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

estrictive access to principal. Consider the benefit of
using unitrust language in your document to allow for a
total return approach in making distributions to the income
beneficiary.
l. Clauses giving the Beneficiary a 5/5 power.
1. This is another very good solution to making sure that
beneficiary distributions are not too restrictive. These
powers if granted remove any discussion from the equation
because the beneficiary has a right to ask for the amount
granted without giving a reason. This, coupled with a
distribution of net income is a nice way to achieve some
impartiality as between the income and principal
beneficiaries and harmony with the corporate trustee.
m. Language Allowing a Change of Situs, Principal place of
Administration and Governing Law.
1. Including this language gives the trustee the greatest
flexibility to do what is in the best interests of the
beneficiaries.
n. Language Giving the Trustee Power to Request a Budget and
Financial Information.
1. It is common to see language requiring the trustee to look
to the beneficiary’s other resources when making a
discretionary decision, but if there is a reason to strengthen
that language due to the family dynamics this will help to
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