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    Dear all, I was wondering if someone knows what Private Purpose and Charitable Trust is in layman's terms?

    Any help is greatly appreciated.

    Thank you
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    A purpose trust is a trust which is set up for the benefit of a purpose as opposed to the benefit of a person. When we hear of a trust in everyday terms, we normally hear of it in the context of a trust being set up for a person not a purpose — for example, we normally hear that John has set up a trust fund for his son. In contrast with this, a purpose trust is setup for a purpose, not a person — for example, a trust setup for the promotion of the principles of the free press would be a trust setup for a purpose.

    A private purpose trust is just a purpose trust as I have explained above, setup by a private person. They are generally unenforceable.

    A Charitable Trust is a particular type of purpose trust — a charity exists for a purpose. They are regulated by the Charities Acts.
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    (Original post by GeneralStudent95)
    A purpose trust is a trust which is set up for the benefit of a purpose as opposed to the benefit of a person. When we hear of a trust in everyday terms, we normally hear of it in the context of a trust being set up for a person not a purpose — for example, we normally hear that John has set up a trust fund for his son. In contrast with this, a purpose trust is setup for a purpose, not a person — for example, a trust setup for the promotion of the principles of the free press would be a trust setup for a purpose.

    A private purpose trust is just a purpose trust as I have explained above, setup by a private person. They are generally unenforceable.

    A Charitable Trust is a particular type of purpose trust — a charity exists for a purpose. They are regulated by the Charities Acts.
    Thank you very much
 
 
 
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