{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/64.2-747.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/64.2-747.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/64.2-747.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/64.2-747.html"}],"law_id":70541,"edition_id":1,"section_id":70541,"structure_id":13993,"section_number":"64.2-747","catch_line":"Creditor’s claim against settlor","history":"2005, c. 935, \u00a7 55-545.05; 2011, c. 354; 2012, cc. 555, 614, 718; 2013, c. 784.","full_text":"A\n\nWhether or not the terms of a trust contain a spendthrift provision, the following rules apply:1\n\nDuring the lifetime of the settlor, the property of a revocable trust is subject to claims of the settlor’s creditors.2\n\nWith respect to an irrevocable trust, except to the extent otherwise provided in §§ 64.2-745.1 and 64.2-745.2, a creditor or assignee of the settlor may reach the maximum amount that can be distributed to or for the settlor’s benefit. If a trust has more than one settlor, the amount the creditor or assignee of a particular settlor may reach may not exceed the settlor’s interest in the portion of the trust attributable to that settlor’s contribution. A trustee’s discretionary authority to pay directly or to reimburse the settlor for any tax on trust income or principal that is payable by the settlor shall not be considered to be an amount that can be distributed to or for the settlor’s benefit, and a creditor or assignee of the settlor shall not be entitled to reach any amount solely by reason of this discretionary authority.3\n\nAfter the death of a settlor, and subject to the settlor’s right to direct the source from which liabilities will be paid, the property of a trust that was revocable at the settlor’s death is subject to claims of the settlor’s creditors, costs of administration of the settlor’s estate, the expenses of the settlor’s funeral and disposal of remains, and statutory allowances to a surviving spouse and children including the family allowance, the right to exempt property, and the homestead allowance to the extent the settlor’s probate estate is inadequate to satisfy those claims, costs, expenses, and allowances. This section shall not apply to life insurance proceeds under § 38.2-3122. No proceeding to subject a trustee, trust assets, or distributees of such assets to such claims, costs, and expenses shall be commenced unless the personal representative of the settlor has received a written demand by a surviving spouse, a creditor, or one acting for a minor or dependent child of the settlor, and no proceeding shall be commenced later than two years following the death of the settlor. This section shall not affect the right of a trustee to make distributions required or permitted by the terms of the trust prior to being served with process in a proceeding brought by the personal representative.B\n\nFor purposes of this section:1\n\nDuring the period the power may be exercised, the holder of a power of withdrawal is treated in the same manner as the settlor of a revocable trust to the extent of the property subject to the power; and2\n\nUpon the lapse, release, or waiver of the power, the holder is treated as the settlor of the trust only to the extent the value of the property affected by the lapse, release, or waiver exceeds the greatest of (i) the amount specified in § 2041(b)(2) or 2514(e) of the Internal Revenue Code of 1986, (ii) the amount specified in § 2503(b) of the Internal Revenue Code of 1986, or (iii) two times the amount specified in § 2503(b) of the Internal Revenue Code of 1986 if the donor was married at the time of the transfer to which the power of withdrawal applies.3\n\nThe assets in a trust that are attributable to a contribution to an inter vivos marital deduction trust described in either § 2523(e) or (f) of the Internal Revenue Code of 1986, after the death of the spouse of the settlor of the inter vivos marital deduction trust shall be deemed to have been contributed by the settlor’s spouse and not by the settlor.","order_by":null,"text":{"0":{"id":254528,"text":"Whether or not the terms of a trust contain a spendthrift provision, the following rules apply:","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"A1"},"1":{"id":254529,"text":"During the lifetime of the settlor, the property of a revocable trust is subject to claims of the settlor’s