I have a friend whose crazy alcoholic father passed away last year. He was a very angry and not totally lucid man towards the end of his life, and changed his will to be as difficult as possible, leaving half (involuntarily) to the wife he was divorcing, and splitting the other half between one of his (four) children and one of his (five) grandchildren. My friend is the father of the one and a half year old grandchild who is now receiving a sizable trust fund.
The trust will pay out in four lump sums starting when the grandchild turns 18. My friend's wife is named as a trustee (he is not, basically his dad's final fuck you from beyond the grave). Their biggest concern is that they will likely have more children. I'm pretty sure I already know the answer, but is there any way that they can turn a trust named for one person into a trust named for all their children?
My other question is how much can they use the trust as he grows up? Can they use it to pay for private school tuition, for instance? Can they use it to clothe him, feed him, put a roof over his head, etc? If so, my suggestion to them would be to use it as much as possible for their eldest's benefit while socking away the money they would have otherwise spent on him for their next (as of now hypothetical, but likely) children.
Any advice much appreciated!