Land Trust: How do I list my corp. as trustee? - Posted by Ronnie


#1

Posted by Rob FL on January 26, 1999 at 21:13:35:

From a liability standpoint you would really want the corporation to be the beneficiary and not you personally. A land trust offers very limited liability protection to its beneficiaries because the beneficiaries direct the actions of the trustee. You would be much better off having someone that cannot be tied to you as the trustee (a relative with a different last name, a friend, an attorney). Then have your corporation be the beneficiary. The corporation as trustee and you individually as beneficiary is probably the worst move you could make. As beneficiary you would be 100% liable for the property. Your corporation might not be able to fulfill its duties as trustee because some states prohibit corporations from being a trustee unless they are a bank or a trust company (it was that way in FL until about 5 years ago). Before that time title companies would not even insure titles from corporate trustees unless the beneficiaries also signed the deeds. Be careful.

my .02


#2

Land Trust: How do I list my corp. as trustee? - Posted by Ronnie

Posted by Ronnie on January 26, 1999 at 21:03:50:

HI!

I’m putting one of my own vacant houses (in a warzone) into a land trust to avoid liability and this is the first time for me:

I heard that my corporation can be the trustee. If I’m Ronald McDonald, and I’m president of ABC Corp., and I want to personally own the beneficial interest, what is the proper way to list the trustee.

I’ve heard the following 2 examples to list as trustee:

A) ABC Corp.

B) Ronald McDonald as President of ABC Corp.

Which is correct???

By the way, I assume that Ronald McDonald is the grantor and also the one to whom the beneficial interest is assigned. And, I’m using Ron LeGrand’s trust agreements.

Thanks,

Ronnie