Revocable Trust Distribution Flexibility

Summary

Revocable trusts commonly include provisions for trustees to withhold distributions, providing flexibility to manage assets according to the grantors intent. This allows for adjustments based on beneficiaries circumstances, such as disabilities or financial risks, ensuring the trust is managed effectively in unforeseen situations.

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Why is this part of a revocable trust?
The section you provided outlines the trustee's power to withhold distributions or withdrawals under certain conditions. This is included in a revocable trust to allow the trustee flexibility in managing trust assets according to the grantor's intent, accommodating unforeseen circumstances affecting beneficiaries, such as disabilities or financial risks.
Is this a common practice?
Yes, it's common in revocable trusts to include provisions allowing trustees to withhold distributions. This flexibility helps manage trust assets effectively, considering beneficiaries' circumstances like disabilities, financial risks, or other unforeseeable events, in line with the grantor's intent.
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