creditors.","type":"section","prefixes":["A","1"],"prefix":"1","entire_prefix":"A1","prefix_anchor":"A1","level":2,"prior_prefix":"A","next_prefix":"A2"},"2":{"id":254530,"text":"With respect to an irrevocable trust, except to the extent otherwise provided in §§ 64.2-745.1 and 64.2-745.2, a creditor or assignee of the settlor may reach the maximum amount that can be distributed to or for the settlor’s benefit. If a trust has more than one settlor, the amount the creditor or assignee of a particular settlor may reach may not exceed the settlor’s interest in the portion of the trust attributable to that settlor’s contribution. A trustee’s discretionary authority to pay directly or to reimburse the settlor for any tax on trust income or principal that is payable by the settlor shall not be considered to be an amount that can be distributed to or for the settlor’s benefit, and a creditor or assignee of the settlor shall not be entitled to reach any amount solely by reason of this discretionary authority.","type":"section","prefixes":["A","2"],"prefix":"2","entire_prefix":"A2","prefix_anchor":"A2","level":2,"prior_prefix":"A1","next_prefix":"A3"},"3":{"id":254531,"text":"After the death of a settlor, and subject to the settlor’s right to direct the source from which liabilities will be paid, the property of a trust that was revocable at the settlor’s death is subject to claims of the settlor’s creditors, costs of administration of the settlor’s estate, the expenses of the settlor’s funeral and disposal of remains, and statutory allowances to a surviving spouse and children including the family allowance, the right to exempt property, and the homestead allowance to the extent the settlor’s probate estate is inadequate to satisfy those claims, costs, expenses, and allowances. This section shall not apply to life insurance proceeds under § 38.2-3122. No proceeding to subject a trustee, trust assets, or distributees of such assets to such claims, costs, and expenses shall be commenced unless the personal representative of the settlor has received a written demand by a surviving spouse, a creditor, or one acting for a minor or dependent child of the settlor, and no proceeding shall be commenced later than two years following the death of the settlor. This section shall not affect the right of a trustee to make distributions required or permitted by the terms of the trust prior to being served with process in a proceeding brought by the personal representative.","type":"section","prefixes":["A","3"],"prefix":"3","entire_prefix":"A3","prefix_anchor":"A3","level":2,"prior_prefix":"A2","next_prefix":"B"},"4":{"id":254532,"text":"For purposes of this section:","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A3","next_prefix":"B1"},"5":{"id":254533,"text":"During the period the power may be exercised, the holder of a power of withdrawal is treated in the same manner as the settlor of a revocable trust to the extent of the property subject to the power; and","type":"section","prefixes":["B","1"],"prefix":"1","entire_prefix":"B1","prefix_anchor":"B1","level":2,"prior_prefix":"B","next_prefix":"B2"},"6":{"id":254534,"text":"Upon the lapse, release, or waiver of the power, the holder is treated as the settlor of the trust only to the extent the value of the property affected by the lapse, release, or waiver exceeds the greatest of (i) the amount specified in § 2041(b)(2) or 2514(e) of the Internal Revenue Code of 1986, (ii) the amount specified in § 2503(b) of the Internal Revenue Code of 1986, or (iii) two times the amount specified in § 2503(b) of the Internal Revenue Code of 1986 if the donor was married at the time of the transfer to which the power of withdrawal applies.","type":"section","prefixes":["B","2"],"prefix":"2","entire_prefix":"B2","prefix_anchor":"B2","level":2,"prior_prefix":"B1","next_prefix":"B3"},"7":{"id":254535,"text":"The assets in a trust that are attributable to a contribution to an inter vivos marital deduction trust described in either § 2523(e) or (f) of the Internal Revenue Code of 1986, after the death of the spouse of the settlor of the inter vivos marital deduction trust shall be deemed to have been contributed by the settlor’s spouse and not by the settlor.","type":"section","prefixes":["B","3"],"prefix":"3","entire_prefix":"B3","prefix_anchor":"B3","level":2,"prior_prefix":"B2"}},"ancestry":[{"id":13993,"edition_id":1,"name":"Creditor's Claims; Spendthrift and Discretionary Trusts","identifier":"5","label":"article","depth":4,"order_by":1,"parent_id":12725,"metadata":{},"date_created":"2026-06-26 