Mesa Law Firm Provides Guidance on Selecting the Ideal Trustee or Executor in Arizona

How to pick the right person to handle administrative duties

Drafting estate planning documents requires great care, and equal care should be given to selecting someone to carry out the instructions in those documents. At the Law Firm of Joseph M. Udall, PLC, you’ll work with an attorney who has decades of experience assisting Arizonans with the designation of trustees and executors. From our office in Mesa, we serve clients throughout Maricopa County.

What is the difference between a trustee and executor?

Trustees are charged with administering trusts, while executors are named in wills to settle the testator’s estate. An executor typically files the will shortly after someone’s death and is then appointed as personal representative for the estate. From there, they work under the auspices of the probate court to collect, inventory and distribute estate assets. 

Unlike a will, which only takes effect upon the testator’s death, a trust becomes active immediately, so the trust creator (or “grantor”) can appoint themselves to serve as trustee during their lifetime, as well as someone to take over after their death. The trustee is legally responsible for managing trust assets pursuant to the instructions established by the trust creator. While an executor’s role exclusively involves the transfer of a decedent’s property, trustees might have many other responsibilities relating to the management of trust assets. We can explain the specific challenges that your executor or trustee might face so that you can make the most appropriate choices.       

Requirements for your executor or trustee

Both roles require parties who are responsible, trustworthy and focused on carrying out their duties faithfully and completely without regard for their personal interests. Individuals must be at least 18 years old and of sound mind to serve in these positions. You can also name a professional executor or trustee, such as an attorney or trust corporation. With our extensive knowledge of the roles of executors and trustees, we can counsel you about the best option for your circumstances. 

What are the duties of a trustee? 

The trustee has a fiduciary duty to safeguard trust assets for beneficiaries. Duties of trustees in Arizona include the following:

  • Tracking and managing trust assets
  • Distributing assets to beneficiaries
  • Reporting to beneficiaries when necessary 
  • Keeping records of all trust expenses
  • Filing tax returns
  • Keeping trust property separate from their own property

If a trustee breaches their fiduciary duty through intentional actions or mistakes in managing the trust, beneficiaries can suffer financial losses. It is essential to appoint a trustee who clearly understands their responsibilities and is capable of handling them properly. 

What are the responsibilities of an executor? 

The main duties of an executor include the following:

  • Submitting the will to the probate court
  • Identifying and creating an inventory of the decedent’s assets
  • Paying outstanding debts and taxes
  • Notifying heirs
  • Representing the estate if someone challenges the will
  • Distributing assets to heirs

Missteps during probate can lead to delays in settling the estate, conflict with heirs and potential litigation. By selecting an appropriate executor, you can minimize the likelihood of problems for your family after you are gone.   

What should you consider when choosing your trustee or executor? 

There are several qualities you should look for when selecting your executor or trustee, such as:

  • Trustworthiness
  • Level-headedness
  • Financial competence
  • Organizational ability
  • An ability to make objective decisions
  • Neutrality toward beneficiaries
  • The time to take on the duties

Some red flags that can make a person unfit for these roles include personal financial difficulties, anger-management issues, substance abuse problems and conflicts with any possible beneficiaries. We can help you determine the right individual to carry out your instructions. 

Speak with a knowledgeable lawyer about choosing an executor or trustee

The Law Firm of Joseph M. Udall, PLC in Mesa assists Arizona clients with a wide array of estate planning concerns, including providing guidance on selecting executors and trustees. Call (480) 500-1866 or contact us online to schedule a consultation.