9118 / What considerations should be accounted for in choosing a trustee when a blended family is involved?

Many remarried individuals may be tempted to appoint their surviving spouse as trustee, but the relationship between the surviving spouse and any children from prior marriages should be considered before making this choice. Animosity between these parties can make trust administration difficult, and can lead to dissatisfaction among the children that the deceased spouse intended to benefit. The same issues can arise if another family member is named as trustee. These issues are magnified if the trust provides for discretionary distributions, as many trusts do. For this reason, a corporate or institutional trustee may provide the best option in order to minimize conflict in blended family situations in that an impartial third-party will be making decisions regarding trust distributions and general administration.