Legal Question in Wills and Trusts in Florida

Re: trust

WHAT IS A REVOCABLE LIVING TRUST?

An RLT is an arrangement by which you transfer ownership of your assets to another entity, a trust. As a �living trust,� the transfer of assets must occur during your lifetime. You (the settlor) can set up a trust with your own assets and retain management and control of these assets if you act as your own trustee. You can also designate someone else as your trustee; for instance, in the event you become incapacitated.

WHY DO PEOPLE SET UP AN RLT?

The RLT is an ideal arrangement for many. An RLT can be used as a substitute for a Will, in that it provides for the distribution of assets upon the settlor�s death. The trust assets are distributed directly to the beneficiaries and, unlike a Will, there is no automatic court supervision or probate. One advantage is that the allocation of assets is faster and less costly than through distribution pursuant to a Will.