Trust in United States
Trust Definition
A right of property, real or personal, held by one party for the benefit of another. The party holding is called the trustee, and the party for whose benefit the right is held is called the cestui que trust, or, using a better term, the beneficiary. Sometimes the equitable title of the beneficiary, sometimes the obligation of the trustee, and, again, the right held, is called the trust. But the right of the beneficiary is in the trust, the obligation of the trustee results from the trust, and the right held is the subject matter .of the trust. Neither of them is the trust itself. All together they constitute the trust. An equitable right, title, or interest in property, real or personal, distinct from its legal ownership. A personal obligation for paying, delivering, or performing anything where the person trusting has no real right or security, for by that act he confides altogether to the faithfulness of those intrusted. An obligation upon a person, arising out of a confidence reposed in him, to apply property faithfully and according to such confidence. Willis, Trust, 1; 4 Kent, Comm. 295; 2 Fonbl. Eq. 1; 1 Saunders, Uses, 6; Cooper, Eq. PI. Introd. 27; 3 Bl. Comm. 431. The Roman fidei commissa were, under the name of uses, first introduced by the clergy into England in the reign of Richard II. or Edward III., and, while perseveringly prohibited by the clergy, and wholly discountenanced by the courts of common law, they grew into public favor, and gradually developed into something like a regular branch of law, as the court of chancery rose into importance and power. For a long time the beneficiary, or cestui que tnat, xraa wltliont adequate protection; but the statute of nses, passed in 27 Henry VIII., gave adequate protection to the interests of the cestui que trust. Prior to this statute, the terms use and trust were used, if not indiscriminately, at least witiiout accurate distinction between them. The distinction, so far as there was one, was between passive uses, where the feoffee had no active duties imposed on him, and active trusts, where the feoflfee had something to do in connection with the estate. The statute of uses sought to unite the seisin with the use, making no distinction between uses and trusts, the result being that, by a strict construction, both uses and trusts were finally taken out of its intended operation, and were both included under the term trust. The statute was passed in 1638; but trusts did not become settled on their present basis till Lord Nottingham’s time, in 1676. 2 Washb. Real Prop. Index, Trust; 1 Greenl. Cruise, Dig. 888.
(1) Trusts are either active, being those in which the trustee has some duty to perform, or passive (sometimes called dry), which require the performance of no duty by the trustee, but by force of which the legal title merely rests in the trustee.
(2) Trusts are either executed or executory, executed trusts being those fully declared by the person creating it, so that nothing need be done to make it complete, while an executory trust is one requiring some further act to complete the intention of the creator, as a conveyance to B. in trust to convey to C.
(3) Trusts are either for value or voluntary, accordingly as they are or are not based on a valuable consideration.
(4) Trusts are public or private, according as their object is for the general public good, or for the benefit of certain individuals.
(5) Trusts are, as to the manner of their creation, either express or implied. Express trusts are those which are created in express terms in the deed, writing, or will. The terms to create an express trust will be sufficient if it can be fairly collected upon the face of the instrument that a trust was intended. Express trusts are usually found in preliminary sealed agreements, such as marriage articles, or articles for the purchase of land ; in formal conveyances, such, as marriage settlements, terms for years, mortgages, assignments for the payment of debts, raising portions, or other purposes; and in wills and testaments, when the bequests involve fiduciary interests for private benefit or public charity. They may be created even by parol. 6 Watts & S. (Pa.) 97. Implied trusts are those which, without being expressed, are deducible from the nature of the transaction as matters of intent, or which are superinduced upon the transaction by operation of law, as matters of equity, independently of the particular intention of the parties. The term Is used in this general sense, including constructive and resulting trusts, and also in a more restricted sense, Excluding those classes.
