![]() ![]() Upon the request of a beneficiary , promptly furnish to the beneficiary a copy of the trust instrument. Provide copies of the trust to beneficiaries when asked In regards to reporting and informing, a trustee shall do all of the following: Again, this is to ensure no foul play is occurring with trust assets or money but also make it easy for trustees to know what they have to do and how to protect themselves from litigation. Naturally, the trustee duties to report and respond come with some specific jobs and obligations. An attorney can provide step-by-step instruction and remove the guesswork.Īdditional Trustee Duties and Obligations Most people aren’t familiar with managing a trust, it isn’t necessary for day-to-day living. All trustees should speak with an Ohio estate planning attorney at least once to ensure they are following the law and providing the mandatory information. Though this seems like common sense, be honest and call people back, if this wasn’t a constant issue with trustees it wouldn’t be codified with the law. Though we all should pursue perfection in everything we do, trust beneficiaries are much more likely to be lenient with trustee mistakes if you are upfront with them and respond in a reasonable manner within a reasonable time. If a trustee follows any rule religiously, it should be this one. Unless unreasonable under the circumstances, a trustee shall promptly respond to a beneficiary’s request for information related to the administration of the trust.” “A trustee shall keep the current beneficiaries of the trust reasonably informed about the administration of the trust and of the material facts necessary for them to protect their interests. Again, the vast majority of lawsuits against trustees begin due to lazy communication or incomplete trust accounting. Proper and timely reporting of trust assets and monies will calm any anxious settlor or beneficiaries and protect trustees from liability. The first step in ensuring trustee accountability is mandatory reporting. The Ohio trust code attempts to curb the baser instincts of trustees by making them accountable for what they do. ![]() Tragically, when most people are provided the means and opportunity to do the wrong thing, that’s what they do. A quick conversation about the do’s and don’ts can save you a lot of trouble down the road. As always, when either creating a trust, appointing a trustee, or accepting a trustee appointment, consult with an experienced Cleveland estate planning attorney. Most conflicts regarding trusts start simply because one side doesn’t know what the other is doing. The first, and often most important, duty of a trustee is to tell people what you are doing as trustee. And for those appointed as trustees, the first step in avoiding trustee liability is knowing what you are actually agreeing to do when you say “yes” to becoming a trustee. All is not lost, however, if you have doubts about what your trustee is doing. Remember, reported cases only represent a faction of reality, these are only the trustees that got caught and many more got away with it. With little actual day-to-day oversight regarding trust property and money, volumes of cases exist of examples of trustees embezzling, concealing, or just plain stealing trust assets. The potential for misbehavior and self-dealing are obvious. The duties and obligations set upon trustees are expansive and complex, and for good reason. Thus, picking a competent and willing trustee to carry out your trust instructions is critical, because when you are gone, you and your trust beneficiaries are almost completely at the mercy of your trustee. Just like how a trust without funding is nothing more than an expensive stack of paper, a trust without a trustworthy and diligent trustee is nothing more than an agreement between you and nobody. That said, trusts fundamentally are nothing more than legal agreements dependent on people to carry them out. They protect trust assets against creditors, avoid probate, and guarantee assets go to where they’re supposed to after death. Trusts are one of the most useful and practical estate planning tools out there. For more comprehensive information contact Baron Law Cleveland to draft your comprehensive estate plan to endeavor to keep more of your assets for your heirs and not hand them over to the government by way of taxes. ![]() Baron Law LLC, Cleveland, Ohio, offers information for you to reflect upon while you are setting out looking for an estate planning attorney to help protect as much of your assets as you can. ![]()
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