| HB 313 | Signed | Gray | This amendment to the Ocean View charter confirms the authority of the Town Council to elect to assess and value property pursuant to 22 Del.C. § 1101, et seq., as an alternate to the previously required procedure. | AN ACT TO AMEND CHAPTER 399, VOLUME 77, LAWS OF DELAWARE, ENTITLED AN ACT TO REINCORPORATE THE TOWN OF OCEAN VIEW. |
| HB 345 | Signed | Schwartzkopf | This bill increases the 1-time fee from $35 to $50 for Delaware’s environmental license plates in order to increase revenue to improve the capacity of the Delaware Center for the Inland Bays and The Partnership for the Delaware Estuary to fulfill their responsibilities to the protection and restoration of Delaware’s estuaries. | AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO REGISTRATION OF VEHICLES. |
| HJR 11 | Signed | Miro | This resolution honors Boyd and Liane Sorenson by designating the new Valley Road Pedestrian Pathway between Evanson Road and Lantana Square as "Sorenson's Way". | HONORING BOYD AND LIANE SORENSON BY DESIGNATING THE NEW VALLEY ROAD PEDESTRIAN PATHWAY BETWEEN EVANSON ROAD AND LANTANA SQUARE AS "SORENSON'S WAY". |
| HS 1 for HB 319 w/ HA 1 | Signed | B. Short | This legislation creates a benchmark for determining when a treatment or service is no longer experimental or investigational. When Medicare determines that a treatment is safe for its population, commercial insurers in Delaware may no longer deny coverage on that basis. This bill will remove inconsistencies for properly-evidenced treatments between payers. | AN ACT TO AMEND TITLE 18 OF THE DELAWARE CODE RELATING TO EXPERIMENTAL TREATMENT HEALTH INSURANCE COVERAGE. |
| HB 373 | Signed | Carson | The Bill amends Title 4 to permit licensed Delaware craft distilleries, breweries, and wineries the ability to sell products produced by other Delaware craft distilleries, breweries, and wineries for on-site consumption, only. The products sold must be purchased through the existing three-tier system (i.e., wholesalers or traditional retailers). | AN ACT TO AMEND TITLE 4 OF THE DELAWARE CODE RELATED TO ALCOHOLIC LIQUORS. |
| SB 174 w/ SA 1, SA 2 | Signed | Ennis | This Act permits an insurance company to apply for and receive a salvage certificate, clear of all liens, after payment of a total loss claim, if the insurance company has not been able to obtain the properly endorsed certificate of title.
This Act also permits a licensed auto actions to apply for and receive a salvage certificate, clear of all liens, if the auto auction took possession of motor vehicle at the request of an insurance company and the motor vehicle has been abandoned at the auto auction facility for more than 30 days.
This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. | AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO TRANSFER OF TITLE FOR AUTO SALVAGE. |
| SB 175 w/ SA 1 | Signed | Bushweller | This Act exempts the transfer of real estate acquired by foreclosure or deed in lieu of foreclosure from nonresident income tax withholding requirements.
This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. | AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO WITHHOLDING OF INCOME TAX ON SALE OR EXCHANGE OF REAL ESTATE BY NONRESIDENTS. |
| SA 1 to SB 174 | Passed | Ennis | This Amendment corrects a typographical error. | |
| SB 194 | Signed | Bushweller | This bill makes the following changes to Delaware Statutory Trust Act (the “Act”) to keep it current and to maintain its national preeminence. The following is a section-by-section review of the proposed amendments of the Act.
Section 1. This section amends § 3801(a) of the Act to further the State of Delaware’s initiative to implement policies enhancing the State’s position as a leader in the adoption of distributive electronic network and database technologies (including what is commonly referred to as “blockchain” or “distributed ledger technology”) by providing that the registration of a beneficial interest in a statutory trust may be evidenced electronically, including by means of an electronic database or network, including distributed electronic networks or databases.
Section 2. This section amends § 3802(b) of the Act to correct a typo.
Section 3. This section amends § 3803(c) of the Act to clarify that protection from personal liability extends to any person to whom a trustee has delegated its rights, powers or duties to manage and control the business and affairs of the statutory trust pursuant to § 3806(i) of the Act, and to include the trustees in the list of persons who are excluded from the confines of § 3803(c) of the Act, in each case except to the extent otherwise provided in the governing instrument.
Section 4. This section amends § 3804(a) of the Act to make a clarifying change to the wording of such section.
