A beach bum trust provision, in the law of trusts, ties the ability of a trust beneficiary to take from the trust to the beneficiary's own earnings.[1]
Background
edit"Beach bum trust provisions" may take a variety of forms, such as by requiring a beneficiary to attain a certain job or degree, or by using the beneficiary's own income to determine how much money they can take from the trust fund at a given time.[2] Such a provision serves to prevent a beneficiary from lazily living off the trust funds (i.e. a "beach bum"). If the beneficiary earns no income, then he or she reaps nothing from the trust.[3]
References
edit- ^ Hill, Gerald N.; Hill, Kathleen (2009). Nolo's Plain-English Law Dictionary. p. 43. ISBN 9781413310375.
- ^ "beach bum trust provision". Legal Information Institute. 2010-08-19.
- ^ "Beach Bum Trust Provision Law and Legal Definition". USLegal. airSlate Legal Forms, Inc.
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