Managing the financial undertakings of someone’s trust is not as easy as signing a few checks. A trustee safeguards assets for someone else. When selecting someone to put in charge of a trust, whether family member or close friend, the situation can become complicated if it appears that some form of theft has happened to the trust. Attempting to prove that fraudulent activity has occurred is difficult. There are several signs to look for when reviewing the trustee’s use of the account that demonstrate the fraudulent use of the trust.
According to census data, the American family has changed. Fewer are comprised of the traditional nuclear family of two heterosexual parents and a couple of children.
We expect a lot from people entrusted with our money. Those who have fiduciary duties may be trustees, estate administrators, guardians, or agents. They have access to your accounts, and they must conduct themselves with scrupulous honesty. They are not allowed even a hint of self-dealing or conflict of interest.
A trust is a common estate planning tool, but they require a trustee to manage them. While one hopes the trustee they choose is honest, ethical and trustworthy, trustee malfeasance happens. When a trust is mismanaged the funds meant for beneficiaries can be greatly reduced or even lost. Keeping a watchful eye on a trust can help you spot mismanagement before considerable damage is done.
Imagine creating something brand new. As it grows, you realize you need help keeping up so you bring in outside experts. You sign a contract with those experts and your creation continues to grow.
Efficiency is a big part of running a successful business. Most businesses hire outside of their own walls for certain jobs, and there is a risk anytime another company gets involved in operations. Hiring a third party may free resources for other work, but you are still liable for their actions on your behalf. The contract between businesses is vital.
A $1.6 million inheritance, an isolated elderly man and two feuding parties. It may sound like the plot of a new movie, but the real life scenario is far from entertaining.