Section 5. This section amends § 3806(b)(7) of the Act to remove the default duty of the trustee to choose and supervise the officers, managers, employees or other persons of such agents and independent contractors of the statutory trust, or delegates of the trustee appointed, elected or engaged to manage the business and affairs of the trust, such default duty being replaced by new § 3806(m).
Section 6. This section amends § 3806(f)(2) of the Act to further the State of Delaware’s initiative to implement policies enhancing the State’s position as a leader in the adoption of distributive electronic network and database technologies (including what is commonly referred to as “blockchain” or “distributed ledger technology”) by providing that a vote or a proxy of the beneficial owners may be provided by electronic transmission, including by use of electronic networks or databases, including distributed electronic networks or databases.
Section 7. This section amends § 3806(g)(2) of the Act to further the State of Delaware’s initiative to implement policies enhancing the State’s position as a leader in the adoption of distributive electronic network and database technologies (including what is commonly referred to as “blockchain” or “distributed ledger technology”) by providing that the vote of the trustees may be provided by electronic transmission, including by use of electronic networks or databases, including distributed electronic networks or databases.
Section 8. This section amends § 3806(i) of the Act to clarify that a trustee may delegate its duties to manage and control the business and affairs of the statutory trust.
Section 9. This section amends § 3806(k) of the Act to clarify that a person to which a trustee has delegated its rights, powers or duties to manage the business and affairs of the statutory trust under § 3806(i) shall be provided protections for good faith reliance on certain records, information opinions, reports or statements obtained in the performance of its delegated duties.
Section 10. This section amends § 3806 of the Act to provide for the circumstances in which a trustee’s duties and liabilities will be limited for the actions of an officer, employee, manager or other person acting pursuant to § 3806(b)(7) or a delegate acting pursuant to § 3806(i) of the Act. This section further provides for the default standard of care required of any person acting pursuant to § 3806(b)(7) and § 3806(i) of the Act.
Section 11. This section amends § 3808(c) of the Act to recognize that an affirmative vote or written consent are not the sole methods of approval by the beneficial owners.
Section 12. This section amends § 3808(g) of the Act to clarify that § 3808(g) only applies to series formed in accordance with § 3804(a).
Section 13. This section amends § 3810(d) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 14. This section amends § 3812(f) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 15. This section amends § 3814(a) of the Act to further restrict the use of names of statutory trusts to those that can be distinguished from registered series of limited liability companies.
Section 16. This section amends § 3815(b) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 17. This section amends § 3815(e) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 18. This section amends § 3815(g) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 19. This section amends § 3819(d) of the Act to further the State of Delaware’s initiative to implement policies enhancing the State’s position as a leader in the adoption of distributive electronic network and database technologies (including what is commonly referred to as “blockchain” or “distributed ledger technology”) by providing that the records of a statutory trust may be maintained by means of any information storage device, method or an electronic database or network, including distributed electronic networks or databases.
Section 20. This section amends § 3820(f) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 21. This section amends § 3821(d) of the Act to clarify that the rights or securities of, or interests in a statutory trust which is to be converted may be exchanged for or converted into cash, property, rights or securities of, or interests in, another statutory trust.
Section 22. This section amends § 3821(h) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 23. This section amends § 3822(i) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 24. This section amends § 3822(j) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 25. This section amends § 3823(e) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 26. This section amends § 3823(f) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 27. This section amends § 3823(g) of the Act to remove the undefined term “entity” and replace it with “Person,” a term defined in § 3801(f) of the Act.
Section 28. This section provides that the proposed amendments of the Act shall become effective August 1, 2018. | AN ACT TO AMEND CHAPTER 38, TITLE 12 OF THE DELAWARE CODE RELATING TO THE CREATION, REGULATION, OPERATION AND DISSOLUTION OF DOMESTIC STATUTORY TRUSTS. |
| SB 195 | Signed | Bushweller | Section 1 of the Act addresses statutes under Chapter 49 of Title 10 and (i) amends the title of section 4915 (but makes no substantive changes to the statute); and (ii) modifies section 4916 to provide that plans similar to the Delaware College Investment Plan and the Delaware Achieving a Better Life Experience Plan, but created under the laws of other states, are similarly exempt from the execution or attachment process in Delaware.
Section 2 of the Act modifies section 6504 of Title 10 by: (i) providing that advisers and protectors under section 3313(a) of Title 12, and designated representatives under section 3339 of Title 12, are among those persons who may have a declaration of rights or legal relations in respect to the subjects currently enumerated in the statute; and (ii) making minor grammatical clarifications.
