Which term denotes a trust created during the settlor's lifetime?

Which term denotes a trust created during the settlor's lifetime?

• A. PRIVATE EXPRESS TRUST
• B. INTER VIVOS TRUST
• C. CHARITABLE TRUST
• D. RESULTING TRUST

Answer: (B)

Inter vivos trusts are created during the settlor’s lifetime. The term means “between the living” and describes a trust formed by transferring property or declaring terms while the settlor is alive, so it takes effect during life rather than at death. This contrasts with trusts created by a will at death (testamentary trusts). The other options describe the nature or purpose of a trust rather than when it is created: a private express trust is defined by its explicit terms, a charitable trust is defined by its charitable purpose, and a resulting trust arises by operation of law when an express trust isn’t properly created or funded.

Inter vivos trusts are created during the settlor’s lifetime. The term means “between the living” and describes a trust formed by transferring property or declaring terms while the settlor is alive, so it takes effect during life rather than at death. This contrasts with trusts created by a will at death (testamentary trusts). The other options describe the nature or purpose of a trust rather than when it is created: a private express trust is defined by its explicit terms, a charitable trust is defined by its charitable purpose, and a resulting trust arises by operation of law when an express trust isn’t properly created or funded.