Trust documents created by a person enable another designated party, known as the trustee, to administer the terms of the Trust. Those trustee responsibilities begin either right away or upon the incapacity or death of the person who created the Trust. However, depending on the specific terms of the trust, if beneficiaries of the Trust become unhappy at some point with how the trustee is performing their responsibilities, the trustee could possibly be removed from the Michigan Trust management position.

To successfully remove the trustee, the beneficiaries must be able to show that the trustee has failed in performing their fiduciary duties. These fiduciary duties include:

• Keeping records of all disbursements and transactions
• Completing an inventory of all Trust assets
• Paying costs, expenses and debts
• Settling creditor claims
• Communicating and reporting to beneficiaries
• Administering aspects of the Trust, such as investing assets
• Distributing assets to beneficiaries in accordance with the terms of the Trust

Beneficiaries must show a serious breach of Trust by the trustee if they intend to bring this claim for removal on their own. Other ways to remove a Michigan trustee from a Trust may involve a court determination that removal serves the best interest of the Trust or that there has been impairment of Trust administration due to lack of cooperation among co-trustees. If you are concerned about how best to protect your Michigan Trust, schedule a consultation with an experienced lawyer today.