Is there a difference in terms of inheritance between the fiducairy of a trust instrument and a co-beneficiary?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
Is there a difference in terms of inheritance between the fiducairy of a trust instrument and a co-beneficiary?
I am one of 4 siblings. My eldest brother has been named as the fiduciary of my father’s irrevocable trust and my remaining siblings and myself are co-beneficiaries. Is there a difference in terms of the inheritance between what the fiduciary will acquire under the trust and what the co-beneficiaries will acquire? Can the fiduciary make unilateral decisions? Can the fiduciary take it all and exclude the co-beneficiaries?
Asked on March 6, 2012 under Estate Planning, New York
Answers:
Hong Shen / Roberts Law Group
Answered 12 years ago | Contributor
Since your brother is the trustee, i.e., the fiduciary, he would take whatever the trust allocated to him as if a third party is the trustee. A trustee will make a lot of decisions in terms of invest and maintain the trust and this normally does not go through the beneficiaries as long as it is for the best interest of the beneficiaries. As the trustee, he is not supposed to commingle his personal asset with the trust asset. It can be done but perhaps not the best way to do it.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.