Please help me understand the language of this trust

[lisasmith123]

What is the name of your state (only U.S. law)? Florida
1.08 Health, Education, Maintenance and Support. A power to consume, invade, or appropriate income or principal, or both, for a beneficiary’s “health, education, maintenance and support” shall be construed to mean based upon the standard determined advisable by the Trustee. It is the Settlor’s intention that the Trustee will apply Trust assets to secure the health, education, comfort and advancement of the Beneficiaries, and as such, any Trustee acting shall have discretion

to apply income and principal, for education and extraordinary health needs of any descendant of a Primary Beneficiary, as well as for the benefit of any Primary Beneficiary. The term “health” shall include medical, dental, hospital and nursing expenses and the expenses of invalidism. The term “education” shall be broadly defined to include primary and secondary education at public or private schools, college, post graduate and professional education at an institution of the beneficiary’s choice, and any general or special course of study of academic, vocational or musical pursuit of the beneficiary’s choice (whether or not institutional). In determining payments to be made for such education, the Trustee shall take into consideration the beneficiary’s related living expenses to the extent that they are reasonable. The Trustee shall be aware that it is the Settlor’s express desire that all beneficiaries hereunder be afforded the opportunity to attain the highest degree of education that said beneficiary may desire including expenses incidental to the educational expenses of any beneficiary hereunder such as tuition, room and board, fees, books, supplies and transportation in order to be productive members of society. The term “maintenance and support” is not limited to the bare necessities of life, and shall include maintenance in health, and reasonable support in the beneficiary’s accustomed manner of living. The Trustee is encouraged to withhold the payment of distributions that would otherwise be unwisely spent, would disqualify the beneficiary from receiving public assistance, or might be seized by creditors or the divorced spouse of the beneficiary.
When an individual is the Primary Beneficiary of a Trust herein created, as specified in the language of this Agreement, then the Trustee shall consider the needs of the Primary Beneficiary before the needs of the remainder or additional Beneficiaries.
It is the Settlor’s intention that the income and principal of the trusts be liberally distributed for the health, education, maintenance and support of the Primary Beneficiary of any trust established hereunder, except as to any Trust for jenna jones. With respect to each trust established for a descendant of the Settlor (other than for JENNA JONES), the Settlor does not request that distributions be limited so as to facilitate the trust principal maintaining its value once the beneficiary has been fully educated, and the Settlor intends that distributions do not need to be the equivalent to what can conservatively be expected to allow for the remaining trust assets, and growth thereon, to at least keep up with inflation over time.
Notwithstanding the above, no power to consume, invade, or appropriate income or principal for a beneficiary’s “health, education, maintenance, and support” shall permit any distribution that would not be considered consistent with the term “ascertainable standard” under Florida Statute Section 736.0504 and Internal Revenue Code Sections 2041(b)(1)(A) and 2514(c)(1) so as to maintain protection from creditors and estate tax as permitted under such laws.
I am jenna jones pls help..


(1) Income and Principal. During the lifetime of the Primary Beneficiary, the Trustee shall pay to or for the benefit of the Primary Beneficiary and/or such Beneficiary's descendants, at any time and from time to time, such sums from income and/or principal as are reasonably necessary for their health, education, maintenance and support as defined in Section 1.08 of this Agreement. Any distributions shall come first from income and then from principal. Any undistributed income shall be added to principal.

does this mean the trust will only pay income to the beneficiary. I have the entire trust but this part seems to indicate that Jenna Jones money will be doled out to her. what is the possible way for that to happen .. thanks


how do trusts payout income to beneficiaries.. this trust will be managed by a co-trustee

can the principal remain in the trust until I die? it seems like I will only be able to receive interest for my lifetime... I have the entire document and I am very confused. I really want to be more informed due to a strained relationship with my family.. the other beneficiary is my brother who seems to be able to have access to everything. The trust is set up to restrict me due to this abusive family situation.

thanks any insight would be appreciated
What is the name of your state (only U.S. law)? florida

 

[curb1]

Is there "any Trust for jenna jones"? Are you mentioned in any other documents as a beneficiary?

I think you drew the short straw.

