Can the beneficiaries of an irrevocable trust be changed by petition?

Business 5 views 4 answers
The original trust was written as irrevocable with the beneficiary being my grandmother and upon her death the benefits were to be paid to her descendents "per stirpes." A petition filed in 2007 to appoint a new trustee included this language, "The inclusion of "per stirpes" in section SECOND with respect to a class that involves multiple generations ("then living descendants") is a curious use of the term. In the absence of anything in the trust to the contrary, the Petitioner's construe it to mean that upon ** death, all of her then living descendants are entitled to an equal share of the then remaining trust property, if any, and that the use of "per stirpes" without reference to a distinct class upon which to base representational distribution is meaningless." Does per stirpes apply

Attorney Answers

4
Paul Edmond DraperProbate AttorneyBaltimore, MD ·
Your initial question of whether the beneficiaries can be changed by petitioning a court with jurisdiction over the trust is a qualified no. The language of the trust determines who are the beneficiaries and can only be changed by a court in particular situations, which do not appear present in this case. However, if the language of the trust is ambiguous then a court with jurisdiction can determine what the creator of the trust meant by its dispositive language. You should consult with a local estates and trusts attorney about the particulars of this case.
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Nevin Lawrence YoungLitigation LawyerAnnapolis, MD ·
Why do you believe that "per stirpes" in this case is a curious use of the term, and how is the property being distributed? Per stirpes does not mean that all living descendants get an equal share, however-- per stirpes means that her immediate living descendants would get equal shares, but if they are deceased, their descendants share equally in the share of the person through whom they claim, rather than equally in the entire body of the trust.
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James Hyatt ·
A person can ask the Circuit Court to take jurisdiction over a trust, and the Court has power to modify the terms of the trust if all beneficiaries of the trust agree to the modification, and the modification is not inconsistent with a material purpose of the trust.
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