Procedures for Successor Trustee Following Death of Grantor

Authored by Kristin Gifford

Stepping into the role of a successor trustee after the grantor’s death entails immediate concerns and the crucial task of organizing the estate.  From legal obligations to financial matters, this introduction outlines the essential procedures and considerations for the successor trustee in navigating the complexities of post-mortem responsibilities while upholding the wishes of the deceased.

IMMEDIATE CONCERNS:

• Evaluate the emotional effect of the death on the surviving spouse, children or close relatives.
• If necessary, decide on procedures to care for surviving spouse, if incapacitated, and dependent children.
• Evaluate the need for security at decedent’s residence.
  • Cancel home deliveries.
  • Contact post office to hold mail.
• Decide on funeral arrangements.
  • Contact clergyman.
  • Arrange for mortuary and burial or cremation.

ORGANIZING THE ESTATE:

• Contact the attorney that the family wants to hire for trust administration, legal counsel or probate administration to handle the estate’s legal and tax matters.
• Evaluate the existence and need to care for or sell perishable property.
• Keep records of funeral payments and all expenses.
• Locate Will, Trust, safe deposit box, and life insurance policies.
  • Safe Deposit Box: If there is any danger of a will contest, conflict of interest between Executor, family or beneficiaries, DO NOT GO TO THE SAFE DEPOSIT BOX WITHOUT THE ATTORNEY PRESENT.
    • Open the box.
    • List all contents on letter sized paper.
    • Sign and date the bottom with the attorney.
    • Remove assets that will be sold immediately.
    • Put everything else back except for the Will, Trust, insurance policies.
  • Investigate
    • Property Owned – Real Property, Personal Property, Financial Accounts, Business Interests, Vehicles
    • Social Security Benefits
    • Life Insurance Policies
    • Union Death Benefits
    • Veterans Burial Allowance and Benefits
    • Employee Payroll Benefits:
      • Accrued Vacation Pay
      • Employee Death Benefit
      • Final Wages
      • IRA Account
      • Retirement Plan Death Benefits
      • Deferred Compensation
    • Medical Reimbursements
    • Any refunds on insurances, cancelled subscriptions, etc.
  • Meet with a CPA regarding tax and financial planning.
  • Acquire death certificates.
  • Notify insurance agent about fire, theft, and public liability insurance on decedent’s estate.
  • DO NOT PAY ANY DEBTS OF DECEDENT UNTIL ATTORNEY DISCUSSES THEM WITH THE FAMILY OR EXECUTOR.

The above list is not exhaustive and will be case specific.  Therefore, upon the death of a Grantor, Lobb & Plewe, LLP recommends that you speak with an attorney as soon as possible.

Lobb & Plewe, LLP
10785 W Twain Avenue, Suite 250
Las Vegas, NV 89135
702-622-8451