-
Subscribe
Subscribed
Already have a WordPress.com account? Log in now.
Retiring trustees are commonly indemnified by the continuing trustees for costs that might arise in the future relating to the trusteeship. An example where resort might be made to such an indmenity is when a retired trustee is later named in proceedings relating to the time of the trustee’s tenure. Where the indemnity is from the continuing trustees the indemnity … Continue reading
A freezing order is not a solution to a problem, but rather acts in the nature of ensuring assets cannot be disposed of so that a future judgment might be of no value. Given the propensity of New Zealanders to have assets held in trusts, it is perhaps refreshing to be able to discuss a … Continue reading
The Court of Appeal has upheld the High Court decision in Glover No 2 Limited v Glover Trust Limitd et ors that a deed of bare trust that was entered into only to avoid a tax liability was a valid document and did not represent a sham. The deed of bare trust was entered into to … Continue reading
It is not uncommon for discretionary trusts to varied with the assistance of the court, which is provided for in the Trustee Act 1956 (s 64, 64A). However, the recent decision in the Matter of the Estates of Earl and Beverley Stick highlights the fact that s 64A can also be used to vary will trusts … Continue reading
It is conceded that liberties have been taken with the heading due to space limitations. The point, that cannot be emphasised too much, is that at the most basic level trusts exist to hold, manage and protect, property, for the benefit of the beneficiairies. Not the trustees. A trustee’s liability between the trustee and the … Continue reading
The decision in the Southland and Scottish Hall Community Trust case raises the important consideration of knowing what it is you are dealing with. In this case a declaration was sought as to whether the trust was a trust under the Trustee Act 1956, or a charitable trust under the Charitable Trusts Act 1957. The trust … Continue reading
A recent application for variation or rectification of the deeds of two mirror trusts highlights the need for careful consideration when drafting deeds of trust. The deeds in question define the Final Beneficiaries to include the husband/wife (as relevant) of each settlor. Some years later the husband and wife separated and their marriage was subsequently dissolved. The … Continue reading
Will trusts or testamentary trusts are the most common form of trusts. In this regard, your will is literally your last word. However, an extraordinary number of New Zealanders do not have a will. If you die intestate (legal speak for no will) your estate is distributed in accordance with the relevant formula in the … Continue reading
The lesser known “common intention constructive trust” is a difficult construct to appreicate. However, this form of trust although formally “institutional” rather than “remedial” can provide a solution where no other legal construct can. Part one of the lesson – the constructive trust Constructive trusts often had their genesis in relationship breakdowns where a legislative … Continue reading
The most recent version of the standard agreement for the sale and purchase of land includes a standard trustee limitation of liability clause (clause 16). However, this clause is only available to trustees who cannot benefit from the trust. So where trustees wish to limit their liability to the assets of a trust, and those … Continue reading
Matters of Trust 