Estate planning rules in Vermont

Signing a will

Vermont's ordinary will execution rule requires a writing signed by the testator or another person at the testator's direction. Witnesses must attest and subscribe in the presence of the testator and each other.

Trustee delegation

A Vermont trustee may delegate duties and powers that a trustee of comparable skills could properly delegate. The trustee must use reasonable care in selecting, defining and monitoring the agent.

A trustee who meets the statutory delegation requirements is not liable to beneficiaries or the trust for the agent's decisions or actions.

Conflicts of interest and exculpation

Vermont presumes a conflict of interest when a trustee deals in trust property with the trustee's spouse, or with descendants, siblings, parents or their spouses.

Under the trust statute, a transaction is voidable by an affected beneficiary unless it was authorized by the trust terms, approved by the Probate Division of the Superior Court, or the beneficiary did not commence a judicial proceeding.

A trust term relieving a trustee of liability is unenforceable to the extent it covers breach committed in bad faith or with reckless indifference to the trust's purposes or the beneficiaries' interests.

An exculpatory term drafted or caused to be drafted by the trustee is invalid unless the trustee proves it is fair and that its existence and contents were adequately communicated to the settlor.

Guardianship

Vermont's guardianship policy statute says guardianship is to be used only as necessary to promote well-being and protect rights. Only the least restrictive form is to be ordered.

Thresholds and rates change. Check the state's own current figures.