question.jpgIn Trusts and Estates

What are the requirements for the person creating the trust (the settlor)?

The person who creates a trust is known as a settlor. When the settlor creates a trust, there are not many requirements to meet. They must obviously intend to create a trust, meaning that they intend to divide up the legal title and equitable title in some property and that they intend to impose certain duties on the trustee with regard to how the property must be controlled. The settlor does not need to know or use the proper legal jargon, as long as the obvious intent of the settlor’s actions is to create a trust. For example, if you tell your brother you want him to control your savings account and give monthly payments to your children, even though you have not made any reference to legal or equitable title, you have created a trust.