If you are setting up a trust in West Palm Beach one thing you are going to need is a trustee. Do you know the rules for picking a trustee? Not everyone is fit to serve. Learn the rules before you are stuck amending a trust because it has no trustee in West Palm Beach.
Trusts 101: What does a Trustee Do?
- A trust creates a fiduciary relationship between a trustee and the trust’s beneficiaries.
- A beneficiary is the one who enjoys the benefits of the property while the trustee is left managing it.
- In other words the beneficiary gets all the fun and the trustee gets all the work.
- Who would want to be a trustee then?
- Experienced Palm Beach probate litigators know that trustees are compensated areasonable fee for their troubles.
- What constitutes a reasonable fee in West Palm Beach for a trustee?
- A donor deeds the property to the trustee so that the trust property is actually owned by the trustee but in a trust relationship.
- This is known as legal title while the beneficiary has something known as equitable title.
- This is why it is so important to pick the right trustee, they actually are going to own the property.
- If a trustee misappropriates the property you may be in for a long expensive court battle in West Palm Beach so it is important to pick someone you trust.
- There are also several important rules to picking a trustee.
- Do you know what they are?
Picking a Trustee in West Palm Beach
- Picking a trustee in West Palm Beach is a very important decision and should be approached with caution.
- A trustee does not just hold property they also in most cases will invest funds as they see fit.
- If someone cannot handle their own finances what makes you think they will be able to properly and prudently administer your West Palm Beach trust?
- Besides the common sense considerations like financial wherewithal, there are also several rules you need to know when choosing your West Palm Beach trustee.
- Did you know a trustee must be old enough to contract?
- If someone is under 18 it does not matter that they have a PhD from Wharton Business School – they cannot be a West Palm Beach trustee.
- What other important rules do you need to know?
- Most are small technicalities that you should consult a West Palm Beach probate attorney about so that you leave no stone unturned.
- For example a criminal record may stop someone from serving as a West Palm Beach trustee.
- You have to check the rules to learn more.