Administration of Trusts in Florida
Trusts are legal entities that require administration under the terms of the trust and Chapter 736 of the Florida Statutes. What is required varies greatly with the kind of trust in question. There are many kinds of trusts. One common trust is often referred to as a revocable or living trust, which is primarily created by someone for incapacity and estate planning purposes. While the creator of such a trust is alive, the trust is generally treated as a disregarded entity and little administration is required.
After the creator’s death, however, this kind of trust becomes irrevocable — and may even split into one or more sub-trusts. At that time, the successor trustee will need specialized legal and tax advice for the proper administration of the trust. The successor trustee, often a family member, will have numerous duties and responsibilities with regard to the administration of the trust such as preparing an inventory, filing tax returns, allocating and distributing assets.
The failure to properly discharge these duties can result in loss to the trust or its beneficiaries and liability for damages imposed upon the successor trustee. Professional legal and tax advice is essential to insure that the purposes for which the trust was created are fulfilled and the successor trustee carries out his or her duties in accordance with the terms of the trust and applicable law.
Other kinds of common trusts which require professional advice regarding proper administration include irrevocable life insurance trusts, trusts for minors, trusts for grandchildren, special needs trusts, testamentary trusts, and charitable trusts.
Trust administration can be perplexing and overwhelming to a successor trustee who has just experienced the death of a loved one. At the Law Offices of Eric S. Mashburn, P.A. we have the experience and knowledge to guide you through the process and minimize the difficulties.
Contact us to speak with attorney Eric Mashburn regarding your trust administration needs.
Experienced Trust Administration Lawyer
Eric S. Mashburn