definitions Flashcards
trustee
- someone who becomes the legal owner of the subject matter of a trust and holds it on trust for the beneficiaries
- a trustee is compelled to act
- a trustee must comply with the duties of trusteeship
beneficiary
- has a beneficial interest of the subject matter
- do not own the legal title to the trust property
- may hold the trustees liable for loss caused
settlor
the person who creates the trust
absolute gift
between a donor and a donee
donor
the person who makes a gift
donee
the person who receives the gift
inter vivos
during the lifetime of the settlor
express trust
a trust arising by deed, orally or from circumstances
precatory words
words which do not create compulsion on the trustee to act in a certain way
e.g. hope, wish, desire
sham trust
where a trust appears to have been created but there is not genuine intention
resulting trust
the trust property goes back to the settlor
residuary estate
anything left over which is not disposed of
life interest
the beneficiary has an interest in the trust property for their life
unallocated assets
where someone has a collection of items and wants to leave 10 to someone, they must specify which 10 if the items are tangible
tangibles
assets which can be touched
e.g. bottles of wine Re London Wine Company [1986] PCC 121
