Administering a trust can be a daunting task. Trustees are required to make decisions in the best interests of the trust, and sometimes it can be hard to know the correct way to further those interests.
Guidance from an experienced Palm City trust administration lawyer can make the process more manageable. Moreover, when you work with a seasoned attorney familiar with trust administration, you can feel confident that you are taking the right steps to comply with legal requirements and fulfill your obligations in a responsible manner. Contact us today for an evaluation of your situation.
A trust is a legal entity that holds and manages assets for the benefit of others known as beneficiaries. The person who creates and funds the trust, often known as the settlor or grantor, may also be the beneficiary initially, although the trust will designate remainder beneficiaries.
Trusts may be established as revocable or irrevocable depending on their intended purpose. Revocable living trusts are popular as a means to avoid probate. If the settlor of this type of trust also serves as trustee and beneficiary, then that person may manage the property and distribute assets however they feel is appropriate during life. However, when another person serves as trustee, the distribution of assets would proceed according to the plan established in the trust.
Individuals often create irrevocable trusts to manage tax liability and fulfill long-term goals. Considering the complex laws regarding trusts, it may be especially helpful to work with a Palm City trust administration lawyer when managing irrevocable trusts.
The duties involved in administering a trust will vary depending on the type of trust, and whether changes have occurred to the settlor, beneficiaries, or trustee. Specific trust administration duties include:
It is particularly important to follow the terms set forth in the documents establishing the trust. A Martin County trusts attorney can assist in interpreting terms and answering questions. If beneficiaries believe a trustee is making poor choices or ignoring the terms of the trust, they may charge the trustee with breach of fiduciary duty.
In addition to assisting with basic management duties, a knowledgeable Palm City trust administration lawyer may also be able to provide advice to help reduce tax liability and to protect a successor trustee from personal liability. Experience with trust requirements also enables an attorney to assist trust beneficiaries if a trustee violates legal duties.
Trusts can be extremely useful tools for managing assets and accomplishing goals, but as trust options increase, so do the complications involved with trust administration. If you are concerned about the administration of a trust, speak with a trusts attorney to get answers to your questions. To schedule a meeting, call now.