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A trust might terminate because: The trust has accomplished its intended purposes. It is no longer economically feasible to have a trust. The trust has distributed all of its property and assets. The trust is revoked. The court dissolves the trust because of a dispute or illegality.
The two most common ways to terminate and/or modify an irrevocable trust is to 1) argue that there has been a change of circumstances not anticipated by the settlors at the time they created the trust (for example changes in tax law, and 2) argue that all beneficiaries consent to the proposed termination and or ...
The trust's founder and owner can typically dissolve a revocable trust at will. In most cases, this involves nothing more complicated than filling out some paperwork and distributing the trust's assets.
Options to Dissolving a Trust distributing the entire trust property; having the settlor or trustee revoke the trust; having the beneficiaries consent to dissolve the trust; or. by court order.