1 / 9

Trust Purposes

Trust Purposes. General Rule – § 112.031. “A trust may be created for any purpose that is not illegal.”. Prohibited Trustee Conduct — § 112.031. Commit a crime Commit a tortious act Commit an act contrary to public policy. Standard. 1. Intent and effect (majority & Texas)

yon
Download Presentation

Trust Purposes

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Trust Purposes

  2. General Rule – § 112.031 “A trust may be created for any purpose that is not illegal.”

  3. Prohibited Trustee Conduct —§ 112.031 • Commit a crime • Commit a tortious act • Commit an act contrary to public policy

  4. Standard • 1. Intent and effect (majority & Texas) • 2. Use of property (minority)

  5. Hunt v. Carroll – p. 49 • If married = nothing • If widow or divorce = $250/month • If remarry current husband = nothing • If live 20 years = entire estate

  6. Stewart – p. 55 • If x named as guardian, trust ends and property goes to others.

  7. Discrimination • Note 1, page 59

  8. Defrauding Creditors • Uniform Fraudulent Transfer Act (Texas version)

  9. Remedy • 1. If defrauding creditors, set aside conveyance to trust up to amount of claim. • 2. If otherwise improper purpose: • Resulting trust (settlor regains property), or • Permit trustee to retain property free of trust. • How decide?

More Related