Trusts and Trusts Attorneys
Trusts, which are often created as part of an estate planning process, are legal agreements that set rules for property held for beneficiaries.
Components of a Trust
Trusts have four components:
- Trustmaker: Also known as the grantor, trustor, or settlor, this person creates a trust.
- Trustee: The person who manages the assets of a trust and is responsible for distributing the property in accordance with the terms created by the trustmaker. While a trustmaker is alive, he or she can also be the trustee.
- Beneficiary: The person or entity who receives the benefits of a trust. The trustmaker can designate him or herself as a beneficiary.
- Assets: The property that is placed into a trust (also known as trust property).
Why Consult a Trust Attorney?
Anybody may set up a trust. However, state and federal trust laws can be complex. To avoid litigation, your trusts must meet specific requirements, also known as certainties. They are:
- Certainty of intention: A clear intention to create a trust must exist.
- Certainty of subject matter: The property to be held in a trust must be clearly identified. In other words, it must be specific property, such as real estate or cash.
- Certainty of objects: Trust beneficiaries must be clearly defined or ascertainable. There are different tests for certainty of objects depending on whether a trust is fixed or discretionary.
Working with a qualified trust attorney can give you peace of mind in creating the documents that will provide for your loved ones and beneficiaries. If you’d like legal guidance, the attorneys at Vaught & Boutris LLP provide trust assistance in the following areas:
- IRA trusts
- Living trusts
- Life insurance trusts
- Grantor retained trusts
- Charitable trusts
- Asset protection trusts
- Special needs trusts
- Income trusts
- Powers of attorney
- Trust administration and litigation