Endorsement for Check Payable to a Trust

Posted By: SunnyFL, CRCM

Endorsement for Check Payable to a Trust - 07/30/13 12:35 PM

We require that checks payable to a trust be deposited to an account in the name of the trust - not cashed against it - not deposited to a personal account in the name of the trustee. Endorsements and opinions have varied over the years when it comes to endorsements. For example, when the payee on a check reads like the title of the trust: Jane Doe REV LIV Trust UAD 3/3/93, Jane Doe & John Doe Trustees. Many trusts that include the names of the trustees in the title say "and" however, the trust stipulates only one trustee is needed to act. What is the proper way to endorse a check when the payee reads this way?
Posted By: Elwood P. Dowd

Re: Endorsement for Check Payable to a Trust - 07/30/13 12:38 PM

Quote:
...however, the trust stipulates only one trustee is needed to act.


While it's true that John and Randy are the trustees and that is reflected in the account title, if the "law of the trust" stipulates that they can act independently of one another, there is no other possible source of authority. One signature gets it done...
Posted By: SunnyFL, CRCM

Re: Endorsement for Check Payable to a Trust - 07/30/13 02:50 PM

Thank you. That was the confirmation I was looking for.