Special Characteristics
A personal injury trust has several special characteristics:
- It is constituted exclusively by funds derived from a payment (or payments) made in consequence of a personal injury e.g. compensation for a road traffic accident.
- The person founding the trust (called the settlor) will be the injured party (that is except in limited circumstances involving an official compensatory body such as the Criminal Injuries Compensation Authority).
- The person founding the trust from their payment must also be the sole beneficiary or at least one of the potential beneficiaries of the trust.
These are important because it means that a trust does not need to have a generic title or label or be one particular type of trust or another at English law to be considered a personal injury trust. It is or is not a personal injury trust on account of its source and the involvement of the injured settlor.
Read more about this topic: Personal Injury Trust
Famous quotes containing the word special:
“We cannot set aside an hour for discussion with our children and hope that it will be a time of deep encounter. The special moments of intimacy are more likely to happen while baking a cake together, or playing hide and seek, or just sitting in the waiting room of the orthodontist.”
—Neil Kurshan (20th century)