Davenport Evans attorney P. Daniel Donohue was recently quoted in the June 19 Sioux Falls Business Journal cover story “State’s efforts to lure trusts paying off.” Trusts have long been big news in South Dakota, drawing families from across the nation and the world due to the State’s favorable laws and tax structure. Donohue, a long-time member of the Governor’s Task Force on Trust Administration Review and Reform, provided insight into the State’s highly favorable trust atmosphere.
The article discussed how trust companies became a thriving industry in South Dakota, noting that the spark that lit the industry came in 1983, when the Legislature repealed the rule against perpetuities, thus giving dynasty trusts an unlimited duration. Governor Bill Janklow later established the Governor’s Task Force of trust industry representatives to analyze opportunities to create more favorable laws and regulations. With over 35 years’ experience in the areas of estate planning and trust administration, Donohue has seen the South Dakota trust climate from every angle. In the article, he noted the significance of South Dakota’s privacy laws and the importance of the State’s support of the trust industry. “You’ve got the governor, the Legislature, the Division of Banking, our court system,” he said, naming parties involved in supporting the industry. “Our judges do as good a job here as any in the country dealing with complicated trust law issues. The lawyers also I think do a very good job.” Donohue also complimented South Dakota regulators, stating that the Division of Banking isn’t overbearing, does its examinations professionally, and adds value through its recommendations.
The article also mentions a number of trust companies represented by Davenport Evans in connection with obtaining their trust company charter or with ongoing trust administration matters. National Advisors Trust of South Dakota, a trust company that Davenport Evans attorney Dixie Hieb represented in connection with its South Dakota charter, was recognized as South Dakota’s newest trust company. Aaron Bowman, the trust company’s chief financial officer, is quoted as saying that the legislative and business climate is very progressive and pro-business and that the trust company’s meeting with the Division of Banking was very positive. A number of other local trust company representatives echoed Bowman’s favorable report.
Click here to read the Sioux Falls Business Journal feature, “State’s efforts to lure trusts paying off.”
Davenport, Evans, Hurwitz & Smith, LLP, located in Sioux Falls, South Dakota, is one of the state’s largest law firms and a leader in representing clients on trust company and trust administration matters. The firm’s attorneys also provide business and litigation counsel to individuals and corporate clients in a variety of practice areas. For more information about Davenport Evans, visit www.DEHS.com or call 605-336-2880.