REVOCABLE LIVING TRUST AGREEMENT

(New York-Law Governed)

[// GUIDANCE: This template is drafted for use in New York and is designed for an individual Settlor who initially serves as sole Trustee. Delete or adapt any bracketed provisions that do not fit the engagement.]

TABLE OF CONTENTS

1. Article I — Declaration; Establishment of Trust
2. Article II — Definitions
3. Article III — Trust Funding & Asset Transfer Procedures
4. Article IV — Distribution Provisions
5. Article V — Reserved Powers of Settlor; Revocation & Amendment
6. Article VI — Trustee Provisions
7. Article VII — Representations & Warranties
8. Article VIII — Covenants & Restrictions
9. Article IX — Default; Removal; Remedies
10. Article X — Risk Allocation & Indemnification
11. Article XI — Dispute Resolution
12. Article XII — General Provisions
13. Article XIII — Execution, Acknowledgment & Notarization
14. Schedule A — Initial Trust Property
15. Schedule B — Beneficiary Distribution Schedules

ARTICLE I — DECLARATION; ESTABLISHMENT OF TRUST

§1.01 Parties

This Revocable Living Trust Agreement (“Agreement”) is made and entered into effective as of [EFFECTIVE DATE] (the “Effective Date”) by and between:

(a) [SETTLOR FULL LEGAL NAME], residing at [ADDRESS] (“Settlor”); and

(b) [TRUSTEE FULL LEGAL NAME], residing at [ADDRESS] (“Trustee”).

[// GUIDANCE: If Settlor and Trustee are the same individual, retain a single address.]

§1.02 Name of Trust

The trust created hereunder shall be known as “[SETTLOR] Revocable Living Trust dated [EFFECTIVE DATE]” (the “Trust”).

§1.03 Declaration

Settlor hereby declares that all property listed on Schedule A and any additional property conveyed to Trustee in accordance with this Agreement shall be held, managed, and distributed by Trustee in trust, subject to the terms herein.

§1.04 Governing Law; Situs

(a) This Trust is created pursuant to the New York Estates, Powers & Trusts Law (“EPTL”) and shall be governed by and construed in accordance with the laws of the State of New York, without regard to conflict-of-laws principles.
(b) The situs of the Trust shall be [COUNTY], New York, unless changed pursuant to §6.08.

ARTICLE II — DEFINITIONS

For purposes of this Agreement, capitalized terms have the meanings set forth below. Terms defined in a singular form shall include the plural and vice versa as the context requires.

“Accounting Period” means each calendar year or shorter period ending upon the termination of the Trust or change of Trustee.

“Beneficiary” means any person or entity entitled to receive income or principal under Article IV.

“Disability” has the meaning provided in §5.02.

“Majority of Adult Beneficiaries” means more than fifty percent (50%) of the adult Beneficiaries then eligible to receive distributions in their own right.

“Person” means any natural person, trust, estate, partnership, corporation, limited liability company, or other legal entity.

“Successor Trustee” means any person or institution designated or appointed under §6.05 to serve as trustee when the office of Trustee is vacant.

[// GUIDANCE: Add or delete definitions to suit the circumstances; ensure cross-references remain accurate.]

ARTICLE III — TRUST FUNDING & ASSET TRANSFER PROCEDURES

§3.01 Initial Funding

Concurrently with execution of this Agreement Settlor transfers, assigns, and delivers to Trustee the property described in Schedule A, receipt of which Trustee hereby acknowledges.

§3.02 Subsequent Transfers

(a) Settlor or any other Person may at any time transfer additional property to the Trust by (i) written assignment, (ii) deed of conveyance, (iii) beneficiary designation, or (iv) any other legally effective method.
(b) Title to real property must be transferred by duly executed and acknowledged deed, recorded in the office of the clerk or recording officer of the county where the property is situated.

§3.03 Formalities for Trust Instrument Affecting Real Property

Pursuant to N.Y. Est. Powers & Trusts Law § 7-1.17, any amendment or restatement of this Agreement that conveys, assigns, or otherwise affects an interest in real property shall be executed and acknowledged by Settlor with the same formalities as a deed.

§3.04 Assignment of Contractual Rights

To the extent that any contract, policy, or account requires notice or consent for assignment to the Trust, Settlor shall deliver the requisite documentation to the issuing institution.

