Trusts Quiz 3

Question 1

1. Which of the following is correct?
   a. A testamentary trust may have more than one settlor.
   b. An interdict can be a trustee.
   c. A settlor of an inter vivos trust may also be a beneficiary of the trust.
   d. A Canadian bank can serve as a trustee of a Louisiana trust.

Answer 1

c. A settlor of an inter vivos trust may also be a beneficiary of the trust.

Question 2

2. T is the trustee of a testamentary trust. T wants to resign from the office of trustee. The trust instrument is silent as to providing notice to trustees of resignation. Which of the following is correct?

Answer 2

c. T can resign by providing written notice to the beneficiaries or mailing such written notice to their last known addresses.

Question 3

3. Testator created a testamentary trust that named certain income beneficiaries. The trust failed to name a principal beneficiary. The trust was funded with a universal legacy that left all of the remainder of Testator’s estate in trust. Which of the following is correct?

Answer 3

c. The decedent’s intestate heirs will be deemed the principal beneficiaries.

Question 4

4. Testator established a testamentary trust naming his surviving spouse, A, as income beneficiary and his son, B, as principal beneficiary. B dies before Testator but is survived by two children of B’s own—Q, and R. B is also survived by a spouse, S. Who is entitled to the principal interest in the trust?

Answer 4

c. Q and R

Question 5

5. Testator established a testamentary trust naming Testator’s surviving spouse, S, as income beneficiary and Testator’s children, B and C, as principal beneficiaries. Testator named S as first trustee. Which of the following is true?

Answer 5

a. S is permitted to serve as trustee even though S is a beneficiary.