When you choose someone as a successor you should make sure they are capable of carrying out these duties. Serving as a successor trustee is a huge responsibility, and it's often a time-consuming burden. You should be able to choose the right person—or name an institution like a bank—for the job.
But that Trust Attorney should not be defending the Trustee against the attacks of the Trust Beneficiaries. Because of the conflict of interest that arises there.
If it is found that the trustee is in violation of his or her responsibilities or fails to provide proper documentation of trust activity, then the beneficiary has the right to take legal action, including removing the trustee and requesting a replacement. Such action is normally handled by filing a petition with the local probate court.
If the trustee didn't completely fund the trust prior to death and a probate proceeding is required, then the personal representative named in the trustmaker's pour-over will must receive a copy of the trust.
To distribute real estate held by a trust to a beneficiary, the trustee will have to obtain a document known as a grant deed, which, if executed correctly and in accordance with state laws, transfers the title of the property from the trustee to the designated beneficiaries, who will become the new owners of the asset.
A beneficiary can override a trustee using only legal means at their disposal and claiming a breach of fiduciary duty on the Trustee's part. If the Trustee stays transparent and lives up to the trust document, there is no reason to “override” the Trustee.
Yes, a trustee can refuse to pay a beneficiary if the trust allows them to do so. Whether a trustee can refuse to pay a beneficiary depends on how the trust document is written. Trustees are legally obligated to comply with the terms of the trust when distributing assets.
Whether you are the California Trustee, Beneficiary, or Heir of a Living Trust, the question is, “can a Trust be contested?” The quick answer is, “Yes, a trust can be contested!” When contesting a trust, i.e., disputing a Trust, voiding a Trust, or invalidating a Trust, you will need to consider how the Trust is ...
If we think about the basics of Trust law, a proprietary right to Trust documents seems to make perfect sense. Under a Trust, a legal person holds property or assets for the benefit of another. That is, the property has vested in the Trustee, but the true owner is the Beneficiary.
A trust is a legal arrangement through which one person, called a "settlor" or "grantor," gives assets to another person (or an institution, such as a bank or law firm), called a "trustee." The trustee holds legal title to the assets for another person, called a "beneficiary." The rights of a trust beneficiary depend ...
Several states require you to send a notice to all trust beneficiaries within a certain time after you take over as successor trustee of the trust. Most states give you 30 or 60 days to send this initial notice.
An executor must account to the residuary beneficiaries named in the Will (and sometimes to others) for all the assets of the estate, including all receipts and disbursements occurring over the course of administration.
A trustee cannot lie about anything related to the trust. A trustee cannot provide false information to the beneficiaries or the court. For example, when a beneficiary asks about something relating to the trust, the trustee must answer truthfully.
If a beneficiary doesn't receive what they're entitled to from the estate, the executor or administrator may be liable to pay this themselves. To help protect against any possible claims, the executor or administrator needs to take all the necessary steps to find the beneficiary before distributing the estate.
“Trust busting” The Court will be prepared to trust bust where the previous expectations of everyone involved in the trust have been drastically altered by the relationship breakdown, such as where one party can no longer share in the income derived from the trust assets as intended.
—Every trustee may re-imburse himself, or pay or discharge out of the trust property, all expenses properly incurred in or about the execution of the trust, or the realisation, preservation or benefit of the trust property, or the protection or support of the beneficiary.