That person is called the trustee. The trustee has the legal authority to handle the trust assets according to the provisions set forth in the trust.
A person with assets sometimes decides to set aside some of those assets in a trust that will pay over the profits, or assets for the use and benefit of another person. A trustee is appointed to act in regards to the trust property. Generally, the power to reinvest the trust property is included in the powers of the trustee. A beneficiary would not be required to sign away rights as a beneficiary so the trust funds could be reinvested. The beneficiary is someone the donor cares about. The trust instrument, written by the donor, directs what the trustee may do with the trust property and how the payments must be made to the beneficiary. The trustee MUST follow the provisions of the trust unless the trust instrument allows her/him to use discretion. To your question: It raises suspicion that the trustee has asked that you "sign away your rights in the trust". You should seek the advice of an attorney who could review the trust and the actions of the trustee and advise you on how you should proceed in order to protect your interests as a beneficiary. Until then, sign nothing.
You cannot get access to a trust fund. A trust is managed by a trustee and the trustee is the only person with the authority to access the trust property. The trustee must manage the trust according to the provisions set forth in the trust document. If you are a beneficiary of the trust you should ask the trustee for a copy so that you can review the terms.
You need to review the terms of the trust. The instrument that created the trust sets forth all the powers of the trustee. You need to determine if the trustee has the power to loan money from the funds held in trust.
Associated in the mortgage world most likely will mean a person or thing connected with something else. A good example is the the trustee is associated to the beneficiary of the the note. The association of the trustee and beneficiary should always be separate and independent as to insure a fiduciary duty to the client in event of a foreclosure. If you need to know more please email me at andrew@parkermcqueen.com
A trustee and a beneficiary are essential to a trust. Without a trustee and a beneficiary there is no valid trust. They should not be the same person.
If there is (1) more than one trustee; and, (2) the trustee-beneficiary cannot act as trustee unilaterally; and (3) the other trustee is not a beneficiary of the trust, yes. If the the trustee is also designated the beneficiary, the trust fails as illusory.
No. The trustee has full control over the assets in the trust. In a 'blind trust' the trustee must be completely independent. If the beneficiary is the trustee then the trustee is not completely independent.
Yes.
No. That would invalidate the trust.
The lender is the beneficiary. The borrower is the trustor and the third party working for the lender is the trustee.
You cannot have the same person as grantor, trustee and beneficiary in any trust. There is no trust created in such a set up. The grantor in an irrevocable trust cannot be the trustee. The property in an irrevocable trust must be permanently separated from the grantor's control.
its a trust or a beneficiary.
Yes, a trustee can sue a beneficiary of a trust if there is a breach of trust or if the beneficiary has caused harm to the trust estate. The decision to sue typically requires approval from the trust instrument or court approval in some cases.
Determine who is the successor trustee
Not necessarily, another trustee will be appointed.
They most certainly may not! The entire purpose of the trust is to prevent the beneficiary from controlling the trust. The responsibility lies with the trustee to maintain the trust as it was set up. Actually, it depends on what kind of a trust is involved. For example, a Land Trust is beneficiary driven....meaning the beneficiary tells the Trustee what to do by letter of direction. Most all other types of trusts are Trustee driven and decisions are made by the Trustee. Randy Hughes