Serving as a trustee is a serious responsibility. When more than one person is named, the role can be easier in some ways, since the work and decision-making are shared. At the same time, disagreements between co-trustees can make administering a trust far more complicated. If you are considering naming co-trustees, or if you are already serving in this role and want to understand how conflicts are handled, it is important to know your options.
Common Reasons Co-Trustees Disagree
Even when co-trustees share the same goals, their approaches and priorities can differ. Some of the most common areas of conflict include:
Financial Decisions
Trustees must manage investments, expenses, and distributions. Co-trustees may disagree on whether to sell property, how to allocate funds, or which investment strategy to follow. Because financial decisions directly affect beneficiaries, these disputes can quickly escalate.
Interpretation of Trust Provisions
A trust document is intended to guide trustees, but unclear or ambiguous language can leave room for debate. Different interpretations of a single clause can result in very different management decisions, putting co-trustees at odds.
Distribution of Trust Assets
Co-trustees may have different views on what is best for beneficiaries. For instance, one trustee might want to prioritize paying for education while another believes distributions should be delayed until a beneficiary is more financially responsible.
Day-to-Day Management
Running a trust requires ongoing decisions about professional help, such as accountants or real estate agents, and the level of detail provided in reports to beneficiaries. Differing management styles can cause friction over how these tasks are handled.
How Co-Trustees Can Resolve Disagreements
While disputes are common, they do not have to derail trust administration. Some of the most effective ways to address conflicts include:
- Open Communication: Many disagreements can be resolved through direct, respectful discussion. Taking the time to listen to one another often leads to compromise.
- Reviewing the Trust Document: The trust itself is the primary guide. Carefully re-reading its language can provide clarity about the grantor’s intent.
- Seeking Professional Advice: Independent advice from an estate planning attorney, accountant, or financial advisor can provide an objective perspective.
- Mediation: If co-trustees cannot agree, a neutral mediator can help facilitate a solution without going to court.
- Litigation: Court involvement is a last resort. While it can resolve disputes, it is often costly, time-consuming, and may harm working relationships.
Preventing Problems When Naming Co-Trustees
When creating an estate plan, it is possible to anticipate and minimize the risk of conflict. We often encourage clients to:
- Choose trustees who share similar values and can work well together.
- Include clear, specific instructions in the trust document.
- Consider appointing a corporate trustee or professional fiduciary if neutrality is important.
These steps can reduce the likelihood of conflict and protect beneficiaries from delays and unnecessary costs.
How Surprenant, Beneski & Nunes Can Help
When co-trustees disagree, it can slow down distributions and create stress for families. While our firm does not handle contested trust litigation, we do assist clients in drafting and administering trusts in ways that minimize the risk of conflict. If a dispute requires court involvement, we can connect you with trusted Massachusetts attorneys who focus on those cases.
Our goal is to help you structure an estate plan that avoids unnecessary conflict and ensures your wishes are carried out smoothly. If you are considering naming co-trustees, or if you are currently serving and want guidance on your responsibilities, contact Surprenant, Beneski & Nunes. We are here to help.
FAQ: Co-Trustee Disputes in Massachusetts
Do co-trustees always have to agree?
In most cases, yes. Co-trustees generally must act together unless the trust document allows one trustee to act independently.
Can one trustee override another?
No. Unless the trust provides specific authority, one co-trustee cannot act alone against the other’s objection.
What if a co-trustee refuses to act?
If a co-trustee is unwilling or unable to participate, the other trustee may need court approval to proceed or to request removal of the inactive trustee.
