Legal Question in Wills and Trusts in Michigan

We are 3 legal adults living in Michigan, both parents have passed, and my 2 adult sisters and I are beneficiaries in an irrevocable family Trust. We had the family home for sale. 2 years ago we declined an offer on the house, and my younger sister decided to get a loan and purchase the house from the Trust, and we would distribute and close the Trust. The sale price was agreed to between us 3. It was all agreed in emails that my older sister, the Trustee, would contact our attorney and get direction, and my younger sister would begin the loan process. Now, over 2 years later, my sister still has not applied for a loan, and my older sister forgot for 6 months that she had documented directions from the attorney. She stated that she forgot she had received them and shared them 6 months later. The cost to maintain the house is $5000 annually. We consider that split 3 ways and it is payed for by money sitting in the Trust.

I told them both that if they did not make progress as jointly decided, I would be petitioning the court for Court Supervised Trust Administration to get this all resolved before a judge. My older sister responded that nothing she was doing was illegal. She said there was nothing she could do since it was all waiting on my younger sister to obtain her loan. I told her that her lack of actions, as well as my other sister’s lack of action was a breach of trust, and we, the Trust had made a decision. They had both stopped communicating with me unless I sent them emails asking for updates.

I feel that since they are not doing anything, along with me having to keep asking them for updates, coupled with the fact this is costing me $1666 annually (my 3rd of the $5000 annual expense), they are causing me monetary damage, making this all a hostile environment, and therefore creating a possible breach of trust by doing so. I asked to be paid my portion so I could get out of the trust and my older sister stated she would make me a loan, but she wanted to be sure there was enough money in the trust to fund everything up until we closed the Trust.

We are now heading into the 3rd year of this all, and neither of them has done anything to move this forward. Do I have a legal position to take this to court and have it resolved or is there anything else I can do to legally force them to complete what we, the Trust had decided to do?

Has there been a breach of trust and what can I do legally about this?


Asked on 9/27/17, 3:51 am

1 Answer from Attorneys

Timothy Klisz Klisz Law Office, PLLC

You can head to court, but the cost to you and the trust will be prohibitive. The court can force the sale to a stranger and can remove trustees, but this should be a last resort. Hire a probate attorney that regularly works in your county.

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Answered on 9/27/17, 4:40 am


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