The Trust Administration Procedure
When it comes to estate planning in Fort Worth, trusts are a useful tool in minimizing tax liability, avoiding probate and streamlining the estate administration process. However, for an inexperienced trustee, administering the contents of a trust in accordance with the terms of the language of the document can be a daunting, overwhelming procedure. If you are named trustee or have been appointed to administer a trust following the death of a loved one, we encourage you to contact a Fort Worth Probate Attorney for assistance in this complex and significant matter. Failure to properly administer a trust in accordance with its terms could result in the imposition of personal liability upon you as the trustee.
Fort Worth Probate Attorney Discusses the Basics of Trust Administration
As mentioned earlier, the bulk of your instructions as a trust administrator will be found in the language of the trust instrument itself. If any aspect of the trust is missing language, the Texas Code will fill in the gaps.
One of the most important aspects of your role as a trust administrator is your fiduciary duty toward the beneficiaries and the requirement to fully honor the terms of the trust agreement. A fiduciary duty is a legal obligation to properly carry out the terms of the trust in the best interests of those involved and includes the following duties:
- Loyalty (i.e., administering the trust solely in the interest of beneficiaries)
- Duty not to delegate duties to another person
- Proper rendering of accounts
- Exercising appropriate care and skill in the handling of trust corpus
- Providing beneficiaries with information about the trust assets upon request
In addition to these duties, a trustee must properly handle all claims against a trust, as well as fully understand whether the trust assets are shielded from creditors under applicable Texas laws.
Contact an Experienced Fort Worth Probate Attorney Today
If you are named trustee for an estate and would like assistance handling the matter, please do not hesitate to contact a Fort Worth probate attorney at the Hurr Law Office, P.C. right away. For a consultation, please call 817-210-0150.