A declaration of trust is the instrument that creates a trust. It is also commonly called a “trust document.”
Is a declaration of trust a trust?
Yes, practically speaking, the declaration of trust is commonly just called “the trust.” But technically, a trust is an intangible legal fiction. A “declaration of trust” is the document containing the trust’s written terms, sometimes called a “trust agreement”.”
When someone looks at a trust document (think about a giant stack of papers with the words “Revocable Trust of John Smith” in big letters on the first page”), they likely would simply call that document “the trust.” But technically, that document is the declaration of trust. Thus, commonly the declaration of trust is referred to as being the trust.
However, a declaration of trust is not technically the trust itself but rather just the instrument that creates the trust. The papers that are signed are a declaration of trust. But the actual trust itself is not a tangible thing; it is an intangible legal fiction. So if you want to split hairs, the declaration of trust and the trust itself are not the same thing. But in practicality most people just refer to a declaration of trust as “the trust.”
Trust Certificate vs Declaration of Trust
A declaration of trust is often confused with a trust certificate. Although the two sound similar, they are not the same.
A declaration of trust is the instrument that creates the trust. However, a trust certificate is a short summary of the trust which can be given by the trustee to third parties. In other words, the certificate of trust is a summary of the declaration of trust.