ARTICLE IV — DISTRIBUTION PROVISIONS

§4.01 During Settlor’s Lifetime

(a) Income and Principal. During Settlor’s lifetime and while not Disabled, Trustee shall distribute to or for the benefit of Settlor so much of the net income and principal as Settlor may request from time to time.
(b) Tax Obligations. Trustee shall pay directly or reimburse Settlor for any federal, state, or local income taxes attributable to Trust income.

§4.02 Upon Settlor’s Disability

If Settlor is Disabled (as defined in §5.02):
(1) Trustee may distribute income and principal as necessary for Settlor’s health, education, maintenance, and support (“HEMS” standard).
(2) Trustee may, in Trustee’s discretion, distribute funds for the benefit of Settlor’s dependents if Settlor’s resources are insufficient.

§4.03 Upon Settlor’s Death

Upon Settlor’s death, Trustee shall:
(a) Pay Settlor’s legally enforceable debts, funeral expenses, estate administration expenses, and any estate or inheritance taxes payable by reason of Settlor’s death.
(b) Distribute remaining trust property in accordance with Schedule B.

[// GUIDANCE: Use Schedule B to set forth dispositive provisions—e.g., outright gifts, testamentary trusts for minors, charitable bequests, etc.]

ARTICLE V — RESERVED POWERS OF SETTLOR; REVOCATION & AMENDMENT

§5.01 Revocation and Amendment

Settlor reserves the right at any time, by written instrument acknowledged in accordance with N.Y. EPTL § 7-1.17, to revoke, amend, or restate this Trust in whole or in part. Any such instrument shall take effect upon delivery to Trustee.

§5.02 Definition of Disability

Settlor is “Disabled” if:
(a) Two licensed physicians, one of whom is Settlor’s primary care physician, certify in writing that Settlor is unable to manage Settlor’s property or financial affairs; or
(b) A court of competent jurisdiction adjudicates Settlor incapacitated.

§5.03 Power of Appointment

Settlor reserves an unrestricted power to appoint during life or at death all or any part of the Trust property to any Person, including Settlor’s estate, by an acknowledged written instrument or by specific reference in Settlor’s will.

ARTICLE VI — TRUSTEE PROVISIONS

§6.01 General Powers

Trustee shall have all powers granted to trustees under N.Y. EPTL Article 11 and any successor statutes, including, without limitation, the power to:
1. Buy, sell, lease, or exchange property;
2. Manage investments using the prudent investor standard;
3. Borrow money and encumber Trust assets;
4. Initiate or defend legal proceedings;
5. Employ and compensate agents and professionals;
6. Execute documents on behalf of the Trust.

§6.02 Duties of Trustee

Trustee shall:
(a) Act in good faith, with reasonable care, skill, and caution;
(b) Keep adequate records and provide annual accountings to Settlor (or, after Settlor’s death, to adult Beneficiaries and the Surrogate’s Court upon request);
(c) Segregate Trust property from Trustee’s personal assets.

§6.03 Compensation and Reimbursement

(a) Trustee is entitled to reasonable compensation in accordance with N.Y. SCPA § 2309 or any written fee schedule accepted by Settlor.
(b) Trustee shall be reimbursed from Trust assets for all reasonable expenses properly incurred.

§6.04 Bond

No bond or other security shall be required of any Trustee unless mandated by a court of competent jurisdiction.

§6.05 Successor Trustees

(a) Designations. The following are designated as successor trustees in the order listed:
 1. [PRIMARY SUCCESSOR TRUSTEE NAME];
 2. [SECONDARY SUCCESSOR TRUSTEE NAME].
(b) Vacancy. If no designated successor is willing and able to serve, a Majority of Adult Beneficiaries may appoint a qualified successor; absent such appointment, the Surrogate’s Court of [COUNTY] shall appoint a successor.
(c) Acceptance. A successor trustee shall accept the office in writing and shall thereupon succeed to all rights, powers, and duties of Trustee.

§6.06 Resignation

Trustee may resign by thirty (30) days’ written notice to Settlor (if living) or to all adult Beneficiaries and any co-trustee, and to the Surrogate’s Court if required.

§6.07 Removal

Settlor may remove Trustee at any time by written notice delivered to Trustee and any co-trustee. After Settlor’s death, a Majority of Adult Beneficiaries may remove Trustee for cause as defined in §9.01(b).