 

[lisasmith123]

yes there is a jenna jones trust. I am to receive half of the trust.. its me and my brother... he gets half and i get half.. but im so confused

 

[lisasmith123]

Available GST Exemption. The term "available GST exemption" means the generation-skipping transfer (GST) tax exemption provided in Section 2631 of the Code in effect at the time of the transferor's death reduced by the aggregate of (1) the amount, if any, of such exemption allocated to lifetime transfers by the transferor or by operation of law, and (2) the amount, if any, that the transferor specifically allocated to other property of his or her gross estate. For purposes of determining such available GST exemption, if at the time of the transferor's death the transferor has made taxable gifts (as defined in IRC section 2503) for which the gift tax return due date has not expired (including extensions) and the transferor has not yet filed a return, it shall be deemed that the transferor's GST exemption has been allocated to these transfers to the extent necessary (and possible) to exempt any transfers to a "skip person" as defined in Internal Revenue Code Section 2613 or any "GST Trust" as defined in Internal Revenue Code Section 2632(c)For purposes of the preceding sentence, a Trust not otherwise meeting the definition of a GST Trust shall be considered a GST Trust if an election is in effect at my death to treat the Trust as a GST Trust with respect to all transfers by me or the instrument of transfer or the governing instrument clearly evidences an intent that my GST exemption is to be allocated to the Trust, provided that a Trust otherwise meeting the definition of a GST Trust shall not be considered a GST Trust if an election is in effect at my death to not apply Internal Revenue Code Section 2632(c) to all transfers by me to the Trust or the instrument of transfer or the governing instrument clearly evidences an intent that no portion of my GST exemption is to be allocated to the Trust.
1.11 Primary Beneficiary. A descendant for whose primary benefit a separate trust is established shall be known as the Primary Beneficiary of such separate Trust. Therefore, john jones shall be considered the Primary Beneficiary of the albert jones TRUST FOR john jones and jenna jones shall be considered the Primary Beneficiary of the albert jones TRUST FOR Jenna Jones.
1.12 Net Income. The term “net income” means the net income of the trust or a separate trust herein established as determined by the Trustee using appropriate fiduciary standards.

 

[lisasmith123]

The GST Share shall be held, managed and distributed as provided in Section 4.02(b) of this Trust Agreement, and the Non-GST Share shall be held, managed and distributed as provided in Section 4.02(c) of this Trust Agreement.
Notwithstanding anything herein to the contrary, if as of the date of my death, this Trust co- owns a residence with the JENNA JONESGIFTING TRUST under the ALBERT JONES IRREVOCABLE TRUST, which at the date of the execution of this Agreement is the residence located at 123 MILLER ST XX, FLORIDA then the interest in the residence owned by this Trust shall be devised to the separate Trust established for the benefit of JENNA JONES under Section 4.02(b) below.

 

[lisasmith123]

(b) Administration of the ALBERT JONES TRUST FOR JOHN JONES and Descendants and the albert jones TRUST FOR JENNA JONES and Descendants. The Trustee shall divide the Generation Skipping Trust, which shall consist of the amount passing upon my death to the GST share under Subsection (a), into separate equal shares for each of my children, per stirpes, and each share shall be held as a separate trust. The separate trust established for JOHN JONES and her descendants shall be called the ALBERT JONES TRUST FOR JOHN JONES and shall be held, managed and distributed as follows, with JOHN JONES being considered the initial Primary Beneficiary of the trust.

The separate trust established for JENNA JONES and her descendants shall be called the ALBERT JONES TRUST FOR JENNA JONES, and shall be held, managed and distributed as follows, with JENNA JONES being considered the initial Primary Beneficiary of the trust. Each separate trust shall be held, managed and distributed as follows:

(1) Income and Principal. During the lifetime of the Primary Beneficiary, the Trustee shall pay to or for the benefit of the Primary Beneficiary and/or such Beneficiary's descendants, at any time and from time to time, such sums from income and/or principal as are reasonably necessary for their health, education, maintenance and support as defined in Section 1.08 of this Agreement. Any distributions shall come first from income and then from principal. Any undistributed income shall be added to principal.

(2) Power of Appointment. The Primary Beneficiary shall have a limited Power of Appointment as defined in Section 1.09 of this Agreement with respect to his or her separate trust, and upon the Primary Beneficiary's death, the Trustee, as designated pursuant to Section 6.04, shall pay the remaining income and principal, or such portion thereof over which said Power is exercised, as the Primary Beneficiary directs pursuant to the exercise of such Power, provided that at all times any trust or similar arrangement established as a result of the exercise of such Power of Appointment shall have a licensed trust company serving as a co-trustee, and meeting the requirements of Section 1.06 of this Agreement.

If JOHN JONES is the Primary Beneficiary, and if she is INCAPACITATED based upon the standards and evidence required under Section 8.05 of this Agreement, then during the time of her INCAPACITY, JULIE JONES shall have the right to exercise such power of appointment on her behalf for the sole benefit of the descendants of JOHN JONES, subject to such exercise being changed by JOHN JONES upon regaining mental
capacity.

