Termination of a trust by the settlor with consent requires the consent of:

• A. All beneficiaries
• B. The guardian of the minor
• C. The majority of beneficiaries
• D. A court order

Answer: (A)

The fundamental rule here is that terminating a trust by the settlor with the beneficiaries’ consent requires unanimity of those who hold a beneficial interest. Each beneficiary would be affected by ending the trust, so no one with a future or contingent interest can be left out. If a minor is a beneficiary, the guardian acts for that minor, but the consent of that guardian is still part of obtaining all beneficiaries’ approval—not a separate shortcut. A majority won’t do, because the dissenting minority would have their interests cut off without consent. A court order isn’t needed when everyone who has a vested or contingent interest agrees to terminate.

So, to terminate with the settlor’s consent, you need the consent of all beneficiaries.