What is a trust amendment?

A trust amendment is a legal document that is used to change the terms of a trust. A trust is an arrangement where one person (the trustor or settlor) transfers property to another person (the trustee) who in turn holds it for the benefit of a third person (the beneficiary). A trust amendment is used to alter the terms of the trust, such as the beneficiaries, the trustor’s goals, the assets in the trust, or the powers of the trustee. In Texas, all trust amendments must be created in writing, signed by the settlor or anyone authorized to act on the settlor’s behalf, and must be witnessed by two people. The trust amendment must then be filed with the court and is effective only when it has been approved by the court. Trust amendment can also be revoked by a separate document and should be recorded with the court, along with the trust amendment. Amendments are beneficial in that they allow trustors to make changes to their trusts as their circumstances or the law changes. It is important for settlors to periodically review any trust documents they have to ensure that they still meet their needs.

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