Thursday, 15 November 2012

Law report - enabling trusts / trustees

Re ABC Trust [2012] SC (Bda) 65 Civ (13 November 2012)

All parties sought to amend the Trusts to allow modern charging provisions for professional trustees; to change the perpetuity period; and to change a provision of the charitable trust.

Kawaley CJ noted that changes could be made to a trust document if it was expedient to the Trust, consistent with the equitable principles governing trusts [6].

There is nothing controversial about allowing modern professional trustees to charge their usual rates [8].

In this case, there were benefits to extending the perpetuity period - to give future generations the benefit of the trusts and to avoid ruining young beneficiaries  who would otherwise receive substantial sums of money at a young (irresponsible??) age [10].

It made good practical sense that the charitable trustees should not have to consider the law of Prince Edward Island in determining whether a purpose was charitable, and the change was approved [12].

No comments:

Post a Comment