Wood v. U.S. Bank, N.A.

Painter, Judge.

{¶ 1} This case turns on a question of law that has received little judicial attention in Ohio. Does a trustee have a duty to diversify the assets of a trust when the language of the trust authorizes retention of a specific asset, namely stock in the corporate trustee?

{¶ 2} We hold that even if the trust document allows the trustee to “retain” assets that would not normally be suitable, the trustee’s duty to diversify remains unless there are special circumstances. Of course, a trustee’s duty to diversify may be expanded, restricted, eliminated, or otherwise altered by the…