A trust in which the beneficiaries have no knowledge of the holdings or management of the trust by the trustees. Blind trusts are used in situations where the beneficiary is to be kept unaware of the trust assets specifics, usually for reasons of avoiding conflicts of interest. Politicians may place personal assets in a blind trust for this reason.
Definition from Nolo’s Plain-English Law Dictionary
A trust in which a trustee manages investments for someone who has no knowledge of the trust's specific assets or the actions taken by the trustee to manage them. Blind trusts are often used by high-ranking elected or appointed officials to avoid conflicts of interest.
Definition provided by Nolo’s Plain-English Law Dictionary.
August 19, 2010, 5:11 pm