A court-appointed trust is created pursuant to court order to ensure that the terms of a court judgment are carried out for settlements such as wrongful death or personal injury suits.

Characteristics include:

• Trustee is responsible for managing the property in the court-appointed trust for the benefit of individuals or institutions specified in and according to the written terms and conditions of the trust document.

• A court-appointed trust cannot be changed or revoked by any party in the future without court approval.

• Consistent with the terms of the document, the trustee makes all scheduled and discretionary distributions to the trust's beneficiary, pays the beneficiary's bills and handles all related financial affairs.