testamentary trust
- noun
- /ˌtɛstəˈmɛnˌtɛri trʌst/
- Formal
:
fideicomiso testamentario
- Upon his death, a testamentary trust was created to support his children until they reached adulthood.
Examples
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A testamentary trust is established in a will to manage assets for beneficiaries after the testator's death.
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In 1941, Anna Child Bird ("Anna") executed a will and testamentary trust for the benefit of her son and issue ("ACB Trust").
Blog text (16) -
The IRS has also applied the doctrine to deny exemption to a racially discriminatory testamentary trust and has suggested that acting illegally under foreign law may disqualify an organization from federal income tax exemption.
Academic text (2016) -
The lawyer explained that a testamentary trust would ensure the assets are distributed according to the deceased's wishes.
Synonyms
275
6.8
An arrangement where one person holds property for another person's benefit
Surface Forms
Morphology
The compound combines 'testamentary' (related to a will) with 'trust' (a legal arrangement for holding assets), so its meaning—a trust created under a will and activated on the maker's death—is directly derivable from the constituents. Although the term is legal/technical and low-frequency, the compositional logic is transparent and cross-linguistically paralleled, so a learner who knows both words can infer the MWE's meaning.
Etymology
Testamentary trust combines testament, an old word for a person's 'will', and trust, someone who holds money or property for others. It is a trust written into a will that only starts 'after death', so the phrase means a trust set up by a will to care for money or property when the person has died.