Grantor and Trustee of a Revocable Trust

Can a Grantor of a Revocable Trust Sell or Remove Property Without Consulting the Trustee?

A revocable trust is a type of trust in which the grantor, also known as the trust creator or settlor, retains the right to alter or terminate the trust during their lifetime. This means that the grantor has the ability to make changes to the trust, such as adding or removing property or even revoking the trust entirely. However, the grantor's actions may be subject to certain restrictions or requirements, depending on the terms of the trust and the laws of the jurisdiction in which the trust was created.

Selling or Removing Property from a Revocable Trust

As the grantor of a revocable trust, you may have the right to sell or remove property from the trust without consulting the trustee. However, this will depend on the terms of the trust agreement and any applicable state laws.

In some cases, the trust agreement may contain provisions that specify when and how the grantor can sell or remove property from the trust. For example, the trust agreement may require the grantor to obtain the consent of the trustee or other named beneficiaries before making any changes to the trust property. Alternatively, the trust agreement may grant the grantor the sole discretion to sell or remove property from the trust as they see fit, provided that they act in good faith and the best interests of the trust and its beneficiaries.

Even if the trust agreement is silent on the issue of selling or removing property, the grantor may still be bound by certain legal restrictions or requirements. For example, state laws may limit the grantor's ability to dispose of trust property or require the grantor to follow certain procedures when selling or removing the property from the trust. In some cases, the grantor may need to obtain court approval before making any changes to the trust.

Consulting the Trustee

While the grantor of a revocable trust may have the right to sell or remove property from the trust without consulting the trustee, it is generally advisable to do so in order to ensure that the trust is managed properly and in accordance with the grantor's wishes.

The trustee has a fiduciary duty to manage the property in the trust's and its beneficiaries' best interests. This means that the trustee is required to act with the highest level of care, loyalty, and good faith when managing the trust. By consulting with the trustee before making any changes to the trust, the grantor can ensure that the trustee is aware of their intentions and has the opportunity to raise any concerns or objections they may have.

Additionally, consulting with the trustee may help avoid potential conflicts or misunderstandings that arise if the grantor changes the trust without the trustee's knowledge or consent. It is generally best to keep the trustee informed of any changes to the trust, even if the grantor has the legal right to act without consulting the trustee.

Trust Attorney Free Consultation In Utah

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Parklin Law - Estate Planning

5772 W 8030 S, # N206

West Jordan UT 84081

(801) 618-0699

https://parkin-law.business.site/

40.605070, -112.027530

Disclaimer: This is not legal advice and is simply an answer to a question and that if legal advice is sought to contact a licensed attorney in the appropriate jurisdiction.

Location: Draper, UT, USA

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