A trust is the legal relationship between one person, the trustee, having an equitable ownership or management of certain property and another person, the beneficiary, owning the legal title to that property. The beneficiary is entitled to the performance of certain duties and the exercise of certain powers by the trustee, which performance may be enforced by a court of equity. This form is an example of a trust that is subject to direct court oversight since the initial trust funds resulted from a civil judgment in favor of a minor.
Guam Trust Agreement for Funds for Recovery of Judgment for Minor is a legal document designed to protect and manage financial compensation awarded to a minor through a legal judgment. It helps ensure that the funds are used for the minor's benefit and are not mismanaged or depleted prematurely. In Guam, there are two main types of Trust Agreements for Funds for Recovery of Judgment for Minor: 1. Restricted Trust Agreement: This type of trust agreement imposes strict limitations on the access and usage of the funds. The funds are typically held in a financial institution and can only be accessed for specific purposes, such as education, healthcare, housing, or other essential needs of the minor. The trustee appointed by the court oversees the management of the funds and ensures they are used solely for the minor's benefit. 2. Structured Settlement Trust Agreement: This type of trust agreement allows for the funds to be paid out over a predetermined period, providing a regular income stream for the minor. The funds are often invested in annuities or other financial instruments, and the trustee manages the disbursements according to a set schedule. This arrangement helps protect the minor from quickly depleting the funds and ensures a steady stream of income for their future needs. Keywords: Guam, Trust Agreement, Funds, Recovery of Judgment, Minor, legal document, financial compensation, protect, manage, access, usage, restricted, structured settlement, financial institution, trustee, education, healthcare, housing, structured settlement, annuities, income stream.
