Uncooperative/Beligerent Bebeficiary

[trust_id_09]

What is the name of your state (only U.S. law)? NEW YORK

I am the nominated trustee of a 500K estate comprised of cash, stocks including real estate. The deaceased had a no contest clause added in the instrument. I am faced with a situation whereby, one of the beneficiary is uncooperative and belligerent towards me due to his frustration as far as being in an other country and a little bit of ego as well. He was deported (don't even want to know why?) to his country of birth. I try to be sympathetic by asking 2 of his siblings residing in the US and do communicate with him from time to time, to provide me with a mean of communication electronic or otherwise. To no avail. I conveyed to both of them, at the suggestion of my lawyer, to authorize one of them legal signature on a limited power of attorney when consent needs to be signed. He flat out refused. He called me all but once, to suggest to deal with his recent wife in lieu of him. Obviously I told him it will be violating the term of my fiduciary duties as the trustee unless that person is the bearer of a POA. It has been 2 months since then I have not heard from him. I need to provide to all concerned in writting an account as well as consent to be signed before I distribute the cash new. The proceed of the sale of real estate will be distributed at a later time due to economy (which puts real estate sale at a very slow pace).
The siblings have given me the run around for nearly 3 months now. I think something is very fishy here?
Aside from the above legal recourse, which I would rather avoid, what other legal alternative do I have?

Note : 5 years ago he failed to sign an amendment of trust drafter by the estate attorney which cost us a lot of money as a result. I presume he was in jail then and perhaps could not. But what now?

Please help?

 

[tranquility]

A beneficiary does not have a legal duty to cooperate.

 

[trust_id_09]

Uncooperative/Beligerent Beneficiary

A beneficiary does not have a legal duty to cooperate.

I understand that. But I have the right as the trustee to excercise the No Contest clause if I deem the beneficiary is not in his right to act the way is has been. Mind you, he ha no valid reason to behave that way except perhaps on assumption. None of them knew the deceased except vaguely from childhood. Moreover, they have no idea of any specific amount, nor did I acted in any way inapropriatly.
I will ask my attorney whe he/she thinks. But I am aprehensive of how long the litigation might last and more importantly, the costs.

Thanks for your input.

 

[tranquility]

Not cooperating is not a contest. As a trustee, you don't really have a lot of rights, but duties. I think you need to see an attorney to advise you on the situation or you could find yourself in breach of your fiduciary duties. Litigation costs is the beneficiary's problem. He's (or they are) the one(s) losing money

 

[trust_id_09]

Uncooperative/Beligerent Beneficiary

I do have an attorney and he his in a way contesting the direction of the trust by alleging to his siblings that the deceased was a millionaire. Mind you, he does not know very well the deceased and her circumstances but briefly.
"Greed!! for lack of a better word is not such a good thing after all!!! " He called my lawyer and asked to be represented by him/her while the firm was assisting me in collection trust assets (conflict of interest). Therefore the firm was fully aware of what I was doing. He was, as a result chastized by the firm for it. Ordering him to contact his trustee instead then he refused.

The guy is not very bright obviously and is an agomania.

I am so sure about breach of fidutiary duties. There is none so far and I don't intend to.

But Thanks for your input.

 

[tranquility]

I do have an attorney and he his in a way contesting the direction of the trust by alleging to his siblings that the deceased was a millionaire.

That is in no way, no how, not a chance something which would implicate a no contest clause.

 

[Dandy Don]

Does his wife live in the US or in a foreign country?
What country did the uncooperative beneficiary move to?
How much money will he be receiving?

You can give the limited power of attorney papers to his wife so she can get his signature approval and make sure it is notarized. Discreetly try to find out by asking her or his siblings the reason why he was deported--maybe he is unreasonably concerned about the government possibly finding out his whereabouts and he may not want that--who knows what the real reason is? But if they still won't provide information then don't be too aggressive in trying to find that out.

Some foreign countries (Cuba, for example) do not allow residents in receive inherited funds from a US estate but let's hope that is not the case where he moved to. Ask your attorney to do some research to see if there would be any US tax consequences (will he have to pay any state or federal income taxes on it) for this person to receive his money so that you could advise him at the time he receives his check.

