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A trust is a legal arrangement where one person or entity - the grantor or settlor - places assets under the control of another person or entity - the trustee - to hold and manage for the benefit of one or more beneficiaries. Trusts are commonly used to manage assets during life, reduce or avoid probate, protect privacy, provide for minor or disabled beneficiaries, and help with certain tax or long-term care planning objectives. In Brooklyn - which is Kings County in the State of New York - trust law follows New York State statutes and case law, together with local court practices in the Kings County courts.
Trusts can be created during the grantor's lifetime - commonly called living or inter vivos trusts - or by will at death - called testamentary trusts. They can be revocable or irrevocable, discretionary or mandatory, and can hold many asset types including bank accounts, investments, real estate, and business interests. Proper drafting, funding, administration, and potential tax or government-benefit planning are important to make a trust effective.
Trusts raise legal, tax, and practical issues that make lawyer involvement useful or necessary in many situations. You may need a trusts attorney if you are trying to accomplish any of the following - creating an estate plan that includes a trust; funding real estate into a trust; drafting complex trust provisions for blended families, minor beneficiaries, or special-needs planning; pursuing asset-protection goals while complying with Medicaid rules; serving as a trustee and needing guidance on fiduciary duties; contesting a trust or defending against a trust contest; seeking removal or surcharge of a trustee; or handling trust administration and accounting after a grantor's death.
An attorney who focuses on trusts and estates can help you choose the appropriate type of trust, draft the trust to reflect your objectives and comply with New York law, ensure assets are properly retitled or titled to avoid probate where intended, advise about taxes and government-benefit eligibility, prepare and review accountings, file required court papers, and represent you in negotiations or litigation if disputes arise. Trust law involves strict duties, deadlines, and procedural rules that often require specialized experience.
New York State law governs the creation, interpretation, administration, and enforcement of trusts in Brooklyn. Key statutory frameworks include the Estates, Powers and Trusts Law - commonly called the EPTL - and related court procedure statutes. Surrogate's Courts oversee probate of wills and certain estate administration matters, and other trust-related disputes may be heard in the New York Supreme Court or federal court depending on subject matter and parties.
Specific local considerations in Brooklyn and Kings County include recording requirements for real estate that is transferred into a trust - deeds and transfers must be recorded in the county land records - and local court filing practices for Surrogate's Court and Supreme Court proceedings. New York also has particular rules about trustee duties and powers, trustee compensation, required accountings, and the circumstances under which courts can modify or terminate trusts.
For government-benefit planning, New York follows the federal Medicaid transfer look-back rules - a transfer penalty period for Medicaid eligibility can apply to asset transfers made within a multi-year look-back period. Trusts used for Medicaid planning require careful drafting and timing to avoid unintended loss of benefits. Tax treatment of trusts depends on how the trust is structured - revocable trusts are generally taxed to the grantor, while irrevocable trusts can have their own tax ID and tax rules. State and federal tax consequences, including income tax and estate tax considerations, should be reviewed with a qualified attorney and tax adviser.
Finally, procedural rules can be strict. There are deadlines and notice requirements for contesting trust accountings, bringing fiduciary-breach claims, and seeking court approvals. Local court practice and filing requirements in Kings County may affect how and where disputes are pursued, so working with someone familiar with Brooklyn practice is valuable.
A will takes effect only after death and generally must go through probate, which is a public court process. A trust can take effect during life and may avoid probate for assets that are properly funded into the trust. Trusts can provide ongoing management for beneficiaries, offer privacy, and include terms for incapacity or ongoing distribution rules that a will alone cannot provide.
To create a valid trust in New York you must have the required legal elements - an intent to create a trust, identifiable beneficiaries (or a charitable purpose), trust property (res), and a trustee with duties. The trust should be in writing for most inter vivos trusts, properly signed, and executed with care. For real estate to be in a trust, title usually must be transferred into the trustee's name by recorded deed. A trusts attorney can prepare the document and advise on formalities and funding steps.
A revocable trust can be changed or revoked by the grantor during the grantor's lifetime, giving flexibility and control. Income and assets in a revocable trust are typically treated as owned by the grantor for income tax and creditor purposes. An irrevocable trust generally cannot be changed without beneficiary consent or court approval and may provide stronger asset-protection or tax benefits if properly designed, but it restricts the grantor's control over transferred assets.
