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Simple English definitions for legal terms

cy pres doctrine

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A quick definition of cy pres doctrine:

The cy pres doctrine is a legal rule that helps distribute charitable gifts when the original recipient is not available or the gift is no longer possible. It means "as near as possible." Instead of canceling the gift, the court can choose a new recipient that is similar to the original intention of the donor. For example, if someone left money to a charity that no longer exists, the court can give the money to a similar charity that fulfills the same purpose. This rule can also be used in class action lawsuits when it's not practical to give money to every person involved. Instead, the court can choose a charity that relates to the issue and helps people in different areas.

A more thorough explanation:

The cy pres doctrine is a legal principle used by courts to distribute charitable gifts when the intended beneficiary is unavailable or the bequest is no longer feasible. The term "cy pres" means "as near as possible." Instead of invalidating the charitable gift, the court can select a new beneficiary that closely corresponds to the original intent of the donor.

  • If a person sets up a trust with the intention that, after the death of their last living relative, the remaining trust funds go to a specific charity that no longer exists, the court may direct the funds toward a similar charity that fulfills the general charitable intent of the donor.
  • In a class action lawsuit, if funds go unclaimed or distributing the funds to every individual class member is not cost-effective, the court may approve a beneficiary, such as a charitable organization, that relates to the issue underlying the class action and accounts for the geographic diversity of the class members.

These examples illustrate how the cy pres doctrine allows courts to ensure that charitable gifts are still used for their intended purpose, even if the original beneficiary is no longer available or feasible. By selecting a new beneficiary that closely corresponds to the donor's intent, the court can still fulfill the charitable purpose of the gift.

Customs Court | cy pres: charitable trusts

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