§6.08 Change of Situs

Trustee may, for tax or administrative reasons, transfer the situs and governing law of the Trust to another jurisdiction; provided, however, that (i) such transfer does not impair Beneficiary interests, and (ii) written notice is given to all adult Beneficiaries at least sixty (60) days prior to the effective date.

ARTICLE VII — REPRESENTATIONS & WARRANTIES

§7.01 Settlor Representations

Settlor represents and warrants that:
(a) Settlor has the legal capacity to create this Trust and to transfer the property described in Schedule A;
(b) All such property is free of undisclosed liens and encumbrances;
(c) Execution of this Agreement does not violate any court order or contractual obligation binding on Settlor.

§7.02 Trustee Representations

Trustee represents and warrants that:
(a) Trustee has full legal capacity to serve;
(b) Trustee will administer the Trust in accordance with its terms and applicable law;
(c) Trustee is not prohibited by any conflict of interest that has not been disclosed in writing to Settlor.

§7.03 Survival

All representations and warranties shall survive the execution of this Agreement and any trustee succession.

ARTICLE VIII — COVENANTS & RESTRICTIONS

§8.01 Prohibition on Assignment by Beneficiaries

Except as otherwise mandated by law, no Beneficiary may assign, pledge, or otherwise transfer any interest in the Trust, and such interests shall not be subject to the claims of creditors (“Spendthrift Provision”).

§8.02 Notice of Legal Proceedings

Trustee shall promptly notify Settlor (if living) and, thereafter, the adult Beneficiaries of any litigation or governmental investigation materially affecting the Trust.

§8.03 Compliance with Law

Trustee shall comply with all applicable federal, state, and local laws, regulations, and court orders, including without limitation tax reporting and unclaimed property laws.

ARTICLE IX — DEFAULT; REMOVAL; REMEDIES

§9.01 Events of Default

An “Event of Default” occurs if:
(a) Trustee materially breaches fiduciary duties;
(b) Trustee is convicted of a felony or crime involving dishonesty;
(c) Trustee becomes incapacitated or adjudicated bankrupt;
(d) Trustee repeatedly fails to render required accountings.

§9.02 Notice and Cure

Before removal for an Event of Default, Trustee shall receive written notice specifying the default and a thirty (30)-day opportunity to cure, unless cure is impossible or the Surrogate’s Court orders immediate suspension.

§9.03 Remedies

Upon an uncured Event of Default:
1. Removal and replacement of Trustee under §6.05;
2. Recovery of damages from Trustee to be satisfied solely from Trust assets absent gross negligence or willful misconduct;
3. Application to the Surrogate’s Court for injunctive relief to protect Trust assets.

§9.04 Attorneys’ Fees

The prevailing party in any action to enforce this Article IX shall be entitled to reasonable attorneys’ fees and costs determined by the court.

ARTICLE X — RISK ALLOCATION & INDEMNIFICATION

§10.01 Trustee Indemnification

(a) To the fullest extent permitted by law, Trustee and Trustee’s agents shall be indemnified out of the Trust assets against any loss, liability, or expense (including attorneys’ fees) arising from the administration of the Trust, except for losses resulting from Trustee’s gross negligence, willful misconduct, or bad faith.
(b) This indemnity shall survive the resignation, removal, or replacement of Trustee.

§10.02 Limitation of Liability

Except as otherwise required by law, any liability of Trustee shall be limited to the extent of the Trust assets under Trustee’s control at the time liability is determined; Trustee shall not be personally liable.

§10.03 Insurance

Trustee may purchase fiduciary liability insurance payable out of the Trust assets.

§10.04 Force Majeure

Trustee shall not be liable for failure to perform duties when such failure is due to events beyond Trustee’s reasonable control, including acts of God, natural disasters, or changes in applicable law.

ARTICLE XI — DISPUTE RESOLUTION

§11.01 Governing Law

This Agreement and all disputes arising hereunder shall be governed by the laws of the State of New York.

§11.02 Forum Selection

Exclusive jurisdiction and venue for all proceedings relating to this Trust shall reside in the Surrogate’s Court of [COUNTY], New York (the “Designated Court”).

