What concept involves the transfer of rights while creating a trust?

The concept related to the transfer of rights while creating a trust is future interests. A trust involves the separation of legal title and equitable title, where the trustee holds the legal title on behalf of the beneficiaries, who hold the equitable interest. When establishing a trust, the grantor transfers specific rights and interests in property to the trustee, which are often categorized as future interests. This means that the beneficiaries have a right to receive benefits from the trust in the future, rather than having immediate possession or ownership of the property.

Future interests can include various types of rights, such as remainder and executory interests, and are critical in the context of trusts since they determine how the property will be managed and how benefits will be distributed over time. Understanding this concept is essential for anyone involved in trusts, estate planning, or land transactions.