Professional Documents
Culture Documents
Land Trust
Land Trust
Dear Client:
We have created this land Trust pursuant to the questionnaire you submitted to our office. We
encourage you to review this trust to ensure it is set up as you had intended.
We have outlined the items which need to be completed in order for your trust to be in effect,
funded and the beneficial interest assigned.
THIRD - In order to assign the beneficial interest to your Limited Liability Company or
Corporation.
1. Make sure the Property is transferred into your Trust;
2. Each Beneficiary will date and sign (in front of a notary) the Assignment of Beneficial
Interest document (Keep this document with your Trust. You do not need to file this or
send it to us);
3. The Trustee will date and sign the Acknowledgement by Trustee document (Keep this
document with your Trust. You do not need to file this or send it to us);
4. Complete the Acceptance of Beneficial Interest:
a. If you assigned your Beneficial Interest to a LLC:
i. The Manager of the LLC will sign and date the Agreement (Keep this
document with your Trust. Do not need to file this or send it to us);
b. If you assigned your Beneficial Interest to a Corporation:
i. The Board Members will sign and date the Resolution of Board of
Directors (Keep this document with your Trust. Do not file this or send it
to us)
ANDERSON BUSINESS ADVISORS, PLLC
20819 72nd Avenue South, Suite 110
Kent, Washington 98032
800.706.4741
Fax 253.238.0003
www.alglaw.com
Dear Linda:
We are happy to have prepared a Trust for you. This Trust and its provisions have
been drafted in accordance with the questionnaire you completed. Your Trust is a valid
legal document that requires your prompt attention. Please take some time to read the
important information following this cover letter. This information will guide you
through your Trust execution, funding, and assignment process.
Your Trust documentation is divided into four sections: Trust Execution, Trust
Funding, Assignment, and Additional Steps. Each step is designed to walk you through
the complete and final set up of your Trust. These sections must be completed in order
because each step is dependent on the prior.
If you have any additional questions please call our office at (800)-706-4741 where a
representative will be happy to assist you in any way.
INSTRUCTIONS FOR
EXECUTING YOUR TRUST
The Trustee of your Trust must also sign the Acceptance of Trustee indicating his
acknowledgment of your assignment.
THIS AGREEMENT AND DECLARATION OF TRUST is made and entered into this 18th day
of May, 2009, by and between Angie Martinez as a Grantor and Angie Martinez as a
Beneficiary (hereinafter referred to as the "Beneficiaries", whether one or more, which
designation shall include all successors in interest of any Beneficiary) and Angie Martinez whose
address is PO Box 1554, El Segundo, CA 90245-6554, hereinafter referred to as the "Trustee",
which designation shall include all Successor Trustees.
IT IS MUTUALLY AGREED AS FOLLOWS:
The right to direct the Trustee to convey or otherwise deal with the title to the Trust
Property as hereinafter set out.
The right to receive the proceeds and avails from the rental, sale, mortgage, or other
disposition of the Trust Property.
The foregoing rights shall be deemed to be personal property and may be assigned and otherwise
transferred as such. No Beneficiary shall have any legal or equitable right, title or interest, as
realty, in or to any real estate held in trust under this Agreement, or the right to require partition
of that real estate, but shall have only the rights, as personalty, set out above, and the death of a
Beneficiary shall not terminate this Trust or in any manner affect the powers of the Trustee.
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Section 2.05 Assignment
If Trust Participation Certificates have been issued, no assignment of any beneficial interest
hereunder shall be binding on the Trustee until the Trust Participation Certificate representing
the assigned shares is surrendered to the Trustee with the assignment noted thereon and a new
Certificate or Certificates are issued by the Trustee, If no Trust Participation Certificates have
been issued, assignment shall be by an assignment form approved by the Trustee and shall not be
binding until signed by the Trustee.
No assignment of any interest under this Agreement, other than by operation of law, that is not
so executed, delivered and accepted shall be valid without the written approval of all of the other
Beneficiaries who possess the power of direction. No person who is vested with the power of
direction, but who is not a Beneficiary under this Agreement, shall assign that power without the
written consent of all the Beneficiaries.
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Article Three Trustees
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Section 3.05 Unfilled Trustee Vacancy
If a Trustee vacancy occurs for any trust created under this agreement and no designated
successor Trustee is available to serve, the current Beneficiaries may appoint an
individual, or corporate fiduciary as successor Trustee. Such action must be taken with
the majority consent of all of the Beneficiaries named in Schedule B of this agreement.
