HF 1441

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to trust companies; limited purpose companies; making nonsubstantive
term changes; amending Minnesota Statutes 2006, section 48A.03, subdivision 5.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2006, section 48A.03, subdivision 5, is amended to read:

Subd. 5.

Requirements for limited purpose companies.

A company may also
be organized, with its principal place of business in the state, with a capital of not less
than $10,000, to be paid in cash, of which 50 percent must be invested in authorized
securities and deposited with the commissioner of finance, as provided in this section. The
powers and business of the company must be to act as assignee under an assignment for
the benefit of creditors, or be appointed and act as a trustee or receiver, as a guardian deleted text begin , as
executor of a will, or administrator deleted text end new text begin of the person, conservator of the estate, or personal
representative new text end of an estate. The company may accept and perform any other lawful trust
over which a state or federal court has jurisdiction. The company, before entering upon
the duties of its trust, shall give a surety bond in the sum the court directs, with sufficient
surety, conditioned for the faithful performance of its duties. The business of a company
is limited to the matters in this subdivision. A company with a capital stock of less than
$10,000 shall not use the word "trust" in the title or name of the company.