclosed;(2) No creditor or assignee shall reach a power of appointment or a remainder interest at the trust level and such creditor or assignee shall wait until any funds are distributed relative to such power of appointment or remainder interest before such creditor or assignee may reach such funds;(3) No creditor or assignee shall reach property transferred pursuant to a power of appointment exercised by a decedent unless the power of appointment was actually exercised in favor of the decedent or the decedent's estate; and(4) No power of appointment is a property interest.Amended by 2021 Tenn. Acts, ch. 420, s 20, eff. 7/1/2021.Added by 2013 Tenn. Acts, ch. 390, s 24, eff. 7/1/2013.