A living trust—also known as an inter vivos trust—is a trust that is created and takes effect during the lifetime of the person who creates the trust and places assets in it (the grantor or settlor). The beneficiaries named in the living trust will receive the assets or the income from the assets, as provided by the trust agreement.

The living trust will name a trustee (and possibly successor trustees) to manage and administer the trust.

A living trust is in contrast with a testamentary trust that is created by a will and takes effect when the grantor or settlor (the testator who made the will) dies.

In Massachusetts, a living trust, or inter vivos trust, is a legal arrangement created during a person's lifetime, allowing them to control their assets and provide for beneficiaries without going through probate upon death. The person who creates the trust (the grantor or settlor) transfers assets into the trust and typically serves as the initial trustee, managing the assets according to the terms set forth in the trust document. The trust document outlines how the assets are to be managed and distributed to the beneficiaries. Living trusts can be revocable, allowing the grantor to alter or revoke the trust during their lifetime, or irrevocable, which cannot be changed once established. The trust becomes operational immediately upon creation, unlike a testamentary trust, which only takes effect after the grantor's death. Living trusts offer privacy, as they are not subject to public probate proceedings, and can provide a mechanism for managing assets in the event of the grantor's incapacity. It is advisable to consult with an attorney to ensure that a living trust is properly set up and meets the specific needs and intentions of the grantor.