Directed and Delegated Trusts – The Options Available and The Risks Involved
The slicing and dicing of trustee roles is becoming common. The concept of the trust protector or trust advisor, who has the power to direct certain actions by a fiduciary, is now enshrined in the law of many states. Furthermore, it is possible under many circumstances for a trustee effectively to delegate certain duties (such as investment responsibilities) to a co-trustee or to an agent. In this teleconference, we will explore the following:
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State laws and governing instrument provisions regarding directed and delegated trusts
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Nature of a trust protector and whether he or she is or should be considered a fiduciary
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Various ways to divide duties and responsibilities of trust administration
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Liability of directed trustees, co-trustees, third-party agents and trust protectors
