Are trust funds secret?

A Beneficiary need not know about a trust of which he or she is a Beneficiary, and neither the Settlor nor the Trustee (if the Settlor waived the requirement for the Trustee to keep the beneficiaries informed) needs to inform the Beneficiary of the existence of the trust; but if the beneficiary finds out about it and …

Why have a secret trust?

Secret trusts are used when the testator wants to keep the identity of the recipient of the property a secret. The purpose of a secret trust is because, in some instances, a will becomes a public document once probate is granted, and can be inspected by paying appropriate fees.

Can you find out who owns a trust?

Anyone can look up a particular parcel of real estate in the local land records office (often called the county recorder or registry of deeds, depending on where you live) and find out who owns it. (Often, other information is also available, such as the amount of property taxes paid each year.)

Who owns the funds in a trust?

trustee
Trust funds include a grantor, beneficiary, and trustee. The grantor of a trust fund can set terms for the way assets are to be held, gathered, or distributed. The trustee manages the fund’s assets and executes its directives, while the beneficiary receives the assets or other benefits from the fund.

What is a secret trust in a will?

A secret trust is a trust which arises when property is left to a person (the legatee) under a will on the understanding that they will hold the property as trustee for the benefit of beneficiaries who are not named in the will.

How do secret trusts work?

A secret trust arises when a testator makes a gift in a will to a donee, intending that the donee should receive the gift as trustee for an ultimate beneficiary or beneficiaries, under an express or implied agreement between the testator and the donee, made outside the will.

Why do secret trusts not comply with Wills Act?

Based on the fraud theory, secret trusts are sometimes classified as constructive trusts; the reason they do not have to follow the Wills Act 1837 is because they are created by the courts.

Are secret trusts outdated?

“Secret and half-secret trusts are outmoded and should be abolished.” The formality requirements for putting together a valid document in the form of a ‘will’ are outlined in the Wills Act 1837 (the “Act”). These trusts are preferred if the testator does not wish to name certain individuals in his/her will.

Are wills documents private?

A will is a private document which means that, while the testator is still alive, in general circumstances, nobody other than the testator is entitled to receive a copy of the will.

What is the end of a trust called?

A trust can end under “proper” circumstances, which basically means that the trust is exhausted and the property within the trust has been passed on to the beneficiary. The trust can also end based on what the grantor wrote in the trust.