Trust Document Example

(added March 7, 2002)

Warning! Do not use this example in its present form;

perform the necessary research to
modify the example to meet your
needs and legal requirements. Definitive variables are
colored red;
this example is designed specifically for the common law of the
united States of
America, however, it contents may be altered to
become applicable under the organic laws of
other nations.

CONTRACT AND DECLARATION OF TRUST

FOR VALUABLE CONSIDERATION, receipt of which is acknowledged.

[creator], hereinafter
referred
to as the "CREATOR," and [first
trustee], hereinafter referred to as the "FIRST TRUSTEE,"
enter into this CONTRACT AND DECLARATION OF TRUST on the day, month
and year
hereinafter set forth.

ARTICLE I. THE CONTRACT.

1.01. This document establishes a common law contractual

relationship whereby the Trustee(s)
agree(s) to accept title to
certain property exchanged in Trust for Certificates of Beneficial
Interest.

1.02. The Trustee(s), recognizing a fiduciary obligation, agree to

manage the Trust property for the
Beneficial Certificate Holders.
Should more than one Trustee be appointed to manage the affairs of
the Trust, the Trust's property shall be held in joint tenancy.

1.03. The Trust through its Trustee(s) shall allocate 100 units of
beneficial interest in the form of
Certificates of Beneficial
Interest.

1.04. The Creator by this instrument offers certain property to

the Trustee(s).

All private property is set forth in Exhibit "A"

attached to this agreement and
incorporated herein by reference.

All real property is set forth in Exhibit "B" attached to this

agreement and incorporated
herein by reference.

1.05. The First Trustee, by executing this instrument, accepts the

terms and conditions of this Trust
Indenture.

1.06. The First Trustee accepts on behalf of the Trust the

property conveyed by the Creator in
exchange for Units of Beneficial
Interest. The transfer made the subject of this paragraph shall not
be characterized as either a gift or a sale.

ARTICLE II. TRUST NAME.

2.01. The name of the Trust shall be:

[trust name]

ARTICLE III. TRUST DOMICILE.

3.01. The Trust shall be domiciled as follows:

[trust domicile address]

3.02. The Trust shall be interpreted and construed under the common law of the united States of
America.

3.03. The domicile of the Trust may be changed to any other sites
deemed wise, prudent and
necessary by the Trustee(s).

ARTICLE IV. TRUST CLASSIFICATION.

4.01. The Trust shall not operate as a partnership, association,

joint venture, corporation or statutory
Trust. It shall be construed,
and in fact and in common law is, an irrevocable complex Trust.

4.02. The Creator retains no control over the administration of

the Trust and/or the ability to revoke,
modify, terminate or change
in any manner the Trust document. The Creator has no sub rosa or
other arrangement with the Trustee(s) of the Trust that would cause
the Trustee(s) to act at the
direction of the Creator. The Trustee(s)
shall only act as an independent fiduciary in the best interest
of
the Beneficial Unit Holders.

4.03 This Trust shall be construed by way of legal principles

which guarantee the right of Common
Law Contract.

ARTICLE V. TRUST DURATION.

5.01. The Trust shall come into legal existence upon its execution
by the creator and First Trustee
and shall endure for [trust life] years. The Trustee(s) shall
have the power, by unanimous decision,
to terminate the Trust at an
earlier date or to renew the Trust for an additional [trust life] years.
Unless the Trust's
term is appropriately renewed, its corpus shall be distributed to the
holders of the
units of Beneficial Interest.

ARTICLE VI. TRUSTEE CAPACITY AND POWERS.

6.01. The Trustee(s) may engage in any type of activity which the
Trustee(s) deem in the best
interest of the Trust including, but not
limited to, buying, selling, borrowing, loaning, pledging, or
hypothecating assets, and owning stock or entire charters of
corporations, partnerships, associations
or other Trusts.

6.02. No bond shall be required of the First Trustee. Any future

Trustee shall not be required to be
bonded unless the First Trustee
or all of the members of a Board of Trustee require a bond.

6.03. The Trustee(s) shall possess all powers necessary to operate

and manage the Trust for the
benefit of the Beneficial Unit Holders.

6.04. The number of Trustees may be increased if such an increase

acts as a benefit to the Trust. The
decision of a Board of Trustees
must always be unanimous.

6.05. The Trustee(s) shall, at the Trust's first regular meeting,

designate one or more contingent
Trustees who shall replace the then
existing Trustee(s) in the event all of the Trustee(s) shall die or
simultaneously become incapacitated.

6.06. Should all of the "sitting" Trustee(s) and contingent

Trustees simultaneously die or become
incapacitated, a Beneficial
Unit Holder may apply to a Court of competent jurisdiction requesting
a
replacement or replacements.

6.07. The Trustee(s)' liability hereunder shall be that of one who

holds a fiduciary relationship with
another.
6.08. The Trustee(s) shall have the authority to appoint one or
more agents of the Trust to act as
signators for the Trust on all
checking and savings accounts.

6.09. The Trustee(s) shall have the authority to appoint one or

more agents to manage Trust assets
and to advise the Trustee(s) and
to accomplish any other functions endemic to the Trust purpose and
operation.

6.10. The Trustee(s) shall have the authority to reasonable

compensate Trustees and others who
perform services beneficial to the
Trust.

