Facility of Payments and Trust Termination

Client:	Corporate Fiduciary
Representation:	Estate Litigation
Date:	2003
Locations:	Cook County, Illinois

Summary:

In 2003, Schiff Hardin represented a corporate fiduciary in the Circuit Court of Cook County in connection with a financially fragile beneficiary of a trust whose termination date had arrived. A creditor was seeking to enforce a judgment she had obtained against the beneficiary, and she brought a citation proceeding directed at the trust assets. In an effort to protect the beneficiary, we raised the issue of the interpretation of a facility of payments clause to determine whether the protection of that clause continued past the trust's termination date.

After we filed an action in the Chancery Division raising the issue of the facility of payments clause, the matter was settled favorably to the beneficiary.