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question.jpgIn Trusts and Estates

What is a disclaimer?

Just as an heir can make a disclaimer to reject the inheritance from a will, a trust beneficiary can disclaim the equitable title given to him or her by the trust. In this situation, the potential beneficiary is saying that they do not want to hold the property’s equitable title, and will therefore not be entitled to the use or enjoyment of the trust property.

Where a potential beneficiary makes such a disclaimer, the equitable title passes on as if the intended beneficiary had died before the trust was executed.