What Happens if a Trustee Makes a Mistake?

While a trustee is not expected to have all of the knowledge an experienced trust lawyer would have, they are expected to properly execute the required duties of the trust. If they do not, the trustee can be held personally liable. Some examples of errors for which a trustee might be found liable include:

Failing to distribute assets as instructed by the terms of the trust

Failing to pay debts or tax liabilities of the trust, resulting in reduced value due to fines or fees

Failing to communicate vital business information to beneficiaries

Making risky investments that lead to losses of trust assets or their value

Failing to serve the best interests of the beneficiaries

Benefiting themselves at the expense of the trust or beneficiaries (self-dealing)

The best way to avoid making any of these errors is to enlist an experienced trust administration attorney to guide you through each step in the process of administering the trust.

Law Office of Polly Tatum

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https://www.LawOfficeOfPollyTatum.com