In trust law, what does "survivorship" mean?

In the context of trust law, "survivorship" refers specifically to the principle that the surviving beneficiaries of a trust inherit the share that belonged to a deceased beneficiary. This concept is vital in the distribution of assets within a trust, particularly when beneficiaries pass away before the trust is fully executed.

When a beneficiary dies, their portion of the trust assets does not simply dissolve; rather, the remaining beneficiaries are entitled to inherit the deceased beneficiary's share. This ensures that the original intent of the trust creator is respected, allowing for a smooth transition of the trust's assets to those who remain.

The other options highlight important aspects of trusts but do not encapsulate the specific meaning of "survivorship." Transferring assets upon death generally refers to the overall process surrounding estate management, while the idea of a trust surviving legal challenges focuses on the legal robustness of the trust itself rather than asset distribution. The preservation of the trust in its original form pertains to maintaining the trust's terms and structure without alteration, which is a separate principle from the concept of survivorship.