If a Beneficiary is legally incapacitated the Beneficiaries’ guardian or conservator, if one
has been appointed for the Beneficiary, and if none has been appointed, such person or
entity who has assumed responsibility for the care of the Beneficiary shall act for the
Beneficiary.
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Article Four The Trustee’s Powers
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The Trustee may sell at public auction or private sale, to barter, to
exchange, or to dispose of otherwise, any part, or the whole of the Trust
Property which may, from time to time form part of the Trust estate,
subject to such restrictions and for such consideration for cash and for
credit, and generally upon such terms and conditions as may seem
judicious, to secure payment upon any loan or loans of the Trust, by
mortgage with or without power of sale, and to include such provisions,
terms, and conditions as may seem desirable.
The Trustee may repair, alter, tear down, add to, or erect any building or
buildings upon land belonging to the Trust; to fill, grade, drain, improve,
and otherwise develop any land belonging to the Trust; to carry on,
operate, or manage any building, apartment house, or hotel belonging to
the Trust.
The Trustee may make, execute, acknowledge, and deliver all deeds,
releases, mortgages, leases, contracts, agreements, instruments, and other
obligations of whatsoever nature relating to the Trust Property, and
generally to have full power to do all things and perform all acts necessary
to make the instruments proper and legal.
The Trustee may collect notes, obligations, dividends, and all other
payments that may be due and payable to the Trust; to deposit the
proceeds thereof, as well as any other moneys from whatsoever source
they may be derived, in any suitable bank or depository, and to draw the
same from time to time for the purposes herein provided.
The Trustee may pay all lawful taxes and assessments and the necessary
expenses of the Trust; to employ such officers, brokers, engineers,
architects, carpenters, contractors, agents, counsel, and such other persons
as may seem expedient, to designate their duties and fix their
compensation; to fix a reasonable compensation for their own services to
the Trust, as organizers thereof.
The Trustee may represent the Trust and the Beneficiaries in all suits and
legal proceedings relating to the Trust Property in any court of law of
equity, or before any other bodies or tribunals; to begin suits and to
prosecute them to final judgment or decree; to compromise claims or suits,
and to submit the same to arbitration when, in his judgment, such course is
necessary or proper.
The Trustee may arrange and pay for and keep in force in the name and
for the benefit of the Trustee, such insurance as the Trustee may deem
advisable, in such companies, in such amounts, and against such risks as
determined necessary by the Trustee.
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(b) Banking Powers
The Trustee may establish bank accounts of all types in one or more
banking institutions as the Trustee may choose. The Trustee may open
such accounts in the name of the Trustee or in the name of the trust.
When an account is in the name of the trust, checks on that account, and
authorized signatures need not disclose the fiduciary nature of the account
or refer to any trust or Trustee.
An account from which frequent disbursements are made need not be an
interest bearing account. The Trustee may authorize withdrawal from an
account by check, draft or other instrument or in any other manner.
(c) Farm, Ranch and Other Agricultural Powers
The Trustee may retain, sell, acquire, and continue any farm or ranching
operation whether as a sole proprietorship, partnership, or corporation.
The Trustee may engage in the production, harvesting, and marketing of
either farm and ranch products either by operating directly or with
management agencies, hired labor, tenants, or sharecroppers.
The Trustee may engage and participate in any government farm program,
whether state or federally sponsored.
The Trustee may purchase or rent machinery, equipment, livestock,
poultry, feed, and seed.
The Trustee may improve and repair all farm and ranch properties;
construct buildings, fences, and drainage facilities; acquire, retain,
improve, and dispose of wells, water rights, ditch rights, and priorities of
any nature.
The Trustee may, in general, do all things customary or desirable to
operate a farm or ranch operation for the benefit of the beneficiaries of the
various trusts created under this agreement.
(d) Loans and Borrowing Powers
The Trustee may make secured or unsecured loans on any term or on
demand and with or without interest. The Trustee may enter into and
modify the terms of any mortgage or security agreement granted in
connection with such loans and release and foreclose on such mortgage or
security.
The Trustee may borrow money at such interest rates and other terms as it
deems advisable, including, in the case of a corporate fiduciary, the power
to borrow from its own banking or commercial lending department.
The Trustee may encumber trust property by mortgages, pledges or other
hypothecation, even though such encumbrance may continue in force
beyond the termination of any trusts created by this agreement.
