Legal Question in Wills and Trusts in New York

Re: Misappropriation of minor's trust account by trustees

As parent and natural guardian of the child, and assuming the trust was established under the Will, you have the right to demand an accounting of the trust from its inception. If it is not given voluntarily, you have the right to start a suit for the accounting with the Surrogate's Court. The trustees must provide all details, of assets, income and expenses and fees. If they are found to have misappropriated funds they can be surcharged (they may also have been bonded) and replaced. You may find the reduction was merely due to bad investments, but they have certain requirements on investing that they must comply with by law. If they acted improperly, they can be surcharged for this violation also. Costs and fees may be paid out of the trust, but remember this is your daughter's money, so any fees paid will reduce her account.

Re: Misappropriation of minor's trust account by trustees

You should consult and retain an attorney, since the trustees are attorneys.

You can force the trustees to give "an accounting." This is just what it sounds like. They have to show what has been done with the money. I highly suggest you retain competent counsel and demand the accounting immediately.

Re: Misappropriation of minor's trust account by trustees

You, as the father of the minor child, can ask for an accounting and if one is not forthcoming voluntarily then the Surrogate, upon request, can order an accounting. If all is acceptable, the cost of the accounting (fees, etc.) will be charged to the trust fund. If there has been monkey business, the trustees will be surcharged.