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What Are the Legal Grounds for Removing a Trustee?
A trustee has a significant role in the management and administration of a trust. They must adhere to the trust’s terms to benefit the beneficiaries. Trustees who breach their duties can face legal consequences, including removal from their position. Once you identify the need to remove a trustee, it’s crucial to consult skilled trust litigation lawyers in Florida.
They can provide an overview of the legal standards that govern trustee removal, which is the framework for protecting the beneficiaries’ interests. The legal landscape of removing a trustee is a combination of statutory and case law, which provides the following legal grounds for removing a trustee:
Breach of Trust
Breach of trust is a violation of fiduciary duties by a trustee. If a trustee makes decisions that don’t align with the beneficiaries’ best interests, they commit a breach of trust for which you have legal grounds to have them removed. Trust litigation attorneys in Orlando provide the following examples of actions that amount to a breach of trust:
- Investing trust funds for personal interests
- Not cooperating with the beneficiaries
- Misappropriation of funds
- Failing to distribute assets according to the trust’s terms
- Lack of transparency and communication
Unfitness to Manage a Trust
You can take legal action to remove a trustee if they demonstrate an inability to manage the trust diligently or ethically. For example, a trust may contain complex assets, such as substantial real estate or business entities, but the nominated trustee doesn’t have sufficient skills to manage the assets.
If they act negligently, you would entirely be within your rights as the trust beneficiary to remove the trustee. A trustee could also be unfit if they don’t meet the age requirements for the role, which is 18 years and above. Orlando trust litigation lawyers can evaluate your claims.
Refusal to Preform Duties
A trustee may fail to act in their capacity despite being named in a decedent’s trust. Trust litigation attorneys in Orlando explain that a nominated trustee has the right to refuse their appointment. However, it would be in everyone’s best interests to notify the beneficiaries of their unwillingness to serve if they already accepted the appointment.
If they fail to step down or formally resign from their role yet won’t perform their duties, you can take steps to remove them.
Failure of Co-Trustees to Cooperate
Not all trusts have co-trustees, but those that do can have multiple administration challenges. The trust instrument may require all the co-trustees to sign off on all the decisions related to the trust. If the co-trustees disagree with a decision, they may withhold approval, indefinitely delaying the relevant part of trust administration.
When co-trustees keep disagreeing on important decisions, they may paralyze the trust litigation and management process. In that case, you can sue to remove one or more co-trustees because of their inability to cooperate.
Expensive Trustee Compensation
The law requires trustees to collect reasonable trustee fees, which should be proportional to the amount of work they put into managing the trust. The charges can differ depending on whether the trustee is professional or non-professional, with higher fees for professional trustees.
If trustees charge excessive fees, you can take action to have them removed. Accumulative trustee fees can significantly reduce your inheritance, and you should fight to protect your rights. While you can raise your concern about the high compensation with the trustee directly, a petition to remove them could be your only option if the trustee doesn’t budge.
Fraud and Undue Influence
Florida trust litigation lawyers define fraud as an intentional act of deception and undue influence as pressuring a vulnerable person into acting against their free will. If a trustee is likely to commit fraud or is susceptible to undue influence, they should not be managing the trust.
How Can I Petition the Court to Remove a Trustee?
With the help of Orlando trust litigation lawyers, you can file a petition for the removal of a trustee. Depending on the case specifics, you could seek financial damages from the trustee. Your petition must be accompanied by sufficient evidence to demonstrate to the court how the trustee violated the trust’s terms or fiduciary duty.
The process of removing a trustee through the court can be complex, often requiring the following actions:
- Conducting dispositions
- Issuing subpoenas for records
- Court order for the trustee to provide accounting
- Testimony from accountants and other financial experts
Once you file a petition for trustee removal, the court will allow them to defend themselves against the procedure. Work with dedicated trust litigation lawyers in Orlando to help you build a strong case for a favorable outcome. Besides, skilled lawyers understand the importance of protecting the trust’s interests.
They can provide legal representation while keeping a vigilant eye on the supervision and administration of the trust through:
- Monitoring and trust management
- Appointing interim trustees, if necessary
- Consistent communication to keep beneficiaries informed
A Skilled Trust Litigation Lawyer Guiding You Through the Trustee Removal Process
The law places a high standard on trustees, requiring them to adhere strictly to their fiduciary responsibilities, keep thorough records, and maintain transparency. As a beneficiary, you should be informed of your rights and be vigilant in overseeing the trustee’s actions. If you have valid reasons for having a trustee removed, seek legal counsel from legal experts.
Bloodworth Law is a 2020-2025 U.S. News & World Report Best Law Firm in Trusts & Estates Litigation, and has a knowledgeable team of trust litigation lawyers who can work with you to protect your trust’s interests. We can evaluate your case, analyze specific issues, and represent you when filing a complaint to remove a trustee. You don’t have to handle trust disputes on your own. Call us at 407-449-8958 to schedule a FREE consultation.
