TRUST BASICS
This is a legal relationship in which one party holds property for another’s benefit.
What is a trust?
This is the duty requiring loyalty and care when managing another’s assets.
What is fiduciary duty?
This is the artificial legal entity created through documentation.
What is the strawman?
This body of law governs commercial transactions in the United States.
What is the Uniform Commercial Code?
This is a number used to identify a trust for tax purposes.
What is an EIN?
This system of law is based on customs, principles, and judicial decisions.
What is common law?
This is the document that outlines the rules and structure of a trust.
What is a trust agreement?
This occurs when a trustee fails to act in the best interest of the trust.
What is a breach of trust?
This document is commonly associated with the creation of the strawman.
What is a birth certificate?
This document gives public notice of a secured interest in collateral.
What is a UCC-1 financing statement?
This form is used to report acquisition or abandonment of secured property.
What is a 1099-A?
This system of law is based on written statutes and codes.
What is statutory law?
This type of trust cannot be revoked once properly established.
What is an irrevocable trust?
This allows adjustments or clarifications to be made within trust records.
What is a minutes form?
This format is commonly used to represent the strawman’s name.
What is all capital letters?
This is property pledged to secure a debt.
What is collateral?
This form is used to report original issue discount income.
What is a 1099-OID?
This refers to fairness and justice in legal matters.
What is equity?
This is the person who establishes and contributes assets to the trust.
Who is the grantor?
This is the collection of all assets held within a trust.
What is the trust estate?
This term describes connecting yourself to the legal identity.
What is joinder?
This is the party who holds a security interest.
Who is a secured party?
This distinguishes between reporting income and paying taxes.
What is reporting versus paying?
This refers to a court’s authority to hear a case.
What is jurisdiction?
This is the person responsible for managing the trust according to its terms.
Who is the trustee?
This describes properly managing and maintaining a trust.
What is trust administration?
This occurs when you agree or respond on behalf of the legal entity.
What is consent?
This is the party who owes an obligation under a secured transaction.
Who is a debtor?
This identifies a party to whom a debt is owed.
Who is a creditor?
This ensures fair treatment through the judicial system.
What is due process?