Annual Trust Accounting (Rhode Island Common-Law and Title 18 Trustee Accounting)

ANNUAL ACCOUNTING BY TRUSTEE

Pursuant to the Trust Instrument and Rhode Island Common Law

I. TRUST IDENTIFICATION

II. TRUSTEE IDENTIFICATION

Qualified Trustee Status (if applicable):

☐ Not applicable — this is not a qualified-disposition trust under R.I. Gen. Laws Ch. 18-9.2.

☐ Applicable — the undersigned is a "qualified trustee" within the meaning of R.I. Gen. Laws § 18-9.2-2(9), and confirms that the Trust continues to satisfy the requirements of Chapter 18-9.2.

III. BENEFICIARIES RECEIVING THIS ACCOUNT

IV. SUMMARY OF ACCOUNT

V. SCHEDULE OF RECEIPTS

A. Income Receipts

B. Principal Receipts

VI. SCHEDULE OF DISBURSEMENTS

A. Ordinary Administration Expenses

B. Distributions to Beneficiaries

C. Taxes

VII. STARTING STATEMENT OF ASSETS (As of [__/__/____])

VIII. ENDING STATEMENT OF ASSETS (As of [__/__/____])

IX. STATEMENT OF LIABILITIES

☐ The Trust has no outstanding liabilities as of the end of the accounting period.

X. TRUSTEE COMPENSATION AND AGENTS HIRED

A. Trustee Compensation

B. Agents Hired by Trustee

C. Related-Party Transactions

☐ The Trustee did not engage in any related-party transactions during the accounting period other than as fully disclosed above.

☐ The following related-party transactions occurred during the accounting period and are fully disclosed:

[____________________________________________________________]

[____________________________________________________________]

XI. STATUTE OF LIMITATIONS ACKNOWLEDGMENT

The recipient is hereby notified:

1. Applicable Residual Limitations Period. Rhode Island has not enacted the Uniform Trust Code. Accordingly, the limitations period in R.I. Gen. Laws § 9-1-13(a) — ten (10) years from accrual of the cause of action — governs civil actions against the trustee unless a more specific limitations statute or a binding contractual provision applies.

2. Custodial Trust Limitations. If the Trust is a custodial trust under R.I. Gen. Laws Chapter 18-13, R.I. Gen. Laws § 18-13-16 governs the limitations period for actions against the custodial trustee for accounting or breach of duty.

3. No UTC One-Year Period. Rhode Island has NO equivalent to UTC § 1005(a)'s one-year limitations period commencing on a "report" that adequately discloses a potential claim. Service of this Accounting does not, of itself, commence any one-year limitation period.

4. Effect of Adequate Disclosure. Under Rhode Island common law and the Restatement (Third) of Trusts § 83, where a beneficiary has actual knowledge of material facts adequately disclosed by an account or report, claims based on those facts accrue for limitations purposes when the beneficiary received the disclosure. Inadequately disclosed claims do not accrue until discovery.

5. Tolling. Rhode Island tolling and discovery rules (including R.I. Gen. Laws § 9-1-19, minority and incompetence) may apply.

6. Receipt and Release. A beneficiary who signs the Receipt and Release in Section XV releases only those claims fairly within the scope of the matters adequately disclosed by this Accounting.

XII. NOTICE OF RIGHT TO PETITION RHODE ISLAND COURT

You are notified that, as the recipient of this Accounting, you may seek judicial review of the Accounting and the Trustee's acts. The proper forum depends on the nature of the matter:

The Family Court has no jurisdiction over trusts.

A petition may be filed pro se or through counsel. Filing fees and procedural rules are governed by the Rhode Island Superior Court Rules of Civil Procedure or the local Probate Court Rules, as applicable.

XIII. BENEFICIARY OBJECTION MECHANISM

A beneficiary with questions or objections to any item in this Accounting is encouraged (but not required) to deliver a written objection to the Trustee within [____] days of the date of receipt at the address in Section II. The written objection should:

1. Identify the specific item, schedule, line, or transaction objected to;
2. State the factual or legal basis for the objection; and
3. Identify any additional information requested.

The Trustee shall acknowledge receipt and respond within a reasonable time. This informal procedure does not extend, shorten, or substitute for any statute of limitations or for the recipient's right to petition the Rhode Island Superior Court or other competent court.

Trustee Contact for Objections / Inquiries:

XIV. TRUSTEE VERIFICATION

I, the undersigned Trustee, declare under the penalties of perjury under the laws of the State of Rhode Island:

1. I have prepared, reviewed, and verified the foregoing Annual Accounting and each schedule attached;
2. The information set forth is true, correct, and complete to the best of my knowledge, based on the books, records, and supporting documentation of the Trust;
3. All material receipts, disbursements, assets, liabilities, trustee compensation, and agents hired (including any related-party agents) for the accounting period stated above are disclosed;
4. This accounting is furnished pursuant to the trust instrument and Rhode Island common law (and, where applicable, R.I. Gen. Laws § 18-13-15); and
5. Rhode Island has not adopted the Uniform Trust Code and no representation is made that this Accounting is governed by any UTC analog.

