{"id":2459,"date":"2026-05-16T14:58:30","date_gmt":"2026-05-16T14:58:30","guid":{"rendered":"https:\/\/urbanthier.de\/?p=2459"},"modified":"2026-05-31T07:48:55","modified_gmt":"2026-05-31T07:48:55","slug":"us-trusts-and-offshore-trusts-in-international-estate-planning","status":"publish","type":"post","link":"https:\/\/urbanthier.de\/en\/us-trusts-und-offshore-trusts-in-der-internationalen-nachlassplanung\/","title":{"rendered":"US Trusts and Offshore Trusts in International Estate Planning"},"content":{"rendered":"
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International Estate Planning for High Net Worth Individuals<\/h1><\/div><\/div>\n\n
\"Business<\/span>\n

Image source: zhang
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In advising German clients with international assets, especially in relation to the US, the question regularly arises as to whether a so-called US-Trust<\/strong> or also one Offshore Trust<\/strong> can be a suitable instrument for estate planning or asset protection. The answer is nuanced: A trust can be very useful, but not for the reasons many initially suspect.<\/p>\n<\/div><\/div>\n\n

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What is a trust?<\/h3><\/div><\/div>\n\n

A trust is a widespread concept in Anglo-American law\u00a0Legal structure<\/strong>. Simply put, it is not a legal entity (like an LLC or a German foundation), but rather a legal relationship between several parties:<\/p>\n<\/div><\/div>\n\n

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\"Grantor<\/span><\/div>\n\n

Grantor (also Settlor)<\/strong>
The person who contributes assets to the trust<\/p>\n<\/div><\/div>\n<\/div>\n\n

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\"Trustee\"<\/span><\/div>\n\n

Trustee<\/strong>
The person or institution that manages the assets<\/p>\n<\/div><\/div>\n<\/div>\n\n

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\"Beneficiaries\"<\/span><\/div>\n\n

Beneficiaries<\/strong>
The beneficiaries who are intended to economically benefit from the assets<\/p>\n<\/div><\/div>\n<\/div>\n<\/div>\n<\/div>\n\n

The legal basis is the so-called \u201eTrust Agreement,\u201c which details how the assets are to be managed and distributed.<\/p>\n

Important difference from German law: The trust itself is no legal personality<\/strong>, but rather a construction of rights and obligations between the parties involved.<\/p>\n<\/div><\/div>\n\n

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Is a trust comparable to a German foundation?<\/h3><\/div><\/div>\n\n

The trust is often compared to a German foundation. While this comparison aids initial understanding, it is insufficient. There are crucial differences between a trust and a foundation.<\/p>\n

A German foundation is a distinct legal entity. A trust, on the other hand, is merely a legal structure without its own legal personality. Control and flexibility are often significantly greater with a trust. It is precisely this flexibility that makes the trust attractive in practice, but also leads to legal uncertainties in Germany.<\/p>\n<\/div><\/div>\n\n

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Revocable vs. Irrevocable Trusts<\/h3><\/div><\/div>\n\n

Particularly relevant is the distinction between:<\/p>\n