Joseph Fedorowsky – Legal Blog

Without nonprofit organizations there would be fewer programs for us to share and learn, places for our children to visit or places for seniors to socialize or get support. For some people, volunteering their services makes them proud and useful; it provides them a chance to get out of the house and into the community. Then there are people who are fighting for a cause and know without the additional funds they wouldn’t be able to continue with needed services in a particular community.

You will often be called at your home asked to donate to nonprofit organizations. Examples of nonprofit organizations would include prevention of cruelty to children or animals, national or international sports and public safety as well as various humanitarian issues. But be sure to check out the bona fides of the organization before making a donation.

Joseph Fedorowsky / Legal Blog

There are many different types of trusts and different classification criteria used. A trust may be classified based on how long a period of time it exists; on the relationship of the trust and the settler; on the type of property which is placed into the trust; or, on the way the trust was created.

The classification of a trust is more than a mere organizational convenience. While the classification of a trust does not change its essential character, the stated classification of a trust is invariably a significant factor in its treatment and interpretation. For example, there are serious legal repercussions once a trust is established as an irrevocable trust (a classification based its duration or how long a period of time it exists).

Joseph Fedorowsky / Legal Blog

A trust is one of the oldest and most respected legal agreements. In theory, a trust is fairly simple. Essentially, one person holds and manages assets for the benefit of another.

As in any legal form, certain elements are required. In the United States, five different elements are required: a trustor, trustee, beneficiary, trust property (sometimes referred to as the res) and a trust agreement. The trustor is also referred to as a settlor, grantor or donor.

In other countries, a sixth element may also be required, that of a protector.

These elements are simple enough. The complexity and fun really begins when you must address the who, what, when, where and why’s of setting up, operating and dissolving the trust.

Joseph Fedorowsky / Legal Blog