Definition from Nolo’s Plain-English Law Dictionary
A voluntary transfer of a debtor's property into a trust to be used to pay creditors. The trustee collects any income owed the debtor, liquidates the debtor's property that has been transferred to the trust, and uses the money to pay the debtor's creditors. The debtor receives any money left over once all debts are paid.
Definition provided by Nolo’s Plain-English Law Dictionary.
August 19, 2010, 5:11 pm