TRUST

A relationship in which a person called a trustee holds title to property for the benefit of another person called the beneficiary. The agreement that establishes the trust, contains its provisions, and sets forth the powers of the trustee is called the trust indenture. The person creating the trust is called the settlor or grantor. The property itself is called the corpus, trust fund or trust estate, which is distinguished from any income earned by it. If the trust is created while the settlor is living, it is called a living trust or inter vivos trust. A trust created by a will is called a testamentary trust. The trustee is charged with investing trust property productively and unless specifically limited, can sell, mortgage, or lease the property as he or she deems warranted.