DEED OF TRUST FOR THE BENEFIT OF SETTLOR’S CHILDREN
TRUST AGREEMENT AND DECLARATION made ____________, by and between ________________ and ______________ husband and wife, of ____________ (address) _______________ here referred to as the Settlors, and _______________ (names), the natural born children of the Settlors, here referred to as the Trustees.
This trust agreement and declaration is made upon the following conditions:
Settlors are about to convey, or cause to be conveyed, to Trustees, the following described property: It is the intention of the Settlors to convey to the trust estate all of the real property and the personal property above described, to have and to hold all the same property (all of which property is sometimes referred to in this instrument as the trust estate) in trust, however, for the use and purposes and on the terms as set forth in this trust agreement.
Investment of Income
When the Trustees have taken title to the property, they shall take possession of all of the interest estate and shall invest and re-invest the income from the trust estate in the names of Trustees in _______________ (any bonds or securities approved by any law in force in India), with power to vary the investment or investments of the trust estate from time to time for any other or others of the character above specified in the discretion of Trustees.
Power of Trustees to enter into contracts
Trustee shall have full power and authority to enter into agreements, from time to time, as they may deem necessary or expedient, with reference to the organization of corporations, and the stock, bonds or other obligations which form a part of this trust estate.
Management of Trust Estate
Trustees are authorized and empowered to manage, care for, improve, protect, control, deal with, sell and otherwise dispose of the trust estate or any part of it, in their discretion, in any and every way in which any responsible and prudent owner could manage, care for, improve, protect, control, deal with and otherwise dispose of the same.
Power to Borrow
Trustees are authorized, from time to time, to borrow money and pledge as security for the payment of this money, all or any part of the property, real or personal, at any time forming a part of the trust estate when necessary to be used for the benefit of the trust estate.
Power to Lease and the like
Full power and authority is granted to the Trustees to improve, manage and protect the trust estate or any part of it, to dedicate streets and highways when necessary, to contract to sell, to grant options to purchase, to sell on any terms as the best judgment of Trustees dictate, to convey, to mortgage, pledge or otherwise encumber the trust estate or any part of it, and to lease the trust estate or any part of it from time to time on any terms and for any period or periods of time not exceeding, in the case of any single demise, the term of __________ (_____ years), and to renew or extend leases on any terms and for any period or periods, of time not exceeding ___________ ( ____ years).
Costs and Expenses of Estate
Out of the income derived by Trustees from the property at any time comprising the trust estate, Trustees shall first pay all the necessary costs and expenses of this trust, including outlays necessary for the protection, management and upkeep of the trust estate, repairs, alterations and improvements, taxes (general, special, and income), outlays necessary for insurance, care and maintenance of the trust estate and for keeping the property of the trust estate in good condition, and the reasonable compensation of Trustees. The balance of the income derived from the trust estate shall be paid to Settlors ______________ (and to ______ in the following manner:
Waiver of Right to Revoke Trust Agreement
TRUST AGREEMENT Settlors waive the right to revoke this trust agreement in whole or in part.
Disposition on Death of Settlors
On the death of ____________ and _____________ Settlors, the trust created shall terminate and the Trustees, after deducting their expenses and reasonable compensation, shall transfer and pay over all of the personal property in the trust estate with its accumulations, and all undistributed income, to ___________ (names), in equal parts. For the purpose of making any distribution of the personal property of the trust estate, the Trustees are authorized to value and appraise or have valued or appraised any or all of the personal property of the trust estate and to distribute the same in kind or in cash, or part in kind and part in cash, as they may deem advisable after any such valuation or appraisal.
Conveyance on Death of Settlors On the death of the Settlors, should the real estate constituting this trust estate remain intact and no portion of the same have been sold or mortgaged by the Trustees, the Trustees shall transfer, convey and warrant by proper deeds of conveyance the following described property to the following described persons, as follows: _____________.
Sale or Mortgage of Real Estate
Should the Trustees sell and convey or mortgage any part or portion of the real estate which constitutes a part of this trust estate, then, in that event, at the termination of this trust, the Trustees are directed to convey and warrant by proper deed or deeds of conveyance the remaining part or portion of the real estate not previously sold and any real estate not previously mortgaged to____________ (names), in equal shares as tenants in common.
Death of Trustees before termination; failure or refusal to Act
Should one or more of the Trustees die before the termination of this trust agreement, the survivor or survivors shall act as sole Trustee or Trustees. Should one or more of the Trustees at any time refuse to act as a Trustee, the Trustee or Trustees refusing to act shall submit their written resignations to the remaining Trustee or Trustees, and the remaining Trustee or Trustees shall act as the sole Trustee or Trustees of the trust estate. Should the Trustee or Trustees refusing to act fail or refuse to submit their written resignations within _____ ( ____ days) after receipt of a written request for such submission by the remaining Trustee or Trustees, the remaining Trustee or Trustees shall be empowered to act as the sole Trustee or Trustees of the trust estate in the absence of a written resignation or resignations with full power and authority to act as though such written resignations had been submitted.
IN WITNESS WHEREOF,
The Settlors and Trustees have executed this agreement and declaration at __________ (designate place of execution) on the date indicated below.
(Signatures and dates of signing)