There are many reasons why you might consider changing a trustee or adding a co-trustee, ranging from increased complexity in managing assets to ensuring the long-term protection and performance of the trust. But before making changes, it’s important to understand who has the authority, what the process involves, and how to do it in a way that aligns with the trust’s terms and the beneficiaries’ best interests.

Who Has the Power to Change or Add a Trustee?
In most cases, the trust document outlines exactly who has the authority to remove or appoint trustees. This power may be granted to:
• The grantor (the person who created the trust)
• A designated trust protector
• The beneficiaries, through a voting mechanism
• A trust advisory committee
Some trust agreements also include automatic provisions for trustee changes due to incapacity, resignation, or misconduct. In jurisdictions like South Dakota, these provisions can be carefully tailored to allow for flexibility while preserving the trust’s asset protection benefits.

Can a Trustee Bring in a Professional Trust Company for Support?
Yes, most trustees have the authority to delegate administrative responsibilities to a third-party trust company or professional fiduciary. This is especially common when the duties become too complex or burdensome for an individual trustee.
Delegation is generally permitted as long as:
• It’s allowed by the trust document
• The trustee performs due diligence in selecting the provider
• The decision is in the best interest of the trust and its beneficiaries
• The trustee continues to exercise appropriate oversight
The cost of such services is typically covered by the trust itself.

Why Would a Trustee Bring in a Professional Trust Company?
There are three key reasons a trustee may turn to a professional firm for help:
1. Complexity of Assets
Some trusts hold real estate, business interests, or nontraditional investments that require specialized knowledge and day-to-day management.
2. Administrative Burden
Trustees are responsible for detailed record-keeping, tax reporting, regulatory compliance, and consistent communication with beneficiaries, tasks that are time-consuming and technical.
3. Liability and Risk Mitigation
Partnering with a professional trust company provides access to institutional safeguards, internal controls, and liability protection, reducing the personal risk to the trustee.

How Quickly Can a Co-Trustee Be Added?
The timeline depends on several factors:
• If allowed by the trust: The addition of a co-trustee can often be completed within a few days to a few weeks
• If court approval is needed: Expect 4–8 weeks or longer
• If beneficiary consent is required: Timing will depend on the responsiveness and agreement of the beneficiaries
• If switching to a corporate trustee: Additional onboarding documentation may be needed
In South Dakota, with cooperative parties and favorable trust language, the appointment of a co-trustee can typically be completed in 1–3 weeks.

Can You Move Your Trust to South Dakota?
Yes. Many trustees choose to change the situs (legal home) of their trust to South Dakota to take advantage of the state’s exceptionally favorable trust laws. This move is usually possible if:
• The trust document permits situs changes
• The change benefits the trust and its beneficiaries
• Proper legal procedures are followed
The process involves naming a South Dakota-based trustee, shifting administration to the state, and executing the necessary paperwork. With proper guidance, this transition can be completed in just a few months.

How ITC Can Help
At Independent Trust Company (ITC), we work closely with individual trustees, families, and their advisors to provide seamless support during trustee transitions, whether you’re adding a co-trustee, stepping back from day-to-day responsibilities, or relocating your trust to South Dakota.
As a South Dakota-chartered trust company, ITC offers:
• Personalized service with national trust law expertise
• Conflict-free co-trustee or administrative trustee roles
• Robust infrastructure to manage complex trusts with efficiency
• Full compliance with South Dakota’s best-in-class privacy and asset protection laws
Whether you’re seeking flexibility, support, or a fresh start, ITC is here to help you manage your trust with confidence and care.