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Originally Posted by Kevsh
And therein lies the flaw that means it won't get complete usage in G's algo: All I have to do to hurt a competitor is set up links to him on garbage link farms, spam boards, etc. Never happen - at least not in terms of ranking sites in the SERPs.
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I read it as Trust Rank will only care about trusted sites, even if it?s passed through to a lesser site. If my site was flagged as trusted, and your non-trusted sites are bombing me, I don?t think the trust rank will care. With your site back linking me from hell and back, you help in my page rank, or get your own site flagged as a spam or non-trusted site.
I could be wrong though; I?m not an SE expert.