H: Types of Trust

Nota:

• - Intentionally and expressly created. - Usually by written declaration or deed.

Nota:

• - Created by implications of actions or circumstances of the parties

Nota:

• - Created as a result of the failure of a trust - Property ownership reverts to the donor

Nota:

• - Trustee's sole duty is to transfer property to the appropriate beneficiary 

Nota:

• - Trust with successive interests - Initial beneficiaries are life tenant with entitlement to income - Final interest is called the ultimate trust

Nota:

• - Trustees have power to appoint or vary beneficiaries - Power can be exercised only amongst prescribed class of beneficiaries - 'Gift over' or 'default' beneficiary has the interest in possession - Most life offices use as standard trust for most circumstances

Nota:

• - Beneficiary simply has a right to income from/enjoyment of the trust property

Nota:

• - Power of Appointment trust with no Interest in Possession