Support Trust Flashcards
1
Q
SUPPORT TRUSTS
A
A support trust directs the trustee to pay only so much of the income or principal (or both) as is necessary for the beneficiary’s support. A support trust may be mandatory or discretionary. If discretionary, the creditors’ rights are the same as they are for other discretionary trusts
2
Q
Standard of Support and Other Resources
A
If the instrument is silent, the standard of support is the beneficiary’s accustomed standard of living. Whether the beneficiary’s other income or resources should be taken into account is a question of the
settlor’s intent and is decided by courts on a case-by-case basis.
