Exam 9: Classification of Trusts, the Living Trust, and Other Special Trusts

A trust made between living persons A) active trust B) inter vivos trust C) purchase-money resulting trust D) failed trust E) excessive endowment trust F) spendthrift trust G) sprinkling trust H) Totten trust I) declaration of trust J) irrevocable living trust

Which is NOT a subcategory of express trusts?

On the death of the settlor,a revocable living trust becomes irrevocable.

All trusts must be either express or implied.

If a settlor wishes to see how well a trust operates while he or she is alive,a testamentary trust should be established.

A savings account in which money is deposited in the depositor's name as trustee for another person named as beneficiary and is payable upon the death of the depositor A) active trust B) inter vivos trust C) purchase-money resulting trust D) failed trust E) excessive endowment trust F) spendthrift trust G) sprinkling trust H) Totten trust I) declaration of trust J) irrevocable living trust

A trust that may not be amended,revoked,or canceled after its creation A) active trust B) inter vivos trust C) purchase-money resulting trust D) failed trust E) excessive endowment trust F) spendthrift trust G) sprinkling trust H) Totten trust I) declaration of trust J) irrevocable living trust

Which of the following is a type of implied trust?

A trust that is established when the value of property exceeds the amount needed for the purpose of a private express trust A) active trust B) inter vivos trust C) purchase-money resulting trust D) failed trust E) excessive endowment trust F) spendthrift trust G) sprinkling trust H) Totten trust I) declaration of trust J) irrevocable living trust

A trust for which the trustee has the authority and discretion to accumulate or distribute trust income or principal,or both,among the trust beneficiaries in varying amounts A) active trust B) inter vivos trust C) purchase-money resulting trust D) failed trust E) excessive endowment trust F) spendthrift trust G) sprinkling trust H) Totten trust I) declaration of trust J) irrevocable living trust

Which is NOT an essential element of an express trust?

Which is NOT a type of resulting trust?

Which of the following is generally a pre-death task in the administration of a trust?

Courts frequently use resulting trusts to settle legal disputes.

An express trust that can be either private or charitable A) active trust B) inter vivos trust C) purchase-money resulting trust D) failed trust E) excessive endowment trust F) spendthrift trust G) sprinkling trust H) Totten trust I) declaration of trust J) irrevocable living trust

A trust that is declared void for reasons other than that it has an illegal objective A) active trust B) inter vivos trust C) purchase-money resulting trust D) failed trust E) excessive endowment trust F) spendthrift trust G) sprinkling trust H) Totten trust I) declaration of trust J) irrevocable living trust

A trust made when a settlor retains title to property and simply declares himself or herself trustee of the property for the benefit of another person A) active trust B) inter vivos trust C) purchase-money resulting trust D) failed trust E) excessive endowment trust F) spendthrift trust G) sprinkling trust H) Totten trust I) declaration of trust J) irrevocable living trust

Which is NOT a requirement for an express public trust to be valid?

A trust that provides income payments to a person whose spouse has died only until the person remarries opposes public policy.

A living trust can decrease income taxes.