No. While certain irrevocable trust structures can reduce estate tax exposure, trusts do not automatically eliminate estate taxes or shield assets from all creditor claims. Creditors, Medicaid, divorce, and tax authorities may have claims that reach trust assets depending on the type of trust, timing of transfers, whether transfers were fraudulent or made to defeat known creditors, and applicable laws. Proper planning with legal and tax advice is essential to understand realistic protections.
Funding a trust means re-titling assets into the name of the trustee or otherwise designating the trust as the owner or beneficiary. For example, you might change a bank account title, transfer securities, or record a deed transferring real estate to the trustee. Funding is critical because an unfunded trust has no control over assets and will not avoid probate for those assets. A lawyer can help identify what must be retitled and handle deeds, beneficiary designations, and other steps.
A trustee owes fiduciary duties to beneficiaries - including duties of loyalty, care, impartiality among beneficiaries, and the obligation to follow the trust terms. Trustees must keep proper records, provide accountings when required, invest prudently, and avoid conflicts of interest. A trustee can be removed for cause - such as breach of duty, incapacity, or misconduct - or sometimes for other reasons outlined in the trust instrument or by court discretion. Removal procedures typically require a court petition and evidence supporting removal.
Yes. Trusts can be challenged on grounds such as lack of capacity, undue influence, forgery, failure to satisfy formalities, mistakes, or changes in circumstances. Time limits and notice obligations apply. Depending on the claim and local practice, challenges may be brought in Surrogate's Court, Supreme Court, or another appropriate forum. Because litigation can be complex, expensive, and emotionally difficult, many parties explore negotiation or mediation first.
Tax treatment depends on whether the trust is revocable or irrevocable, who pays the trust income, and the residency and situs of the trust. Revocable trusts are generally taxed to the grantor for income tax purposes, while irrevocable trusts may be separate tax entities. New York State may tax trusts based on residency of the grantor, trustee, or beneficiaries and on the source of trust income. Federal estate and gift tax rules also affect some trusts. Consult a tax advisor and trusts attorney for specific tax planning.
Bring identification, a list of your assets and approximate values, existing estate planning documents (wills, trusts, powers of attorney, health-care directives), deeds, account statements, beneficiary designations, and any relevant family or creditor information. Prepare questions about goals, costs, timeframes, and alternatives. A clear picture of assets and objectives helps the attorney recommend appropriate trust structures or other planning steps.
Costs vary widely based on complexity, attorney experience, and local rates. Simple revocable living trusts may be completed for a modest flat fee, while complex irrevocable trusts, tax planning, trust administration after death, or litigation can cost significantly more on an hourly basis. Trustee compensation may be set by the trust or determined by statute or court. Ask any attorney for a fee estimate, billing method, and an engagement letter that outlines services and costs.
Helpful resources for someone in Brooklyn seeking more information or assistance include the Kings County Surrogate's Court for probate and estate administration procedures, the New York State statutes on estates and trusts, and state tax authorities for tax guidance. Local and state bar associations - such as county bar associations and the New York State Bar Association - maintain lawyer referral services and practice guides. Nonprofit legal aid organizations and elder law groups can assist low-income or elderly clients. For matters involving government benefits, state Medicaid offices and elder law specialists are important resources. Court clerks and law librarians can often point to local procedural requirements and forms.
If you need legal assistance with trusts in Brooklyn start by clarifying your goals - whether you want to avoid probate, plan for incapacity, protect a disabled beneficiary, pursue Medicaid planning, or resolve a dispute. Gather relevant documents and an inventory of assets. Look for an attorney who specializes in trusts and estates and who has experience with New York law and Brooklyn courts. Ask about their experience, fees, whether they handle both planning and litigation, and request an engagement letter that sets out the scope of work.
If you are approaching deadlines - such as imminent probate, pending Medicaid applications, or urgent transfer issues - seek counsel promptly. For disputes, consider whether negotiation or mediation could resolve matters before filing suit. Keep careful records of communications, accountings, and transfers, and follow your attorney's instructions for formal notices or filings. Proper planning and timely legal advice can preserve assets, protect beneficiaries, and reduce the risk of costly litigation.
