Abstract

Minors, due to their incomplete cognitive development and lack of full legal capacity, are unable to independently manage or utilize property. To address this limitation, the law requires that their property must be administered through their legal representatives, typically parents or guardians. In practice, even when minors are designated as beneficiaries of an inheritance or a testamentary gift, the control and management of the estate remain dependent on and dispersed through these legal representatives. This dependency, if not accompanied by effective oversight mechanisms, can lead to significant legal risks, particularly when the representatives fail to manage the property for the intended purpose or in the best interest of the minor.

To overcome these shortcomings, this paper proposes the consideration and application of the trust mechanism, especially testamentary trusts, as an alternative solution. A trust allows a testator to establish an independent, transparent, and clearly structured asset management mechanism administered by a third party for the benefit of the minor beneficiary. When properly applied, this legal device can minimize risks arising from the abuse of representative powers, ensure the faithful execution of the testator’s intent, and provide comprehensive and sustainable protection for the property rights of minors.