Sample Living Trust
Only individuals, married couples or same-sex couples can create a revocable living trust. Family members such as siblings cannot create a living trust naming themselves as co-trustors.
Trustors are the only ones who can amend the language of the trust. If there are co-trustors and one passes, the trust's instructions can either allow or disallow the surviving trustor to change all or parts of the trust.
Amending A Living Trust
While both Co-Trustors are living and competent, this trust may be altered or amended by written instrument signed by both Co-Trustors and filed with the Trustee.
Revoking A Living Trust
While both Co-Trustors are living, either Co-Trustor may revoke this trust in whole or in part and restore to Co-Trustors their respective rights of testamentary disposition by written instrument filed with the other Co-Trustor and the Trustee. By way of construction, Co-Trustors intend that the character of all property transferred to the trust that has an original source as community property shall remain community property and shall receive a basis adjustment under Section 1023 of the Internal Revenue Code of 1986, as amended. Any joint tenancy property owned by the Co-Trustors that was originally acquired out of community property assets and transferred to this trust shall be construed as community property as defined herein. Separate property and quasi-community property shall retain their original character as separate or quasi-community property. Either Co-Trustor may withdraw his or her separate or quasi-community property without the consent or concurrence of the other Co-Trustor.
Once the living trust is in place, there is not much for the trustor(s) to do unless the trust needs amending or will be revoked. Assets are managed by the trustees. If the trustors are not the trustees, the trustors can direct the trustees how to manage assets.
Trustors As Beneficiaries
Co-Trustors hereby transfer, assign, and convey all of our right, title, and interest in and to all of our property that is permitted by law to be held in trust, wherever situated, whether personal or real, tangible or intangible, separate or community, to our Trustee to hold and administer for our benefit and for the benefit of our beneficiaries pursuant to the terms of this trust.
