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 Michigan, a living trust, or inter vivos trust, is a legal arrangement where a grantor places assets into a trust to be managed by a trustee for the benefit of designated beneficiaries during the grantor's lifetime. The trust is governed by the terms set out in the trust agreement. The primary advantage of a living trust in Michigan is that it allows for the management and distribution of the grantor's assets without the need for probate, which can save time and money and maintain privacy. Michigan law, including the Michigan Trust Code, provides the framework for the creation and administration of living trusts. The trust code outlines the duties of trustees, the rights of beneficiaries, and the rules for modifying or terminating a trust. It's important to note that while living trusts can offer many benefits, they do not shield assets from creditors or avoid estate taxes. To ensure a living trust meets all legal requirements and accurately reflects the grantor's wishes, it is advisable to consult with an attorney experienced in estate planning.