Table of Contents
B. FAMILY TRUST
AND MISCELLANEOUS PROVISIONS
LIVING TRUST AGREEMENT
made April 10, 2006, between JOHN Q. WANNABE of
as used in this Trust means one or more Trustees as well as any Successor
Trustee and Successor Co-Trustees.
Death of Grantor
the event of the death, resignation, removal, or incapacity of the Grantor,
JOHN Q. WANNABE, then his wife, MARY A. WANNABE and his brother, TED
WANNABE, shall serve as Successor Co-Trustees. In the event of the death, incapacity, resignation, refusal, removal,
or inability of either of the above-named Successor Co-Trustees to serve, then
sister-in-law, JANE SMITH, shall serve as a Successor Co-Trustee.
the event of the death, incapacity, resignation, removal, or inability of both
wife and either TED WANNABE or JANE SMITH to serve as Successor Co-Trustees,
then the Grantor=s
brother or sister-in-law may serve as the Sole Successor Trustee. In the event that both TED WANNABE and JANE SMITH cannot serve as
Successor Trustees, then a bank or trust company shall be appointed to act as
a Successor Co-Trustee with the Grantor=s
wife. In the event that all three
of the individuals named above cannot serve as Successor Co-Trustees, then the
bank or trust company shall serve as the Sole Successor Trustee.
B. Delegation of
the extent that the Grantor=s
spouse is serving as a Co-Trustee, the Co-Trustees shall not delegate to the
spouse sole authority to make any discretionary distributions of income or
principal from the Family Trust.
C. Removal of Trustee by Grantor
Grantor reserves the right to remove any Trustee, Trustees, or Successor
Successor Trustee shall become responsible for the Trust Estate only when the
same has been received by it. No
Successor Trustee shall be responsible for any act or omission of any prior
Trustee, nor shall any Successor Trustee be under a duty to take any
proceedings against any prior Trustee for an act or omission of any prior
Trustee. In determining what
assets constitute the Trust Estate, the Successor Trustee shall be responsible
only for the making of reasonable inquiry from records of the prior Trustee.
E. Annual Statements by Successor Trustee
Successor Trustee agrees to furnish annual statements to the beneficiaries
receiving distributions, showing all receipts and disbursements during the
period covered, and to submit annually a statement of the assets of the Trust.
Any additional reports or statements to be provided to the beneficiaries shall
be in the sole discretion of the Trustee. Grantor intends this provision to
control over any provision of law that may require that additional, more
frequent, or more detailed reports or statements be provided to any person.
Resignation of Trustee(s)
Trustee shall have the right to resign, and if a Successor is not named in
this Trust, the Grantor shall appoint a Successor Trustee. In the event
of the death of the Grantor, or failure or inability of the Grantor to name a
Successor, then the Trustee shall deliver notice by certified mail, at least
thirty (30) days prior to the effective date of such resignation, to each of
the known then-living beneficiaries of the Trust to, or for, whom income or
principal may currently be paid or used, or their guardians, addressed to the
last known address of such persons as disclosed by the Trustee's records.
Within twenty (20) days after the delivery or mailing of such notice of
resignation, a majority of the adult beneficiaries and guardians shall select
a Successor Trustee and shall in writing, signed by a majority of the adult
beneficiaries or guardians, inform the Trustee of the identity of the
selected Successor Trustee. If a majority of the adult beneficiaries and
guardians fails to select a Successor Trustee within the twenty (20)-day
period, the resigning Trustee shall select a Successor Trustee. The
Trustee shall, upon the effective date of the resignation, deliver to the
Successor Trustee and each beneficiary of the Trust a statement of the last
two years' receipts and disbursements, together with an inventory of the
assets belonging to the Trust.