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The Trustee may purchase, sell at public or private sale, trade, renew,
modify, or extend mortgages. The Trustee may accept deeds in lieu of
foreclosure.
(e) Oil, Gas and Mineral Interests
The Trustee may acquire, maintain, develop and exploit, either alone or
jointly with others, any oil, gas, coal, minerals and other natural resource
rights or interests.
The Trustee may drill, test, explore, mine, develop, extract, remove,
convert, manage, retain, store, sell or exchange any of such rights and
interests on such terms and for such price as the Trustee deems advisable.
The Trustee may execute leases, pooling or unitization agreements and
other types of agreements in connection with such oil, gas, coal, mineral
or other natural resource rights or interests even though such arrangements
may extend beyond the termination of any trust under this agreement.
The Trustee may execute division orders, transfer orders, releases,
assignments, farm outs, and any other instruments that it deems proper.
The Trustee may employ the services of consultants or outside specialists
in connection with the evaluation, management, acquisition, disposition,
or development of any mineral interest, and may pay the cost of such
services from the principal or income of the trust property.
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(c) Payment of Taxes and Expenses
The Trustee shall be obligated to file any income tax returns with respect
to the Trust, as required by law, and the Beneficiaries individually shall
report and pay their share of income taxes on the earnings and avails of the
Trust Property or growing out of their interest under this Trust.
No gift, legacy, succession, inheritance, estate taxes or generation-
skipping transfer taxes that may be assessed against the trust assets by
reason of a Grantor’s death shall be paid out of any trust property. Each
Grantor agrees on behalf of himself or herself, his or her heirs, legal
representatives, successors and assigns, to provide for payments of any
taxes from sources other than property held by this trust and to indemnify
and hold harmless the Trustee from any and all liability for such taxes.
If, notwithstanding the provisions of the above paragraph, a death tax or
taxes may for any reason be assessed against the property of the trust, the
interest of any surviving Beneficiary hereunder shall take effect only if the
Beneficiary furnishes the fund for payment of any such taxes for which the
trust may be liable upon a Grantor’s death. If the surviving Beneficiary
fails to furnish those funds, for purposes of the part of this trust
attributable to the deceased Grantor’s contribution, the surviving
Beneficiary shall be deemed to have predeceased the other Grantor.
(d) Environmental Powers
The Trustee shall have the powers set forth in this subparagraph to deal
with any actual or threatened contamination of trust property by any
hazardous substance and to deal with any other environmental matter
affecting the trust property.
The Trustee shall have the power to inspect trust property to determine
compliance with or to respond to any Environmental Law affecting trust
property. “Environmental Law” shall mean any federal, state, or local
law, rule, regulation, or ordinance relating to protection of the
environment or of human health.
The Trustee may refuse to accept property if the Trustee determines that
such property is or may be contaminated by any hazardous substance or is
currently being used for any purpose involving hazardous substances that
could create liability to the trust or to the Trustee.
The Trustee may use and expend trust property to (i) conduct
environmental assessments, audits or site monitoring; (ii) take remedial
action to contain, clean up or remove any hazardous substance including a
spill, discharge or contamination; (iii) institute, contest or settle legal
proceedings brought by a private litigant or any local, state, or federal
agency concerned with environmental compliance; (iv) comply with any
order issued by any court or by any local, state, or federal agency directing
an assessment, abatement or clean-up of any hazardous substance; and (v)
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employ agents, consultants and legal counsel to assist the Trustee in these
actions.
The Trustee shall not be liable for any loss or reduction in value sustained
by the trust as a result of the retention by the Trustee of property on which
hazardous materials or substances requiring remedial action are discovered
unless the Trustee contributed to that loss or reduction in value through
willful misconduct or gross negligence.
The Trustee shall not be liable to any beneficiary or to any other party for
any decrease in the value of trust property as a result of the Trustee’s
compliance with any federal, state, or local Environmental Law, including
any reporting requirement.
The Trustee may release, relinquish or disclaim any power held by the
Trustee that the Trustee, in its sole and absolute discretion, determines
may cause the Trustee to incur individual liability under any
Environmental Law.
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Article Five Trust Administration
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Section 5.04 Trust Accounting
The Trustee shall render an accounting at least annually to the Beneficiaries entitled to
receive such during the accounting period. Such accounting shall include the receipts,
disbursements, and distributions occurring during the accounting period together with a
statement of the trust property.
