Hurtig v. Gabrielson

OPINION

HUSPENI, Judge.

Appellant trustee withheld distributions from respondent, while distributing to all other siblings, treating respondent as a contingent beneficiary of the trust, and using her equivalent share as a setoff against her debt to the trust estate. Because respondent’s debt to the estate had been discharged in bankruptcy, the trial court ordered appellant to make the distributions. The terms of the trust give appellant absolute discretion over distributions to the contingent beneficiaries. We find this discretion is not limited by the bankruptcy of a beneficiary, and reverse.

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