PLEASE NOTE: Statues referenced in the suggested language are from the Code of Virginia. Substitute your state’s infant settlement statute, wrongful death statute or corporate fiduciary bonding/surety statute as necessary.
That Commonwealth Community Trust, a Virginia non-profit corporation and 501(c)(3) organization, created Commonwealth Community Trust First Party Pooled Special Needs Trust (The “Trust”) pursuant to 42 USC 1392p(d)(4)(c) for the benefit of disabled individuals, and acting through its trustee, Trust Company of Virginia, is a duly qualified fiduciary as defined in Virginia Code Sec. 8.01-424D(2)*, and that it is in the best interest of -Plaintiff- in order to preserve entitlements to -Plaintiff’s- public benefits, that the proceeds of this settlement be paid to the Trust to be held in a sub-account for the benefit of -Plaintiff- pursuant to the Joinder Agreement attached hereto.
It is therefore ORDERED:
That ** the following sums be paid from the settlement proceeds:
To Commonwealth Community Trust $__________ (joinder fee)
To Trust Company of Virginia $__________ (opening balance)
*Virginia Code Sec. 8.01-424 allows distribution to a duly qualified fiduciary. It is CCT’s and Trust Company of Virginia’s position that the Trustee is duly qualified; however, if your jurisdiction requires qualification and posting bond, insert the following after the * above:
“That Trust Company of Virginia qualify before the Clerk of this Court as Trustee of Commonwealth Community Trust First Party Pooled Special Needs Trust for the benefit of -Plaintiff-, posting bond, without corporate surety pursuant to Virginia Code Sec. 6.2-1003**, in the amount of $__________________ ;”
Note: While some jurisdictions may require the Trustee to bond itself to the Court, corporate surety is not required on the bond due to the capitalization requirements necessary for nationally chartered corporate fiduciaries.
**Virginia Code Sec. 8.01-424 is silent as to the requirement of the Trustee to make filings before the Commissioner of Accounts/Courts. It is CCT’s and Trust Company of Virginia’s position that Inventories and Annual Accountings before the Commissioner of Accounts or the Courts are waived in this statute as is customary in many cases involving corporate fiduciaries; however, if a Court requires such filings, insert the following after the ** above:
“And that Trust Company of Virginia file an Inventory and Annual Accountings before the Commissioner of Accounts of this Court.”
NOTE: Other code sections which may be pertinent: Va. Code Sec. 64.2-719; Va. Code Sec. 8.01-55; Va. Code Sec. 64.2-778.1(C)(9)
This is not a substitute for legal advice or to be construed as such. Please review and revise the suggested language as necessary in each case and in each jurisdiction.