Liquidating trust definition
In addition, the term "liquidation" is sometimes used when a company wants to divest itself of some of its assets.This is used, for instance, when a retail establishment wants to close stores.The term “beneficiary” does not apply to an heir at law or a devisee after that person’s interest in the estate has been satisfied.
Importantly, a court can undo an individual’s transfer to a trust if it finds that the transfer was made with the intention of defrauding creditors.
The term “descendant” is synonymous with the terms “lineal descendant” and “issue” but excludes collateral heirs.“Devise,” when used as a noun, means a testamentary disposition of real or personal property and, when used as a verb, means to dispose of real or personal property by will or trust.
The term includes “gift,” “give,” “bequeath,” “bequest,” and “legacy.” A devise is subject to charges for debts, expenses, and taxes as provided in this code, the will, or the trust.“Devisee” means a person designated in a will or trust to receive a devise.
An important estate planning goal for many individuals is to be sure that their money ultimately passes to their heirs, rather than their creditors.
One common estate planning tool used for this purpose is the trust.
The district judge granted the motion with a brief oral statement of reasons, precipitating this appeal.