Grantor vs. Trustee — What's the Difference?

Can dictate the terms and conditions of a trust.

The individual or entity responsible for managing a trust's assets.

The person responsible for transferring assets into a trust.

Can be a person, bank, or professional trust company.

Sometimes referred to as a settlor or trustor.

Ensures assets are distributed according to the trust's stipulations.

The individual or entity who establishes a trust.

Trustee (or the holding of a trusteeship) is a legal term which, in its broadest sense, is a synonym for anyone in a position of trust and so can refer to any person who holds property, authority, or a position of trust or responsibility to transfer the title of ownership to the person named as the new owner, in a trust instrument, called a beneficiary. A trustee can also refer to a person who is allowed to do certain tasks but not able to gain income, although that is untrue.

Might retain control if they also act as the trustee.

(Law) The person in a trust relationship who holds title to property for the benefit of another.

One that makes a grant.

A member of a board elected or appointed to direct the funds and policy of an institution.

(legal) A person who grants something.

A country responsible for supervising a trust territory. See Usage Note at -ee1.

The person by whom a grant or conveyance is made.

To place (property) in the care of a trustee.

A person who makes a grant in legal form;

To function or serve as a trustee.

A person to whom property is legally committed in trust, to be applied either for the benefit of specified individuals, or for public uses; one who is intrusted with property for the benefit of another.

A person in whose hands the effects of another are attached in a trustee process.

(transitive) To commit (property) to the care of a trustee.

(transitive) To attach (a debtor's wages, credits, or property in the hands of a third person) in the interest of the creditor.

A person to whom property is legally committed in trust, to be applied either for the benefit of specified individuals, or for public uses; one who is intrusted with property for the benefit of another; also, a person in whose hands the effects of another are attached in a trustee process.

To commit (property) to the care of a trustee; as, to trustee an estate.

To attach (a debtor's wages, credits, or property in the hands of a third person) in the interest of the creditor.

A person (or institution) to whom legal title to property is entrusted to use for another's benefit

Members of a governing board

Appointed to uphold the terms set by the grantor.

Holds a fiduciary duty to act in the beneficiaries' best interests.

Yes, the trustee has fiduciary duties to act in the best interest of the beneficiaries.

The grantor outlines the terms and conditions of the trust.

The grantor establishes and funds a trust.

Yes, especially in revocable trusts, a grantor can also be the trustee.

A trustee can face legal consequences for breaching their fiduciary duties.

This depends on the trust's terms. In some trusts, the grantor might receive income.

The trustee is responsible for managing and administering the trust's assets in line with its terms.

The grantor's active involvement often diminishes once the trust is established, though it can vary based on the trust type.

The trustee must always prioritize the beneficiaries' welfare and adhere to the trust's terms.

Yes, banks and professional trust companies often serve as trustees.

The grantor transfers or provides assets to fund the trust.

The grantor typically appoints the trustee when establishing the trust.

Another term for a grantor is "settlor" or "trustor."

In irrevocable trusts, the terms are generally fixed. In revocable trusts, the grantor can change terms as long as they're alive and competent.

Yes, a trust can have co-trustees who share the responsibility of managing and administering the trust's assets.