If you're considering estate planning, one possible solution you may look at is the creation of a trust. A trust can help you manage property and assets while you're alive so that, after your death, it can be distributed smoothly. There are two types of trusts, revocable and irrevocable. Revocable trusts are those that involve you as the initial trustee (person managing the trust) and allow you to remove, modify, or revoke the trust while you're still alive. Irrevocable trusts take the responsibility out of your hands; once it's been created, nothing can alter it.
At its root, trust litigation occurs when there is an issue or conflict with the details of the trust or between involved parties. These parties can be corporate entities, creditors, or individuals.
In a situation where the trustee does something against the rules or guidelines of the trust, one or more concerned parties may feel the need to raise the issue of litigation in order to fix the issue or contest the breach of trust.
The trustee is placed in a position of authority over the contents of the trust. If the trustee mismanages the assets in the trust or engages in unethical behavior, one of the parties may feel the need to pursue litigation related to the trust.
If beneficiaries feel as though they have been treated unfairly by the terms of the trust or by the actions of the trustee, they may pursue litigation in order to seek damages.
If one or more of the parties that are involved in the trust has an issue with how the assets contained inside are to be distributed, they may want to pursue legal action to ensure everything is divided fairly.
If there's a legal question related to the rights of those involved with the trust or the benefits of the parties, a court may issue an injunction to stop any actions from being taken. For example, if one of the interested parties somehow manages to alter the terms of the trust to suddenly exclude other beneficiaries through coercion or other means, the court may press pause on the changes to determine whether or not the change is valid.
No matter the reason for trust litigation, it's important to hire a competent attorney to guide you through it. I can help you understand not just the process of litigation but also work to reach an optimal outcome for your situation. Call today to learn more.
Trust litigation can be a time-consuming and expensive process, especially if the trust is complex or there are multiple interested parties. By choosing Bale & Associates, Ltd. for your litigation needs, I can work with you to lay out all the options and make sure you understand how your rights and assets may be impacted through litigation. Call today to set up a consultation and learn more about trusts and asset protection.