The current Specialized Spendthrift Trust started in the early 1950s. A Harvard law student by the name of Robert N. Benson, who was a protégé, studied and taught classes under Professor Austin Wakeman Scott. Mr. Scott was the author of the definitive law on Trusts book, titled “Scott on Trust Law”, this is required study, generally, in the curriculum of leading law schools and is the recognized authority of Trust Law in the United States. Mr. Benson became a partner in a prominent Wall Street law firm after graduation and worked with high net worth individuals to plan and protect their estates through Spendthrift Trusts.
During the late 1950s, Mr. Benson expanded his business to Texas where he practiced Bankruptcy, Trust, and Copyright Law. Mr. Benson partnered with Tarrant County, Texas Judge George Boring and Paralegal Richard Ronald to form a new law firm. It became obvious to him that a new type of Trust that would provide a large portion of society with an estate planning tool and would provide bullet proof asset protection had to be created and copyrighted. The plan was to offer the Trust to everyone, not just wealthy clients. This was the catalyst that produced the Specialized Copyright Spendthrift Trust format.
The Trust was designed with consideration to and meets the recognized works of Professor Austin Scott’s “Scott on Trust Law” and the Restatement of Trusts. The Specialized Trust are in complete compliance with all Internal Revenue Service Statutes and Codes on Estates, Trusts and Beneficiaries, as well as, and the codes and relevant statutes of the legal system. Relevant code sections are Title 26, Subtitle A, Chapter 1, subchapter 1, Part 1, Sections 59, 67, 543, 553, 927 Subpart A Section 641; Section 643, Subparts A, B, C and D, and including Section 651, Sections 672, 673, 674, 675,676, 677 and 678.
In 1999 terms and conditions for Specialized Spendthrift Trust were created that were unique in that for the first time a control position called a Compliance Overseer was placed within the Trust format that would allow a Settlor of a trust to govern the actions of a Trustee and the conduct of the Beneficiaries. In that same year, the first Specialized Spendthrift Trust Format copyright was filed with the U.S. Copyright Office and a copyright was issued for this Trust which was an original work. The Copyright Office noted that it was the first and only Trust that had ever been copyrighted. Economic Strategist Copyrighted Scott Compliant Trust is the holder of the copyrights. Copyrights are good for 75 years and are renewable.
As the 21st century dawned, it became obvious that certain additions and changes had to be implemented, which would modernize the Specialized Trust and bring it into compliance with the current Internal Revenue Code and tax laws. This was accomplished by Attorneys and CPA’s, who worked together to make the necessary additions and changes to make the Specialized Trust comply with the Internal Revenue Code.
Once people heard about the many advantages of the Specialized Trust, they began to seek it out and there have been over 31,000 sold to date. Other lawyers have purchased the Trust and resold them to their clients as the reputation of this estate planning tool became widely known, highly respected and greatly appreciated. The rest is history!
Economic Strategist Copyrighted Scott Compliant Trust has collected a significant amount in fines for copyright violations. Over the years many tried to steal the copyrights from the Specialized Trust but were shut down and sued. A huge penalty was paid, and these lawyers were forbidden to use or sell the copyright without paying a license fee to Masters Copyright, LLC. Copyright violations are criminal and the law states, “the plaintiff shall get all proceeds that were made from copyright infringements. The plaintiff can sue for damages, plus criminal penalties of $250,000 for individuals, $500,000 for corporations and imprisonment for up to 5 years for the first offense and 10 years for every subsequent violation. No one is willing to take that type of risk. The only way a Trust can be challenged, is if it the Trust is drafted in violation of Scott Trust on Law, the Restatement of Trust or Fraudulent Conveyance or a Fraudulent Draft. Since the inception of the Specialized Trust, not one has ever been audited, challenged or overturned.
The Economic Strategist Copyrighted Scott Compliant Trust who owns the copyrights, uses the entire amount it receives to pass on to its Beneficiaries, who are: The Indigent, Widows and Orphans, and Education. They have done this since the creation of the copyright in 1999. The Attorney, Judge and Paralegal who wrote the Trust Copyright dedicated all the proceeds to these Beneficiaries. No Trustee has ever been paid a salary or reimbursed for any expenses nor can they ever be.
This Specialized Copyright is designed for those clients who have the most to protect, either now or in the future, and the susceptibility to their potential liability.
Who Can Benefit From A Spendthrift Trust?
EVERYONE! PROFESSIONALS – DOCTORS, DENTISTS, CHIROPRACTORS, ENGINEERS, ETC.
- Eliminate the need for liability insurance
- Render yourself virtually judgment-proof
- Potentially controls your taxes
- Maintain privacy
Potentially reduce income taxes
Protect your investments from a financial reversal
Maintain privacy while enjoying the benefits of controlling Real Estate in the United States
Main Advantages Of The Spendthrift Trust
- Every aspect of it is lawful. It is guaranteed by the U.S. Constitution, Supreme Court, and other court decisions.
- It is easy to establish, can be maintained by you and involves minimal paperwork. It greatly reduces or eliminates fees.
- It is lawful in every state. A Spendthrift Trust properly established in one state can operate in any other state.
- It is made irrevocable to avoid any questions as to ownership of the assets.
- It prevents any information about your assets, liabilities, and heirs from becoming public.
- It can operate any lawful business anywhere in the world. It has limited liability and most of the advantages of a corporation with none of the disadvantages.
- It has no periodic reports or accounting to make to any state or government.
- It has the same constitutional rights as any individual, that is, the right to privacy, freedom from unwarranted search and seizure, to refrain from self-incrimination and all other rights.
- When the Spendthrift Trust is used in a legal manner and under the provisions of the Spendthrift, it is totally impenetrable by creditors, agencies, governments and is immune from transfer by operation of law
- Your personal bankruptcy has no effect on the Spendthrift Trust assets.
A Spendthrift Trust is not considered a taxable “Association” pursuant to tax law. Black’s Law Dictionary defines Association as follows: “What is designated as a trust or a partnership may be classified as an association [only] if it clearly possesses [all] corporate attributes. Corporate attributes include  centralized management,  continuity of existence,  free transferability of interest,  limited liability.
A Spendthrift Trust Organization is not an “association” or an “unincorporated association,” because it does not possess the same attributes of a corporation, such as continuity of existence and free transferability of [beneficial] interest. Further, unlike a corporation, a Spendthrift Trust Organization is not an “artificial entity” nor does it owe its existence to the charter power of the State.
A Spendthrift Trust Organization is also not an alter ego or a nominee for any trustee or beneficiary because no one individual holds both legal and equitable title and beneficial interest.
Another major advantage to operating a Spendthrift Trust Organization as a business is that, because it is not a creature of the legislature, it is not subject to the myriad of strangling legislative controls, rules, and regulations that are applicable to corporations and other legislative entities. The Supreme Court case Eliot v. Freeman 220 US 178 ruled that a Spendthrift Trust Organization is not subject to legislative control. The Supreme Court holds that the trust relationship comes under the realm of equity based on common law and is not subject to legislative restrictions as are corporations and other organizations created by legislative authority.
Once exclusively the asset protection and management vehicle of choice for captains of industry and the most prominent wealthy families in the United States, the Copyright Spendthrift Trust is designed for those whose lifework has earned them significant assets and for those who plan to accumulate estates of means.