Grantor has transferred to the Trust the property described on Schedule AA@
attached hereto and made a part of this Trust. Later, other property,
real or personal, may be transferred, during life or by Will, to the Trust
by the Grantor or by someone acting on his behalf. If additional
property is transferred to the Trust, it should be listed on the attached
Schedule which is for reference only. All property transferred to this
Trust formally or informally, whether or not listed on the attached Schedules,
shall also be part of the Trust.
property transferred to the Trust formally or informally, together with the
investments and reinvestments, constituting additions to the principal of
the Trust, and the income therefrom, is sometimes hereafter collectively
designated the ATrust
Estate.@ All property transferred to or deposited with the Trustee shall be held
by it in trust for the uses and purposes stated hereafter.
addition to the Grantor, the primary beneficiaries of this Trust, their birth
dates and relationships to the Grantor, are as follows:
DATE OF BIRTH
MARY A. WANNABE
JUSTIN T. WANNABE
ASHLEY Z. WANNABE
Grantor reserves the following rights during his lifetime:
A. Right to Change Trust
right to change, amend or alter any of the terms or provisions of this Trust
Agreement at any time. All changes, amendments or alterations must be
written and will not become effective until signed by the Trustee.
B. Right to Terminate
right to terminate this Trust Agreement, in whole or in part, at any time.
Any complete or partial termination shall become effective upon delivery
of notice in writing to the Trustee.
Right to Withdraw Assets
right to withdraw and return to the Grantor, all or any, part of the assets
transferred to the Trust formally or informally, whether or not listed on
the Schedules attached. The exercise of this right of withdrawal, in
whole or in part, will become effective upon delivery of notice in writing to
A. Policy Beneficiaries
Grantor may make insurance policies payable to the Trust or the Trustee as
primary or contingent beneficiary. Such beneficiary designations may
also be amended or terminated by the Grantor. A reference to a policy
transferred or made payable to the Trust or the Trustee may be shown on
B. Payment of Premiums
owner of the policies shall pay all premiums or assessments on them, and the
Trustee shall be under no obligation to see that the premiums or assessments
are paid. The Trustee shall be under no obligation with respect to the
policies, other than for their safekeeping, unless agreed otherwise.
Nothing contained in this Trust shall be interpreted as an obligation on the
part of the owner or the Trustee to keep the policies in force.
C. Ownership of Policies
owner of the policies reserves all incidents of ownership in the insurance
policies. It is the intent of the Grantor that the Trust be operative
with respect to the proceeds of the policies which are payable to the Trustee
at the time of the death of the insured.
D. Pledging and Assigning
If the policy owner requests, the Trustee will join with the policy owner in executing instruments assigning or pledging any insurance policies subject hereto. Upon the execution of such instruments by the Trustee, all of the rights and interest of such Trustee, and this Trust, will be and remain subject to the rights and interest of such assignee or pledgee.
E. Collecting Policy
the death of the Grantor, the Trustee shall collect the proceeds of the
policies payable to this Trust or the Trustee. If necessary, the Trustee
may institute legal proceedings to enforce the payment of the policies or do
any other acts necessary to collect under the policies. However, the
Trustee shall not be required to maintain any litigation to enforce the
payment of the policies until reasonably assured of reimbursement from the
Trust against expenses and liabilities which may be associated with such
litigation. The Trustee is authorized to compromise and adjust claims
arising out of the insurance policies and the decision of the Trustee shall be
binding and conclusive upon all interested persons and corporations.
A. Distribution of Income
Trustee may accumulate all of the income from the assets transferred to the
Trust or distribute all or any portion of the income from the Trust to the
Grantor. The Trustee may distribute income to third parties as
determined by the Trustee or as directed by the Grantor.
B. Distribution of Principal
incapacitated, the Grantor may direct the Trustee to distribute any amount
of principal to the Grantor or a third party. This power can be
exercised in such a manner that all of the assets may be taken from this
C. Incapacity of Grantor
the Grantor becomes incapacitated, the Successor Trustees described in this
Trust shall become active in the order and capacity designated. The Successor Trustee may withdraw principal or income from the Trust
for the Grantor's benefit or for the benefit of those individuals dependent
upon the Grantor. Such withdrawals
should be consistent with the value of the Trust and the mode of living to
which the Grantor and the Grantor's dependents have been accustomed.
