trustee

noun
trust·​ee | \ ˌtrə-ˈstē How to pronounce trustee (audio) \

Definition of trustee

 (Entry 1 of 2)

1a : a natural or legal person to whom property is legally committed to be administered for the benefit of a beneficiary (such as a person or a charitable organization)
b : one (such as a corporate director) occupying a position of trust and performing functions comparable to those of a trustee
2a : one to whom something is entrusted
b : a country charged with the supervision of a trust territory
3 : trusty

trustee

verb
trusteed; trusteeing

Definition of trustee (Entry 2 of 2)

transitive verb

: to commit to the care of a trustee

intransitive verb

: to serve as trustee

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Examples of trustee in a Sentence

Noun They were named as trustees to the child's estate. the museum's board of trustees
Recent Examples on the Web: Noun That task would be part of the partnership trustees voted to pursue Tuesday. Krista Torralva, ExpressNews.com, "Edgewood ISD pursues school-management deals with A&M-San Antonio," 22 Jan. 2020 What Swinney does do, perhaps better than any other coach in football, is sell: to recruits, to the players in his locker room, to the trustees who employ him and, crucially, to the Clemson community. New York Times, "Dabo Swinney Has a Vision to Sell You," 10 Jan. 2020 At that time, trustees voted not to admit a class in the fall. BostonGlobe.com, "The college avoided what would have probably been its death knell — having its accreditation pulled or being placed on probation — the accreditor announced.," 24 Nov. 2019 The trustees made a choice to focus on contemporary art. Brian T. Allen, National Review, "The Albright-Knox Makes New Moves," 12 Oct. 2019 On February 4, George, Congressman Al Green, and other officials sent a letter to the school trustees asking them to stop construction on the Reese site and to leave the bodies there. Siddhartha Mahanta, The New York Review of Books, "One Man’s Quest for a Memorial to Sugar Land’s Bitter History," 4 June 2019 Students seethed when the trustees days later voted to raise undergraduate tuition by 11 percent. oregonlive.com, "Ethics Commission launches preliminary review of former PSU President Shoureshi," 3 June 2019 The Town Board trustees voted unanimously to lift whatever ban there might have been on snowballs, and a crowd broke out in applause. Emily S. Rueb, The Seattle Times, "9-year-old boy helps repeal snowball-throwing ban in Colorado town," 5 Dec. 2018 Student artists Bailey Barger and Rachel Mitchell were in attendance to present their artwork to the trustee, and others were presented for those who could not attend. Savannah Mehrtens, Houston Chronicle, "Humble ISD approves calendar at first school board meeting of 2020," 15 Jan. 2020

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'trustee.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of trustee

Noun

1636, in the meaning defined at sense 2a

Verb

1818, in the meaning defined at transitive sense

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Time Traveler for trustee

Time Traveler

The first known use of trustee was in 1636

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Statistics for trustee

Last Updated

14 Feb 2020

Cite this Entry

“Trustee.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/trustee. Accessed 19 Feb. 2020.

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More Definitions for trustee

trustee

noun

Financial Definition of trustee

What It Is

A trustee holds or manages cash, assets or a property title for a beneficiary. The trustee has a fiduciary duty to act in the best interest of the beneficiary.

Trustees play an important role for businesses and individuals. In many cases, trustees make sure that assets held on behalf of individuals or companies are not misused.

How It Works

Let's assume Company XYZ issues $100 million of bonds. Company XYZ will appoint a trustee, usually a bank, to act on behalf of the bondholders. The trustee maintains lists of the bondholders in addition to receiving and distributing interest payments. The trustee also monitors Company XYZ's compliance with the agreements and communicates with the bondholders when the issuer is not in compliance.

Companies often involve trustees in debt offerings, mergers, and other situations involving two parties, a large amount of money, and conditions under which the money moves between the parties.

Why It Matters

In our example, the trustee is effectively the go-between for Company XYZ and the bondholders (but its allegiance is to the bondholders), and the trustee receives a fee from Company XYZ for performing this role. The presence of a trustee also gives Company XYZ a single point of contact for the bondholders and eliminates a considerable amount of administrative work for Company XYZ.

As mentioned earlier, the trustee's job is to act in the best interests of the beneficiary. This responsitrusteelity is called fiduciary duty, and the trustee is legally obligated to uphold this duty. If the trustee fails to do so, they could be legally liable for damages.

Source: Investing Answers

trustee

noun
How to pronounce trustee (audio)

English Language Learners Definition of trustee

: a person or organization that has been given responsibility for managing someone else's property or money through a trust
: a member of a group that manages the money of an organization

trustee

noun
trust·​ee | \ ˌtrə-ˈstē How to pronounce trustee (audio) \

Kids Definition of trustee

: a person who has been given legal responsibility for someone else's property

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trustee

noun
trust·​ee | \ ˌtrəs-ˈtē How to pronounce trustee (audio) \

Legal Definition of trustee

 (Entry 1 of 2)

1 : one to whom something is entrusted : one trusted to keep or administer something: as
a : a member of a board entrusted with administering the funds and directing the policy of an institution or organization
b : a country charged with the supervision of a trust territory
2a : a natural or legal person to whom property is committed to be administered for the benefit of a beneficiary (as a person or charitable organization) : the holder of legal title to property placed in a trust — compare cestui que trust, settlor
b : one (as a corporate director) occupying a position of trust and performing functions comparable to those of a trustee

Other Words from trustee

trusteeship noun

trustee

verb
trusteed; trusteeing

Legal Definition of trustee (Entry 2 of 2)

transitive verb

: to commit to the care of a trustee

intransitive verb

: to serve as trustee

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More from Merriam-Webster on trustee

Rhyming Dictionary: Words that rhyme with trustee

Spanish Central: Translation of trustee

Nglish: Translation of trustee for Spanish Speakers

Britannica English: Translation of trustee for Arabic Speakers

Britannica.com: Encyclopedia article about trustee

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