Modification of a Revocable trust can be made by the maker of the trust.
The term “Court” below means a Mississippi Chancery Court.
A Trustee can modify an irrevocable trust upon consent of all beneficiaries, if the maker of the trust does not object. The maker of the trust must get notice of any proposed modification.
All beneficiaries of the trust may also seek modification of am irrevocable trust after the maker dies if the court concludes that continuance of the trust is not necessary to achieve any material purpose of the trust.
If not all of the qualified beneficiaries consent to modification of the trust, modification may be approved by the court if the court is satisfied that:
(1) If all of the qualified beneficiaries had consented, the trust could have been modification under this section; and
(2) The interests of a qualified beneficiary who does not consent will be adequately protected.
Modification upon request of the beneficiaries of an irrevocable trust cannot be done if a federal or state charitable deduction was allowed upon transfers to the trust.
The court may modify the administrative or dispositive terms of a trust if, because of circumstances not anticipated by the maker, modification will further the purposes of the trust. To the extent practicable, the modification must be made in accordance with the maker’s probable intention.
The court may modify the administrative terms of a trust if continuation of the trust on its existing terms would be impracticable or wasteful or impair the trust’s administration.
The court may modify a trust if it determines that the value of the trust property is insufficient to justify the cost of administration.
To achieve the settlor’s tax objectives, the Chancery court may modify the terms of a trust in a manner that is not contrary to the settlor’s probable intention. The court may provide that the modification has retroactive effect.