D. Life Support Systems
the event the Grantor is incapacitated or irreversibly comatose and is
receiving life-prolonging medical treatment, the Successor Trustee shall
consult with the health-care provider (physician or hospital staff members) as
well as with any health care surrogate appointed by the Grantor under a health
care power of attorney to determine if such measures should be continued. ALife-prolonging
as used herein means Amedication
and artificially or technologically supplied respiration, nutrition, or
that prolongs the life of the Grantor. The
Successor Trustee shall consult with the health-care provider and any health
care surrogate appointed by the Grantor under a health care power of attorney
to determine whether the benefits of continued treatment outweigh the burdens
of such treatment and are consistent with any Medical Directive given by the
is the desire of the Grantor that life-prolonging treatment not be continued
for an unreasonable period when it is clear that the condition of the Grantor
will not improve and the treatment merely prolongs the Grantor's life without
dignity. The Grantor may execute a
separate Health Care Power of Attorney or a Medical Directive or Living Will,
or other similar document regarding the Grantor=s
wishes concerning medical treatment under such circumstances. If the choices made in such document(s) or by a health care surrogate
acting under a Health Care Power of Attorney are inconsistent with this
provision of this Trust, then the directions made in those other document(s)
or by such persons shall prevail.
the death of the Grantor, if the Grantor's spouse is surviving and if there is
a possibility that the Grantor's estate will incur Federal estate taxes, the
Trustee will divide the assets of this Trust into two parts, sometimes called
and the AFamily
Trust.@ The amounts of assets allocated to the two Trust portions will be made
using a formula in the Marital Trust provisions referred to as a Areduce
to zero formula.@
means to fund the Marital Trust with the smallest amount of property necessary
to claim a marital deduction in an amount that, when subtracted from the
decedent's taxable estate, will leave a remainder which is subject to no or Azero@
Federal estate tax.
to Zero Formula
the Grantor's wife, MARY A. WANNABE, survives the Grantor, the Trustee
will set aside in the AMarital
amount of Marital Deduction property needed to reduce the U.S. Federal
estate tax on the Grantor's estate to zero, after taking into account all
credits and deductions allowable against such tax; less
aggregate value of all interests in property, if any, which pass to the
Grantor's wife, or which have already passed to or for her benefit, other than
through the provisions of this Marital Trust, but only to the extent that such
interests are included in determining the Grantor's gross taxable estate and
qualify for a Marital Deduction for Federal estate tax purposes.
of Assets for Marital Trust
Trustee will have the power and the sole discretion to fund this Trust wholly
or partly in cash or in kind and to select the assets which shall constitute
this Trust. The assets selected shall be valued as of the date they are
assigned to the Marital Trust. The Trustee will not include in this
Marital Trust any assets or the proceeds of any assets which do not qualify
for the Marital Deduction for Federal estate tax purposes, and the Marital
Trust shall be reduced to the extent it cannot be funded with such qualifying
assets. If the Trustee decides that it would be advantageous to do so
and the Grantor=s
spouse agrees, all, or part, of the Grantor=s
personal residence, including all, or part, of the interest owned by the
deceased Grantor may be allocated to the Marital Trust.
addition, the Trustee shall not include in the Marital Trust any assets or
the proceeds of any assets (i) with respect to which any estate or death taxes
are paid to any foreign country or any of its possessions or subdivisions,
or (ii) with respect to which any tax credit or deduction is available because
such assets or the proceeds thereof are subject to both Federal estate and
income taxes (provided, however, that such assets or the proceeds thereof
shall be allocated to this Trust to the extent that there are no other assets
which may be allocated in satisfaction of the Areduce
to zero formula@
stated above). The exercise of the foregoing powers and discretion by
the Trustee will not be subject to question by or on behalf of any
beneficiary under this Trust, regardless of its effect upon the interest of
Income from the Marital Trust
with the Grantor's death, the Trustee shall pay all the income from the
Marital Trust in convenient installments, but not less frequently than quarter-annually,
to the Grantor's wife, MARY A. WANNABE.
Principal of the Marital Trust
Trustee is hereby authorized to advance to the Grantor's wife or expend for
her benefit or for the benefit of any other person designated by her such
portions of the principal of the Marital Trust as the Grantor's wife directs.
