Trust decanting is a significant part of the Illinois Trust Code, which governs Trusts within the state of Illinois. Decanting refers to transferring assets from one Trust to another due to changing circumstances. These changing circumstances may include a multitude of factors. This can include anything from changes in tax law to an unforeseen event that must be addressed in the Trust.

Recently, the statute changed, allowing one to amend the first Trust rather than create anew one and then transfer everything to that new Trust. This makes estate planning even simpler, allowing you to make any changes you wish without much hassle. You no longer have to make a second Trust. The requirements for decanting are now much more flexible, making it easier to do so.

Trust Decanting and Purpose

The concept of purpose has also expanded to include the grantor’s “probable intent.” This refers to the purpose of the decanting and the grantor’s reason for doing so. This is important because Illinois is a “grantor’s intent” state, which means that what the grantor wishes is put above what the beneficiary wishes. Therefore, this law expands the scope of what constitutes the grantor’s intent, allowing the creator of the Trust to have greater control over its administration, whereas the beneficiary has less control. These expansions make it much easier to decant, for both the lawyer and the client.

To that end, please contact us today for further information if you have any questions about Guardianship, Power of Attorneys Living Trusts, or other areas of concern.

Please feel free to contact us today for further information or visit Tuohy Law Offices now.

Dylan Hunn is a Legal Assistant at Tuohy Law Offices.

Dylan Hunn

312-559-8400
17W220 22nd Street
Oakbrook Terrace, Illinois, 60181

This blog entry is for information and planning purposes. Therefore, it is not legal advice. Please do not use this blog as legal advice, which turns on specific facts and laws in specific jurisdictions. No reader of this blog should act or refrain from acting based on any information included in, or accessible through, this blog without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from a lawyer licensed in the reader’s state, country or other appropriate licensing jurisdiction.

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