                                 CODE OF VIRGINIA

LIABILITY OF FIDUCIARY FOR ACTIONS OF COFIDUCIARY (§ 64.2-1416)

A. As used in this section, &#8220;fiduciary&#8221; has the same meaning as
provided in &#xA7; 8.01-2, except that it shall not include trustees subject to
the requirements and provisions of the Uniform Trust Code (&#xA7; 64.2-700 et
seq.).

B. Any power vested in three or more fiduciaries may be exercised by a majority
of the fiduciaries, but a fiduciary who has not joined in exercising a power is
not liable to the beneficiaries or to others for the consequences of the
exercise. A dissenting fiduciary is not liable for the consequences of an act in
which he joins at the direction of the majority of the fiduciaries if he
expressed his dissent in writing to any of his cofiduciaries, if the act is not
of itself a patent breach of trust.

C. A fiduciary shall be answerable and accountable only for his own acts,
receipts, neglects, or defaults, and not for those of any cofiduciary, or for
those of any banker, broker, or other person with whom the trust money or
securities may be lawfully deposited, or for any loss that does not result from
his own default or negligence.

D. Whenever the instrument under which a fiduciary or fiduciaries are acting
reserves the authority to direct the making or retention of any investment for
the settlor, testator, or creator or vests such authority in an advisory or
investment committee or any other person, including a cofiduciary, to the
exclusion of the fiduciary or the exclusion of one or more of several
fiduciaries,, the excluded fiduciary or cofiduciary shall be liable, if at all,
only as a ministerial agent and shall not be liable as fiduciary or cofiduciary
for any loss resulting from the making or retention of any investment pursuant
to such authorized direction.

E. This section does not excuse a cofiduciary from liability for failing to (i)
participate in the administration of trust, (ii) attempt to prevent a breach of
trust, or (iii) seek advice and guidance from the circuit court in an apparently
recurring situation unless otherwise expressly provided by the instrument under
which the cofiduciary is acting.

HISTORY: 1978, c. 327, § 26-5.2; 1980, c. 440; 2005, c. 935; 2012, c. 614.