What Is A Trust Protector For A Pet Trust?
I wrote on Monday about the use of a Trust Protector.
The Trust Protector's role is created by the Trust Agreement and its purpose is to add an additional layer of protection. Usually this person is knowledgeable of the Grantor's financial and personal goals.
Neither the Trustee nor the Trust Protector should be a family member.
The Trust document will set out the role of the Trust Protector, but they will usually include the following powers:
to resolve disputes between co-trustees;
to veto distributions to Beneficiaries and investment decisions;
provide the ability to remove or replace the Trustee;
to change the Trust's situs to take advantage of state law;
to sue and defend lawsuits against the Trust assets.
Discuss the role and responsibilities of a Trust Protector with your legal counsel.
You pet trust can be as expansive or restrictive as you desire.
