SUCCESSOR TRUSTEE Meaning and
Definition
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A successor trustee, as defined in the dictionary, is an individual or entity named to assume the role of a trustee upon the resignation, incapacity, or death of the original trustee. The role of the successor trustee is to oversee and manage the assets held in a trust according to the terms and instructions outlined in the trust instrument.
The successor trustee is usually designated by the creator of the trust, also known as the grantor or settlor, as part of the trust's estate planning process. Their primary responsibility is to ensure the proper distribution of assets and the fulfillment of the grantor's wishes as stated in the trust document.
Upon the occurrence of an event triggering the replacement of the original trustee, such as the trustee's resignation or death, the successor trustee assumes the fiduciary duty and legal authority to manage the trust. They undertake tasks such as administering the trust's financial affairs, safeguarding trust assets, making distributions to beneficiaries as dictated by the trust terms, and filing necessary tax returns, among others.
It is crucial for the successor trustee to act in the best interest of the beneficiaries and faithfully carry out the grantor's intent. They must possess a sound understanding of the trust's provisions and have the necessary knowledge or expertise to handle the fiduciary responsibilities associated with managing and distributing trust assets.
Common Misspellings for SUCCESSOR TRUSTEE
- auccessor trustee
- zuccessor trustee
- xuccessor trustee
- duccessor trustee
- euccessor trustee
- wuccessor trustee
- syccessor trustee
- shccessor trustee
- sjccessor trustee
- siccessor trustee
- s8ccessor trustee
- s7ccessor trustee
- suxcessor trustee
- suvcessor trustee
- sufcessor trustee
- sudcessor trustee
- sucxessor trustee
- sucvessor trustee
- sucfessor trustee
- sucdessor trustee
Etymology of SUCCESSOR TRUSTEE
The word "successor" originates from the Latin "successor" which means "one who comes after" or "one who follows". It is derived from the verb "succedere" composed of "sub" meaning "next to" or "under", and "cedere" meaning "go" or "move". "Successor" typically refers to a person who assumes a position or role after someone else.
The term "trustee" is derived from the Middle English word "tristen" which means "to trust". It is related to the Old Norse word "traust" meaning "faith" or "confidence". A trustee is someone who holds property or assets on behalf of another person (beneficiary) and manages it according to certain legal obligations or instructions.
