N.M. Stat. § 45-2A-10
Effect of disability at distribution.
A. If property becomes distributable by a personal representative or trustee to an
individual under the age specified in the will or, if the will does not specify an age, under
the age of twenty-three years, or to an individual who the personal representative or
trustee determines cannot effectively manage or apply the property by reason of mental
illness, mental deficiency, physical illness or disability, chronic use of drugs, chronic
intoxication or other cause:
(1)
the personal representative or trustee, as to principal or income, may
distribute part or all of the property to the distributee directly, by deposit or investment in
the distributee's name or for the distributee's account, or to a guardian or conservator
for the distributee;
(2)
the personal representative may distribute to the trustee in trust under
Paragraph (3); or
(3)
the trustee may retain all or any of the property in trust for the distributee
and thereafter at any time the trustee may distribute or apply part or all of the principal
or income to or for the benefit or account of the distributee.
B. Unless terminated earlier, a trust under Paragraph (3) of Subsection A of this
section terminates upon the attainment of the required age, removal of the disability or
death of the distributee. Upon termination, the trustee shall distribute the remaining trust
property to the distributee or personal representative of the distributee's estate.
C. This section does not apply to distributions to a surviving spouse of the testator.