As a New York trustee you’ve made a financial mistake with trust funds, so what comes next?

In New York, no mistake made in good faith and in the exercise of due care in connection with the administration of a trust shall impose liability on the Trustee if, promptly after the discovery of the mistake, the Trustee shall take whatever action may be practicable under the circumstances to remedy the mistake. 16 West’s McKinney’s Forms Estates and Surrogate Practice § 10:604. Under a trust agreement making trustees liable only for exercise of reasonable care and relieving them from liability for mistakes in judgment, trustees were bound only to act in manner of reasonably prudent man handling his own affairs. Guar. Tr. Co. of New York v. Fisk, 244 A.D. 200, 278 N.Y.S. 809 (App. Div. 1935), aff’d, 270 N.Y. 550, 200 N.E. 312 (1936).