Your Loved One Just Died. Now What Happens To Their Trust?

Here’s a question most families never think to ask until it’s too late: if there’s a trust, does anyone even need to go to court? The short answer is usually no, but that doesn’t mean nothing needs to happen. A trust doesn’t administer itself, and the person left holding the reins, the successor trustee, has a specific set of legal obligations that start the moment the settlor dies.

So what actually unfolds after death when a trust is involved? Here’s the roadmap.

Step One: The Trustee Steps In

When the person who created the trust (the settlor) passes away, the trust typically becomes irrevocable, and the named successor trustee takes over. Unlike an executor in probate, a trustee doesn’t need court appointment to start acting. That’s part of what makes trusts attractive in the first place: no waiting on a judge’s calendar just to begin paying bills or gathering assets.

But don’t mistake “no court” for “no rules.” Florida imposes specific duties on trustees the moment they take over.

Step Two: Notice to Beneficiaries

Have you ever wondered how beneficiaries even find out a trust exists? Florida law requires trustees to act quickly on this front. Under Florida Statutes section 736.05055, a trustee must file a notice of trust with the probate court in the county where the settlor lived, alerting the court and interested parties that a trust exists. Separately, under section 736.0813, the trustee must notify qualified beneficiaries of the trust’s existence, the trustee’s identity, and their right to request a copy of the trust instrument and receive accountings.

Skipping or delaying this step isn’t a minor slip. It can expose a trustee to personal liability and, in some cases, extend the window beneficiaries have to challenge the trust’s validity, since that six-month contest period often doesn’t start ticking until proper notice goes out.

Step Three: Gathering Assets and Paying Debts

Once notice is handled, the trustee’s job starts to resemble what a personal representative does in probate. Assets titled in the trust’s name need to be identified, valued, and safeguarded. The trustee may also be responsible under section 736.05053 for paying certain expenses and obligations of the settlor’s estate, particularly if there’s no separate probate case open to handle creditor claims.

Step Four: Accounting to Beneficiaries

Beneficiaries are entitled to see the numbers. A trustee generally must provide an annual accounting showing what came in, what went out, and what remains, along with a full copy of the trust document to qualified beneficiaries who ask for one. Think of it this way: transparency isn’t a courtesy the trustee extends, it’s a legal requirement.

Step Five: Distribution

Once debts, taxes, and expenses are settled, the trustee distributes the remaining assets according to the trust’s terms. Straightforward trusts with cooperative families might wrap this up in a matter of months. Trusts holding real estate, business interests, or contentious relatives can take considerably longer.

When Things Go Sideways

What happens if the trustee is dragging their feet, refusing to communicate, or spending trust funds on themselves? Beneficiaries aren’t powerless. They can petition the court to compel an accounting, demand the trustee’s removal, or pursue a claim for breach of fiduciary duty. Because these disputes often move fast once they start, having Daytona Beach trust administration lawyers involved early can prevent a slow drip of frustration from becoming a full-blown legal battle.

At Bundza & Rodriguez, P.A., we help trustees carry out their duties correctly and help beneficiaries hold trustees accountable when they don’t. If you’re navigating trust administration in Daytona Beach or anywhere in Volusia County, whether you’re the one now in charge or the one waiting for answers, we invite you to contact Bundza & Rodriguez, P.A. today to talk through your next steps.

Source:

flsenate.gov/Laws/Statutes/2025/736.05055