6.11. The Trustee(s) shall maintain books, accounts and records

and minutes of all regular meetings
relative to Trust administration
and business.

ARTICLE VII. RESTRICTIONS.

7.01. All remunerations of money or fair value, in any form, taken

into the Trust, shall not be
available to the Creator in his capacity
as Creator.

7.02. The Trust shall not be held directly liable for any
obligations of whatsoever nature of the
Creator, Trustee(s) or the
Beneficial Unit Holders.

7.03. The Beneficial Unit Holders may not, in any manner

whatsoever, control the activities of the
Trustee(s) including
decisions relating to the disbursement of the remunerations of money
or fair
value, in any form, or corpus of the Trust.

7.04. The death, insolvency, bankruptcy or incapacity of any

Trustees or Beneficial Unit Holder
shall not affect the operation or
continuity of the Trust.

ARTICLE VIII. MEETINGS.

8.01. The Trustee(s) shall provide for meetings at stated

intervals without notice. Special meetings
may be called by one or
more of the Trustees upon three (3) days notice, which notice may not
be
waived. Participation at such meetings may not require the
physical presence of the participants, but
may be conducted by
telephone or other acceptable medium.

ARTICLE IX. BENEFICIAL UNIT HOLDERS.

9.01. The interest of any Beneficial Unit Holder shall be freely

transferable or assignable.

9.02. Death, insolvency or bankruptcy of any certificate holder,

or the transfer of his/her certificate
by sale, gift, device or
descent, shall not operate as a dissolution of this instrument or in
any manner
affect the instrument or its operation. Ownership of
certificates shall not entitle the holder to any
legal title in or to
the property, nor shall the death of a certificate holder entitle
his/her heirs or legal
representative to demand any portion or
division of the property of the Trust, but said successor may
succeed
to the same equitable or distributable interest.

9.03. To the extent permitted by law, the interests of Beneficial

Unit Holders shall not be subject to
attachment or the claims of
creditors.

9.04. The Certificates of Beneficial Interest of this Trust are

divided into 100 units or parts thereof.
The units are
non-assessable, non-taxable and non-negotiable.

9.05. Any Beneficial Unit Holder may surrender to the Trustee(s)

all right, title and interest to any
Beneficial Units held by said
unit holder. The Trustee(s) may issue or not said units taking into
account any suggestions made by the previous holder of said units.
9.06. Any Beneficial Unit Holder may name any person or persons to
receive his/her units upon
death. Such desire shall be conveyed to
the Trustee(s) for the Trustee(s) approval.

9.07. The Trustee(s) may, but are not required to, distribute any
and all remunerations of money or
fair value, in any form, to
Beneficial Unit Holders if there are any distributable remunerations
of
money or fair value, in any form, and not to distribute would
cause the Trust to suffer a tax impact.

9.08. The Trustee(s) will make a determination as to the existence

or non-existence of distributable
remunerations of money or fair
value, in any form, periodically but at no greater interval than
semi-
annually.

9.09. Any Beneficial Unit Holder may waive right to any

distribution if a written declaration of such
waiver is delivered to
the Trustee(s) prior to the date of distribution and such waiver is
accepted by
the Trustee(s). If the waiver is accepted, that portion
of the distribution shall be allocated to the
remaining Beneficial
Unit Holders on a pro rata basis.

Said waiver would not be effective for future distributions, and

the process set forth in this
paragraph would have to be reemployed
for each subsequent distribution if the Beneficial Unit
Holders did
not want to receive same.

ARTICLE X. MISCELLANEOUS.

10.01. This Indenture is irrevocable and may only be amended to

better carry out its purpose or in
order to comply with any
applicable laws or regulation.

10.02. In the event it becomes necessary to remove a Trustee,

Beneficial Unit Holders may apply to
a court of competent
jurisdiction as an appropriate forum.

10.03. If any word, phrase or heading is deemed to be

unenforceable, then the remainder of the
agreement shall remain in
full force and effect.

10.04. Should the Trustee(s) disagree concerning a given course of

action or the construction of any
portion of this agreement, then any
Trustee may initiate an arbitration under the common law.

10.05. The purpose of this Trust is:

[trust purpose]

10.06. The goal of this Trust is:

[trust goal]

CERTIFICATION OF TRUST INDENTURE

[trust name]

IN WITNESS WHEREOF, THE CREATOR AND FIRST TRUSTEE have hereunto

set into their
hands and seal in recognition of the fact that the
verbiage contained in this Trust Instrument was
drawn in recognition
of the conveyance and acceptance of the property and the obligations
and the
duties herein assigned.

CREATOR: [creator signature]

FIRST TRUSTEE: [first trustee

signature]

ACKNOWLEDGEMENT
 NOTARY PUBLIC

State of [state], County of

[county]

On this date [date], before

me, the undersigned Notary Public in and for said State, personally
appeared the above named Creator and First Trustee, who are known to
me or proved to me on the
basis of satisfactory evidence, to be the
persons who executed this Trust Indenture and who have
read its terms
and conditions and who have agreed to be bound by them.

Notary in & for said State & County: [notary state & county]

My Commission Expires: [notary

expiration]

Seal: [notary seal]

Back