Charitable Trust

Purpose of the Trust

The purpose of establishing this Charitable Trust is to promote ________________________________.
I, ___________, as the Trustor, hereby create a trust fund comprised of the property listed in Schedule A, which is attached hereto and incorporated by this reference. I have delivered said property this day to ____________.

I hereby give, transfer, and deliver the property identified in Schedule A to the Trustees, to hold in trust for the purposes described herein.

The name of this trust shall be the __________________________.

The Trustor and Trustees hereby agree as follows:

Transfer of Trust Corpus

The Trustor hereby gives, transfers, and assigns to the Trustees the property listed in the attached Schedule A, together with all income, profits, and any additional contributions that may be made to the trust in accordance with the terms of this agreement. The Trustees shall hold this property in trust for the uses and purposes set forth herein.

Investment and Application of Trust Fund and Income

The Trustees shall hold, manage, and invest the trust fund at their discretion, subject to the investment guidelines applicable to trustees under the law. The Trustees may, in their sole discretion, use the income of the trust to support charitable purposes by making contributions to any charitable corporation, trust, community chest, fund, or foundation that qualifies as a tax-deductible organization under the Internal Revenue Code of the United States at the time of contribution.
The Trustees shall make distributions at such times and in such manner as to ensure that the trust remains exempt from taxation. The Trustees shall refrain from any acts of self-dealing, as defined in Section 4941 of the Internal Revenue Code, shall not retain any excess business holdings under Section 4943, shall avoid prohibited investments under Section 4944, and shall not make any taxable expenditures as defined in Section 4945.

Restrictions on Use of Trust Fund

The trust fund and any income generated therefrom shall be used exclusively for the charitable purposes described above and shall not benefit any private individual or corporation, except the corporate trustee solely in its capacity as such. No portion of the trust shall be used for political purposes.

Additional Contributions to the Trust

Any individual or entity may, from time to time, contribute additional property or funds to the trust, subject to the approval of the Trustees.

Actions of the Trustees

The Trustees shall not be held liable for any decisions or actions taken in good faith and without willful misconduct or gross negligence.

Compensation of Trustees

The corporate trustee shall be entitled to reimbursement and compensation as determined by the Trustor and paid from the trust. All administrative expenses shall be borne by the Trustor. Individual Trustees shall serve without compensation.

Decisions of the Trustees

Any action taken by the Trustees shall be documented in writing, signed by a majority of the Trustees, and filed with the corporate trustee.

Custody and Control of Trust Assets

The corporate trustee shall maintain exclusive custody and control of all securities, cash, and other property held in the trust fund.

Succession of Trustees

In the event of the death, incapacity, or resignation of any Trustee, the remaining Trustees shall appoint a successor. Until such appointment is made, the remaining Trustees shall retain full authority to act under this agreement.

Irrevocability of Gifts

All gifts and contributions made to this trust under this agreement are irrevocable. In the event that this trust is determined not to qualify for tax-exempt status under applicable federal law, the remaining assets shall be transferred to a qualified tax-exempt charitable organization selected by the Trustees that most effectively furthers the charitable purpose of this trust. Upon such transfer, this trust shall be terminated.

TRUSTOR

TRUSTEE

How to Use This Sample Format

This section is intended to assist in the proper use and understanding of this Charitable Trust sample. This is a general-purpose charitable trust template and may be modified or expanded to meet your specific requirements.
It is recommended that multiple copies of the signed trust agreement be made. Each signatory should retain a copy. Keep one copy in a secure location, such as a home safe.