CONSIDERATIONS RELATED TO THE OPERATION OR REORGANIZATION OF A BUSINESS BY A TRUSTEE DURING ADMINISTRATION
By Jenny Hill Bratt, Esq.,* and Karl F. Mill, Esq.*
While it is not uncommon to encounter a trust administration involving business assets, there are some common elements that often and unintentionally go unaddressed by practitioners.1 One such issue is the scope of the trustee’s power to operate a business. As practitioners counseling trustees, attorneys should be aware of the relevant issues, and prepared to advise their clients about the risks of operating a business as the trustee without authorization in the trust instrument or court approval.
II. LIMITATIONS ON THE TRUSTEE’S POWER OVER BUSINESS INTERESTS