Tag Archives: Trustee

The Rise of Litigation Involving Trust Protectors

Disputes involving trust protectors are increasing in number and will likely only further increase in number in the coming years. This blog post discusses what a trust protector is, whether trust protectors owe fiduciary duties (and to whom), and why litigation involving trust protectors is likely to increase in the future. What Is A Trust Protector? A trust protector is a person who is named in a trust to exercise varying types of oversight functions with respect to a trustee, or to exercise certain powers with respect to amending the trust. The powers of a trust protector can vary widely, …

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Trustees Should Avoid Bitcoin

As bitcoin becomes increasingly popular, some are starting to ask: should trustees of trusts invest a portion of trust assets in bitcoin? There are very strong reasons why they should not. As I explain below, investing in bitcoin, in most circumstances, could put a trustee at risk of violating the Uniform Prudent Investor Act. First some background: for those unfamiliar with bitcoin, Wikipedia provides a helpful overview: Bitcoin is an online payment system invented by Satoshi Nakamoto, who published his invention in 2008, and released it as open-source software in 2009. The system is peer-to-peer; users can transact directly without …

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