03:46:32","date_modified":"2026-06-26 03:46:32","permalink":{"id":274357,"object_type":"structure","relational_id":13993,"identifier":"5","token":"64.2\/III\/7\/5","url":"\/64.2\/III\/7\/5\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12725,"edition_id":1,"name":"Uniform Trust Code","identifier":"7","label":"chapter","depth":3,"order_by":1,"parent_id":12724,"metadata":{},"date_created":"2026-06-26 03:43:50","date_modified":"2026-06-26 03:43:50","permalink":{"id":274107,"object_type":"structure","relational_id":12725,"identifier":"7","token":"64.2\/III\/7","url":"\/64.2\/III\/7\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12724,"edition_id":1,"name":"Trusts","identifier":"III","label":"subtitle","depth":2,"order_by":1,"parent_id":12723,"metadata":{},"date_created":"2026-06-26 03:43:50","date_modified":"2026-06-26 03:43:50","permalink":{"id":273811,"object_type":"structure","relational_id":12724,"identifier":"III","token":"64.2\/III","url":"\/64.2\/III\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12723,"edition_id":1,"name":"Wills, Trusts, and Fiduciaries","identifier":"64.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:50","date_modified":"2026-06-26 03:43:50","permalink":{"id":272781,"object_type":"structure","relational_id":12723,"identifier":"64.2","token":"64.2","url":"\/64.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":56108,"structure_id":13993,"section_number":"64.2-742","catch_line":"Rights of beneficiary's creditor or assignee","url":"\/64.2-742\/","token":"64.2\/III\/7\/5\/64.2-742","metadata":false},{"id":68070,"structure_id":13993,"section_number":"64.2-743","catch_line":"Spendthrift provision","url":"\/64.2-743\/","token":"64.2\/III\/7\/5\/64.2-743","metadata":false},{"id":65426,"structure_id":13993,"section_number":"64.2-744","catch_line":"Exceptions to spendthrift provision","url":"\/64.2-744\/","token":"64.2\/III\/7\/5\/64.2-744","metadata":false},{"id":59106,"structure_id":13993,"section_number":"64.2-745","catch_line":"Certain claims for reimbursement for public assistance","url":"\/64.2-745\/","token":"64.2\/III\/7\/5\/64.2-745","metadata":false},{"id":78194,"structure_id":13993,"section_number":"64.2-745.1","catch_line":"Self-settled spendthrift trusts","url":"\/64.2-745.1\/","token":"64.2\/III\/7\/5\/64.2-745.1","metadata":false},{"id":83972,"structure_id":13993,"section_number":"64.2-745.2","catch_line":"Definitions; vacancies; right to withdraw","url":"\/64.2-745.2\/","token":"64.2\/III\/7\/5\/64.2-745.2","metadata":false},{"id":55071,"structure_id":13993,"section_number":"64.2-746","catch_line":"Discretionary trusts; effect of standard","url":"\/64.2-746\/","token":"64.2\/III\/7\/5\/64.2-746","metadata":false},{"id":70541,"structure_id":13993,"section_number":"64.2-747","catch_line":"Creditor's claim against settlor","url":"\/64.2-747\/","token":"64.2\/III\/7\/5\/64.2-747","metadata":false},{"id":83758,"structure_id":13993,"section_number":"64.2-748","catch_line":"Overdue distribution","url":"\/64.2-748\/","token":"64.2\/III\/7\/5\/64.2-748","metadata":false},{"id":62195,"structure_id":13993,"section_number":"64.2-749","catch_line":"Personal obligations of trustee","url":"\/64.2-749\/","token":"64.2\/III\/7\/5\/64.2-749","metadata":false}],"previous_section":{"id":55071,"structure_id":13993,"section_number":"64.2-746","catch_line":"Discretionary trusts; effect of standard","url":"\/64.2-746\/","token":"64.2\/III\/7\/5\/64.2-746","metadata":false},"next_section":{"id":83758,"structure_id":13993,"section_number":"64.2-748","catch_line":"Overdue distribution","url":"\/64.2-748\/","token":"64.2\/III\/7\/5\/64.2-748","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/64.2-747\/","history_text":"

This law was first created in 2005. The record of its establishment is cataloged in chapter 935<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. It has been modified 3 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 2011, chapter 354<\/a>; in 2012, chapters 555<\/a>, 614<\/a>, and 718<\/a>; in 2013, chapter 784<\/a>.