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bulgar [2K]
3 years ago
10

Bob Smith is an attorney and manages trust accounts for several of his biggest clients. Although Bob chose investments that were

in line with the trust's objectives, the overall value of trust accounts declined significantly along with the market in general. In this situation
[A] Bob is liable for any losses that exceed the overall percentage decline the market
[B] Bob is not liable for the investment losses because he acted in reasonable reliance on the provisions of the act.
[C] Bob is required to forfeit his compensation since the trust account declined in value
[D] Bob must agree to work for the trust at no charge for the next 12 month period.
Social Studies
1 answer:
vesna_86 [32]3 years ago
8 0

Answer:

[B]

Explanation:

Based on the information provided within the question it can be said that Bob is not liable for the investment losses because he acted in reasonable reliance on the provisions of the act. This is because a trustee is not liable for investment losses as long as they acted in reasonable reliance on the provisions of the act even to the beneficiary.

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