Greene Law Firm

ALABAMA TRUSTEE

LEARN WHAT THE TRUSTEE’S ROLE IS IN ALABAMA…

What Is a Trustee?

A trustee is a person or professional entity appointed to manage the assets held in a trust. The grantor (also called the trustor or settlor) creates the trust and names the trustee to oversee those assets for the benefit of one or more beneficiaries. Trustees have a fiduciary duty, which means they must act in good faith and in the best interests of the beneficiaries.

In Alabama, trustees are governed by the Alabama Uniform Trust Code, which outlines specific rules and standards for how trusts must be administered.

What are the Key Responsibilities of a Trustee in Alabama?

Serving as a trustee comes with serious, often long-term obligations. Core duties include:

  • Managing Trust Assets
     This may include investing, selling, or safeguarding property, money, or investments. For example, if the trust includes real estate in Alabama, the trustee must keep it insured, pay property taxes, and ensure it remains in good condition.

  • Following the Trust Terms
     The trustee must carry out the trust exactly as written. If the trust says funds should be distributed only for educational expenses, the trustee cannot use those funds for other purposes—even if the beneficiary requests it.

  • Communicating with Beneficiaries
     Trustees must keep beneficiaries informed about the trust’s management, providing updates and answering questions to prevent confusion or disputes.

Keeping Accurate Records
A trustee is responsible for detailed record-keeping, including financial statements, receipts, distributions, and any other transactions related to the trust. Alabama law may also require periodic accountings to beneficiaries.

Why Trustees Should Work with a Professional?

Even though you may be honored to serve as a trustee, the legal and financial responsibilities can be overwhelming—especially if you're unfamiliar with Alabama estate law. Here's how working with an attorney or professional fiduciary can help:

  • Legal Clarity
     Alabama has specific legal requirements for trusts. A professional can help you interpret the language of the trust and avoid missteps.

  • Avoiding Liability
     Mistakes—even unintentional ones—can expose a trustee to lawsuits from beneficiaries. An attorney helps ensure compliance with your fiduciary duties.

Family Harmony
 When a neutral professional is involved, especially in blended families or complex dynamics, it helps reduce tension and keeps the focus on fulfilling the grantor’s wishes.

Should You Appoint an Attorney as Trustee?

For many Alabama families, naming an estate planning attorney as trustee is a smart decision—especially in situations involving:

  • Multiple beneficiaries or heirs with differing opinions

  • Complex assets such as businesses, farms, or rental properties

  • Long-term trusts for minors or loved ones with disabilities

An experienced attorney brings objectivity, legal expertise, and administrative skill—all of which are critical to successful trust management.

We’re Here to Help Alabama Families with Trusted Guidance

Whether you're creating a trust or stepping into the role of trustee, don't do it alone. Our firm provides experienced, compassionate, and local support to ensure your trust is administered properly—and your loved ones are protected.

Contact us today to schedule a confidential consultation.

Let us help you navigate the process with confidence and peace of mind.

📞 Call us today at (205) 746-2465
📩 Or email us at info@greenelawfirm.com