Section 3 of the Act transfers certain statutes affecting the construction of trusts’ governing instruments from Chapter 2 of Title 12 (which governs wills) to Chapter 33 of Title 12 (which governs trusts) so that these statutes will be more readily accessible as a part of Delaware’s nationwide trust practice, and therefore cross-references the transferred statutes for purposes of the construction of wills.
Section 4 of the Act addresses statutes under Chapter 33 of Title 12 and (i) clarifies that the definitions of section 3301 also apply to Chapters 35, 39, and 45 of Title 12, and to any other Delaware laws specifically incorporating section 3301 or the laws of trusts generally; (ii) clarifies that the definition of “fiduciary” as used in other sections of Title 12 also includes advisers or protectors acting in a fiduciary capacity under section 3313(a) of Title 12 and designated representatives acting in a fiduciary capacity under section 3339 of Title 12; (iii) defines in section 3301 the term “nonfiduciary” as used in other sections of Title 12; (iv) clarifies that sections 3302 and 3303 authorize sustainable investment strategies; (v) clarifies that section 3302’s protections of fiduciaries who do not have control over assets, or whose control is subject to the direction of a direction adviser, also apply to fiduciaries whose control is subject to the direction of a co-trustee or to fiduciaries whose co-trustees have exclusive authority over investment decisions; (vi) clarifies section 3313 such that only loans not in the nature of distribution decisions are considered to be investment decisions for purposes of directed trusts; (vii) modifies section 3313 by adding a new subsection (g), which provides that persons accepting appointment, or serving, as trust advisers submit to personal jurisdiction of this State, thereby paralleling the Uniform Trust Code; (viii) clarifies that under section 3313A, an excluded co-trustee is a fiduciary only with respect to powers from which such co-trustee is not excluded, and thus is not a fiduciary as to powers from which such co-trustee is excluded; (ix) clarifies that section 3317’s requirement for co-fiduciaries to keep each other informed also extends to nonfiduciaries with powers relating to a trust; (x) clarifies that section 3317’s protections for fiduciaries and nonfiduciaries providing information to co-fiduciaries or co-nonfiduciaries also extend to fiduciaries and nonfiduciaries receiving information from cofiduciaries or co-nonfiduciaries; (xi) clarifies that section 3323’s “majority rules” provisions
relating to decisions among three or more co-fiduciaries also extend to decisions among three or more co-nonfiduciaries, and apply to powers vested in three or more such persons by a governing instrument or by law; (xii) transfers certain statutes affecting the construction of trusts’ governing instruments from Chapter 2 of Title 12 (which governs wills) to Chapter 33 of Title 12 (which governs trusts), and specifically to section 3330 (whose title is accordingly clarified), so that these statutes will be more readily accessible as a part of Delaware’s nationwide trust practice; (xiii) clarifies that section 3330 applies to trusts’ governing instruments generally (and not just wills or trust instruments); (xiv) clarifies that nonjudicial settlement agreements under section 3338 may resolve or address the removal of a trustee; (xv) clarifies section 3341 to provide that where substantially identical powers of appointment exist between two merged trusts, such powers applicable to the surviving trust before the merger shall extend to all of the assets within the surviving trust after the merger, unless the instrument of merger specifies otherwise, and also to clarify that section 3341 does not address the validity or effect of written instruments executed before trust mergers that purport to exercise powers of appointment over trusts; and (xvi) clarifies that modification of a trust under section 3342 permits both the addition of new provisions that were not included in the governing instrument previously as well as the modification of existing provisions that were included in the governing instrument previously.
