During the trust administration process, it is important for the trustee to carefully follow the instructions outlined in the trust instrument. These instructions often include details that pertain specifically to the personal property held in an Anaheim living trust. Ignoring or failing to fully abide by these provisions of the trust can result in potential liability for the trustees, or disputes among the beneficiaries. What are some of the common methods for distribution that may appear within the trust? The following is an overview:
- Leaving the distribution of personal property in an Anaheim living trust to the discretion of the trustee
- Calling for the beneficiaries to decide how to distribute the trust property amongst themselves
- Preparing a separate memorandum which lists who should receive each item of property
- Directing that personal property be sold and the proceeds distributed among the beneficiaries in specified amounts or percentages
- Allowing each beneficiary to choose items of personal property, one at a time, in a certain order
Regardless of the method outlined in the living trust for administering personal property, it is crucial for the trustee to abide by the terms of the trust instrument. Failing to do so could expose the trustee to significant liability. To learn more about how living trusts work, view our free guide, Understanding the Revocable Living Trust - In Language that Anyone Can Understand in 8 Minutes. Contact an experienced Anaheim trust administration attorney today at (714) 459-5481for more information and assistance administering a trust in California.