New York law allows a settlor to amend or revoke an irrevocable trust if he/she obtains the informed, express consent permission of the beneficiaries. If the beneficiaries include a minor, the law forgoes the need for informed, express consent of the minor if the amendment or revocation is beneficial to the minor.
In New York, there is no requirement to record a trust. Part of the idea of a trust is to maintain privacy. When you are transferring a property to a trust, you are allowed to not disclose the ownership of the property to the public. Some information about the trust does exist in the public record.
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.
After the grantor of an irrevocable trust dies, the trust continues to exist until the successor trustee distributes all the assets. The successor trustee is also responsible for managing the assets left to a minor, with the assets going into the child's sub-trust.
In New York, the court with jurisdiction under SCPA 207 (1) is the Surrogate's Court where the assets of the trust are located, where the grantor is domiciled at the time the petition was filed, or where the trustee resides. Trusts are not public records and do not need registration in order to be effective.
First, the trust's records belong to the trust, not the trustee, and a beneficiary may demand the right to inspect the trust's records whether or not an accounting has been finalized or litigation is in progress.
Distribute trust assets outright The grantor can opt to have the beneficiaries receive trust property directly without any restrictions. The trustee can write the beneficiary a check, give them cash, and transfer real estate by drawing up a new deed or selling the house and giving them the proceeds.
You cannot receive your inheritance until the estate has been properly administered. This generally takes between nine and 12 months, although it can take longer in complex estates.
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.
Who Controls an Irrevocable Trust? Under an irrevocable trust, legal ownership of the trust is held by a trustee. At the same time, the grantor gives up certain rights to the trust.
Even so, for estate tax purposes, the assets in an irrevocable grantor trust may be considered outside of the grantor's estate and therefore not subject to estate taxes at the grantor's death.
(1) An irrevocable trust may be modified or terminated upon consent of the settlor and all beneficiaries, even if the modification or termination is inconsistent with a material noncharitable purpose of the trust.