Charitable Remainder Annuity Trust (CRAT): Consecutive Interests For Two Measuring Lives (Pennsylvania)

This legal template is designed to provide guidance and assistance for creating a Charitable Remainder Annuity Trust (CRAT) with consecutive interests for two measuring lives under USA law, specifically within the state of Pennsylvania.

A Charitable Remainder Annuity Trust (CRAT) is a type of irrevocable trust that allows individuals to contribute assets such as cash, securities, or real estate to a trust for the benefit of both charitable organizations and non-charitable beneficiaries. The CRAT provides the non-charitable beneficiaries, typically individuals, with a fixed annuity payment for a specified term, after which the remaining assets are transferred to the designated charitable organizations.

This template focuses on CRATs with consecutive interests for two measuring lives, meaning that the annuity payment will continue until the death of the second measuring life. The measuring lives are the individuals whose duration of life determines the term of the annuity payments. Upon the death of the second measuring life, the remaining assets in the trust will be distributed to the charitable organizations specified by the creator of the trust.

The template will address the necessary legal requirements and provisions for creating a CRAT that complies with the laws and regulations of Pennsylvania and the United States. It may include sections covering the identification and role of the trustees, the selection of measuring lives, the determination of the annuity payment amount, the designation of charitable organizations, and provisions for potential contingencies.

By utilizing this legal template, individuals can ensure they have a comprehensive and legally sound framework for establishing a Charitable Remainder Annuity Trust (CRAT) with consecutive interests for two measuring lives in accordance with the specific laws and regulations in Pennsylvania under USA law. It serves as a valuable tool for individuals looking to create a structured and efficient charitable giving plan while providing for their non-charitable beneficiaries during their lifetimes.