When Can A Trust Be Terminated?
If you are a qualified beneficiary of an irrevocable trust that is managed by an individual or third-party trustee such as a bank or trust company and you are unsatisfied with the actions of the trustee or terms of the trust, you may have options. Contact the team of attorneys at VanNess & VanNess, P.A., in Citrus County to determine if the irrevocable trust can be terminated. A termination may allow you and possibly other qualified beneficiaries to receive outright distributions of the assets of the trust.
Termination of an irrevocable trust is uncommon because it often involves complex state or federal gift, transfer and estate taxation issues. Trust terminations of this kind require extensive knowledge of both state and federal laws and the trust code and the diligence to pursue a demanding legal strategy that may include court proceedings.
Challenging as it may be, successful termination of an irrevocable trust is a valuable tool in limited circumstances. Our firm has successfully terminated numerous irrevocable trusts, involving both corporate and individual trustees, when the terms of the irrevocable trust were inconsistent with the purposes of the trust, when the termination is in the best interest of the beneficiaries and for a variety of other reasons.
Terminating Irrevocable Trusts
Call VanNess & VanNess, P.A., to determine if the irrevocable trust can be terminated and how the trust assets would be distributed to the qualified beneficiaries of the trust. Our attorneys have terminated numerous irrevocable trusts and will evaluate whether this is possible in your case.
Terminations of irrevocable trusts are sought for different reasons, including:
- To achieve the settlor’s tax objective
- When there are unanticipated changes in circumstances
- When the trust’s purposes have been fulfilled
- To serve the best interest of the beneficiaries
- To remove a trustee or trustees
- When the material purpose of the trust no longer exists
- To avoid or minimize trustee fees, taxes and trust expenses
- Due to fraud, duress, mistake or undue influence
Contact Us To Talk About Your Options
Through our cutting-edge knowledge of trust laws, our attorneys provide innovative solutions to highly complex situations. If you would like to discuss termination of an irrevocable trust with one of our lawyers, call our central Florida law firm toll free at 866-697-6221 or contact us by completing our convenient online contact form.