(3) Disposition in Lieu of Exercise of Power of Appointment. Upon the Primary Beneficiary's death and to the extent not otherwise effectively appointed, the Trustee, as designated pursuant to section 6.04, shall divide the Primary Beneficiary's separate trust into separate equal shares, per stirpes, for the Primary Beneficiary's descendants, if any, and if none, for the then surviving descendants of JOHN JONES, per stirpes, and each separate share shall be held as a separate trust. The descendant for whom a separate trust is established shall be known as Primary
FIFTH AMENDED AND RESTATED TRUST AGREEMENT OF THE ALBERT JONES REVOCABLE TRUST
Beneficiary of such separate trust, and each separate trust shall be held, managed and distributed for the benefit of such Primary Beneficiary pursuant to paragraphs (1) through (3) of this subsection (b).

(c) Children's Trust Provisions. The Trustee shall divide the Children's Trust, which shall consist of the amount passing to the Non-GST Share under subsection (a) upon my death, into separate equal shares for each of my children, per stirpes, and each share shall be held as a separate trust. The descendant for whom a separate trust is established shall be the Primary Beneficiary of such separate trust for the purposes of this subsection, and each separate trust shall be held, managed and distributed pursuant to the provisions of Article Five of this Trust Agreement.
4.03 Contingent Distribution. If all of the beneficiaries of this Trust or any separate trust administered under this Article die and none of the persons entitled to receive distribution of the income or principal of such Trust nor their descendants are then living, the Trust shall immediately terminate and the remaining property in trust shall be distributed 30% to Plant Foundation, 40% to GOE General Hospital, and 30% to The Salvation Army.
4.04 Generation Skipping Tax Savings Provision. It is my express intention that the trusts created under this Agreement after my death will have an inclusion ration of zero (0) for federal generation skipping transfer tax purposes. Therefore, notwithstanding anything in this Trust Agreement to the contrary, the Trustee shall create at the time of the establishment of such trusts, a separate non-generation skipping share to qualify as a “substantially separate and independent share” as such term in defined in Treasury Regulations Sections 1.663(c)-3 and 26.2654-1, as then amended. Any property in the non-generation skipping share shall be held, managed and distributed as provided in this Trust Agreement, except that the testamentary power of appointment in Section 5.01 with respect to a separate share for a Primary Beneficiary shall include the power to appoint the property in such separate trust to the beneficiary’s estate if and to the extent necessary to avoid the imposition of generation skipping transfer tax. Each separate share shall be considered a separate Trust to be held and managed pursuant to the terms set forth herein.

4.05 Possible Repeal of Federal Estate and Generation Skipping Taxes. I understand that it is possible that in the future federal generation skipping and estate taxes may be repealed, but I recognize that thereafter such taxes may be reinstated. Therefore, I desire that to the extent possible Trusts that can be formed to be immune from federal estate tax and federal generation skipping tax shall nevertheless continue to the extent permitted by applicable law.

THANK YOU VERY MUCH FOR ANY THOUGHT YOU HAVE..

 

[curb1]

Who is the trustee for these trusts?

 

[curb1]

What kind of assets are held in the trust?Are the assets titled in the trust name?

 

[curb1]

Is Albert Jones still living?

 

[lisasmith123]

6.02 RESIGNATION OR INCAPACITY.
Upon my resignation or incapacity, if I was serving as Trustee and became unable to continue to do so, or upon the resignation, incapacity, death or removal of any Trustee other than myself during my lifetime, the first available of the following individuals or entities shall serve as Trustee or as Co-Trustees as provided herein:

a) My son, john jones, shall serve as Successor Co-Trustee with her choice of FIDELITY INVESTMENTS, VANGUARD TRUST COMPANY, TIAA-CREF TRUST COMPANY, or any licensed trust company meeting the requirements of Section 1.06 hereof, and JOHN JONES shall have the power to remove and

(b) If my son, JOHN JONES, is unable or unwilling to serve as Successor Trustee, then such trust company as may then be serving as Co-Trustee shall continue to serve, and if no licensed trust company is then serving, then XXXXXX, ESQUIRE shall serve as Successor Trustee with his choice of a licensed trust company meeting the requirements of Section 1.06 hereof, and shall have the right to replace the acting licensed trust company with an alternate licensed trust company meeting the above requirements.


6.03 TRUSTEESHIP UPON DEATH OF ALBERT JONES.
Upon my death, or upon the resignation, incapacity, death or removal of a successor Trustee after my death, the first available of the following individuals or entities shall serve as Trustee or as Co-Trustees as provided herein to administer the Trust assets pursuant to Section 4.01 of this Agreement and divide the rest, remainder, and residue of the Trust estate pursuant to Section 4.02(a) of this Agreement:

(a) XXXXXX, ESQUIRE shall serve as Successor Trustee, provided that JOHN JONES may at any time and for any reason require that XXXXXX, ESQUIRE, serve as Co-Trustee with a licensed trust company of her choice and JOHN JONES shall have the power to replace the licensed trust company at any time and for any reason with an alternate licensed trust company.