Executed on [__/__/____] at [____________________], Rhode Island.

Trustee Signature: [________________________________]

Print Name: [________________________________]

Capacity: [________________________________]

XV. BENEFICIARY RECEIPT AND RELEASE (OPTIONAL)

The undersigned Beneficiary, being of legal age and competence, hereby acknowledges and agrees:

1. Receipt. I have received a true and complete copy of the foregoing Annual Accounting of the Trust for the accounting period [__/__/____] to [__/__/____].

2. Opportunity to Review. I have been given a reasonable opportunity to review the Accounting and to request and inspect the underlying books, records, vouchers, brokerage statements, tax returns, and other supporting documentation of the Trust. I have either inspected such records or have determined not to do so.

3. Approval. I approve and ratify the Accounting and all acts and omissions of the Trustee fairly disclosed by the Accounting for the period covered.

4. Release. I hereby RELEASE AND DISCHARGE the Trustee, its successors, agents, attorneys, and representatives from any and all claims, demands, liabilities, surcharges, and causes of action of any kind, in law or in equity, known or unknown, arising out of or fairly related to facts adequately disclosed by the foregoing Accounting. This release does NOT extend to claims arising from facts not adequately disclosed.

5. No Waiver of Future Periods. This Receipt and Release applies only to the accounting period stated above and does not waive any right with respect to any future accounting period or undisclosed matter.

6. Voluntary; No Duress. I sign this Receipt and Release knowingly and voluntarily, having had the opportunity to consult independent counsel of my choosing.

Beneficiary Name: [____________________]

Beneficiary Signature: [________________________________]

Date: [__/__/____]

Address: [________________________________]

XVI. PROOF OF SERVICE

I, the undersigned, declare under the penalties of perjury under the laws of the State of Rhode Island that I am over the age of eighteen (18) years and not a party to this matter. My business or residence address is set forth below. On [__/__/____], I served the foregoing ANNUAL ACCOUNTING BY TRUSTEE on each beneficiary identified in Section III by placing a true copy in a sealed envelope, addressed to each such beneficiary at the address set forth in Section III, with postage thereon fully prepaid, and depositing the envelope in the United States Mail at [____________________], Rhode Island, OR by certified mail return receipt requested, OR by personal delivery, as indicated.

Date of Service: [__/__/____]

Method of Service: ☐ First-class mail ☐ Certified mail RRR ☐ Personal delivery ☐ Other: [____________]

Signature: [________________________________]

Print Name: [________________________________]

Address: [________________________________]

SOURCES AND REFERENCES

• R.I. Gen. Laws Title 18 (Fiduciaries) — https://webserver.rilegislature.gov/Statutes/TITLE18/INDEX.HTM
• R.I. Gen. Laws Ch. 18-9.2 (Qualified Dispositions in Trust Act) — https://webserver.rilegislature.gov/Statutes/TITLE18/18-9.2/INDEX.htm
• R.I. Gen. Laws § 18-9.2-2 (Definitions) — https://webserver.rilegislature.gov/Statutes/TITLE18/18-9.2/18-9.2-2.htm
• R.I. Gen. Laws Ch. 18-13 (Rhode Island Uniform Custodial Trust Act) — https://webserver.rilegislature.gov/Statutes/TITLE18/18-13/INDEX.htm
• R.I. Gen. Laws § 18-13-15 (Reporting and Accounting by Custodial Trustee) — https://webserver.rilegislature.gov/Statutes/TITLE18/18-13/18-13-15.htm
• R.I. Gen. Laws § 18-13-16 (Limitations of Action Against Custodial Trustee) — https://webserver.rilegislature.gov/Statutes/TITLE18/18-13/INDEX.htm
• R.I. Gen. Laws § 9-1-13 (Limitation of Actions Generally — 10 Years) — https://webserver.rilegislature.gov/Statutes/TITLE9/9-1/9-1-13.HTM
• R.I. Gen. Laws Title 33 (Probate Practice and Procedure) — https://webserver.rilegislature.gov/Statutes/TITLE33/INDEX.HTM
• Shorr v. Harris, 248 A.3d 633 (R.I. 2021) — beneficiary standing to demand accounting
• Miller v. Saunders, 80 A.3d 44 (R.I. 2013) — Rhode Island trust principles
• Restatement (Third) of Trusts §§ 82-83 — informed-beneficiary principle adopted by Rhode Island common law