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Variation

This category contains 14 posts

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

The passage of time

Times change, and so do charitable purposes. The recent case of Re Otago Foundation Trust Board highlights that even a charity set up with the best of good intentions might run the risk of becoming moribund owing to societal changes. The original trust was settled under the will of Robert Campbell in 1904. It left … Continue reading

Trustees’ dilemma – how old is old enough to know?

The moral dimension of trusteeship arises in many contexts. The recent New Zealand court decisions concerning information obligations to beneficiaries, and the way this is dealt with in the new Trusts Bill, highlight the difficulty of judging what information is too much or too little to disclose. However, general principles on disclosure bypass the consideration … Continue reading

Jurisdiction failure

Estates can take time to administer and distribute.  Beneficiaries can tire of waiting.  Or they might require funds to sue the executors or other stuff.  The remedies available to beneficiaries depend on part as to whether the estate has transitioned from the administration phase.  See transition from executor to trustee.  This was of relevance 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

Good old fashioned law

Family trusts can generally run for up to 80 years.  That puts quite an onus on the settlor to get it right.  It also means that where beneficiaries are defined by reference to children and grandchildren there can be a significant number of  beneficiaries over time. Jones & Ors as Trustees v Collings & Ors there … Continue reading

When the trust outlasts the love

Trusts are settled with the best of intentions – and given that a discretionary family trust can last for up to 80  years – long term intentions.  However, when the settlors fall out, those intentions can fall victim to the relationship fall out. So what are the trustees to do?  There may be trust property … Continue reading

Staying at the table

In the Matter of Te Kohanga Reo National Trust considers the powers available to the High Court when one trustee is concerned to prevent his removal as a trustee; and to ensure proper participation in trust matters while still a trustee. In considering an application for an injunction to address these matters (the background being … Continue reading

Amending charitable trusts to include powers of variation

There are a large number of charitable trusts in New Zealand.  The reason for this is not well understood: see How Charitable is New Zealand for some insight. One of the issues that arises, perhaps more in New Zealand than elsewhere, due to the number of charitable trusts, is that the trustees are not always … Continue reading

Get the court right

Claims against trusts are on the increase the reasons for which are various and relate, in part to the number of trusts in existence in New Zealand and in part to a growing appreciation and awareness as to what options a disgruntled beneficiary, settlor, trustee or creditor might have. One area that has produced much … Continue reading