It’s common for a successor trustee to also be a beneficiary, especially if they are a family member. To prevent disputes, it’s essential to maintain transparency and open communication. When drafting a trust, sometimes a settlor (creator of the trust) will involve the most responsible and capable beneficiaries in the trustee role, ensuring there is an opportunity to participate in the administration of the trust. This approach, combined with regular updates, can significantly reduce disagreements between beneficiaries and foster a smoother administration process. Of course, not every situation is the same so there are plenty of instances where a settlor will choose one trustee simply for the reason of location and convenience. Whatever the number of trustees, openness and transparency with all of the beneficiaries during the administration process is very important.
For more information on the Role Of A Successor In Trust Administration, an initial consultation is your next best step.