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Deed of Trust

This category contains 16 posts

Ouch

In Davis v White (see You aren’t my beneficiary – are you??) a trust was found to have failed by reason of uncertainty. The second hearing of the matter related to costs and is a sobering tale for trustees. Mrs White who incurred significant costs (AUD 40,893 and $85,369.50 in New Zealand, plus disbursements) said that the proceedings could … Continue reading

Whose house is it?

The transfer of a family home to a trust is a relatively routine occurrence.  The general order of events is: settle trust execute agreement for sale and purchase carry out any  gifting get bank consent register transfer What happens if the last step does not occur? Has the sale in fact been effected?  Particularly in … Continue reading

Taxation of Trusts ed 3

  The taxation of trusts is a dynamic and ever-changing landscape. The third edition of Taxation of Trusts published this week (September 2016) has been up-dated to incorporate recent case law developments and legislative amendments.  The text also considers the application of FATCA to trusts and proposed new reforms to the disclosure rules and closely … Continue reading

Family at war – but which war?

On 17 July 2016 the Sunday Star Times reported about a family at war over a mansion with an opening quote that read “Lawyers say the judiciary are increasingly overturning wills in family disputes.” The dispute ended up in the High Court, firstly regarding an application for the removal of the trustees and secondly a … Continue reading

Positive exercise of discretion requried

In Shakespeare’s Henry IV, Part I when Prince Hal finds the cowardly Falstaff pretending to be dead on the battlefield, the prince assumes he has been killed. After the prince leaves the stage, Falstaff rationalizes “The better part of Valour, is Discretion; in the which better part, I haue saued my life” (spelling and punctuation … Continue reading

Trustees left holding the baby

SWL Trustee Company Limited (SWL) is a trustee that acts together with two other trustees as trustees of a family trust.  As is commonly the case, two of the trustees (the instructing trustees) are also settlors of the trust.  The trust owns a number of properties.  All is fine, until it is not.  The trust owns a number of properties.  … Continue reading

Extricating assets from a jointly settled trust

While recent headlines might lead one to belive that trusts are falling down in the face of relationship failures, closer inspection would suggest that in fact this is not commonly the case.  There appears to be a significant distinction between trusts where both spouses or partners are settlor/trustees and cases where only one spouse or partner … Continue reading

Court approval for resettlement – a wise invesment

Dealing with trust owned assets following the demise of the settlors’ relationship can be tricky.  Many of the traps and pitfalls that can befall trustees who have diffficulties differentiating between the rights as beneficiaries and the obligations they owe as trustees are highlighted in the cases that comprise the back story to  Irvine and Taylor … Continue reading

What’s in a name?

References to executors and trustees are routinely combined and treated as synonymous with each other.  But are they?  Actually they are not.  While the distinction is often unimportant, in certain circumstances it is critical. The executor’s duties include obtaining a grant of probate, getting in all of the assets, paying outstanding (and future) debts including … Continue reading

2015 Trust webinar series

Vicki Ammundsen is presenting a series of trust webinars for CCH Learning this year.  The first webinar in this popular series is Trust Fundamentals.  This webinar, which covers the fundamentals of settling and administering trusts, starts at 10.30am on 18 February 2015. Topics covered will include: Requirements of a valid trust Drafting traps and considerations How much power can/should be reserved to the … Continue reading