A lifetime trustee is defined as

• A. A trustee appointed to a long-term commercial trust.
• B. A trustee acting under a lifetime trust.
• C. The grantor's attorney for trust matters.
• D. A beneficiary who manages the trust assets.

Answer: (B)

A lifetime trustee is the person who acts as the trustee for a trust that is created and funded during the grantor’s lifetime (an inter vivos trust). This individual holds legal title to the trust assets and carries out the trust terms for the benefit of the beneficiaries, typically while the grantor is alive and often continuing after the grantor’s death according to the trust provisions. That makes the definition “a trustee acting under a lifetime trust” the correct one, because it directly identifies the trustee’s role in relation to a trust that exists during the grantor’s lifetime.

The other scenarios don’t fit: being appointed to manage a long-term commercial trust describes a different context, not specifically a lifetime trust; the grantor’s attorney for trust matters is a legal advisor, not the trustee; and a beneficiary who manages assets is not the trustee, since trustees hold the fiduciary authority to manage and administer the trust assets.