This power includes a partial or total withdrawal of principal. If the
Grantor's wife is unable to exercise this right by reason of physical or
mental disabilities, the Trustee (other than the Grantor's wife) is hereby
authorized to give to the Grantor's wife or to expend for her benefit, such
portion of the principal of the Marital Trust (including the balance of the
Marital Trust) as the Trustee, in its sole discretion, deems appropriate to
suitably support and maintain the Grantor's wife. The intent is that she may continue to have the advantages of the
standard of living to which she was accustomed during the lifetime of the
Marital Trust Disposed of by Wife's Will
Grantor's wife shall have the right and authority to direct the disposition of
the principal of this Marital Trust by her Will, regardless of the date the
Will is executed. She may give the Marital Trust to her estate or to
such persons and in such manner as she selects; provided, however, that this
power of appointment shall be exercisable only by specific reference to the
power in her Will.
to Dispose of Marital Trust Assets
the Grantor's wife fails to exercise the testamentary power of disposition
given her above, or only partially exercises such power of disposition, then
after her death, the Trustee shall transfer to her Personal Representative
(who may be a Successor Trustee) an amount equal to any additional estate,
succession and other similar taxes imposed on her estate because of the
existence of this power of disposition. The
remaining balance of the Marital Trust will be added to the principal of the
Family Trust. If the Trustee receives no notice of the existence of a
Will for the Grantor's wife within six months (6 months) after her death, the
Trustee may proceed without liability as if there was no Will.
the Grantor's wife and the Grantor die under such circumstances that the
order of death cannot be determined, then for the purposes of this Trust
Agreement, the Grantor's wife shall be presumed to have survived him.
to the foregoing, all of the remainder of the Trust property will be allocated
by the Trustee to the Family Trust for the following uses and purposes:
Income from Family Trust -- Sprinkle
the lifetime of the Grantor's wife, MARY A. WANNABE, the Trustee may
distribute to, or for the benefit of, the Grantor's wife and children so much
of the net income from the Family Trust as the Trustee (other than the Grantor=s
wife), in its sole discretion, deems necessary for the following purposes. To the extent that the funds in the Trust Estate are considered by the
Trustee to be sufficient for such purposes, the Trustee may distribute funds
to allow MARY A. WANNABE or a child of the Grantor to:
(a) Obtain a college or university education or pursue other types of education or higher learning;
(b) Assist in establishing, operating, or maintaining a business or profession;
(c) Assist in the acquisition of a home;
(d) Assist in the event of a financial emergency;
(e) For any other purpose that will, in the sole discretion of the Trustee, further the best interest of any beneficiary.
however, that any such payments, other than payments for the education of
any beneficiary, shall be deducted from such beneficiary's proportionate
share, if any, of the Trust Estate.
the Trustee is serving as a sole Trustee and is also a beneficiary or
potential beneficiary of the Trust, the Trustee may distribute to, or for the
benefit of, the Grantor=s
wife and children, only so much of the net income from the Family Trust as the
Trustee deems necessary for the health, support, maintenance, and education of
wife and children.
income shall be distributed quarter-annually or more frequently. Any net income not distributed at the Trust=s
year end shall be added to the principal of the Trust.
Principal of Family Trust - Sprinkle
the lifetime of the Grantor's wife, MARY A. WANNABE, if the income from
the Family Trust, together with the receipts from other sources known to the
Trustee, shall be insufficient for the health, support, maintenance, and
education of the Grantor's wife and children, then the Trustee (other than the
Grantor's wife) is authorized to pay to the Grantor's wife, or for her
benefit, and for the benefit of the Grantor=s
children, so much of the principal of the Family Trust as may be deemed
necessary for such purposes.
the death of the Grantor's wife, MARY A. WANNABE, or upon the Grantor's
death if she does not survive the Grantor, the assets of this Trust shall be
held, administered and distributed as follows.
Division Into Shares
the time the Grantor=s
youngest surviving child becomes twenty-five (25) years of age, the Trustee
shall divide the balance of the Family Trust into as many equal shares as
there are children of the Grantor then living, and one share for the
then-living issue (grandchildren of the Grantor) by right of representation of
each deceased child of the Grantor.
share shall be held, administered, and distributed according to the following
guidance. In making the division
of this Trust into separate shares for accounting purposes, the Trustee, in
its sole discretion, is authorized to keep the Trust assets in one or more
accounts without titling or retitling the Trust assets in separate accounts
and to treat each share as having an undivided interest in the entire Trust.
Distribution Ages and Percentages
following percentages of principal and accumulated interest of each share will
then be distributed when the ages listed below are attained:
Fifty percent (50%) of any share held for a child of the Grantor shall
be distributed on the date the Trust is divided into shares.
One hundred percent (100%) of the balance and accumulated income of any
share held for a child of the Grantor shall be distributed when the child of
the Grantor who is the beneficiary of that share becomes age thirty (30).
