Answered step by step
Verified Expert Solution
Question
1 Approved Answer
In 2010, Oren typed up a document that provided, in pertinent part, as follows: I, Oren, hereby make myself the trustee and lifetime beneficiary of
In 2010, Oren typed up a document that provided, in pertinent part, as follows: "I, Oren, hereby make myself the trustee and lifetime beneficiary of the Oren Revocable Trust, which includes all my assets. At my death, Art shall succeed me as trustee, and my son, Ben, shall succeed my as beneficiary. Art shall manage the trust res, and may make such distributions of income as he chooses to in his absolute discretion. He shall not distribute the principal until Ben reaches the age of 30." Oren delivered a copy of the document to Art. Oren dies in 2013, when Ben is 21. There is $100,000 in the trust, which generates approximately $5,000 per year in income. Art distributes $2,500 in income per year to Ben, and reinvests the remaining $2,500 in the trust. Thus, by 2017, Ben has received $10,000, and the trust has $110,000 in it. In 2017, at the age of 25, Ben requests that Art make a distribution of $75,000 in principal to him, on the grounds that Ben has gotten into that amount of debt with the mob in Las Vegas, and that if he doesn't come up with the money within a month, they will kill him. Art refuses, and Ben promptly brings an action in California state court. Discuss
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started