Probate & Trust Law Section Conference Manual ... - Minnesota CLE

eneficiary, such trustee shall not participate in the exercise, or decision not to exercise, any
discretion over payments, distributions, applications or uses of trust property to or for the benefit of a
beneficiary in discharge of any obligation of support. No trustee shall participate in the exercise of
any discretion (including, but without limitation, any discretion which would constitute an “incident
of ownership” within the meaning of Section 2042(2) of the Internal Revenue Code) with respect to
any insurance policy on his or her life held hereunder. In each case, the determination of the
remaining trustees or trustee shall be final and binding upon the beneficiaries of such trust. In
addition, no individual shall serve as trustee of any trust which holds property with respect to which
such individual has made a qualified disclaimer within the meaning of Section 2518 of the Internal
Revenue Code.]
Except to the extent, if any, specifically provided otherwise in this Agreement, references to the
trustee shall, in their application to a trust hereunder, refer to all those from time to time acting as
trustee and, if two trustees are eligible to act on any given matter, they shall act unanimously, and if
more than two trustees are eligible to act on a given matter, they shall act by majority. In the
exercise of discretion over distributions, if this Agreement provides that certain trustees may
participate in distributions limited by an ascertainable standard while a different set of trustees may
participate in distributions for any purpose, if the two sets of trustees (each acting by its own
majority) want to distribute the same item of income or principal to different recipients, the
distribution desired by the set of trustees participating in distributions for any purpose shall prevail.
*Optional Section 1.14
Provisions for Trust Advisor 5
The function of the Trust Advisor is to direct my trustee in matters concerning the trust, and to assist,
if needed, in achieving my objectives as manifested by the other provisions of my estate plan.
Any Trust Advisor named or appointed under this Section must be a corporate fiduciary or an
individual who is not related or subordinate to a transferor or any beneficiary within the meaning of
Section 672I of the Internal Revenue Code.
Designation of Trust Advisor
I appoint *________________________ to serve as Trust Advisor of each trust created under
this agreement.
Resignation of Trust Advisor
A Trust Advisor may resign by giving notice to me. If I am deceased, a resigning Trust
Advisor must give notice to the income beneficiaries of the trust and to the trustee then
serving.
A Trust Advisor’s resignation takes effect on the date set forth in the notice, but in any event
no earlier than thirty (30) days after the date of delivery of the notice of resignation, unless an
earlier effective date is agreed to by me or by the trustee. A resigning Trust Advisor shall not
be liable or responsible for the act of any successor Trust Advisor.
5 A Trust Advisor can also be called a “Trust Protector.” Note that the Trust Advisor is given certain powers here
and not others.
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