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Simple English definitions for legal terms
failure of trust
Read a random definition: undisclosed principal
A quick definition of failure of trust:
Failure of trust means that a trust is not valid because there is something wrong with the document that created it or because it is against the law. It is like a promise that cannot be kept because of a mistake or a rule that was broken. When there is a failure of trust, the people involved cannot rely on the trust to do what it was supposed to do.
A more thorough explanation:
Definition: Failure of trust refers to the invalidity of a trust due to a defect in the instrument creating it or because of its illegality or other legal impediment.
Example: If a trust is created with an invalid or illegal purpose, it may be considered a failure of trust. For instance, if a trust is created to evade taxes or to hide assets from creditors, it may be deemed invalid.
This term is commonly used in legal contexts and may be difficult for a high school student to understand without additional explanation.