I am the trustee of my mother's trust. She recently passed away. The distribution to beneficiaries states that I am to get 1/2 and my sister is to get 1/2. It also states that if my sister predeceases my mother (which she did), this share shall be distributed to me, BUT this is subject to the following provisions:In the event that under the foregoing provisions a part of the Trust Estate would otherwise be distributed to any descendant of a deceased child of the Trustor (my mother) who is under the age of 21 that part shall instead be retained by the Trustee as a separate trust for the benefit of such descendant of the deceased child. My sister's children have children under the age of 21. Does this provision mean that the 1/2 that would have gone to me would instead be put in trust for my great nieces and nephew?
2 Answers from Attorneys
Possibly not, but impossible to tell without an attorney reviewing the entire document. It may mean that if a beneficiary is under age, the funds will be held back by the trustee, but in this case you may be the only beneficiary. Consult an attorney to review the entire document so no error is made.
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Given that I have not seen the trust agreement, and taking the agreement to state what you have set forth, it appears that you are the sole beneficiary, because the trust agreement provides that her share is to be distributed to you, in the event that she predeceases the grantor/trustor. The provision you are referring to would probably only apply if your sister had a vested interest in the trust. You could take action to get court authority and approval stating that you are the sole beneficiary.