Trust in Foreign Legal Encyclopedias
| Link | Description |
|---|---|
| Trust | Trust in the World Legal Encyclopedia. |
| Trust | Trust in the European Legal Encyclopedia. |
| Trust | Trust in the Asian Legal Encyclopedia. |
| Trust | Trust in the UK Legal Encyclopedia. |
| Trust | Trust in the Australian Legal Encyclopedia. |
For starting research in the law of a foreign country:
Browse the American Encyclopedia of Law for Trust
Scan Trust in the appropriate area of law:
| Link | Description |
|---|---|
| Trust | Trust in the Family Law Portal of the American Encyclopedia of Law. |
| Trust | Trust in the IP Portal of the American Encyclopedia of Law. |
| Trust | Trust in the Commercial Law Portal of the American Encyclopedia of Law. |
| Trust | Trust in the Criminal Law Portal of the American Encyclopedia of Law. |
| Trust | Trust in the Antritrust Portal of the American Encyclopedia of Law. |
| Trust | Trust in the Bankruptcy Law Portal of the American Encyclopedia of Law. |
| Trust | Trust in the Constitutional Law Portal of the American Encyclopedia of Law. |
| Trust | Trust in the Tax Law Portal of the American Encyclopedia of Law. |
| Trust | Trust in the and Finance and Banking Portal of the American Encyclopedia of Law. |
| Trust | Trust in the Employment and Labor Portal of the American Encyclopedia of Law. |
| Trust | Trust in the Personal Injury and Tort Portal of the American Encyclopedia of Law. |
| Trust | Trust in the Environmental Law Portal of the American Encyclopedia of Law. |
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| Trust in the Dictionaries | Trust in our legal dictionaries |
| http://lawi.us/trust | The URI of Trust (more about URIs) |
| Trust related entries | Find related entries of Trust |
Legal Issue for Attorneys
A right of property, real or personal, held by one party for the benefit of another. The party holding is called the trustee, and the party for whose benefit the right is held is called the cestui que trust, or, using a better term, the beneficiary. Sometimes the equitable title of the beneficiary, sometimes the obligation of the trustee, and, again, the right held, is called the trust. But the right of the beneficiary is in the trust, the obligation of the trustee results from the trust, and the right held is the subject matter .of the trust. Neither of them is the trust itself. All together they constitute the trust. An equitable right, title, or interest in property, real or personal, distinct from its legal ownership. A personal obligation for paying, delivering, or performing anything where the person trusting has no real right or security, for by that act he confides altogether to the faithfulness of those intrusted. An obligation upon a person, arising out of a confidence reposed in him, to apply property faithfully and according to such confidence. Willis, Trust, 1; 4 Kent, Comm. 295; 2 Fonbl. Eq. 1; 1 Saunders, Uses, 6; Cooper, Eq. PI. Introd. 27; 3 Bl. Comm. 431. The Roman fidei commissa were, under the name of uses, first introduced by the clergy into England in the reign of Richard II. or Edward III., and, while perseveringly prohibited by the clergy, and wholly discountenanced by the courts of common law, they grew into public favor, and gradually developed into something like a regular branch of law, as the court of chancery rose into importance and power. For a long time the beneficiary, or cestui que tnat, xraa wltliont adequate protection; but the statute of nses, passed in 27 Henry VIII., gave adequate protection to the interests of the cestui que trust. Prior to this statute, the terms use and trust were used, if not indiscriminately, at least witiiout accurate distinction between them. The distinction, so far as there was one, was between passive uses, where the feoffee had no active duties imposed on him, and active trusts, where the feoflfee had something to do in connection with the estate. The statute of uses sought to unite the seisin with the use, making no distinction between uses and trusts, the result being that, by a strict construction, both uses and trusts were finally taken out of its intended operation, and were both included under the term trust. The statute was passed in 1638; but trusts did not become settled on their present basis till Lord Nottingham’s time, in 1676. 2 Washb. Real Prop. Index, Trust; 1 Greenl. Cruise, Dig. 888.
(1) Trusts are either active, being those in which the trustee has some duty to perform, or passive (sometimes called dry), which require the performance of no duty by the trustee, but by force of which the legal title merely rests in the trustee.
(2) Trusts are either executed or executory, executed trusts being those fully declared by the person creating it, so that nothing need be done to make it complete, while an executory trust is one requiring some further act to complete the intention of the creator, as a conveyance to B. in trust to convey to C.