Section 5 of the Act addresses statutes under Chapter 35 of Title 12 and (i) reorders section 3524 to clarify when accountings for testamentary trusts are required to be filed with the Court of Chancery; (ii) modifies section 3528, such that exercises of powers to invade principal or income or both of a trust under that section need only be signed, and no longer need be acknowledged or filed with the records of the trust; (iii) modifies section 3536 so that a trustor may release a beneficial interest that is contingent on surviving the trustor’s spouse, so as to accelerate the next succeeding beneficial interests, thereby overturning Delaware common law to
the contrary; (iv) clarifies the execution requirements for a trust’s governing instrument under section 3545; (v) clarifies section 3547 to define contingent successor remainder beneficiaries, define when such beneficiaries are more remote than others, and define when such beneficiaries may virtually represent more remote such beneficiaries; (vi) consistent with the Uniform Trust Code, modifies section 3547 to permit holders of general powers of appointment and the broadest form of nongeneral powers of appointment to virtually represent takers in default absent a conflict of interest; (vii) modifies section 3547 to allow a parent to virtually represent an unborn beneficiary (consistent with the Uniform Trust Code), and to provide that a virtual representative who represents a minor or incapacitated or unborn beneficiary and who, under the statute’s existing language, may therefore also represent an unborn or unascertainable person who has an interest in the trust substantially identical to that of the minor or incapacitated or unborn beneficiary represented by such virtual representative, may now also represent a minor or
incapacitated or unborn person who has an interest in the trust substantially identical to that of the minor or incapacitated or unborn beneficiary represented by such virtual representative; (viii) clarifies section 3547 to provide that for purposes of virtually representing a trust that is a beneficiary of another trust, a trustee of an existing beneficiary-trust, or those who would be the beneficiaries under the terms of a beneficiary-trust not yet in existence, may virtually represent such beneficiary-trust; (ix) clarifies the definition of “trustee” in section 3580 for purposes of Subchapter VII of Chapter 35; (x) clarifies that sections 3585 and 3588 govern statutes of
limitations applicable to any person interested in a trust (and not just beneficiaries) and to any claim against a trustee (and not just breach of trust claims); (xi) modifies the statute of limitations applicable to claims against a trustee from two years after a report is sent to a person to one year after such report is sent, to align such period with the Uniform Trust Code (unless the trust’s governing instrument specifies a period longer than one year, in which case the governing instrument shall control); and (xii) clarifies that section 3588 does not require consideration for indemnifications of trustees.
Section 6 of the Act clarifies, within Section 505 of Title 25, that exercises of nongeneral powers of appointment to a donee’s revocable trust, for the benefit of proper objects of the power, are not rendered invalid by such appointment, and thus are deemed to create a separate trust within such revocable trust that is not subject to the creditors of the donee, the donee’s estate, or the donee’s revocable trust.
Section 7 of the Act repeals sections 2725 and 2728 of Title 18 because they have been superseded by recent amendments to section 4915 of Title 10.
Section 8 of the Act provides effective dates. | AN ACT TO AMEND TITLES 10, 12, 18, AND 25 OF THE DELAWARE CODE RELATING TO DECEDENTS’ ESTATES AND FIDUCIARY RELATIONS AND PROPERTY. |
| SB 196 | Signed | Bushweller | This bill amends various sections of the Delaware Uniform Commercial Code (the “Act”) to keep it current. The following is a section-by-section review of the proposed amendments of the Act.
Section 1. This section amends Section 1-201(b)(27) of the Act to expressly include series of the other types of persons listed in such section as persons under the Act.
Section 2. This section amends Section 9-102(a)(71) of the Act to expressly provide that a series of a registered organization constitutes a registered organization if the series is organized under the law of a single State and the statute of the State governing the series requires that a public organic record of the series be filed with the State.
Section 3. This section provides that the proposed amendments shall become effective August 1, 2019. | AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO COMMERCE AND TRADE. |
| SA 1 to SB 175 | Passed | Bushweller | This Amendment clarifies that this Act does not exempt a transfer from a third-party purchaser through a foreclosure proceeding from withholding on the subsequent sale of the property purchased. | |
| SS 1 for SB 159 | Signed | McBride | The Act made changes to motor vehicle franchising practices, by doing the following:
(1) Prohibiting a new motor vehicle manufacturer from recovering its costs for compensating its dealers for recalls or warranty parts and service by reducing the amount due to the dealer or imposing a charge.
(2) Establishing the process for and method of compensating a dealer for a recall related to a used motor vehicle.
(3) Providing a process by which a dealer may protest a franchise termination with the Public Service Commission.
(4) Protecting consumer data.
(5) Making technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual.
This Substitute Act incorporates these changes and makes an additional change to § 4903(b) of Title 6. | AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO COMMERCE AND TRADE. |
| SA 2 to SB 174 | Passed | Hansen | This Amendment requires that the notices required under Senate Bill No. 174 be sent by certified mail or by commercial courier whose regular business is delivery service and that provides proof of delivery | |
| HCR 87 | Passed | Brady | This House Concurrent Resolution recognizes the week of May 7 to May 14, 2018, as “Travel and Tourism Week” in Delaware. | RECOGNIZING THE WEEK OF MAY 7-14, 2018 AS “TRAVEL AND TOURISM WEEK” IN DELAWARE. |
