Also known as:replacement trustees · successor trustee
Written by attorneys · grounded in primary & secondary sources — see below
A trustee appointed to succeed a prior trustee who has resigned, been removed, or otherwise ceased to act. Appointment occurs when the trust instrument designates a successor, all qualified beneficiaries request removal after a substantial change of circumstances, or a court determines removal best serves beneficiary interests without defeating a material trust purpose and a suitable successor is available. The replacement assumes full trustee duties upon delivery of trust property.
Sources & Authorities
How it applies
Common Examples
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Beneficiaries Seek Court Removal
Renee Rogers and her siblings, all qualified beneficiaries of a family trust, petition the court after the original trustee relocates abroad and investment performance declines sharply. The court finds a substantial change of circumstances, determines that removal serves all beneficiaries' interests without violating any material purpose, and confirms that Radiant Technologies stands ready to serve. The court appoints Radiant Technologies as replacement trustee and directs transfer of trust assets.
Removed Trustee Retains Protective Duties
After a court removes Roger Ramirez as trustee of an investment trust for persistent mismanagement, no cotrustee remains in office. Ramirez must continue exercising trustee powers solely to safeguard the assets, including maintaining insurance and preventing unauthorized withdrawals, until he delivers the property to the replacement trustee. The court may also issue interim protective orders during the transition.
Select any source to read its text and confirm it supports the definition.
Uniform Acts
Restatements
Study Supplements
Expeditious Delivery of Trust Property
Rajesh Rao resigns as trustee of a real-estate trust at the beneficiaries' request. He must promptly assemble all trust deeds, bank accounts, and records and deliver them to the designated replacement trustee, Rocky Mountain Mining, without unnecessary delay. Any failure to complete delivery expeditiously exposes Rao to liability for resulting losses.
Widow Challenges Trust Administration
After Ernest Sullivan's death, his widow petitions to include assets held in an inter vivos trust in the probate estate for her elective share. The court appoints a replacement trustee to administer the trust during the litigation and to ensure proper accounting and asset protection pending final resolution of the widow's claim.
Sullivan v. Burkin390 Mass. 864, 867, 460 N.E.2d 572 (1984)
Common questions
Frequently Asked
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Under what circumstances may a court remove a trustee and appoint a replacement?+
A court may remove a trustee and appoint a replacement when all qualified beneficiaries request removal after a substantial change of circumstances, when the court finds removal best serves beneficiary interests without defeating a material trust purpose, and when a suitable successor is available.
Supporting sources
What duties does a removed or resigned trustee owe until a replacement receives the trust property?+
The removed or resigned trustee retains the duties of a trustee and the powers necessary to protect the trust property until delivery occurs, unless a cotrustee remains or the court orders otherwise.
Supporting sources
How quickly must an outgoing trustee deliver trust property to a replacement?+
An outgoing trustee must proceed expeditiously to deliver all trust property in its possession to the replacement trustee or other entitled person.
Supporting sources
Does the trust instrument control who may serve as a replacement trustee?+
Yes. A person designated in the trust terms to act as successor trustee may accept the role, and the instrument's designation governs unless the court removes that designee for cause.
Supporting sources
390 Mass. 864, 460 N.E.2d 572 (1984)Wills Trusts and Estates
…as he might request in writing from time to time. He retained the right to revoke the trust at any time. On his death, the successor trustee is directed to pay the principal and any undistributed income equally to the defendants, George F. Cronin, Sr., and Harold J. Cronin, if they should survive him, which they did. There were…