M
msbliss
Guest
California--
My mother died last October. Her live-in partner of 14 years is the trustee and a beneficiary of a "lifetime income." My brother and I are the beneficiaries after he dies.
We're having problems because the Trustee broke our handshake-agreement & hasn't kept us informed about MAJOR decisions. We found out he's liquidated half of our $630k estate. This week, my brother & I called for an annual accounting (as per the trust) and the trustee didn't bring the checkbook or records of any kind. We're concerned about a few things. Here are the 2 biggies:
1) The trustee's explanation of how his "lifetime income" is calculated doesn't match what my mom told me before she died. Here's the paragraph in question if anyone wants to try to explain it to me:
"income for his lifetime ( a life estate) genergated by the investment of the remaninder equities in my estate following the settlement of my estate. As part of his liftime income (life estate) he may have the trustee acquire a property he wishes to reside in and thereby forgo that portion of income generated from the estate in the same amount as needed to pay for housing for himself. This income for his ifetime shall be distributed to my companion (name deleted.)"
The trustee paid off the house he is living in, so that he may live rent-free, as per the above paragaraph. I don't understand what other money his is entitled to. What is the "forgo..."part about?
2) My mom's estate was invested in 2 houses, which were gaining equity for my brother & my future. The trustee liquidated one and invested $90k in an interest-bearing note. He gets the interest on the note, we lost our equity. This seems like self-dealing to us.
Any help appreciated.
My mother died last October. Her live-in partner of 14 years is the trustee and a beneficiary of a "lifetime income." My brother and I are the beneficiaries after he dies.
We're having problems because the Trustee broke our handshake-agreement & hasn't kept us informed about MAJOR decisions. We found out he's liquidated half of our $630k estate. This week, my brother & I called for an annual accounting (as per the trust) and the trustee didn't bring the checkbook or records of any kind. We're concerned about a few things. Here are the 2 biggies:
1) The trustee's explanation of how his "lifetime income" is calculated doesn't match what my mom told me before she died. Here's the paragraph in question if anyone wants to try to explain it to me:
"income for his lifetime ( a life estate) genergated by the investment of the remaninder equities in my estate following the settlement of my estate. As part of his liftime income (life estate) he may have the trustee acquire a property he wishes to reside in and thereby forgo that portion of income generated from the estate in the same amount as needed to pay for housing for himself. This income for his ifetime shall be distributed to my companion (name deleted.)"
The trustee paid off the house he is living in, so that he may live rent-free, as per the above paragaraph. I don't understand what other money his is entitled to. What is the "forgo..."part about?
2) My mom's estate was invested in 2 houses, which were gaining equity for my brother & my future. The trustee liquidated one and invested $90k in an interest-bearing note. He gets the interest on the note, we lost our equity. This seems like self-dealing to us.
Any help appreciated.