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Summary of an Irrevocable Trust Article 3: Use of Income and Principal No Trust principal may be paid to the Grantors, their creditors, the Grantors' estates or the creditors of the Grantors' estate. During the lifetimes of the Grantors, the Trustees shall pay all the net income of the Trust to the Grantors. During the lifetimes of the Grantors, the Trustees may make gifts of up to $11,000 annually to each of the Grantors' four children. At the death of both Grantors, the four beneficiaries shall have the option to allow the assets designated for them to remain in successor Trusts, protected from creditors, and be paid out to them at their request. Trust income shall be paid annually to the beneficiaries. If any beneficiary of a successor Trust is disabled, the assets for that beneficiary shall be placed in a Supplementary Needs Trust and be restricted to uses that will not supplant or diminish the benefits of any governmental program for which the beneficiary may be eligible. If the Trustees of a successor Trust, in their sole discretion, determine that circumstances make it clearly contrary to the best interests of a beneficiary to receive a distribution of principal that would otherwise be required hereunder, the Trustees may refrain from making all or any part of such distribution until the Trustees determine that such circumstances no longer exist. Circumstances in a beneficiary's life that would justify exercising that discretion include, without limitation, being a defendant in significant litigation, bankruptcy proceedings, financial or matrimonial difficulties, and living under a form of government or other conditions making it highly likely that the assets to be distributed would be subject to confiscation or expropriation.
Article 4: Designation of Trustees
Article 3: Use of Income and Principal Article 5: Power of Authority of Trustees
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