25 C.F.R. § 179.4 Distribution of principal and income.
Title 25 - Indians
In all cases where the document creating the life estate does not specify a distribution of proceeds; or where the vested remainderman and life tenant have not entered into a written agreement approved by the Secretary providing for the distribution of proceeds; or where, by such document or agreement or by the application of State law, the open mine doctrine does not apply; the Secretary shall: (a) Distribute all rents and profits, as income, to the life tenant. (b) Distribute any contract bonus one-half each to the life tenant and the remainderman. (c) In the case of mineral contracts, invest the principal, with interest income to be paid the life tenant during the life estate, except in those instances where the administrative cost of investment is disproportionately high, in which case §179.4(d) shall apply. The principal will be distributed to the remainderman upon termination of the life estate. (d) In all other instances, distribute the principal immediately according to the formulas set forth in §179.5, investing all proceeds attributable to any contingent remainderman in an account, with disbursement to take place upon determination of the contingent remainderman.
Title 25: Indians
PART 179—LIFE ESTATES AND FUTURE INTERESTS
§ 179.4 Distribution of principal and income.
