DISCLAIMER: The following are just some ponderings in my mind:
I just can't help but wonder if an offer to help them by paying out of your pocket is really necessary. The end game is to help them settle their own intangible affairs with their own intangible money.
Now I'm thinking that the extent of your assistance to them is to help them realize that you're not the fiduciary. That's it. And to help them with that realization you can remind them that you are forever without the money that is used within their trust structure. 12 USC 411
I'm also thinking that any magistrate can only thrust obligations upon whatever constructive trusts they create - not you. It appears that you're doing well to not get mixed into their stuff.
Be careful. I'm thinking that only the trustee can have the DL re-in-state-d. I agree that to do so is for their benefit. But, going back to the fundamentals of trusts, whenever there is only one beneficiary, then the office of beneficiary is mutually exclusive of the office of trustee. So if the State is the beneficiary, where does that leave you - and you are the one that is reinstating the DL? Hmm. That might just be what their waiting for from you - for you to execute the executory constructive trust by acting to reinstate the DL.
Thoughts from anyone?