DANDY DON IN OKLAHOMA ([email protected])

 

[latigo]

Why saddle yourself with the frustration and likely expose yourself and family to harmful retaliation from this recalcitrant loose screw? RESIGN!

 

[Dandy Don]

On what possible grounds could there be harmful retaliation? The subject is too stupid to claim his own money!!! Gee whiz.

 

[trust_id_09]

Uncooperative/Beligerent Beneficiary

Thank you all for your input.

Tranquility: You may have a point.

Latigo: But I have not given the green light to my attorney to start any proceedings nor did he/she ever imply that there is probable cause. It is left up to me and I am trying to avoid any kind of litigation. But it is not fair to tie up any distribution due the other beneficiaries (myself included) because of this nut. RESIGN!: It is not that simple.

Dandy Don: The wife, behind whom, I feel he is hiding lives in the same caribbean country (I'd rather not disclose). The money he is likely to receive is nearly 100K. Everyone I spoke to in the family is steering me towards the wife. It was even suggested to me, by one sibling, to either go there (which I have no desire to do) or to meet him outside of the US??? (that's when my radar went up). I'm speculating, but drug may be involved and I want no part of meeting anyone involved in that type of lifestyle (no offense to anyone, but it's not for me).

Trust me, I am the one who is being gentle with full disclosure from their part of why he is that mess.

It is my intuition, but perhaps he may have a good reason to remain "incognito" i.e. change of identity, get his money and flee elsewhere under an assumed name (it sounds like a Sherlock Holmes mystery novel) with a sad twist ( at least to me).

" Some foreign countries (Cuba, for example) do not allow residents in receive inherited funds from a US estate but let's hope that is not the case where he moved to. Ask your attorney to do some research to see if there would be any US tax consequences (will he have to pay any state or federal income taxes on it) for this person to receive his money so that you could advise him at the time he receives his check."

Very Good Point! But he would have to know that he is in trouble, and my intention is to help (by any legal mean possible). I kind of of hinted to one of the sibling that I am not beaking the law for no one (pardon the pun period). He could also be that he is scared with so few recourses available to him; that he feels that he had to puff his chest (alpha male like) to get somewhere. When it should be the total opposite way to behave.

I am Hoping for the best!

I do sincerely thank you all.

 

[trust_id_09]

UPDATE... The Plot Thickens

I 'd previously mentioned that I requested via his siblings a mean of communication electronic, or written (directly from the subject) . Two (2) emails were provided to me both of which were invalid. I conducted a little police work and as it turned out, the emails were created in the US in 2 different states not by the subject. Yet the with errors... not savvy techy. I applied some heavy duty pressure on the sibling in question stating if I were to accept third party info for the subject it would have to be in writting in the form of an affidavit.

Note that I get a response from two beneficiaries already; one is his sibling (accomplice to all the lies). The other one, the conniving crook, never replied to any of my emails. She prefers phone calls . I tighthen the screws there also, stating no phone calls to relay information either.

Guess what? It worked. I get utter silence from both siblings now. Neither emails nor telephone calls are being replied to.

I sensed an attempt at email fraud, if the subject were not living in foreign country, the sibling in question would have intercepted my emails to the subject pretending to agree with either my accounting or any request(s) for approval I'd have needed to settle the trust, collect all their monies and left me out to dry. The request for an affidavit sent them running scared.

I consulted my attorney and he/she had the finger right on the pulse... the subject possibly could be in prison; possibly the same reason why he could not sign the ammendement many years back. Makes perfect sense. All the run arounds, lies were to buy time in the part of the siblings.
I was also instructed to HALT all distributions to all beneficiaries until the subject contacted me directly. How do I know for sure it's him? If he ever contact me. More importantly, I have no other recourse except to drag this muddy saga through the Courts. As my lawyer stated, I'd not want to go that route since it will be lenghthy, costly for all not just the subject.

What if he never contact me or it takes years? Any input will be grately appreciated.

Regards,

Stuck in the mud !