(3) Trusts are either for value or voluntary, accordingly as they are or are not based on a valuable consideration.
(4) Trusts are public or private, according as their object is for the general public good, or for the benefit of certain individuals.
(5) Trusts are, as to the manner of their creation, either express or implied. Express trusts are those which are created in express terms in the deed, writing, or will. The terms to create an express trust will be sufficient if it can be fairly collected upon the face of the instrument that a trust was intended. Express trusts are usually found in preliminary sealed agreements, such as marriage articles, or articles for the purchase of land ; in formal conveyances, such, as marriage settlements, terms for years, mortgages, assignments for the payment of debts, raising portions, or other purposes; and in wills and testaments, when the bequests involve fiduciary interests for private benefit or public charity. They may be created even by parol. 6 Watts & S. (Pa.) 97. Implied trusts are those which, without being expressed, are deducible from the nature of the transaction as matters of intent, or which are superinduced upon the transaction by operation of law, as matters of equity, independently of the particular intention of the parties. The term Is used in this general sense, including constructive and resulting trusts, and also in a more restricted sense, Excluding those classes.
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Notice
This definition of Trust Is based on the The Cyclopedic Law Dictionary . This definition needs to be proofread..
Plain-English Law
Trust as defined by Nolo’s Encyclopedia of Everyday Law (p. 437-455):
A legal device used to manage property whether real or personal established by one person for the benefit of another. A third person, called the trustee, manages the trust.
Practical Information
Note: Some of this information was last updated in 1982
A holding of property subject to the duty of applying the property, the income from it, or the proceeds for the benefit of another, as directed by the person creating the trust. A trust is created when A transfers property to X, the trustee, and X undertakes to apply the property and income from it for the purposes in the manner directed by A. The elements of an ordinary trust are (1) the trustor (also called settlor, donor, or grantor), who furnishes the property to be put in trust; (2) the subject matter or property that is put in trust (called the trust principal, corpus, or res); (3) the trustee, who holds the property and administers the trust; and (4) the beneficiaries, for whose benefit the trust exists. A trust may be created by will (testamentary trust) or by deed (inter vivos or living trust). A man may put property in trust, the income to go to his wife while she lives, the principal to go to their children upon the wife’s death. In these situations, the wives would be income beneficiaries (or “equitable life tenants”) and the children would be remaindermen. (See life estate (in U.S. law).)
What is Trust?
For a meaning of it, read Trust in the Legal Dictionary here. Browse and search more U.S. and international free legal definitions and legal terms related to Trust.
Trust in the U.S. Legal History
Summary
A form of business organization that created a single board to trustees to oversee competing firms, the term came to apply when any single entity had the power to control competition within a given industry, such as oil production.
Trust: Main Elements
The coverage of Trust includes the following element(s):
Trust
Find out an overview of this topic, in relation to Trust, in the legal Ecyclopedia.
References
See Also
- Business Law
- Business Organizations
Resources
See Also
Honorary Trust; Resulting Trust; Vidal v. Girard’s Executors. Parent-Child Relationships; Friendship; Infidelity; Intimacy; Love; Relationship Initiation; Relationship Maintenance.
Further Reading (Books)
A. A. Berle, Jr., and G. C. Means, The Modern Corporation and Private Property (1932, rev. ed. 1969); W. Berge, Cartels (1944); R. R. B. Powell, Cases and Materials on Trusts and Wills (1960); M. Handler, Cases and Materials on Trade Regulations (4th ed. 1967); A. Hunter, ed., Monopoly and Competition (1969). Amagai, y. (1999). “main experiential factors affecting trust in regular high school students and delinquents.” japanese journal of educational psychology 47:229_238.
baxter, l. a., and wilmot, w. w. (1984). “secret tests’: social strategies for acquiring information about the state of the relationship.” human communication research 11:17_201.
boon, s. d. (1994). “dispelling doubt and uncertainty: trust in romantic relationships.” in dynamics of relationships, vol. 4: understanding relationship processes, ed. s. duck. thousand oaks, ca: sage publications.
