A deed of trust is a legal instrument used in the creation of a trust. If any one of the parties involved in a trust observes an omission or error in a deed of trust, he can request a modification be made to the deed of trust. All modifications are legally binding.
A deed of trust modification can be entered into by a settlor or trustee and beneficiary of a trust. The agreement modifies the deed of trust, allowing changes to existing provisions and the addition of new articles and provisions. For a modification agreement to be effective, the parties involved in the trust must sign the agreement. Once signed, the deed of trust modification supersedes the original deed of trust.
Deed of Trust Modification Agreement
Fill out the deed of trust modification agreement. Include 1) the effective date of the agreement; 2) the parties involved in the agreement; 3) the instrument number; 4) the omission or error requiring modification, e.g., the dates on a deed of trust do not match the dates on a promissory note; and 5) instructions on how to properly modify the deed of trust.
A trust modification agreement is a binding agreement that can be referenced in probate court and recorded in the county clerk's or recorder's office. The agreement is virtually incontestable and holds full force and authority once signed. The parties involved in the trust are encouraged to review each modification before signing.
Attach the deed of trust modification to the original deed of trust and organize all trust documents inside a trust portfolio. Store the trust portfolio inside a fire-proof safe or safety deposit box, if possible.
Proper record-keeping makes it easy to complete future modifications. During the administration of a trust, beneficiaries are permitted by law to review all trust documents, including modification agreements.