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LIABILITY OF FIDUCIARIES

Iowa Code tit. XV, ch. 633, subch. III, pt. 6
in effect

Iowa Code § 633.155 Self-dealing by fiduciary prohibited.

633.155. Self-dealing by fiduciary prohibited. No fiduciary shall in any manner engage in self-dealing, except on order of court after notice to all interested persons, and shall derive no profit other than the fiduciary’s distributive share in the estate from the sale or liquidation of any property belonging to the estate. Every application of a fiduciary seeking an order under the provisions of this section shall specify in detail the reasons for such application and the facts justifying the requested order. The notice shall have a copy of the application attached, or, if published, it shall contain a detailed statement of the reasons and facts justifying the requested order. [C51, §1427; R60, §2452; C73, §2473; C97, §3397; C24, 27, 31, 35, 39, §12048; C46, 50, 54, 58, 62, §638.8; C66, 71, 73, 75, 77, 79, 81, §633.155]

Iowa Code § 633.156 Deposits by corporate fiduciaries.

633.156. Deposits by corporate fiduciaries. Section 633.155 shall not be construed to prohibit a corporate fiduciary from making a deposit of estate funds in its own banking department or in the banking department of an affiliated bank. For purposes of this section, “affiliated bank” means any bank that controls, directly or indirectly, the fiduciary or is controlled, directly or indirectly, by an entity which also controls, directly or indirectly, the fiduciary. [C66, 71, 73, 75, 77, 79, 81, §633.156] 95 Acts, ch 164, §1

Iowa Code § 633.157 Liability for property of estate.

633.157. Liability for property of estate. Every fiduciary shall be liable for, and chargeable in the fiduciary’s accounts with, all of the estate that comes into the fiduciary’s possession at any time, including all the income therefrom; but the fiduciary shall not be accountable for any debts due to the estate or other assets of the estate that remain uncollected without the fiduciary’s fault. The fiduciary shall not be entitled to profit from the increase in value of any asset of the estate, nor shall the fiduciary be chargeable with loss resulting, without the fiduciary’s fault, from the decrease in value or the destruction of any part of the estate, excepting, only to the extent of the fiduciary’s pro rata share in such gain or loss as one of the distributees of the estate. [C51, §1425, 1427; R60, §2450, 2452; C73, §2471, 2473; C97, §3395, 3397; C24, 27, 31, 35, 39, §12046, 12048; C46, 50, 54, 58, 62, §638.6, 638.8; C66, 71, 73, 75, 77, 79, 81, §633.157]

Iowa Code § 633.158 Liability for property not a part of estate.

633.158. Liability for property not a part of estate. Every fiduciary shall be chargeable in the fiduciary’s accounts with property not a part of the estate that comes into the fiduciary’s hands at any time, and shall be liable to the persons entitled to the property, if either of the following applies: 1. The property was received under a duty imposed upon the fiduciary by law in the capacity of fiduciary. 2. The fiduciary has commingled the property with the assets of the estate. [C66, 71, 73, 75, 77, 79, 81, §633.158] 2020 Acts, ch 1063, §341

Iowa Code § 633.159 Judgment — execution.

633.159. Judgment — execution. If judgment is rendered against a fiduciary for costs in any action prosecuted or defended by the fiduciary in that capacity, execution shall be awarded against the fiduciary as for the fiduciary’s own debt, if it appears to the court that such action was prosecuted or defended without reasonable cause. [C51, §1433; R60, §2458; C73, §2477; C97, §3401; C24, 27, 31, 35, 39, §12053; C46, 50, 54, 58, 62, §638.13; C66, 71, 73, 75, 77, 79, 81, §633.159]

Iowa Code § 633.160 Breach of duty.

633.160. Breach of duty. Every fiduciary shall be liable and chargeable in the fiduciary’s accounts for neglect or unreasonable delay in collecting the credits or other assets of the estate or in selling, mortgaging or leasing the property of the estate; for neglect in paying over money or delivering property of the estate the fiduciary shall have in the fiduciary’s hands; for failure to account for or to close the estate within the time provided by this probate code; for any loss to the estate arising from the fiduciary’s embezzlement or commingling of the assets of the estate with other property; for loss to the estate through self-dealing; for any loss to the estate arising from wrongful acts or omissions of any cofiduciaries which the fiduciary could have prevented by the exercise of ordinary care; and for any other negligent or willful act or nonfeasance in the fiduciary’s administration of the estate by which loss to the estate arises. [C51, §1428; R60, §2453; C73, §2482; C97, §3405; C24, 27, 31, 35, 39, §12057; C46, 50, 54, 58, 62, §638.17; C66, 71, 73, 75, 77, 79, 81, §633.160] 2005 Acts, ch 38, §51

Iowa Code § 633.161 Examination of fiduciaries.

633.161. Examination of fiduciaries. The fiduciary may be examined under oath by the court upon any matter relating to the fiduciary’s accounts. [C51, §1424; R60, §2449; C73, §2470; C97, §3395; C24, 27, 31, 35, 39, §12045; C46, 50, 54, 58, 62, §638.5; C66, 71, 73, 75, 77, 79, 81, §633.161]

Iowa Code § 633.162 Penalty.

633.162. Penalty. In fixing the fees of any fiduciary, the court shall take into consideration any violation of this probate code by the fiduciary, and may diminish the fee of such fiduciary to the extent the court may determine to be proper. [C66, 71, 73, 75, 77, 79, 81, §633.162] 2005 Acts, ch 38, §51
Source: Iowa Legislature (legis.iowa.gov)URL: https://www.legis.iowa.gov/law/iowaCode/sections?codeChapter=633&year=2026Fetched: 10/20/2026

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