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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] doctrine of merger Posted by hard money lender on July 15, 2010 at 4:05 PM okay, so i had a real reason to actually do some research on it. what it is in a nutshell, is that it says that when legal and equitable ownerships is the same, that the trust is dissolved, and the property is considered to be owned outright. i think most people on this site have interpreted it to be about having the trustee and beneficiary different. and many articles on the net say so. but this is not true. for example, a person could be the sole trustee and the sole beneficiary of an irrevocable trust handed down by the parents. but the instructions in the trust are held up to certain ascertainable standards, such that legally the trustee/beneficiary can not treat the funds as his own. not to make you guys squeamish, but the title holding trust, as is commonly practiced, FAILS the real intent of the doctrine of merger. the tht is simply a glorified way of owning the property outright. in the tht, the beneficiary directs the trustee to do everything, which in most cases, is sign documents when it is sold. the trustee is just a glorified middle man. i suspect that the tht (illinois land trust) was originally created to try and skirt the doctrine of merger, by stating that the bene and trustee are different. and they actually got away with it - LOL. Follow Ups: Post a Followup: Name : E-Mail : Subject : Comments: : okay, so i had a real reason to actually do some research on it. : what it is in a nutshell, is that it says that when legal and equitable ownerships is the same, that the trust is dissolved, and the property is considered to be owned outright. : i think most people on this site have interpreted it to be about having the trustee and beneficiary different. : and many articles on the net say so. but this is not true. : for example, a person could be the sole trustee and the sole beneficiary of an irrevocable trust handed down by the parents. but the instructions in the trust are held up to certain ascertainable standards, such that legally the trustee/beneficiary can not treat the funds as his own. : not to make you guys squeamish, but the title holding trust, as is commonly practiced, FAILS the real intent of the doctrine of merger. the tht is simply a glorified way of owning the property outright. in the tht, the beneficiary directs the trustee to do everything, which in most cases, is sign documents when it is sold. the trustee is just a glorified middle man. : i suspect that the tht (illinois land trust) was originally created to try and skirt the doctrine of merger, by stating that the bene and trustee are different. and they actually got away with it - LOL. [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

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