SENATE BILL NO. 746 September 28, 1999, Introduced by Senators MILLER, STEIL and SHUGARS and referred to the Committee on Banking and Financial Institutions. A bill to amend 1994 PA 451, entitled "Natural resources and environmental protection act," by amending section 20101b (MCL 324.20101b), as added by 1995 PA 71. THE PEOPLE OF THE STATE OF MICHIGAN ENACT: 1 Sec. 20101b. (1) A lender or other person who has not par- 2 ticipated in the management of a property as described in 3 section 20101aprior toBEFORE assuming ownership or control of 4 the property as a fiduciary, as defined by section 5 of the 5 revised probate code,Act No. 642 of the Public Acts of 1978,6being section 700.5 of the Michigan Compiled Laws1978 PA 642, 7 MCL 700.5, or in a representative capacity for a disabled person 8 under section 495 ofAct No. 642 of the Public Acts of 1978,9being section 700.495 of the Michigan Compiled LawsTHE REVISED 10 PROBATE CODE, 1978 PA 642, MCL 700.495, and that is acting or has 01361'99 a SAT 2 1 acted in a capacity permitted by the revised probate code,Act2No. 642 of the Public Acts of 1978, being sections 700.1 to3700.993 of the Michigan Compiled Laws1978 PA 642, MCL 700.1 TO 4 700.993, is not personally liable as an owner or operator of the 5 property under this part. This subsection does not do either of 6 the following: 7 (a) Relieve the fiduciary from personal liability as the 8 result of the fiduciary's assumption of personal liability, or 9 negligence, gross negligence, or reckless, willful, or inten- 10 tional misconduct. 11 (b) Prevent claims against the assets that are part of or 12 all of the estate or trust that contains the facility; any other 13 estate or trust of the decedent, grantor, ward, or other person 14 whose estate or trust contains the facility that is administered 15 by the lender or other person; or any other estate or trust of 16 the decedent, grantor, ward, or other person whose estate or 17 trust contains the facility. Such claims may be asserted against 18 the fiduciary in its representative capacity, whether or not the 19 fiduciary is personally liable. 20 (2) A lender that has not participated in the management of 21 a property as described in section 20101a prior to assuming 22 ownership or control of the property in a fiduciary capacity, and 23 under a fiduciary agreement entered into on or before August 1, 24 1990 owns or controls the property in a fiduciary capacity that 25 is authorized by the banking code of1969, Act No. 319 of the26Public Acts of 1969, being sections 487.301 to 487.598 of the27Michigan Compiled Laws1999, MCL 487.11101 TO 487.15101, or the 01361'99 a 3 1 national bank act, chapter 106, 13 Stat. 99, is not personally 2 liable as an owner or operator of the property under this part. 3 This subsection does not do either of the following: 4 (a) Relieve the fiduciary from personal liability as the 5 result of the fiduciary's assumption of personal liability, neg- 6 ligence, gross negligence, or reckless, willful, or intentional 7 misconduct. 8 (b) Prevent claims against the assets that are part of or 9 all of the estate or trust that contains the facility; any other 10 estate or trust of the decedent, grantor, ward, or other person 11 whose estate or trust contains the facility that is administered 12 by the lender; or any other estate or trust of the decedent, 13 grantor, ward, or other person whose estate or trust contains the 14 facility. Such claims may be asserted against the fiduciary in 15 its representative capacity, whether or not the fiduciary is per- 16 sonally liable. 17 (3) A lender that has not participated in the management of 18 a property as described in section 20101a prior to assuming 19 ownership or control of the property in a fiduciary capacity, and 20pursuant toUNDER a fiduciary agreement entered into after 21 August 1, 1990 owns or controls the property in a fiduciary 22 capacity that is authorized byAct No. 319 of the Public Acts of231969THE BANKING CODE OF 1999, MCL 487.11101 TO 487.15101, or 24 the national bank act, chapter 106, 13 Stat. 99, that has served 25 only in an administrative, custodial, or financial capacity with 26 respect to the property, and has not exercised sufficient 27 involvement to control the owner's or operator's handling of a 01361'99 a 4 1 hazardous substance, is not personally liable as an owner or 2 operator of the property under this part. This subsection does 3 not do either of the following: 4 (a) Relieve the fiduciary from personal liability as the 5 result of the fiduciary's assumption of personal liability, neg- 6 ligence, gross negligence, or reckless, willful, or intentional 7 misconduct. 8 (b) Prevent claims against the assets that are part of or 9 all of the estate or trust that contains the facility; any other 10 estate or trust of the decedent, grantor, ward, or other person 11 whose estate or trust contains the facility that is administered 12 by the lender; or any other estate or trust of the decedent, 13 grantor, ward, or other person whose estate or trust contains the 14 facility. Such claims may be asserted against the fiduciary in 15 its representative capacity, whether or not the fiduciary is per- 16 sonally liable. 17 Enacting section 1. This amendatory act does not take 18 effect unless Senate Bill No. 745 19 of the 90th Legislature is enacted into 20 law. 01361'99 a Final page. SAT