Wills and Trusts

Question 1

A later will or codicil will specifically do what to a revocable trust?

Answer 1

It will TAKE PRECEDENCE over the trust if the will or codicil DEVISES PROPERTY that was supposed to pass in the trust to SOMEONE ELSE, instead.

Question 2

May a trustee of a revocable trust in Florida contradict the trust’s terms if instructed to do so by a living settlor?

Answer 2

Yes, the trustee can follow instructions that would contradict the trust’s terms in this circumstance.

Question 3

What is the order of priority in filling a vacancy in a trusteeship?

Answer 3

(1) A person named or designated as a successor by terms of the trust, (2) unanimous agreement of the qualified beneficiaries (3) a court-appointed person.

Question 4

True or False?

A trustee violates the duty of loyalty by engaging in self-dealing.

Answer 4

True, think of the “no further inquiry” rule. Self-dealing is a per se breach of the duty of loyalty.