Which is an invalid trust combination?
A)The settlor, trustee, and beneficiary are three different people.
B)The settlor is also a co-trustee and a co-beneficiary.
C)The settlor is also the trustee and beneficiary.
D)The settlor is also the beneficiary, and another person is the trustee.

Question

Quizplus · Accepted Answer

In a valid trust, there must be a separation of roles to ensure proper management and benefit distribution. When the settlor, trustee, and beneficiary are the same person (as in option C), it negates the trust's purpose, as there is no separation of control or benefit, making it an invalid trust combination.

Which Is an Invalid Trust Combination