Oral Trust Law and Legal Definition
Oral trust refers to a trust created by the settlor's spoken statements. It is a trust agreement formed between a grantor and trustee without the use of a written instrument. Generally trusts of real property must be in writing, but trusts of personal property can be created orally.
Oral trusts can also be a trust created by operation of law, such as a resulting trust or a constructive trust.
Oral trusts are also called Parol trusts.
