The 2 Ways Your Trustee Can Resign

A good trust allows you to protect your estate from probate. But, in order for you to have a trust that achieves this purpose, you must have a trustee who will act on your behalf.

Going over the two ways your trustee can resign, and speaking with a lawyer, will make it easier for you to protect your estate from probate and other, related, complications.

What Is A Trust? 

A trust is a legal relationship that allows someone to hold onto your assets, as a means through which those assets can be protected.

The “someone” who holds onto your assets is a trustee. And, your trustee is responsible for managing your estate and, upon your death, distributing your assets to the people you want to have them.

Even though you do not need a trust, it is often wise to develop one. By doing so, it is much easier for you to protect your assets from probate, which is expensive and time-consuming, while also avoiding other, related, difficulties.

A wide variety of different trusts exist. You can work with a lawyer, who will help you figure out which type of trust is right for you, allowing you to achieve your estate planning goals with relative ease. 

What Are The 2 Ways Your Trustee Can Resign 

01: The Trustee Resignation Statute 

To ensure that every trustee can resign, even if there is no clear method for them to do so, the state of Florida has its own “Trustee Resignation Statute.”

A trustee who wishes to resign from their role can do so by doing one of the following:

• Giving 30 days notice of their intention to resign as a trustee to the following people: the person who made the trust, every beneficiary, and any co-trustees.
• Going to the court directly and petitioning them for their removal, as a trustee; this should be done if the first option simply isn’t available.

Just as an example  of the above, if you are a trustee, you can give 30 days notice of your intent to resign, to the person who made the trust, the beneficiaries the trust serves, and any co-trustees.

If you do the above, then you can resign from your role as a trustee. But, if that doesn’t work, then you can petition the court, which will allow you to resign as a trustee. 

02: The Trust Instrument 

Every trust should come with a “trust instrument.” And, with that in mind, a trust instrument is an instrument that outlines a procedure for resigning, as a trustee.

Just as an example, if you are a trustee, and you wish to resign, then you can go to the trust instrument. Right within the trust instrument, you may find that you must notify the beneficiary and, then, help find, or assign, a new trustee.

If you do what is outlined within the trust instrument, then you will be able to resign, as a trustee. But, if there is no resignation procedure within the trust instrument, then the method outlined above can be employed. 

Speak With A Florida Estate Planning Lawyer Today 

If you would like to develop an effective trust that protects your estate, you must work with a professional. Speak with a Florida estate planning lawyer at the Millhorn Elder Law Planning Group today and we will help you.

Sources: 

law.cornell.edu/wex/trust

leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0700-0799/0736/Sections/0736.0705.html