Trust Accounting Disputes After the 2025 Trust Code Update: Challenging Fees, Expenses, and Distributions
Trust accountings are often the first time that beneficiaries suspect something is wrong. Trustees may have the authority to manage trust assets, hire professionals, pay expenses, and make distributions. But that authority doesn’t extend to producing vague records, making unexplained changes, paying excessive fees, or making distributions that are inconsistent with the terms of the trust. When a beneficiary suspects mishandling of a trust, it may be time to reach out to a trust litigation lawyer in Oklahoma.
When you fear a trust is being used for a trustee’s benefit, you need a team experienced in trust litigation, analysis of financial records, and application of Oklahoma trust laws. The team at Entz Burton & Associates has helped many beneficiaries uncover trust fraud and hold trustees accountable. Attorney Jeffrey Burton spends much of his time on estate planning and related legal matters, giving you the guidance needed to handle complex trust issues. Call our trust litigation law firm at 405-773-9800 to discuss your options now.
What Should Be Included in a Trustee’s Accounting
In 2026, Oklahoma passed a trust law update that gives parties clear rules for trust duties, reporting, objections, and court remedies. This makes it very important for trustees to handle accountings properly and in accordance with state standards.
A useful trust accounting should make it easy for beneficiaries to follow the money. They should be able to identify trust assets, expenses, sales, purchases, distributions, fees, and ending balances. An accounting should also show the reporting period and have enough detail so beneficiaries can compare the accounting against bank statements and other financial records.
Vague spreadsheets may not meet this standard if they just list totals without explicitly showing where money went. Beneficiaries may be entitled to see receipts, invoices, account statements, appraisals, and distribution records. Additionally, if a trustee claims that the trust paid for repairs, legal work, taxes, or other expenses, there should be proof of that.
Challenging Trustee Fees and Professional Expenses
Beneficiaries may initially reach out to a trust litigation lawyer because of issues with trustee compensation. Trustees may be entitled to reasonable compensation, but beneficiaries have the right to question fees that are excessive, poorly documented, duplicative, or unrelated to trust work. Beneficiaries may also raise questions about attorney fees, accounting fees, and payments to companies connected to the trustee.
You may want to watch out for round-number charges without explanations, personal expenses that are paid from trust funds, repeated professional charges for routine tasks, fees that appear to benefit the trustee more than the trust, and expenses that appear unnecessary.
Disputes Over Distributions and Trustee Discretion
Distribution disputes are a common source of tension and disputes between beneficiaries and trustees. They may arise when beneficiaries believe that a trustee is favoring one beneficiary, delaying payments, withholding information, or applying the trust unfairly. Some trusts may require specific distributions, while others give trustees discretion regarding when and how much to distribute.
Even in situations where a trustee has discretion, that discretion still has limits. Oklahoma’s updated statutes recognize that a trustee’s powers must be exercised within legal boundaries. Beneficiaries may reach out to a trust litigation attorney when distributions are refused without explanation, distributions are unequal without that decision being supported by the trust, or when a trustee uses discretion as a shield to protect unfair decisions.
Deadlines to Object to Accountings or Proposed Distributions
Timing is important in trust accounting disputes. After a trustee provides an accounting or proposed distribution, beneficiaries often have limited time to object. This is why we often recommend that beneficiaries review accountings promptly, rather than waiting months to review it. The longer you wait to take action against an unclear or questionable accounting, the harder it may be to challenge fees, expenses, and distributions down the road. If you’re unsure whether an accounting meets state standards and you suspect misconduct, talking to a trust litigation lawyer is recommended.
Worried About Trust Mismanagement? Contact Our Trust Litigation Law Firm in Oklahoma Now
At Entz Burton & Associates, we understand how hard it can be to parse accountings and understand what exactly is happening in a trust. We’re here to help and ensure that your assets are properly managed. Call us at 405-773-9800 or send us a message online to get started.
Attorney J. Michael Entz at Entz Burton & Associates is an experience lawyer in estate planning law, business formation and asset protection serving the families in Oklahoma City and Weatherford office.
