The settlor is the party that creates a trust, usually the donor. The settlor transfers legal title in some asset to the trustee. The settlor then provides in the trust instrument how that trust property is to be used for the beneficiaries. In the case of the inter vivos trust, the settlor can also be the beneficiary. Additionally, The settlor can be the trustee in the case of the self-declared trust.
Definition from Nolo’s Plain-English Law Dictionary
The person who creates a trust by a written trust declaration. Called a "trustor" in many (particularly western) states and is sometimes referred to as a "grantor" or "donor." The settlor usually transfers the original assets into the trust. Compare: grantor
Definition provided by Nolo’s Plain-English Law Dictionary.
August 19, 2010, 5:24 pm