A spendthrift trust is a trust in which the person who makes the trust and places property or assets in it (the grantor, settlor, or trustor) includes a provision that prohibits the beneficiary’s interest in the trust from being assigned to another person or entity—whether as a gift or as collateral for a loan or debt—and prevents a creditor from reaching or attaching the beneficiary’s interest in the trust.

A spendthrift is a person who spends money wastefully or foolishly and a spendthrift provision in a trust (a spendthrift trust) is designed to preserve the trust’s assets and protect the beneficiary from the beneficiary’s spendthrift ways.

In Florida, a spendthrift trust is a legal tool that allows a grantor to place assets in a trust with specific provisions that prevent the beneficiary from squandering the trust's assets. Florida statutes recognize the validity of spendthrift provisions in trusts. These provisions restrict the beneficiary's ability to transfer their interest in the trust, whether voluntarily or involuntarily, thus protecting the trust assets from the beneficiary's creditors. Under Florida law, a spendthrift provision is enforceable to the extent that it restrains both voluntary and involuntary transfer of a beneficiary's interest. However, there are exceptions to this protection, such as claims by a beneficiary's child, spouse, or former spouse for support or alimony, or claims by the government for certain types of debts. It's important to note that the specific terms and enforceability of a spendthrift trust can be complex and may require the guidance of an attorney to ensure compliance with Florida law and to address any potential legal challenges.