A resettlement occurs when a new 'trust estate' is created 'out of an old trust'. When that happens, the trustee will be considered to have disposed of the assets of the 'old' trust and in turn, there is a variation in the interests of the trust's beneficiaries.

What does resettlement of a trust mean?

Resettlement occurs when all or some of the property of a trust is resettled onto a different trust. The assets of a trust can be resettled, in whole or in part, onto the trustees of another trust. ... It is important to appreciate that resettlement is not a defined term.

When can a trust be disbursed?

Distribution of Trust Assets to Beneficiaries

Beneficiaries may have to wait between 1 to 2 years to get inheritance money or assets from the trust. Then disbursement is made based on the grantor's wishes when he/she set up the trust.