§11.03 Optional Arbitration

(a) Election. Upon unanimous written consent of all adult Beneficiaries and Trustee, any dispute otherwise within the Designated Court’s jurisdiction may be submitted to binding arbitration administered by the American Arbitration Association in [COUNTY], New York.
(b) Limitations. The arbitrator shall have authority to grant all remedies available at law or in equity but may not award punitive damages.
(c) Survival. This arbitration clause shall survive the resignation or replacement of any Trustee.

§11.04 Jury Waiver

Because proceedings concerning trusts are generally equitable and heard in Surrogate’s Court without a jury, all parties waive any right to trial by jury to the fullest extent permitted by law.

§11.05 Injunctive Relief

Nothing herein shall limit the right of any party to seek temporary, preliminary, or permanent injunctive relief from the Designated Court to protect Trust assets pending final resolution of any dispute.

ARTICLE XII — GENERAL PROVISIONS

§12.01 Amendment and Waiver

Except as provided in §5.01, this Agreement may be amended only by a written instrument signed by Settlor and acknowledged in accordance with N.Y. EPTL § 7-1.17. No waiver of any provision shall be effective unless in writing and shall be limited to the specific circumstance described.

§12.02 Assignment

Except as expressly permitted herein, no party may assign or delegate any right or obligation under this Agreement without prior written consent of Settlor (if living) or the Designated Court.

§12.03 Successors and Assigns

This Agreement shall be binding upon and inure to the benefit of the parties and their respective heirs, personal representatives, successors, and permitted assigns.

§12.04 Severability

If any provision is determined by a court of competent jurisdiction to be invalid or unenforceable, the remaining provisions shall remain in full force, and the invalid provision shall be reformed to the minimum extent necessary to achieve its intent.

§12.05 Entire Agreement

This Agreement constitutes the entire understanding among the parties with respect to the subject matter and supersedes all prior agreements and understandings, whether written or oral.

§12.06 Counterparts; Electronic Signatures

This Agreement may be executed in one or more counterparts, each of which shall be deemed an original. Signatures delivered via facsimile, PDF, or reliable electronic signature technology shall be deemed original signatures.

ARTICLE XIII — EXECUTION, ACKNOWLEDGMENT & NOTARIZATION

IN WITNESS WHEREOF, Settlor and Trustee have executed this Agreement as of the Effective Date first written above.

[If Settlor and Trustee are the same person, sign once, listing both capacities.]

NOTARIES

State of New York )
County of [COUNTY] ) ss.:

On the ___ day of ____, 20__, before me, the undersigned, a Notary Public in and for said State, personally appeared [SETTLOR/TRUSTEE NAME], personally known to me or proved to me on the basis of satisfactory evidence to be the individual(s) whose name(s) is(are) subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their capacity(ies), and that by his/her/their signature(s) on the instrument, the individual(s), or the person upon behalf of which the individual(s) acted, executed the instrument.

Notary Public

SCHEDULE A — INITIAL TRUST PROPERTY

1. Cash: $[AMOUNT] deposited to [BANK] account #[NUMBER].
2. Brokerage Account #[NUMBER] at [BROKER], including all securities therein.
3. Real Property located at [ADDRESS], more particularly described in the deed recorded [DATE] in Liber [#] Page [#], [COUNTY] County Clerk’s Office.

[// GUIDANCE: List all property with sufficient specificity to effectuate transfer.]

SCHEDULE B — BENEFICIARY DISTRIBUTION SCHEDULES

[Example language—revise as needed.]

Upon Settlor’s death and after payment of expenses under §4.03(a):

A. Outright Gifts
1. $[AMOUNT] to [BENEFICIARY 1, RELATION].
2. Specific bequest of Settlor’s [ITEM] to [BENEFICIARY 2].

B. Residual Trusts
1. The residue shall be divided into equal shares for Settlor’s children, [NAMES], per stirpes. Any share for a Beneficiary under age twenty-five (25) shall be held in continuing trust with discretionary HEMS distributions; principal to be distributed outright at age 25.

C. Charitable Bequest
$[AMOUNT OR PERCENTAGE] to [CHARITY NAME], EIN #[#], for its general charitable purposes.

[// GUIDANCE: Attach additional schedules for insurance, digital assets, or tax-sensitive planning (e.g., GST, credit shelter, QTIP) as necessary.]