A charitable trust qualifies for certain favorable treatment under U.S. law. For example, it is not subject to the rule against perpetuities and cannot fail for a lack of definite beneficiaries. To qualify as a charitable trust, the trust must have a specific purpose that has been deemed charitable. Under traditional law, this includes relief of poverty, advancement of education, advancement of religion, promotion of health, governmental or municipal purposes, or other purposes beneficial to the community.
See e.g., In re Alaimo 288 A.D.2d 916 (2001).
See also Autonomous Region of Narcotics Anonymous v. Narcotics Anonymous World Services, Inc. 77 Cal.App.5th 950 (2022); In re Board of Trustees of Huntington Free Library & Reading Room, 5 A.D.3d 15, 771 N.Y.S.2d 69 (N.Y. App. Div. 2004).
[Last updated in August of 2022 by the Wex Definitions Team]
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