Probate: trusts; powers of appointment; revise. Amends secs. 5a & 14 of 1967 PA 224 (MCL 556.115a & 556.124).

HB 4408 revises Michigan's "Powers of appointment act of 1967," primarily affecting how trustees manage irrevocable trusts. It allows a trustee with discretionary power to distribute assets from an existing irrevocable trust to transfer those assets into a newly created second trust. This "decanting" is permitted only if specific conditions are met, such as ensuring beneficiaries remain largely the same and protecting certain financial interests like marital or charitable deductions. Additionally, the bill clarifies when the time period for future interests in a trust begins when a power of appointment is exercised.