Estate Planning And Probate Law Practice Test

Which term refers to the recipient of the trust's assets?

Beneficiary Trustee Grantor Testator

Correct Answer:

Beneficiary

Explanation:

In trust law, the person who ultimately benefits from the trust assets is the beneficiary. The trust is funded by the grantor and managed by a trustee under terms set out in the trust document. The beneficiary is the recipient of distributions or benefits from the trust, either during the grantor’s life or after death, depending on the trust’s terms. The trustee is the fiduciary who handles the trust's assets, not the recipient. The grantor (or settlor) creates and funds the trust, while the testator is the person who executes a will, not a trust. In some cases there can be multiple beneficiaries with varying rights, but the fundamental idea is that the beneficiary is the one who receives the trust assets.

Access more questions from this quiz

Continue to Estate Planning and Probate Law Practice Test for more practice questions and the full quiz experience.

Access More Questions