                                 CODE OF VIRGINIA

ASSOCIATION AS TRUSTEE (§ 55.1-2152)

With respect to a third person dealing with the association in the
association&#8217;s capacity as a trustee, the existence of trust powers and
their proper exercise by the association may be assumed without inquiry. A third
person is not bound to inquire whether the association has power to act as
trustee or is properly exercising trust powers. A third person, without actual
knowledge that the association is exceeding or improperly exercising its powers,
is fully protected in dealing with the association as if it possessed and
properly exercised the powers it purports to exercise. A third person is not
bound to assure the proper application of trust assets paid or delivered to the
association in its capacity as trustee.

HISTORY: 1982, c. 277, § 55-475; 2019, c. 712.