What is Trust Administration?
Trust Administration is the process of administering a trust during a grantor’s legal incapacity or death. The firm helps Successor Trustees and Trustees understand documents and administering an estate plan.
Who is a Trust Administrator?
A Trust Administrator is a person or entity responsible for administering and distributing trust assets during incapacity or death of the original trustee. Often the trust administrator is a named Successor Trustee in a trust document.
What are the duties of a Trust Administrator?
A Successor Trustee accepted the appointment during a loved one or even a friend’s lifetime. Often a person doesn’t realize the fiduciary responsibilities associated with stepping into the role of Successor Trustee. Trust Administration is more than reading a trust and distributing assets. A Successor Trustee acts in a fiduciary capacity. A Successor Trustee is responsible for general duties and duties outlined in the trust document. Several statutes govern the actions and duties a Successor Trustee must follow in a fiduciary capacity.
As a fiduciary, he or she has an ethical obligation to preserve the trust assets, and to protect the estate against loss. Duties may also govern the investment of assets. A Successor Trustee works to inventory the assets, manage the assets, and even distribute the assets in a trust. The Successor Trustee is responsible for following the intent of the trust. Failure to perform the duties may result in lawsuits filed by beneficiaries.