10:38
Very happy with LR other than having to guess on a couple questions cuz of time
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Simple English definitions for legal terms
distributive clause
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A quick definition of distributive clause:
A distributive clause is a rule in a will or trust that says how money or gifts should be given out. It tells who gets what and when they get it. Sometimes, a person in charge of giving out the money or gifts might need to change the rules. This is called a distributive deviation. They have to ask a court for permission to change the rules. Usually, the court only says yes if everyone who is supposed to get the money or gifts agrees and if the person who made the will or trust didn't have any other important reasons for the rules. But sometimes, if something really unexpected happens, the court might let the person in charge change the rules even if the person who made the will or trust said they couldn't.
A more thorough explanation:
A distributive clause is a provision in a will or trust that governs the distribution of income and gifts.
For example, a will may state that a certain percentage of the estate's income should be distributed to a specific beneficiary each year.
Distributive deviation refers to a trustee's authorized or unauthorized departure from the express distributional terms of a trust.
For instance, a trustee may seek court approval to deviate from the terms of a trust if all beneficiaries consent and there is no material purpose of the settlor yet to be served.
In some cases, deviation may be permitted if the court finds that it would effectuate the settlor's intention, even if the modification is not expressly authorized by the trust's provisions.
An example of distributive deviation is the Pulitzer trust, where the court approved the sale of World newspaper stock despite an express prohibition within the trust. The court found that the trust's continuation was jeopardized due to hemorrhaging losses, and the stock sale was necessary to preserve the trust's purpose.