MAKE SURE YOUR LEGACY IS PROTECTED

 

TRUSTS & WILLS

One of the questions asked about trusts, is whether they are still relevant today.

To answer this question, it is necessary to understand what the purpose of a trust is.  A trust can be defined as a legal arrangement, whereby the control over property (“trust assets”) is transferred to persons or organisations (“the trustee”) for the benefit of a specified person/s (“the beneficiary”).

Two types of trusts can be registered, namely an Inter-vivos Trust and a Testamentary Trust.  An inter-vivos trust is created for the benefit of living persons through a legal agreement (“trust deed”), such as a family trust or an employee share ownership trust, whereas a testamentary trust, is created through the will of a deceased person to hold property (“trust assets”) for the benefit of his or her minor children – the beneficiaries of the trust.

Trust beneficiaries can be natural or juristic persons and are those persons or entities entitled to benefit from the trust assets or income. The trustees are the administrators of the trust and the custodians (guardians) of the trust assets. It is the duty of the trustees, to always act in the best interests of the beneficiaries. The registration of a trust is a highly effective vehicle to protect your assets from creditors and to provide for loved ones.

Having a valid Will or Testament in place, is one of the most important things you can do for your family.

A will/testament is a written document in which a person sets out the distribution of their assets and liabilities after they have passed away. When a person dies with a valid will, their estate is administered in accordance with their wishes. If a person dies without a valid will, their estate will be distributed in term of the provisions of the Intestate Succession Act 81 of 1987, which means that their assets will not necessarily be distributed in accordance with their wishes.

A will is also an instrument wherein a parent can ensure that the correct guardian is named for their child as well as ensuring that the needs of the child is met long after the parent has fallen away.

We are running a campaign on the registration of trusts, and for a limited time we will register your trust as well as draft an updated will and testament for R5000.00 fully inclusive.

If you would like to know more, please email: natasha@kempenlaw.co.za