Legal Question in Wills and Trusts in New York

Black's Law Dictionary defines a trustee as "one who holds the legal title to property for the benefit of another." In other words, you, as trustee will be the individual responsible for the foundation. Therefore, to answer your questions:

Q. Do I have to do something as trustee?

A. Well, you are responsible for the foundation. I assume that the foundation will be an active entity. Therefore, as the person responsible for the foundation, I assume that you will have to do something.

Q. I'm not getting paid so it�s nothing I have to report to the IRS, right?

A. If you are not getting paid, you will not have to report income. However, if the foundation is rasing money, the foundation will have to file reports to both taxing authorities and possibly, the NY Attorney General's Office.

Q. If she writes something on the website that causes a law suit, could I be involved?

A. Yes. However, anyone can sue for any reason. That does not mean you will be held personally responsible.

Mike.

I agree with Mike, but as a member of a foundation, let me clarify some points. A trustee is like a director or board member, mostly oversight. A foundation needs a board or trustees to be formed, and there usually are a number more than one. Most foundations have officers who run the day-to-day affairs and handle the business and finances of the foundation. Most foundations also provide insurance to protect their officers, board members, trustees, etc., from claims, so be sure this is provided. Finally, most foundations elect a new Board, trustees, etc., after they are formed, so you may only be needed to get things started and only until the official people are elected or appointed.