SB 264 Illinois Senate · 104th Regular Session

TRUST CD-VIRTUOUS TRUSTS

Summary
Amends the Illinois Trust Code. Allows a virtuous trust to be created for a business or other noncharitable purpose without a definite or definitely ascertainable beneficiary. Requires a virtuous trust to be created by a written instrument. Allows a virtuous trust to hold an ownership interest of any corporation, partnership, limited partnership, cooperative, limited liability company, limited liability partnership, or joint venture. Provides that a trustee of a virtuous trust or a virtuous trust shall not be deemed to violate the trustee's duties by virtue of the trustee investing and managing the trust's assets pursuant to the terms and the purposes of the trust. Exempts a virtuous trust from the common law rule against perpetuities. Allows a virtuous trust to be enforced by one or more trust enforcers appointed in the trust instruction, and allows a virtuous trust instrument to provide for appointing successor trust enforcers. Requires a virtuous trust to have a trust purpose committee with at least 3 persons as members. Includes provisions related to the trust purpose committee, including appointment procedures, voting procedures, powers of the committee, resignation procedures, and reporting requirements. Provides that property of a virtuous trust may be applied only to its intended use. Allows the trust purpose committee and the trust enforcers to modify or terminate a virtuous trust by unanimous agreement. Prohibits a person serving as a trustee from serving as a trust enforcer or as a member of the trust purpose committee. Makes conforming changes.
Bill status in committee 1 of 4 stages cleared
Introduction
Jan 2025
Committee Review
Floor Vote
Governor
Introduced Jan 24, 2025 Last action Apr 11, 2025
Floor votes

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Full legislative history

Actions timeline

Total actions
7
Key actions
2
Committee
5
Apr 11, 2025
Committee
Rule 3-9(a) / Re-referred to Assignments
upper
Apr 4, 2025
Upper · Passed
Rule 2-10 Committee Deadline Established As April 11, 2025
upper
Mar 21, 2025
Upper · Passed
Rule 2-10 Committee Deadline Established As April 4, 2025
upper
Feb 4, 2025
Committee
Assigned to Judiciary
upper
Jan 24, 2025
Committee
Referred to Assignments
upper
1 primary · 0 co-sponsors

Sponsors

Role
Legislator
Party
State
District
P
Photo of Robert Peters
Robert Peters
DDemocratic
IL
13