§ 36C-5-508. Protective trusts.
§ 36C‑5‑508. Protective trusts.
Except with respect to aninterest retained by the settlor, a "protective trust interest" meansan interest in a trust in which the terms of the trust provide that theinterest terminates or becomes discretionary if:
(1) The beneficiaryalienates or attempts to alienate that interest; or
(2) Any creditorattempts to reach the beneficiary's interest by attachment, levy, or otherwise;or
(3) The beneficiarybecomes insolvent or bankrupt. (2005‑192, s. 2.)