Hi guys,
I want to ask if same person can be both Trustee and Beneficiary of a Discretionary Trust if it has one more beneficiary that is an LLC the owner / Director of which is the first beneficiary of this Trust ?
Thank you[/QUO
Probate law may vary slightly from state to state, but generally speaking their is a hierarchy of importance when it comes to Trusts. First and most importantly comes the letter of Probate law. Second, comes the letter of the Trust document unless it is direct contradiction to probate law. Third comes all the other beneficiaries. Lastly is the Trustee, unless the Trust document very, very specifically states otherwise. Two things I highly recommend. First, visit your county Superior Court webpage and research the rights of both beneficiaries and trustee's, and especially the responsibilities of the Trustee. Second, get all your questions together and at bare minimum, have a consultation with a probate attorney, or outright retain one. When it comes time to execute the Trust, you should definitely have a probate attorney. It's a relatively small price to pay to avoid problems when a Trust is involved. Roughly 80% of the time, one or more of the beneficiaries will be dissatisfied and very messy situations or problems will arise. If you are a Trustee, you should speak to a lawyer if you haven't already done so to answer your question.