<\/p>","references":[{"id":85285,"section_number":"55.1-136","catch_line":"Tenants by the entirety in real and personal property; certain trusts","order_by":null,"url":"\/55.1-136\/"},{"id":78194,"section_number":"64.2-745.1","catch_line":"Self-settled spendthrift trusts","order_by":null,"url":"\/64.2-745.1\/"},{"id":83972,"section_number":"64.2-745.2","catch_line":"Definitions; vacancies; right to withdraw","order_by":null,"url":"\/64.2-745.2\/"}],"refers_to":[{"id":83224,"section_number":"38.2-3122","catch_line":"Proceeds and avails of life insurance policies and annuity contracts free of certain claims","order_by":null,"url":"\/38.2-3122\/"},{"id":78194,"section_number":"64.2-745.1","catch_line":"Self-settled spendthrift trusts","order_by":null,"url":"\/64.2-745.1\/"},{"id":83972,"section_number":"64.2-745.2","catch_line":"Definitions; vacancies; right to withdraw","order_by":null,"url":"\/64.2-745.2\/"}],"permalink":{"id":274387,"object_type":"law","relational_id":70541,"identifier":"64.2-747","token":"64.2\/III\/7\/5\/64.2-747","url":"\/64.2-747\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/64.2-747\/","token":"64.2\/III\/7\/5\/64.2-747","dublin_core":{"Title":"Creditor’s claim against settlor","Type":"Text","Format":"text\/html","Identifier":"\u00a7 64.2-747","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> Whether or not the terms of a trust contain a spendthrift provision<\/span>, the following rules apply: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> During the lifetime of the settlor, the property<\/span> of a revocable trust is subject to claims of the settlor’s creditors<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> With respect to an irrevocable trust, except to the extent otherwise provided in §§ 64.2-745.1<\/a> and 64.2-745.2<\/a>, a creditor<\/span> or assignee of the settlor may reach the maximum amount that can be distributed to or for the settlor’s benefit. If a trust has more than one settlor, the amount the creditor<\/span> or assignee of a particular settlor may reach may not exceed the settlor’s interest in the portion of the trust attributable to that settlor’s contribution. A trustee<\/span>’s discretionary authority to pay directly or to reimburse the settlor for any tax on trust income or principal that is payable by the settlor shall not be considered to be an amount that can be distributed to or for the settlor’s benefit, and a creditor<\/span> or assignee of the settlor shall not be entitled to reach any amount solely by reason of this discretionary authority. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> After the death of a settlor, and subject to the settlor’s right to direct the source from which liabilities will<\/span> be paid, the property<\/span> of a trust that was revocable at the settlor’s death is subject to claims of the settlor’s creditors<\/span>, costs of administration of the settlor’s estate, the expenses of the settlor’s funeral and disposal of remains, and statutory allowances to a surviving spouse and children including the family allowance, the right to exempt property<\/span>, and the homestead allowance to the extent the settlor’s probate estate is inadequate to satisfy those claims, costs, expenses, and allowances. This section shall not apply to life insurance proceeds under § 38.2-3122<\/a>. No proceeding to subject a trustee<\/span>, trust assets<\/span>, or distributees of such assets<\/span> to such claims, costs, and expenses shall be commenced unless the personal representative<\/span> of the settlor has received a written demand by a surviving spouse, a creditor<\/span>, or one acting for a minor<\/span> or dependent child of the settlor, and no proceeding shall be commenced later than two years following the death of the settlor. This section shall not affect the right of a trustee<\/span> to make distributions required or permitted by the terms of the trust prior to being served with process in a proceeding brought by the personal representative<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> For purposes of this section: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> During the period the power may be exercised, the holder of a power of withdrawal<\/span> is treated in the same manner as the settlor of a revocable trust to the extent of the property<\/span> subject to the power; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> Upon the lapse, release, or waiver<\/span> of the power, the holder is treated as the settlor of the trust only to the extent the value<\/span> of the property<\/span> affected by the lapse, release, or waiver<\/span> exceeds the greatest of (i) the amount specified in § 2041(b)(2) or 2514(e) of the Internal Revenue Code of 1986, (ii) the amount specified in § 2503(b) of the Internal Revenue Code of 1986, or (iii) two times the amount specified in § 2503(b) of the Internal Revenue Code of 1986 if the donor was married at the time of the transfer to which the power of withdrawal<\/span> applies. