- Testamentary Trust
A legal and fiduciary relationship created through explicit instructions in a deceased's will. A testamentary trust goes into effect upon an individual's death and is commonly used when someone wants to leave assets to a beneficiary, but doesn't want the beneficiary to receive those assets until a specified time. Testamentary trusts are irrevocable.
For example, a parent might create a testamentary trust to leave assets to their minor child so that the child would not receive the assets until he or she became an adult and could manage them responsibly. A trustee will manage the testamentary trust's assets until the beneficiary receives control of them.
Investment dictionary. Academic. 2012.
Look at other dictionaries:
testamentary trust — see trust Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. testamentary trust … Law dictionary
Testamentary trust — A testamentary trust (sometimes referred to as a will trust) is a trust which arises upon the death of the testator, usually under his or her will. Testamentary trusts are distinguished from inter vivos trusts, which are created during the… … Wikipedia
testamentary trust — noun a trust that is created under a will and that becomes active after the grantor dies • Hypernyms: ↑trust * * * noun : a trust created by the terms of a will compare living trust * * * Law. a trust set up under the terms of a will. Cf. living… … Useful english dictionary
testamentary trust — Law. a trust set up under the terms of a will. Cf. living trust. * * * … Universalium
testamentary trust — A trust created by will. See precatory trust … Ballentine's law dictionary
testamentary trust — A trust created by a will, that is scheduled to occur after the maker s death. Bloomberg Financial Dictionary … Financial and business terms
trust — n 1 a: a fiduciary relationship in which one party holds legal title to another s property for the benefit of a party who holds equitable title to the property b: an entity resulting from the establishment of such a relationship see also… … Law dictionary
Trust law in England and Wales — is the original and foundational law of trusts in the world, and a unique contribution of English law to the legal system. Trusts are part of the law of property, and arise where one person (a settlor ) gives assets (e.g. some land) to another… … Wikipedia
testamentary — I adjective by way of a will, bequeathed by will, contained in a will, devised by will, distributed by will, given by testament, hereditary, patrimonial, set forth in a will, transferred by a legacy, transferred by bequest, transferred by devise… … Law dictionary
trust account — n: an account opened with a trust company (as a bank) under which an inter vivos or testamentary trust is set up (as for the escrow of funds) Merriam Webster’s Dictionary of Law. Merriam Webster. 1996 … Law dictionary