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Blind Trust Agreement Template for United States

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Key Requirements PROMPT example:

Blind Trust Agreement

"Need a Blind Trust Agreement for a newly appointed state governor to place their substantial technology company shares and real estate holdings into trust, with specific provisions for quarterly reporting to ethics committees and restrictions on investments in state contractors."

Document background
A Blind Trust Agreement is essential when individuals assume positions where their personal financial interests could conflict with their public or professional duties. This document, commonly used in the United States, creates a legal structure where the grantor's assets are managed by an independent trustee without the grantor's knowledge or involvement. The agreement details the transfer of assets, trustee responsibilities, communication restrictions, and termination conditions. It's particularly relevant for government officials, corporate executives, and others who need to demonstrate independence from their financial interests to comply with ethics requirements and avoid conflicts of interest.
Suggested Sections

1. Parties: Identifies the grantor, trustee, and any other relevant parties

2. Background: Explains the purpose of the blind trust and reasons for its establishment

3. Definitions: Defines key terms used throughout the agreement

4. Trust Property: Details the assets being placed in trust

5. Trustee Powers and Duties: Outlines the trustee's authority and responsibilities

6. Communication Restrictions: Specifies prohibited communications between grantor and trustee

7. Duration and Termination: Establishes trust term and conditions for termination

Optional Sections

1. Successor Trustee Provisions: Procedures for appointing replacement trustees - use when continuity planning is required

2. Investment Guidelines: Specific investment restrictions or preferences - use when grantor wants to set initial investment parameters

3. Tax Provisions: Specific tax treatment requirements - use when special tax considerations apply

Suggested Schedules

1. Schedule A - Initial Trust Assets: Detailed inventory of assets placed in trust

2. Schedule B - Trustee Compensation: Details of trustee fees and payment terms

3. Appendix A - Approved Forms of Communication: Templates for permitted communications between parties

4. Appendix B - Certification Forms: Required compliance certifications

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

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Industries

Ethics in Government Act 1978: Primary federal legislation governing blind trusts for government officials, establishing basic requirements and standards for qualified blind trusts

STOCK Act 2012: Stop Trading on Congressional Knowledge Act - Prohibits members of Congress and government employees from using non-public information for private profit, including specific provisions for blind trusts

Internal Revenue Code: Federal tax regulations governing trust taxation, reporting requirements, and income distribution rules for blind trusts

Securities Exchange Act 1934: Federal law governing securities trading and disclosure requirements that may affect blind trust investment activities

OGE Regulations: Office of Government Ethics regulations providing specific guidelines for establishment and maintenance of qualified blind trusts

SEC Regulations: Securities and Exchange Commission rules governing securities trading and reporting requirements applicable to blind trusts

IRS Trust Regulations: Specific Internal Revenue Service rules regarding trust taxation, reporting requirements, and compliance obligations

Uniform Trust Code: Model law adopted by many states providing standardized rules for trust administration and fiduciary duties

State Trust Laws: State-specific legislation governing trust formation, administration, and fiduciary responsibilities within the particular jurisdiction

State Securities Regulations: State-level rules governing securities trading and investment activities that may affect blind trust operations within the state

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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