Florida Statute 736.0816
“Specific powers of trustee.”
What it means
Section 736.0816 lists 25 powers. Except as limited or restricted by the code, a trustee may, among other things, acquire or sell property for cash or on credit (subsection (2)); deposit trust money in a regulated financial service institution (5); borrow money, with or without security, and mortgage or pledge trust property (6); insure trust property and insure the trustee, agents and beneficiaries against liability (12); pay or contest any claim and settle claims by or against the trust (14); pay taxes and expenses (15); and make loans, including loans to a beneficiary on fair and reasonable terms, with a lien on future distributions (19).
Under subsection (7), for an interest in a proprietorship, partnership, limited liability company, business trust, corporation, or other enterprise, the trustee may continue the business and take any action shareholders, members, or property owners may take, including merging, dissolving, changing the form, or contributing capital. Under subsection (8), for stocks and other securities the trustee may exercise the rights of an absolute owner, including voting or giving proxies and entering or continuing a voting trust agreement. Subsection (20) allows employing attorneys, accountants, investment advisers or agents, subject to § 736.0802(10) for attorney fees and costs. Subsection (25) allows winding up on termination, retaining a reasonable reserve for debts, expenses, and taxes.
- The powers apply "except as limited or restricted by this code." (§ 736.0816, opening clause)
- Borrow money with or without security and mortgage or pledge trust property; insure trust property and liability exposure. (§ 736.0816(6), (12))
- Pay or contest any claim and settle claims by or against the trust; abandon property of no or insufficient value. (§ 736.0816(13), (14))
- Continue a business interest and take any action shareholders, members, or property owners may take, including merging or dissolving. (§ 736.0816(7))
- Exercise the rights of an absolute owner of securities, including voting, proxies, and a voting trust agreement. (§ 736.0816(8))
- Employ attorneys, accountants, investment advisers or agents and pay reasonable compensation, subject to § 736.0802(10) for attorney fees and costs. (§ 736.0816(20))
Text of the statute (2026)
Except as limited or restricted by this code, a trustee may:
(7) With respect to an interest in a proprietorship, partnership, limited liability company, business trust, corporation, or other form of business or enterprise, continue the business or other enterprise and take any action that may be taken by shareholders, members, or property owners, including, but not limited to, merging, dissolving, or otherwise changing the form of business organization or contributing additional capital.
(8) With respect to stocks or other securities, exercise the rights of an absolute owner, including, but not limited to, the right to: (a) Vote, or give proxies to vote, with or without power of substitution, or enter into or continue a voting trust agreement. (b) Hold a security in the name of a nominee or in other form without disclosure of the trust so that title may pass by delivery. (c) Pay calls, assessments, and other sums chargeable or accruing against the securities, and sell or exercise stock subscription or conversion rights. (d) Deposit the securities with a depositary or other regulated financial service institution.
(20) Employ persons, including, but not limited to, attorneys, accountants, investment advisers, or agents, even if they are the trustee, an affiliate of the trustee, or otherwise associated with the trustee, to advise or assist the trustee in the exercise of any of the trustee’s powers and pay reasonable compensation and costs incurred in connection with such employment from the assets of the trust, subject to s. 736.0802(10) with respect to attorney fees and costs, and act without independent investigation on the recommendations of such persons.
(25) On termination of the trust, exercise the powers appropriate to wind up the administration of the trust and distribute the trust property to the persons entitled to the property, subject to the right of the trustee to retain a reasonable reserve for the payment of debts, expenses, and taxes.
Excerpts are the subsections the summary relies on. Read the full official text of § 736.0816.
History. s. 8, ch. 2006-217; s. 4, ch. 2007-153; s. 6, ch. 2016-189.
How it applies
The powers in § 736.0816 are default powers: they apply except as the code limits or restricts them. For a trust that holds an interest in a business, subsection (7) authorizes the trustee to continue the business and take actions available to owners, and subsection (8) gives an absolute owner's rights over securities. For routine administration, the list covers depositing funds, borrowing, insuring, paying taxes and expenses, employing professionals, and settling claims. Payment of attorney fees and costs from trust assets is subject to § 736.0802(10). Subsection (21) addresses distributions to a beneficiary under a legal disability or reasonably believed incapacitated.
Where this shows up
Pages on this site where § 736.0816 does real work:
Questions people ask
Sources
- Fla. Stat. § 736.0816 (2026) ("continue the business or other enterprise and take any action that may be taken by shareholders, members, or property owners" (subsection (7)))
- Fla. Stat. § 736.0802 (2026) (Subsection (10): payment of attorney fees and costs from trust assets)
Last checked: October 17, 2026
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