The Private Creation of Private Trusts, 37 Emory Law Journal 295 (1988)
Usually the benefits and burdens of property ownership belong to the same person. In a trust, however, the two are separate. All the benefits belong to one party (the beneficiary) and all the burdens belong to another party (the trustee). Under modern law, three legal entities - a settlor, a beneficiary, and a trustee - are necessary in order to create a trust. To create a trust, the settlor transfers his title in the trust property to the trustee who holds the property for the benefit of the beneficiary. This Article employs an economic perspective to evaluate the creation of private trusts by private individuals.
Date of Authorship for this Version
Macey, Jonathan R., "The Private Creation of Private Trusts" (1988). Faculty Scholarship Series. Paper 1736.