SECRET TRUST Meaning and
Definition
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A secret trust refers to a legal arrangement where a person (known as the trustee) holds and manages certain assets or property on behalf of another person (known as the beneficiary), without revealing the existence of the trust in their will or conveyance. In this type of trust, the settlor (person creating the trust) discloses their intentions regarding the assets to the trustee during their lifetime, and the trustee is bound to follow those instructions after the settlor's death.
The central characteristic of a secret trust is the secrecy surrounding its existence, purpose, and terms. Unlike regular trusts, which are usually expressed and governed by formal legal documents, secret trusts are often created through a series of verbal or written communications between the settlor and the trustee, with the understanding that the trust is to be kept confidential. Due to this secretive nature, secret trusts are rare and require a high degree of trust between the parties involved.
One of the primary motivations behind establishing a secret trust is to maintain privacy and prevent public scrutiny of the settlor's intentions, particularly in cases involving sensitive or controversial matters. However, secret trusts are subject to legal requirements and must meet certain criteria to be valid and enforceable. Courts generally require clear and convincing evidence to establish the existence and terms of a secret trust, ensuring that the interests and intentions of the settlor and beneficiaries are adequately protected.
Common Misspellings for SECRET TRUST
- aecret trust
- zecret trust
- xecret trust
- decret trust
- eecret trust
- wecret trust
- swcret trust
- sscret trust
- sdcret trust
- srcret trust
- s4cret trust
- s3cret trust
- sexret trust
- sevret trust
- sefret trust
- sedret trust
- seceet trust
- secdet trust
- secfet trust
- sectet trust
Etymology of SECRET TRUST
The word "secret" originated from the Latin word "secretus", which means "separate" or "hidden". Over time, it evolved in English to mean something concealed or not known by others. The term "trust" comes from the Old Norse word "traust", meaning "confidence" or "reliance". In legal context, a trust refers to a relationship where one party (the trustee) holds and manages assets on behalf of another party (the beneficiary). Therefore, the term "secret trust" refers to a type of trust arrangement in which the existence or terms of the trust are not disclosed to the public or beneficiaries until a specific event or condition is fulfilled.
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