Today, portability clauses in trust instruments are relatively common and for good reason. Individuals die and corporate fiduciaries merge, consolidate, acquire, and occasionally close. Likewise, some jurisdictions are simply more advantageous than others. But, we know that the inclusion of portability clauses in trust instruments hasn’t always been the norm. The Uniform Trust Code, however, contemplates situations where it may make sense to change trustees and many states that have not adopted the UTC have also come to the same realization through their own trust codes, statutes, or common law.
While the UTC and various jurisdictions have contemplated a number of situations that may call for a change in trustees absent a provision in the trust instrument permitting a change, in In re McKinney, the Superior Court of Pennsylvania for the first time interpreted that provision in Pennsylvania’s Probate, Estates, and FiduciariesRead More