Lesson 8

Question 1

Charitable Trust

Answer 1

A charitable trust is a trust the performance of which will, in the view of the law as interpreted by the courts, confer appropriate benefits upon the public or upon some reasonably broad and appropriate segment thereof.

Question 2

Totten Trust

Answer 2

A totten trust is a trust created when a trustee deposits trust res (usually money) in an account and indicates that he or she is holding this trust property for the benefit of a beneficiary

Question 3

Pour-Over Trust

Answer 3

A pour-over disposition is an attempted testamentary gift to a preexisting trust—an attempt to have some or all assets of a decedent’s estate added to the corpus of a trust which she (or another) created during her lifetime

Question 4

Resulting Trust

Answer 4

A resulting trust involves reversionary interests when the entire equitable interest transferred is not effectively disposed of. It is based on the presumed intent of the settlor

Question 5

Constructive Trust

Answer 5

A constructive trust is not a trust at all but a remedial device based on equity power and usually imposed to cure wrongdoing or unjust enrichment