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> The assets<\/span> in a trust that are attributable to a contribution to an inter vivos marital deduction trust described in either § 2523(e) or (f) of the Internal Revenue Code of 1986, after the death of the spouse of the settlor of the inter vivos marital deduction trust shall be deemed to have been contributed by the settlor’s spouse and not by the settlor. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nCREDITOR’S CLAIM AGAINST SETTLOR (\u00a7 64.2-747)\n\nA. Whether or not the terms of a trust contain a spendthrift provision, the\nfollowing rules apply:\n\n 1. During the lifetime of the settlor, the property of a revocable trust is\n subject to claims of the settlor’s creditors.\n\n 2. With respect to an irrevocable trust, except to the extent otherwise\n provided in §§ 64.2-745.1 and 64.2-745.2, a creditor or assignee of\n the settlor may reach the maximum amount that can be distributed to or for the\n settlor’s benefit. If a trust has more than one settlor, the amount the\n creditor or assignee of a particular settlor may reach may not exceed the\n settlor’s interest in the portion of the trust attributable to that\n settlor’s contribution. A trustee’s discretionary authority to pay\n directly or to reimburse the settlor for any tax on trust income or principal\n that is payable by the settlor shall not be considered to be an amount that\n can be distributed to or for the settlor’s benefit, and a creditor or\n assignee of the settlor shall not be entitled to reach any amount solely by\n reason of this discretionary authority.\n\n 3. After the death of a settlor, and subject to the settlor’s right to\n direct the source from which liabilities will be paid, the property of a trust\n that was revocable at the settlor’s death is subject to claims of the\n settlor’s creditors, costs of administration of the settlor’s\n estate, the expenses of the settlor’s funeral and disposal of remains,\n and statutory allowances to a surviving spouse and children including the\n family allowance, the right to exempt property, and the homestead allowance to\n the extent the settlor’s probate estate is inadequate to satisfy those\n claims, costs, expenses, and allowances. This section shall not apply to life\n insurance proceeds under § 38.2-3122. No proceeding to subject a trustee,\n trust assets, or distributees of such assets to such claims, costs, and\n expenses shall be commenced unless the personal representative of the settlor\n has received a written demand by a surviving spouse, a creditor, or one acting\n for a minor or dependent child of the settlor, and no proceeding shall be\n commenced later than two years following the death of the settlor. This\n section shall not affect the right of a trustee to make distributions required\n or permitted by the terms of the trust prior to being served with process in a\n proceeding brought by the personal representative.\n\nB. For purposes of this section:\n\n 1. During the period the power may be exercised, the holder of a power of\n withdrawal is treated in the same manner as the settlor of a revocable trust\n to the extent of the property subject to the power; and\n\n 2. Upon the lapse, release, or waiver of the power, the holder is treated as\n the settlor of the trust only to the extent the value of the property affected\n by the lapse, release, or waiver exceeds the greatest of (i) the amount\n specified in § 2041(b)(2) or 2514(e) of the Internal Revenue Code of\n 1986, (ii) the amount specified in § 2503(b) of the Internal Revenue Code\n of 1986, or (iii) two times the amount specified in § 2503(b) of the\n Internal Revenue Code of 1986 if the donor was married at the time of the\n transfer to which the power of withdrawal applies.\n\n 3. The assets in a trust that are attributable to a contribution to an inter\n vivos marital deduction trust described in either § 2523(e) or (f) of the\n Internal Revenue Code of 1986, after the death of the spouse of the settlor of\n the inter vivos marital deduction trust shall be deemed to have been\n contributed by the settlor’s spouse and not by the settlor.\n\nHISTORY: 2005, c. 935, \u00a7 55-545.05; 2011, c. 354; 2012, cc. 555, 614, 718;\n2013, c. 784.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}