//
archives

General

This category contains 91 posts

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

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

Trusts Bill update

The date by which the Trusts Bill is to be reported to the House by the Justice Committee has been extended to 5 September 2018. References: Business of Select Committees — Reporting Dates

Once there were ten, now there are six – but the trust argument is avoided

Land owned by ten different owners as tenants in common was sold to a buyer who was required to apply for resource consents to subdivide the property and to obtain new titles. There was a dispute and following a settlement conference Harrison J ordered that on titles being issued the owners were to transfer one … Continue reading

Another Charitable Trust needs attention

By her will, Emma Ann O’Connor, who died in December 1937, left the residue of her estate on trust for certain specific purposes: “(a) For the repair and painting of the Waimea Catholic Church at regular intervals as may seem necessary and expedient to my said trustees; (b) In the upkeep and maintenance of the … Continue reading

Who determines capacity?

Capacity is fundamental to the legality of a person’s decisions. This is relevant  in the context of wills, asset and estate planning, and trusts.  For practical guidance on the assessment of capacity  by professionals see Clients with incapacity – Issues for Professionals. References: Capacity Tools  

Important Trust Cases Update Webinar

Professional trustees are carrying the can! There have been a number of recent cases where professional trustees have been financially caught out where the trustee is held liable, although not in breach of trust, or fails to be entitled to recover costs or be indemnified from the trust fund. The trustees are all too often … Continue reading

Trustees lead astray by Memorandum of Wishes

Mackie Law independent Trustee Limited v Chaplow provides a useful consideration as to how closely trustees should follow a memorandum of wishes. The trust in question was settled by Mr Munro who wrote the memorandum of wishes referred to shortly before his death. The primary beneficiary of the trust following Mr Munro’s death, was his … Continue reading