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The noun DISCRETIONARY TRUST has 1 sense: 1. a trust that gives the trustee discretion to pay the beneficiary as much of the trust income as the trustee believes appropriate. Familiarity information: DISCRETIONARY TRUST used as a noun is very rare.
In a nutshell, the constructive trust can be thought of as a trust that is created by the court to benefit a party that has been wrongfully deprived of its rights. The following instances may cause a court to order that assets and/or property are placed in a constructive trust :* A mistake, duress, or undue influence. constructive trust is often used to prevent undue enrichment, and undue enrichment is present in almost all cases where a constructive trust has been imposed. Nonetheless, it is not a requirement that a court of law finds that the person whose property or assets is subjected to a constructive trust has acted wrongly.