couch, l. l., and jones, w. h. (1997). “measuring levels of trust.” journal of research in personality 31:319_336.
holmes, j. g. (1991). “trust and the appraisal process in close relationships.” in advances in personal relationships, vol. 2, ed. w. h. jones and d. perlman. london: jessica kingsley.
holmes, j. g., and rempel, j. k. (1989). “trust in close relationships
.” in review of personality and social psychology, vol. 10, ed. c. hendrick. beverly hills, ca: sage publications.
johnson-george, c., and swap, w. (1982). “measurement of specific interpersonal trust: construction and validation of a scale to assess trust in a specific order.” journal of personality and social psychology 43:1306_1317.
larzelere, r. e., and huston, t. l. (1980).”the dyadic trust scale: toward understanding interpersonal trust in close relationships.” journal of marriage and the family 42:595_604.
Further Reading (Books 2)
mikulincer, m. (1998). “attachment working models and the sense of trust: an exploration of interaction goals and affect regulation.” journal of personality and social psychology 74:1209_1224.
miller, p. j., and rempel, j. k. (2000). “the development and decline of trust in close relationships.” manuscript submitted for publication.
moeller, k., and stattin, h. (2001). “are close relationships in adolescence linked with partner relationships in midlife? a longitudinal, prospective study.” international journal of behavioral development 25:69_77.
regan, p. c.; kocan, e. r.; and whitlock, t. (1998). “ain’t love grand! a prototype analysis of the concept of romantic love.” journal of social and personal relationships 15:411_420.
rempel, j. k.; hiller, c.; and cocivera, t. (2000). “power and trust in close relationships.” manuscript submitted for publication.
rempel, j. k.; holmes, j. g.; and zanna, m. p. (1985). “trust in close relationships.” journal of personality and social psychology 49:95_112.
roizblatt, a.; kaslow, f.; rivera, s.; fuchs, t.; conejero, c.; and zacharias, a. (1999). “long lasting marriages in chile.” contemporary family therapy: an international journal 21:113_129.
rotenburg, k. j. (1995). “the socialization of trust: parents’ and children’s interpersonal trust.” international journal of behavioral development 18:713_726.
rotter, j. b. (1967). “a new scale for the measurement of interpersonal trust.” journal of personality 35:651_665.
sharlin, s. a. (1996). “long-term successful marriages in israel.” contemporary family therapy: an international journal 18:225_242.
wieselquist, j.; rusbult, c. e.; foster, c. a.; and agnew, c. r. (1999). “commitment, pro-relationship behavior, and trust in close relationships.” journal of personality and social psychology 77:942_966.
zak, a.; brewer, e.; clark, k.; deangelis, r.; nielsen, m.; and turek, c. (2000). “once bitten, twice shy: the effects of past partner experiences on current love and trust.” north american journal of psychology 2:71_74.
JOHN K. REMPEL
Further Reading (Articles)
Arrow, Kenneth. 1974. The Limits of Organization. New York: Norton.
Erikson, Erik. 1963. Childhood and Society. 2nd ed. New York: Norton.
Fukuyama, Francis. 1995. Trust: The Social Virtues and the Creation of Prosperity. New York: Free Press.
Garfinkel, Harold. [1967] 1984. Studies in Ethnomethodology. Cambridge, U.K.: Polity Press.
Giddens, Anthony. 1990. The Consequences of Modernity. Stanford, CA: Stanford University Press.
Granovetter, Mark. 1995. Getting a Job: A Study of Contacts and Careers. 2nd ed. Chicago: University of Chicago Press.
Malinowski, Bronislaw. [1922] 1984. Argonauts of the Western Pacific. Prospect Heights, IL: Waveland.
Putnam, Robert D., Robert Leonardi, and Raffaella Y. Nanetti. 1993. Making Democracy Work. Princeton, NJ: Princeton University Press.
Weber, Max. [1905] 2001. The Protestant Ethic and the Spirit of Capitalism. Trans. Talcott Parsons. New York: Routledge.
Michael Blim
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