What is the typical aim of a spendthrift provision?

• A. To require immediate distributions to creditors.
• B. To restrict a beneficiary's transfer and shield from creditors.
• C. To guarantee fixed income.
• D. To allow the trustee to ignore fiduciary duties.

Answer: (B)

A spendthrift provision is meant to protect the beneficiary and preserve the trust by limiting the beneficiary’s control over the trust and shielding the assets from creditors. It typically prevents the beneficiary from transferring or assigning their interest and blocks creditors from reaching the trust principal until the trustee makes distributions, which are usually guided by discretion to provide for the beneficiary’s needs. This setup keeps funds from being drained immediately by creditors or squandered, while still allowing the trustee to distribute for support as circumstances warrant. Choices that describe pushing funds to creditors, guaranteeing a fixed income, or allowing the trustee to ignore fiduciary duties don’t fit this protective, discretionary purpose.