Trustee Duty of Impartiality

Question 1

Uniform Fiduciary and Principal Income Act

Answer 1

The Trustee must consider the interests of both income and remainder beneficiaries unless modified the the trust terms

Question 2

Trust income is

Answer 2

Items that provide the current return

Question 3

Trust Principal is

Answer 3

Assets producing the return

Question 4

The Trustees can make discretionary adjustments between principal and income, but

Answer 4

The trustee must act in good faith and administer the trust impartially and in accordance to the trust terms

Question 5

Expenses against income

Answer 5

1) Half of the trustee’s commissions
2) half of total expenses for accounting and judicial proceedings and ordinary expenses

Question 6

Expenses against principal

Answer 6

1) Half of trustee’s commissions
2) Half of total expenses for accountings and proceedings,
3) Payments on mortgage principal, taxes and disbursements related to environ mental matters