If ASHLEY WANNABE is the youngest child of the Grantor when she attains
age 25, each surviving child of the Grantor will receive at least fifty
percent (50%) of his or her share in the Trust in the year 2023. JUSTIN WANNABE will receive the balance of his share in 2020 and ASHLEY
WANNABE will receive the balance of her share in 2028.
Any share held for the children of a deceased child of the Grantor
shall be distributed in accordance with the provisions set forth below.
Death of Child Before Receiving Full Share B
any of the Grantor's children dies before receiving all of the share of the
Trust he or she would have otherwise received, leaving no issue surviving,
then, under such circumstances, all the remainder of that share shall be added
to the Trust and distributed according to its provisions. If any of the shares of this Trust have expired through the passage of
time, then the amount which would have been added to such expired share will
go to the beneficiary thereof. The portion added to any existing shares
shall constitute principal, and the Trust conditions applicable shall govern
the disposition of the principal and income.
Death of Child Before Receiving Full Share B
any of the Grantor's children dies before he or she has received all of the
Trust assets designated for such deceased child, leaving surviving issue
(grandchildren of the Grantor), the remainder of that share shall be
distributed to the issue of the deceased child by right of representation in
accordance with the following provisions:
Share for Issue of Deceased Child (Grandchildren)
any portion of the Trust becomes payable to any issue of a deceased child of
the Grantor (grandchild) who has not yet become twenty-five (25) years of age,
then the entire portion allocable to the deceased child shall be held as a separate
share until the youngest beneficiary (grandchild) of that share reaches age
Trustee shall retain such share for the benefit of such beneficiaries
(grandchildren of the Grantor ) with all of the investment and administrative
powers herein conferred upon the Trustee. The Trustee will pay to such beneficiaries, or on their behalf, so much
of the net income and principal as the Trustee deems necessary for their
health, support, maintenance and education, and will accumulate the remainder
of the income, if any, and add it to the principal of such portion.
Distribution Ages and Percentages
the time the youngest then-living beneficiary (grandchild) of a share attains
age twenty-five (25), the Trustee shall divide the balance of that share into
as many equal portions as there are issue of the deceased child then living.
following percentages of principal and accumulated interest of each portion of
a share will then be distributed when the ages listed below are attained:
Fifty percent (50%) of any portion of a share held for a grandchild of
the Grantor shall be distributed on the date the deceased child=s
share is divided into portions.
One hundred percent (100%) of the balance and accumulated income of any
portion of a share held for a grandchild of the Grantor shall be distributed
when the grandchild of the Grantor who is the beneficiary of that portion of a
share becomes age 30.
of all Beneficiaries (Grandchildren) of a Particular Share
all of the beneficiaries of a share die prior to the youngest beneficiary
becoming age twenty-five (25), leaving no surviving issue, then the share for
their benefit shall terminate, and all of the then remaining principal and
undistributed income of such share shall be equally divided among and
distributed to the Grantor's then surviving grandchild(ren).
Provided, however, that if there then is in existence hereunder a
sub-trust for any beneficiary, the sub-trust(s) being transferred shall be
transferred and added to such sub-trust(s), and shall be held, managed and
disposed of in the same manner as the share to which it is added.
All Beneficiaries Dead
the event that all the beneficiaries identified herein die prior to the
distribution of all the assets, then the Trust shall terminate and all of the
remainder of the Trust Estate shall be distributed as follows:
to The American Cancer Society; and
equally among the following persons (nieces and nephews of the Grantor and the
husband) who are then surviving:
Nieces and nephews of the Grantor and the Grantor
Nieces and nephews of the Grantor and the Grantor=s husband born after the date of this Trust shall also be beneficiaries of this Trust.
the event that any of the beneficiaries herein are minors at the time of any
distribution by the Trustee, the Trustee is hereby authorized to pay or
deliver the same, either directly to the minor or to either parent of the
minor, as natural guardian, without the necessity of any judicial appointment.
A receipt, in writing, by any such distributee, either guardian or minor,
shall constitute a full and binding release of the Trustee.
