Control and Protection of Trust Property in Arizona

A Fundamental Trustee Obligation

This statute is short, but its weight is significant. It establishes one of the most basic duties a trustee carries: getting control of trust property and keeping it safe. Whether the trust is a revocable living trust or an irrevocable trust, this duty applies equally.

In practical terms, this means a trustee must identify what the trust owns and secure those assets. That might include retitling accounts, obtaining insurance, collecting rent from trust-owned real estate, or safeguarding personal property like vehicles.

For anyone involved in estate planning, understanding this duty helps explain why the person who created the trust should keep an updated list of trust property. An Arizona trust works best when the trustee can quickly identify and protect the trust's holdings.

What "Reasonable Steps" Actually Means

The statute does not require perfection. It requires reasonableness. A trustee managing a trust with a single bank account has different obligations than one overseeing real estate, business interests, and investment accounts. The standard adjusts to the complexity of the trust.

Where trustees most often fall short is in the transition period. When a successor trustee steps in after incapacity or death, there is sometimes a gap where assets sit unprotected. Bank accounts go unmonitored. Insurance policies lapse. Property sits vacant.

This statute makes clear that the trustee has a legal obligation to close those gaps promptly. Whether the trust is structured as an asset protection trust or a standard family trust, the duty to protect the trust property is the same.

For families choosing a successor trustee, this duty is one of the most important things to understand. The role starts with securing trust property from day one, not just distributing assets at the end.