Mid-Atlantic

The Pure Trust is a contract at common-law in equity created in trust form. Unlike the Trust, the PTO receives the assets by exchange, meaning there is a full and adequate exchange for the assets. In other words each party gives something and receives something in return, and the agreement has a stipulated duty to perform that all parties must adhere to. This is the contract form. In addition, unlike the trust, the contract has an expiration date, not to violate the law of perpetuities, which is a prerequisite for contracts. This is also contract form. The Exchanger exchanges the assets to the Trust for Trust Certificate Units (TCU's). The Creator appoints at least two Trustees to manage the trust. The Trustees can appoint a General Manager to oversee the day-to-day business activities of the Trust. The Exchanger has no control over the Trustees, the business of the Trust or the income stream. The Trustees are in total control and the Exchanger has no reversionary interest in the Trust. There are no beneficiaries. The Exchanger is a certificate holder holding the TCU's in the Trust, similar to stock in a corporation, but has no management ability and no say in the operation of the Trust. Therefore the Certificate Holder and the Trustees are not associates. This entity has the substance of contract and the form of Trust.