You may find that there’s a problem with a trustee you have named in your Minnesota trust. Depending on the circumstances, you may want to remove that trustee. There are five key reasons to remove a trustee from your trust.
Failing to comply with the terms of the trust
Estate litigation may be necessary when you have a trustee who fails to comply with the terms of the trust. If they don’t act in the best interests of the beneficiaries or the trust itself, they can be removed. The beneficiaries can request that the trustee be removed by petitioning the court.
Mismanaging or neglecting trust assets
Trustees are required to uphold their fiduciary duty by properly managing assets to prevent a loss of funds in a trust. If they end up mismanaging or neglecting assets, it’s legal grounds to remove that trustee.
You can start estate litigation to remove a trustee from a trust if they exert their control over the trust’s funds for their own benefit. Self-dealing in the funds of a trust means that the trustee is not upholding their duties to the beneficiaries of that trust.
If there’s good cause to remove a trustee from a trust, the trustee can be removed. For example, if the trustee and beneficiaries have constant conflicts about how the funds should be distributed, the trustee can be removed from the trust.
Hostility toward beneficiaries
Another reason why you might want to remove a trustee from a trust is if they exhibit hostility toward beneficiaries. If the communication between them is poor or the trustee has a superior, hostile attitude, removing them by petitioning the court is probably the best option.
A court hearing is necessary for officially removing a trustee from a trust. It can be complex, but if any of these reasons is an issue, the court will accept it and remove the trustee.