B. Rule Against Perpetuities
(Trusts which exist too long)
the event that any of the terms or provisions of this Trust continue beyond
the period permitted by any applicable laws regulating restraints on
or prohibitions against perpetuities (or any other similar laws), such
offending provisions or terms to the extent of their continuance beyond the
lawful period, shall be null and void, but the remainder of the terms and
provisions of the Trust shall remain valid and binding. The
portion of the Trust Estate held in violation of applicable laws shall
immediately be distributed to the beneficiary of such portion.
C. Spend-Thrift Provisions (Prohibition against
the power of appointment under the marital trust provisions, neither the
principal of any Trust or sub-trust created hereby nor the income resulting
therefrom, while in the hands of the Trustee, shall be subject to any
voluntary or involuntary conveyance, transfer, or assignment, or be pledged as
security for any debt of any beneficiary or other person, and shall not be
subject to any claim of creditors of any such beneficiary or other person,
through legal process or otherwise. Any such attempted sale,
assignment or pledge of any of the funds or property held in any such Trust,
or the income therefrom, by a beneficiary shall be null and void and shall not
be recognized by the Trustee. It is the intention of the Grantor to
place the rights of any beneficiary under this Trust in a spendthrift trust
and to place absolute title to the property held in trust and the income
therefrom in the Trustee, with power and authority to pay out the same only as
D. Adopted Child
or other equivalent terms shall be construed to include adopted persons and
E. Small Trust Termination
the value of any Trust or any share of this
Trust falls below the sum of Thirty Thousand Dollars ($30,000), and if the
beneficiary or beneficiaries entitled to receive the income therefrom have
attained their majority, the Trustee may terminate the Trust or share of this
Trust. It is the intention of the Grantor
that the Trustee not have the power to terminate the Trust or any share of
this Trust, without court approval, on grounds of its value if the value of
the Trust or share to be terminated is
greater than Thirty Thousand Dollars ($30,000). In the event of
termination under this provision, the Trustee
will pay the beneficiary or beneficiaries the entire corpus of the Trust or
In this event, any remainderman will not be considered as having a vested
interest in the Trust Estate conveyed to the beneficiary or beneficiaries.
the death of the Grantor, if the Grantor is the second to die, and if the
Grantor's estate shall be subject to Federal estate tax, the Trustee hereunder
shall pay to the Personal Representative(s) of the Grantor's estate, from the
Trust, an amount equal to the additional estate, inheritance, succession and
other similar taxes, imposed by inclusion of the property in the Trust in the
Grantor's gross estate for tax purposes.
Provided, however, that no such tax shall be paid from assets not subject to
the Federal estate tax.
used in the singular or neuter form are to be construed in the plural,
masculine or feminine where applicable.
Section headings are for reference only.
H. Applicable Law
validity of this Trust and the meaning and effect of its dispositive
provisions are to be governed by the
laws of the State of
During the lifetime of the Grantor, so long as the Grantor is the
Trustee, the place of administration shall be the state in which the Grantor
maintains his or her primary residence unless the Grantor designates another
location as the place of
A Trustee other than the Grantor may change the place of administration
as the Trustee deems appropriate.
VIII. TRUSTEE'S POWERS
The Trustee has the following powers, in addition to and not in limitation of its common law and statutory powers, all of which may be exercised without application to any court (for prior or subsequent approval).
A. Maintaining and Selling Property
To retain all property in the form in which it was received by the Trustee without liability for any loss that may be incurred thereby. To sell, at public or private sale, for cash or on credit, and upon such terms as it may deem proper, any property at any time held by it.
borrow money upon such terms and conditions as it may determine, from any
person, firm or corporation, for the purpose of protecting, preserving or
improving this Trust Estate; to execute promissory notes or other obligations
for amounts so borrowed and to secure the payment of such amounts by mortgage
or pledge of property in this Trust Estate.
make secured loans in such amounts, upon such terms, at such rates of
interest, and to such persons, firms or corporations it deems advisable.
manage any real property held by it, in such manner as it determines.
This power includes the authority to repair and improve such property; to
mortgage or re-mortgage such property in such amount, on such
conditions, and at such rates of interest as it deems advisable; to make,
renew or modify leases on such property for such rentals, and on such terms
and for such periods without reference to the term of any Trust created
hereunder, to abandon such property; to adjust boundaries, to erect or
demolish buildings thereon; to convert for a different use; to dedicate for
public use without compensation; to grant easements; to waive payment for
property taken by right of eminent domain; to insure for any and all risks; to
grant options; to partition; to enter into party wall contracts; and to insure
or perfect title.
invest and reinvest all funds available for investment and reinvestment in any
kind of property, real or personal, including by way of illustration: bonds, interest in common trust funds established by the Trustee or any
successor, stocks of any class, mortgages, agreements of sale and other
investments in property as the Trustee shall deem proper and for the best
interest of the Trust Estate.
