Co-Trustee & Trust Advisor or Trust Protector

Selecting a corporate trustee to serve along with an individual may be a perfect solution. The trust gains the advantages of appointing a regulated professional while retaining a familiar, trusted individual to participate. • Co-trustee arrangements can also aid grantor/trustee’s transition from active trust management to a more limited trust management when they no longer wish to handle the trust entirely by themselves.

In the ever-changing climate of Trust Law, a newer role is becoming more and more popular. This is the Trust Advisor or Trust Protector. This role is generally defined as someone the that creator of the trust places in his/her trust document to “look over the shoulder” of the Trustee. This individual is given the authority to receive statements of activity in the trust, make recommendations to the trustee and even is often given power to dismiss the trustee. Most often this person is a family member or trusted friend. The important concept that a qualified estate planning attorney will bring forward is to draft the document so that the advisor or protector does not assume the role as a fiduciary, like the actual trustee. This protects the family member or friend from unnecessary fiduciary legal exposure.