Mr. Raynold writes a will placing his estate in a trust on his death. He names a local bank as the trustee to administer the trust and invest its assets. The trust provides that when his grandson reaches the age of 23, the trust will terminate, and he will be given legal title to the assets. Mr. Raynold dies when the grandson is 12 years old. At the age of 23, the grandson inherits the title to the assets. What kind of trust is created by Mr. Raynold in this scenario?

Question

Quizplus · Accepted Answer

Mr. Raynold creates a testamentary trust because the trust is created by his will and only comes into existence upon his death.

Mr Raynold Writes a Will Placing His Estate in a Trust