DE HB412

Moves the definition of "good faith" from Section 3580 to Section 101 of Title 12 to apply throughout the title.

Eliminates the requirement that fiduciaries appointing agents must reasonably believe the appointment would improve investment performance or administrative efficiency, while retaining the requirement that the appointment be in the best interest of all interested persons.

Reorganizes trustee accounting requirements by clarifying that inter vivos trusts generally do not require filed accounts except as provided in the governing instrument or by court order, while testamentary trusts must file accounts unless created by a decedent dying after July 31, 2005.

Permits trustees to appoint trust principal to a further trust with an open class of beneficiaries, including beneficiaries whose class remains open beyond the period when it would have closed in the original trust.

Revises Chapter 5 of Title 25 to standardize terminology regarding powers of appointment and allows holders of nongeneral powers over generation-skipping transfer tax-exempt property to opt to trigger estate inclusion under federal tax law.