Tustin Trust Administration Attorney

If you’ve been named a trustee of a California Trust, you may be unsure about your next steps. An experienced Tustin trust administration attorney can be your best resource. At Morgan Law Group, we have extensive experience with drafting and administering different types of trusts, and can help a trustee navigate their sometimes complex duties.

The remainder of this page provides a basic overview of trust administration to give you a general idea of what to expect, but there’s no substitute for personalized advice. To schedule a consultation with a trust lawyer, call 949-506-5046.

What is a Trust?

A trust is a legal entity that is created for the purpose of holding property for someone else’s benefit. Property is transferred into the trust, and assets like real estate and financial accounts are titled in the name of the trust. Every trust has at least one trustee and at least one beneficiary. The trustee manages the trust for the benefit of the beneficiaries. In some cases, a trust holds property for a relatively short time. Then, the assets are distributed to the beneficiaries and the trust is dissolved. In other cases, the trustee manages the assets long term, making periodic distributions to beneficiaries based on the terms of the trust.

What is the Difference Between Wills and Trusts?

Both wills and trusts can be used to transfer property after death, though the possible uses of a trust are much broader. One of the key differences is that property left to someone in a will is passed to that person outright. A trust gives the person leaving the property greater control. For example, funds in trust for a family member may be paid out in annual installments, or in a lump sum when they reach a certain age or a milestone like college graduation.

A Tustin trust and estate attorney can explain in greater detail when it is to your benefit to use a trust versus a will, and how they may be used together.

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The Role of a Tustin Trustee

The trustee is responsible for ensuring that the terms of the trust are followed. Trust administration can be a complex task, since it requires understanding the comprehensive legal document that forms the trust and related California and possibly federal law. A trustee is a fiduciary, which means that they have an obligation to act in the best interests of the beneficiaries. A trustee who doesn’t live up to their responsibilities can be removed from the role. In some cases, they may even be personally liable for losses.

An experienced Tustin trust attorney can be the trustee’s best resource as they navigate responsibilities such as:

• Managing and maintaining trust assets
• Ensuring that they adhere to the terms of the trust in how property is managed and distributions are made
• Maintaining detailed financial records and making reports to beneficiaries
• Determining whether tax returns are required, filing any necessary returns and paying taxes
• Distributing assets according to the terms of the trust
• Being aware of and ensuring compliance with relevant laws and regulations
• If all trust assets are to be distributed, winding down the trust and preparing a final accounting

Another responsibility of the trustee is to retain professionals as needed to comply with the terms of the trust and manage assets responsibly. That can include a trust administration attorney. If the trustee does retain an attorney to assist with trust administration, the trust will pay the attorney.