A Houston Attorney for Experienced Trust Administration

Trusts are a part of the estate planning process. The right trust can protect assets from probate, estate taxes and disputes. When a grantor drafts a trust, they name a trustee, who is responsible for overseeing the management of assets. If you were named a trustee, then it is important to understand what this role is, why you were named and what you are responsible for doing.

I, attorney John Elliott of Elliott Estate Law, PLLC, have 20 years of experience helping clients through the estate planning and administrative process. I have helped many grantors plan their trust and guided trustees through the administration process. If you have any questions or concerns about your role, you can schedule an initial consultation.

What Is a Trustee?

A trustee is a role given to someone who has the power and responsibility of managing assets in a trust. When a grantor drafts a trust, they organize the distribution and management of assets according to a set of instructions. The trustee is legally responsible for fulfilling the grantor’s instructions.

A trustee can be an independent business entity, a financial institution, a professional or an individual, such as a family member or friend. There are many reasons why a grantor chooses their trustee, such as trust, long-time companionship or respect.

In some cases, a successor trustee takes over the management of a trust. A successor trustee often fills the role when the original trustee can no longer fulfill their responsibilities because of illness or death. In complex cases, it is often wiser to hire a professional, such as a lawyer, to administer the trust from the start.

What Are the Duties of a Trustee?

Trustees have a fiduciary duty to fulfill. A fiduciary duty is a legal obligation to act in the best interests of a trust. In other words, the trustee cannot reveal private information about the trust, engage in self-dealing, misuse trust assets, withhold assets or neglect their duties.

There are several basic duties trustees often must fulfill, including:

• Recordkeeping and other administrative duties
• Distributing assets to beneficiaries
• Investment management
• Communication with beneficiaries

Trustees may have unique duties depending on the kind of trust they oversee. For example, an incentive trust may only disburse assets when a certain condition is met. Or a pet trust may only have assets used for a pet’s care, which may require additional oversight in asset use. A lawyer can work alongside trustees to help ensure their administrative duties are fulfilled.

What if a Trustee Breaks Their Fiduciary Duty?

One of the most important focuses of a trustee is ensuring they fulfill their fiduciary duty. A trustee could be accused of neglecting their duties if an individual can prove that the trustee had a responsibility to fulfill a duty, neglected their duty and caused damages as a result of their actions or lack thereof. Some common examples of breaches include:

• Self-dealing
• Misuse of trust assets
• Withholding assets
• Conflict of interest
• Failure to disclose relevant facts
• Bad faith

If a trustee breaches their fiduciary duty, then they could face litigation issues. Legal action could be costly and jeopardize the administration of a trust. A party pursuing damages for the breach of fiduciary duty could seek damages for a trust’s loss of value. I can help trustees accused of breaching their fiduciary duty.

Why You Need an Attorney

I, attorney John Elliott of Elliott Estate Law, PLLC, have extensive knowledge of the estate planning and trust administration process. I believe trust administration is more than just completing the role of trustee, it is about helping secure the future of beneficiaries and ensuring the grantor’s wishes are fulfilled. I have dedicated 20 years to helping ensure my clients’ assets are secured.

Schedule an Initial Consultation Today

Whether you have been named as a trustee and need help with the job or you are establishing a trust and want an experienced lawyer to serve as the trustee, you can reach out to me to learn more. Contact my Houston, Texas, firm for an initial consultation by calling (281) 990-1990 or using the online form on this website.