The trust’s financial records along with the trust documentation shall be available at
reasonable times and upon reasonable notice for inspection by trust beneficiaries and
their representatives. The Trustee shall not be required to furnish trust information
regarding the trust to any individual, corporation, or other entity that is not a beneficiary
or the representative of a beneficiary, or is not requesting such pursuant to a valid court
order.
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Section 5.07 Merger of Corporate Fiduciary
If any corporate fiduciary acting hereunder is merged with or transfers substantially all of
its trust assets to another corporation or if a corporate fiduciary changes its name, the
successor shall automatically succeed to the trusteeship as if originally named a Trustee
and no document of acceptance of trusteeship shall be required.
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Article Six General Provisions
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(b) Grantor
“Grantor” shall have the same legal meaning as “Settlor,” “Trustor” or any
other term referring to the maker of a trust.
(c) Internal Revenue Code
References to the "Internal Revenue Code" or "Code" or to provisions
thereof are to the Internal Revenue Code of 1986. References to the
"Regulations" or "Regs" are to the Treasury Regulations under the Internal
Revenue Code. If by the time in question a particular provision of the
Internal Revenue Code has been renumbered, or the Internal Revenue
Code has been superseded by a subsequent federal tax law, the reference
shall be deemed to be made to the renumbered provision or to the
corresponding provision of the subsequent law, unless to do so would
clearly be contrary to the intent as expressed in this agreement. A similar
rule shall apply to references to the Regulations.
(d) Personal Representative
As used in this agreement, the term “Personal Representative” shall mean
a person’s guardian, conservator, executor, administrator, Trustee, or any
other person or entity personally representing a person or their estate.
(e) Shall and May
Unless otherwise specifically provided in this agreement or by the context
in which used, the word “shall” in this agreement as a command, directive
or requirement, and the word “may” in this agreement as allowing or
permitting, but not requiring, the taking or omission of any action. In the
context of a Trustee, the word “may” shall mean that the Trustee is acting
in that Trustee’s sole and absolute discretion unless otherwise stated by
me.
(f) Taxable Year
For purposes of this agreement, the term "taxable year" shall mean the
first taxable year of the trust beginning with the date the trust is funded
with property and ending on December 31 of that year, and thereafter shall
mean the calendar year.
(g) Trust
The terms “trust” or “trust agreement” shall refer to this agreement.
(h) Trustee
The term “Trustee” refers to the Trustee named in Article One as well as
any successor, substitute, replacement or additional person, corporation or
other entity from time to time acting as the Trustee, whether there shall be
one or more Trustees acting from time to time.
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(i) Trust Property
The words “trust property” or words of similar import shall be construed
to mean all property at any time held by the Trustee under this agreement,
including all property that it may hereafter acquire from any source.
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Section 6.06 Recording of Agreement
This Agreement shall not be placed on record in the county in which the Trust Property is
situated, or elsewhere, but if it is so recorded, that recording shall not be considered as
notice of the rights of any person under this Agreement derogatory to the title or powers
of the Trustee.
The Trustee shall not be required to convey or otherwise deal with the Trust property as
long as any money is due to the Trustee under this Agreement; nor shall the Trustee be
required to advance or pay out any money on account of this Trust or to prosecute or
defend any legal proceedings involving this Trust or any property or interest under this
Agreement unless he shall be furnished with sufficient funds or be indemnified to his
satisfaction.
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Section 6.10 Trustees Liability to Beneficiaries
The Trustee shall be liable to the Beneficiaries for the value of their respective beneficial
interests only to the extent of the property held in Trust by him hereunder and the
Beneficiaries shall enforce such liability only against the Trust Property and not against
the Trustee personally.
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Article Seven Acceptance of Trust
Trustee accepts the trust created hereby, and agrees to hold, administer, and distribute the trust
upon the terms herein set forth. The Beneficiaries have read this Trust, understand it, and
acknowledge that it correctly states the provisions under which the trust property is to be
administered and distributed by the Trustee.
This Trust Agreement shall be effective immediately upon execution of this instrument by
Beneficiaries and the Trustee.
IN WITNESS WHEREOF, the parties have executed this instrument hereto, as of the day and
year first above written. All fully executed counterparts hereof shall be deemed an original
hereof.
_______________________________
Angie Martinez, Beneficiary
______________________________
Angie Martinez, Trustee
Acknowledgement
State of California )
)ss.
County of _________________ )
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
Signature____________________________________ (Seal)
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Schedule A
PARCEL 1:
PARCEL 2:
3123-016-029
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Schedule B
Beneficiary Percent
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