(b) If XXXXXX, ESQUIRE is unable or unwilling to serve as Successor Trustee, then JOHN JONES and a licensed trust company meeting the requirements of Section 1.06 hereof chosen by her shall serve as Successor Co-Trustee and shall have the power to replace the licensed trust company then serving at any time and from time to time with an alternate licensed trust company.

(c) If neither of XXXXXXX, ESQUIRE nor JOHN JONES are able or willing to serve as successor Co-Trustees, then JULIE JONES shall serve as successor Co- Trustee with his choice of a licensed trust company meeting the requirements of Section 1.06 hereof and shall have the power to replace the licensed trust company then serving at any time and from time-to-time with an alternate licensed trust company, but must at all times have a licensed trust company serving as Co-Trustee with him. Notwithstanding the preceding sentence, JULIE JONES shall only have the authority to serve as successor Co-Trustee if JULIE JONES has executed a post-nuptial agreement with JOHN JONES, which effectively disclaims any and all rights that he would have as a result of any inheritance received by or held in trust for JOHN JONES, as effective in the opinion of an AV rated divorce attorney retained by the Trustee, so that amounts set aside for JOHN JONES under this Trust Agreement would not detrimentally

FIFTH AMENDED AND RESTATED TRUST AGREEMENT OF THE ALBERT JONES REVOCABLE TRUST
affect her in the unlikely event of a divorce. If JULIE JONES is also unable or unwilling to serve as Co-Trustee, then the Trustee shall be a licensed trust company meeting the requirements of Section 1.06 hereof chosen by a majority of the beneficiaries of each Trust that have obtained the age of 30.
Notwithstanding any provision above, after my incapacity or death any individual serving as Trustee, other than XXXXXXX, ESQUIRE, as described above, shall be required never to serve as sole Trustee, but to at all times serve as a Co-Trustee with a licensed trust company (and/or with one or more of the other individuals named above in this Section 6.03 as permissible alternate Trustees where above permitted) and shall have the power to appoint such Co-Trustee and to at any time replace the trust company or individuals then serving with an alternate licensed trust company at any time and/or for any reason, the purpose of this co-trusteeship requirement being to provide checks and balances and to provide for shared responsibilities with respect to individuals appointed to serve as Trustee after my death.


6.04 Trusteeship of Separate Trusts. Upon the death of ALBERT JONES, and the subsequent coordination with the probate estate pursuant to Section 4.01 of this Agreement, trusts shall be created and assets devised in accordance with Section 4.02(a) of this Trust Agreement.

A. The ALBERT JONES TRUST FOR JOHN JONES and/or her lineal descendants shall be created and assets devised in accordance with Section 4.02(a).
As the Primary Beneficiary of a separate trust, JOHN JONES (and/or her lineal descendants if and when they become Primary Beneficiary) shall have the ability to do the following upon reaching the age designated in Subsections (1) and (2) below with respect to such separate trust:
(1) To designate the successor Trusteeship, to take effect upon the death of the Primary Beneficiary, of such separate trust or any trusts created therefrom, by signed writing delivered to the Trustee then serving or by specific reference to this power in the Primary Beneficiary's Last Will and Testament, upon reaching the age of thirty (30); and
(2) To serve as Co-Trustee with XXXXXXX, ESQUIRE or a licensed trust company chosen by such Primary Beneficiary, and to replace XXXXXXX ESSQUIRE or any acting licensed trust company with an alternate licensed trust company, provided that at all times during the lifetime of the Primary Beneficiary there shall be a licensed trust company serving as Co-Trustee, upon attaining the age of forty (40).

 

[lisasmith123]

sorry that took me so long. the trust for jenna jones will be co-trustee with vangaurd as per 1.08 .. i just wonder if this means jenna jones will receieve interest on the principal and not be able to touch the principal...

is that what this all means? can the principal just remain in the trust for the lifetime of jenna jones..

can jenna jones buy a home with any of this trust. the language above seems to exclude jenna jones but I am still confused.

im figuring the income will be doled out over her lifetime as the language indicates now.. is that possible that jenna jones could never access the principal at all.. the language in the trust does not allow her to remove the co-trustee (vangaurd) yet john jones is able to do what he wants with his trust ... thanks sorry for being so long winded

as for the assets yes I believe they are held in the trust.. so i believe all these trust rules would apply to them. Im out of the loop due to strained relationships with the family.. I pray I can get a clue here.. just to understand the documents.. I can't afford to go talk to a lawyer at the moment..

 

[curb1]

Depending on the value of the assets, Section 1.08 is quite generous.