F. Investment in Brokerage/Commodities
buy, sell and trade in securities, commodities, futures, mutual funds,
options and short sales on margin (hereafter "securities"),
and for such purposes may maintain and operate a margin account with any
broker and may pledge any securities held or purchased by it with such broker
as security for loans or advances made to the Trustee.
In connection with the foregoing, the Trustee is authorized to hold any
securities in the name of a nominee or in other forms without disclosure of
the Trust so that title to the property may pass by delivery.
G. Manner of Holding Assets
register any security or property in the name of a nominee, or in its own
name, or to hold it unregistered, or in such form that title shall pass by
delivery, but without thereby increasing or decreasing its liability as
vote, in person or by proxy, any equity interest held by this Trust; to
participate in or consent to any voting trust, reorganization, dissolution,
liquidation, merger or other action affecting any interest held by this Trust
and to take any other action which it may deem advisable.
pay, extend, renew, modify or compromise upon such terms as it may determine,
and upon such evidence as it may deem sufficient, any obligation or claim,
including taxes, either in favor of or against this Trust Estate.
J. Bank Accounts
establish such bank accounts, checking or savings, as the Trustee may deem
proper, and to designate any person or persons to sign checks or make
withdrawals from savings accounts.
K. Dealing with Grantor's Estate
purchase for the Trust Estate any securities or other property belonging to
the estate of the Grantor, and to loan to the personal representative of the
Grantor's estate (whether or not the Trustee hereunder is at the same time a
personal representative of the Grantor's estate) out of either the principal
or the accumulated income of the said Trust Estate, such amounts as the
Trustee may deem necessary or advisable to protect and conserve the assets
of the Grantor's estate.
The Trustee shall not be liable for the losses suffered by the Trust Estate
as a result of its exercise of these powers.
L. Payment of Trustee
incur and pay from the Trust Estate and to charge against either income or
principal thereof, all reasonable expenses in connection with the
management of this Trust.
A Corporate Trustee, if there is one, may be paid the fees normally charged by
it whether or not there are individual Co-Trustees.
M. Continuance of Business
carry on, as long as, and in such manner as, it sees fit, any business
enterprise in which the Grantor owned any interest during his lifetime. This power includes the right to name or change officers, directors or
employees; to expand, limit, alter, incorporate, merge, or reconstitute such
business in any way it deems advisable; and to accept, in the absence of
actual notice to the contrary, financial or other statements rendered by the
managers of the business from time to time as to its conditions and
operations. The Trustee shall in
no way be liable for any loss resulting from such retention or continuance or
from the operation of such business or the acts of its officers and directors,
except where such loss is the result of the Trustee's misconduct or gross
N. General Power
do all other acts which, in its sole judgment, may be necessary or appropriate
for the proper or advantageous management, investment or disposition
of any property included in this Trust Estate.
IN WITNESS WHEREOF, JOHN Q.
WANNABE, as Grantor and Trustee, has executed this instrument as of the day
and year first above written.
SIGNATURE OF GRANTOR & TRUSTEE
JOHN Q. WANNABE, Grantor
JOHN Q. WANNABE, Trustee
Notary Public, State of
My commission expires:
My commission expires:
JOHN Q. WANNABE
REVOCABLE LIVING TRUST
SCHEDULE OF PROPERTY and
Part I B
Part II B Savings and Bank Accounts
An undivided one-half interest
in various checking and savings accounts
Part III B
WANNABE REVOCABLE LIVING TRUST
SCHEDULE OF INSURANCE
and Owner, JOHN Q.
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This sample trust is provided solely for purpose of illustrating the topics discussed in the accompanying "Plain English Explanation of Revocable Living Trusts and Pour-over Wills." It is not designed or intended for use as a drafting form or model document for the preparation of an actual will or trust. Any such use, without the assistance of a practicing attorney, is expressly prohibited.
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