The Trust Instrument: How Trustees Interpret Common Trust Provisions
Many considerations go into the planning and drafting of a trust instrument: For what purpose do you need the trust? For whom are the assets being placed in trust? What are the tax implications of your decisions? These are just a few of the many questions that must be considered before a trust can be finalized.
One additional question to consider is, once the trust is drafted, how will it be interpreted? Specifically, how will the Trustee of a trust interpret a trust provision, and second, what effect does the absence of a provision have on the Trustee’s administration of the trust? As a Delaware Directed Trust Company, Commonwealth Trust Company, analyzes trust interpretation questions in accordance with the Delaware Code and Delaware common law. The following are just a few examples of how a Trustee in Delaware may approach certain situations.
To continue reading our Associate Trust Counsel’s, Cody A. Snyder’s, full article on the topic of The Trust Instrument: How Trustees Interpret Common Trust Provisions please click the following graphic below.