Sometimes the trust was not created properly, or was old and outdated and hadnít been reviewed by the grantors on a regular basis. Sometimes, the conflict is more personal.
Trusts with Problems
The possibility for conflicts within trust administration is no reason to keep from creating a trust; rather, it is why it is absolutely essential to have a system in place to resolve these conflicts when they crop up. The most effective of these systems is to nominate a Trust Protector. A Trust Protector is a professional, non-beneficiary, who can serve as a mediator between the beneficiary and trustee should there be any disagreements. In addition to serving as a mediator in case of conflict, your Trust Protector will also be the first person any of your beneficiaries can call on if they have questions about administration, distributions, or conflicts with the Trustee.
Some other options for conflict resolution or prevention are having an airtight no contest clause, a dispute mediation clause, giving the majority of your income beneficiaries the ability to vote to make certain changes to your trust, or having co-trustees who work together. Whatever your situation or preference, there are options and tools to ensure that your wishes are carried out and your beneficiaries are provided for, with as little conflict as possible.
Professional Protectors & Mediators
Sometimes, just the concern that it might be difficult to obtain family happiness is enough reason to have a professional take the burden away from the family.
Sometimes there is an attack on the estate or the trust or trustee. This can be stressful and time consuming to resolve. Some problems can compromise privacy and your ability to maintain your existing duties, job and family responsibility.
The solution is a professional adverse party (non-family member) that has no vested interest nor beneficial benefit, other than a fee to perform the mediation or the decisions.