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vickiammundsen

vickiammundsen has written 374 posts for Matters of Trust

Rectification of mistake

The Matter of the Representation of Virtue Trustees (Switzerland) AG and Anor re The C Trust (the Trust) heard in the Royal Court of Jersey relates to a trust where a beneficiary named in the deed was also appointed a protector (by a hand amendment when the deed was executed) where the terms of the deed … Continue reading

Hastings-Bass revisited

The “Rule” in Hastings-Bass (more properly the rule in Mettoy) invites a court to “wave the judicial magic wand” and void decisions made by trustees, together with the attendant consequences,  when trustees have made decisions with consequences from which they now with to resile.    The logic of “the “Rule” was to protect beneficiaries.  However, where … Continue reading

Trust SIG – 26 June Meeting

At the Trusts Special Interest Group’s next meeting on 26 June 2018: Geoff Clews will discuss the emerging ability to give and solutions to the problem of how to give. Increasing wealth has highlighted a trend toward many looking to leave a personal legacy through a philanthropic endeavour as well as providing for the family.  Questions … Continue reading

Trading Trusts

Transactions between GST-registered trusts and beneficiaries need careful scrutiny to ensure that GST obligations are not overlooked or obfuscated by the relationship between the trustee and the beneficiary. Although GST registration is in the name of the trust, the obligations fall to the trustees. For tax purposes a GST-registered trust and its beneficiaries are associated persons.  This means … Continue reading

US Sham trust decision

The judgment in Full-Circle Staffing, LLC, Watchman Investment Trust, Financial & Tax Services, Inc., Trustee, Tax Matters Partner, Et Al. v Commissioner of Internal Revenue (Full Circle) is a consolidated judgment of the United States Tax Court. The background facts are complicated but can be summarised as follows: Mr and Mrs Pudlo restructured their freight forwarding … Continue reading

Generosity can have its limits

A grandfather, Mr Greenwood, told his grandson that he could buy his house for $300,000 after his death. He expressed this wish to others, including his daughter (mother of the grandson) who was one of the executors of his estate, although it was not in his 2005 will. This occurred in Christchurch before the Earthquakes … Continue reading

Not very hidden

New Zealand may seem a long way away from the rest of the world.  However, as demonstrated in Trident Trust Company (NZ) Ltd v Bozo, not so far away as might be thought.  The case involves a New Zealand trustee of a trust settled by a non-resident settlor for the benefit of himself his wife and … Continue reading

Marriage, divorce, death – but strictly in that order

Section 182 of the Family Proceedings Act 1980 (FPA) can be considered a vexing piece of legislation in that it has application only for spouses and civil union partners. Whether this will continue to be the case may become apparent following the outcome of the ongoing five year review of relationship property and related legislation. … Continue reading

A cleft in the armour of joint ownership?

When two people own a property jointly, what is legally referred to as being joint tenants (as distinct from tenants in common, where each party owns only a set percentage of an asset), and where one of the two joint owner dies, the survivor inherits the interest of the other joint tenant. There is no … Continue reading

Finding the right way

Fox v Fox relates to a claim by an executor of the estate of Mrs Fox who required the assistance of the Court to conclude the administration of the estate by selling land and distributing the proceeds of sale according to a will. The executor’s impediment to doing so was that two of the properties … Continue reading