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#1698388 - 05/10/12 07:56 PM Multiple trustee on an account
pweiss Offline
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Joined: Mar 2011
Posts: 103
CA
Hello,

If the Trust document names multiple trustees (more than 1) do all the trustees have to be listed on the bank account or can you open the account with just one?


Thanks,
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Phil Weiss, CAMS

My opinions are my own and not that of my employer.

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#1698408 - 05/10/12 08:11 PM Re: Multiple trustee on an account pweiss
Dani York, CRCM Offline
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Dani York, CRCM
Joined: Apr 2005
Posts: 3,663
TN
You need to open it and list the trustees as the trust document stipulates. The trust lists multiple trustees for a reason, and each trustee has certain powers. To keep the bank from being sued, you need to set it up exactly as outlined by the trust document.
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#1698414 - 05/10/12 08:15 PM Re: Multiple trustee on an account pweiss
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 39,593
Cape Cod
Go back to the trust document and see if there is a provision that says that the trustees may act independently of one another. If so, you could open the account for just one of the trustees. If not, you may be stuck with not only two trustees but a two-signatures required account, which no bank wants to manage.

If you have co-trustees that must act together, see if the trust allows the trustees to to cross-appointments of attorneys-in-fact, so that Trustee A is AIF for Trustee B and vice versa, but only for purposes of the trust. That could allow one trustee to act on behalf of both. Be very careful with this, though, and discuss it with bank counsel to ensure that it's allowed in your state.
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#1698420 - 05/10/12 08:21 PM Re: Multiple trustee on an account pweiss
pweiss Offline
100 Club
Joined: Mar 2011
Posts: 103
CA
Thank you for the reponses. I believe I have the instruction I need.
_________________________
Phil Weiss, CAMS

My opinions are my own and not that of my employer.

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#2245654 - 11/18/20 07:04 PM Re: Multiple trustee on an account pweiss
tryin2comply Offline
Member
Joined: Jun 2013
Posts: 86
Tagging on to this thread...even though it's a few minutes old. I've been having a conversation with another employee who thinks that if the "and" is used where the trustees are listed, they must both be on the account. However, the trust document clearly says that "Either trustee, acting alone, may conduct business on behalf of the trust." So in this case, where Bob Jones and Betty Smith, Trustees of the Jones Family Irrevocable Trust, are listed with the "acting alone" section...can we open the account with only one of the trustees? For example:

Jones Family Irrevocable Trust
Betty Smith, Trustee (signer)

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#2245657 - 11/18/20 07:28 PM Re: Multiple trustee on an account pweiss
rlcarey Online
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rlcarey
Joined: Jul 2001
Posts: 78,958
Galveston, TX
You should be able to do that - if you so choose. You are also free to get all trustee signatures regardless of what the trust document indicates. That way your employees do not have a play an attorney or sleep at a Holiday Inn Express smile
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#2245659 - 11/18/20 07:33 PM Re: Multiple trustee on an account pweiss
tryin2comply Offline
Member
Joined: Jun 2013
Posts: 86
Thanks, rlcarey!

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#2245674 - 11/18/20 10:23 PM Re: Multiple trustee on an account pweiss
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 39,593
Cape Cod
And the trustees get flexibility in handling the account.
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BankersOnline.com
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