Trust Regulations 2007
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Enactment Notice
The Minster of Finance hereby enacts the following Regulations pursuant to Article 9 of Law No. (7) of 2005.
Ali Sharif Al-Emadi
Minister of Finance of the State of QatarIssued at: The Qatar Financial Centre, Doha
On: 24 December 2017
Corresponding to: Rabi Al-Thani 6, 1439
Part 1: Part 1: Introduction
Amended (as from 24th December 2017). Article 1 - Citation
These
Regulations may be cited as the Trust Regulations 2007.Article 2 - Application
(1) TheseRegulations are made by theMinister pursuant to Article 9 of the QFC Law and shall apply in theQFC . To the fullest extent permitted by theQFC Law, the laws, rules and regulations of the State concerning the matters dealt with by or under theseRegulations shall not apply in theQFC .(2) TheseRegulations apply toExpress Trusts andTrusts created pursuant to law or judgment that requires theTrust to be administered in the manner of anExpress Trust .
Amended (as from 24th December 2017). Article 3 - Commencement
These
Regulations shall come into force on the date of their signature by theMinister .Article 4 - Language
In accordance with Article 9 of the QFC Law, these
Regulations are written in the English language and the English text shall be the official original text. Any translation into another language will not be authoritative and in the event of any discrepancy between the English text of theseRegulations and any other version, the English text will prevail.Amended (as from 24th December 2017). Article 5 - Interpretation
Words and expressions used in these
Regulations and interpretative provisions applying to theseRegulations are set out in Part 15.Amended (as from 24th December 2017). Part 2: Part 2: General
Article 6 – Power of QFC Authority and QFC Regulatory Authority to make rules
The
QFC Authority and theRegulatory Authority , each within the scope of the jurisdiction, authority or powers conferred upon them may make rules to the extent set out in theQFC Law, theseRegulations and any otherRegulations conferring powers, duties and functions on theQFC Authority andRegulatory Authority as they deem necessary or appropriate to implement, carry out or enforce theseRegulations .The provisions of these
Regulations shall have no effect to the extent they are excluded by, conflict or are inconsistent with, or otherwise alter the meaning or effect of, any rules made by the Regulatory Authority acting within the scope of its authority under the QFC Financial Services Regulations or any otherRegulations enacted with the approval of the Council ofMinisters .Amended (as from 24th December 2017). Article 7 – Default and mandatory rules
(1) Except as otherwise provided in the Terms of theTrust , theseRegulations govern, among other matters, the duties and powers of aSettlor ,Trustee , relations amongTrustees and the rights and interests of aBeneficiary .(2) TheTerms of the Trust prevail over any provision of theseRegulations , except for:(A) any provision that deals with or is related to the creation of aTrust , including but not limited to requirements for registration of theTrust ;(B) the duty of aTrustee to act in good faith, in accordance with the purposes of theTrust and otherwise consistent with its fiduciary duties;(C) the requirement that aTrust and its terms be for the benefit of its Beneficiaries, and that theTrust have a purpose that is lawful, not contrary to public policy, and possible to achieve;(D) the power of theQFC Court to give directions to aTrustee or any otherPerson and to modify or terminate aTrust in accordance with theseRegulations ;(E) the effect of aProtective Trust as provided in Part 7;(F) the power of theQFC Court under Article 37 to adjust aTrustee's compensation specified in theTerms of the Trust which is unreasonably low or unreasonably high;(G) the effect of an exculpatory term under Article 57;(I) periods of limitation for commencing a judicial proceeding;(J) the power of theQFC Court to take such action and exercise such jurisdiction as may be necessary in the interests of justice;(K) the relevant requirements of a QFCTrust and provisions relating to theQFC Authority andRegulatory Authority in Part 13; and(L) the exclusive jurisdiction of theQFC Court under Article 14.Amended (as from 24th December 2017). Article 8 – Common law and principles of equity
(1) The common law ofTrusts and principles of equity applicable in England and Wales supplement theseRegulations , except to the extent modified by theseRegulations or any otherRegulations .(2) The statute law of England and Wales applicable toTrusts does not, except to the extent it is replicated in theseRegulations , apply in theQFC .Amended (as from 24th December 2017). Part 3: Part 3: Choice of Governing Law; Place of Administration
Article 9 – Governing Law
(1) If theTrust Instrument explicitly specifies the law of a particular jurisdiction as the Trust's governing law, that specification is conclusive unless the specified law is incapable of applying.(2) If theTrust Instrument contains no such explicit specification or if the specified law is incapable of applying, but the instrument necessarily implies that the law of a particular jurisdiction is the Trust's governing law, that so implied law is the governing law of theTrust .(3) If theTrust Instrument contains no such explicit specification or if the specified law is incapable of applying, and there is no such necessary implication from the instrument or the implied law is incapable of applying, the Trust's governing law is the law of the jurisdiction that is most closely connected with theTrust .(4) In deciding what jurisdiction is most closely connected with theTrust , the following may be taken into account:(A) where theTrust is to be administered;(B) where theTrust Property is located;(C) the domicile and usual address of theSettlor and theTrustee ;(D) the domicile and usual address of theBeneficiary ;(E) the objects of theTrust and where those objects are to be fulfilled; and(F) any other relevant matter.(5) A law is incapable of applying to aTrust if the law does not provide for the kind ofTrust .Amended (as from 24th December 2017). Article 10 – Provision for change of Governing Law
(1) Where a term of aTrust so provides, theGoverning Law may be changed to or from the laws of theQFC , in the manner prescribed by theTerms of the Trust , if:(A) in the case of a change to the laws of theQFC by a Trust, such change is recognised by theGoverning Law previously in effect; or(B) in the case of a change from the laws of theQFC to a new Governing Law, the newGoverning Law would recognise the validity of theTrust and either all the powers and provisions of theTrust remain enforceable, capable of being exercised and so taking effect or, prior to the change, the Trustee obtains the approval of theQFC Court to the change.(2) Where theGoverning Law of theTrust changes to the laws of theQFC , thatTrust will for all purposes be a QFC Trust.(3) A change in theGoverning Law will not affect the legality or validity of, or render anyPerson liable for, anything done before the change.(4) If a Trust becomes aQFC Trust , theTrustee may:(A) exercise any power conferred on theTrustee to postpone the date of termination of theTrust without reference to any limitations expressed on that power by reference to a termination or perpetuity period of any other jurisdiction; and(B) if no power is conferred on theTrustee to postpone the date of the termination of theTrust , apply to theQFC Court for an order to confer such power.Amended (as from 24th December 2017). Article 11 – Matters determined by Governing Law
(1) Subject to Article 11(2), all matters arising in regard to aTrust which is for the time being governed by the laws of theQFC or in regard to any disposition ofProperty upon theTrust will be determined in accordance with the laws of theQFC and without reference to any Foreign Law.(2) Subject to Articles 12, 13 and 14, Article 11(1) will:(A) not validate any disposition ofProperty which is neither owned by theSettlor nor is the subject of a power in that behalf vested in theSettlor ;(B) not validate anyTrust or disposition of immovableProperty situated in a jurisdiction in which suchTrust or disposition is invalid according to the laws of such jurisdiction;(C) not validate any testamentaryTrust or disposition which is invalid according to the laws of the testator's last domicile;(D) not affect the recognition ofForeign Laws in determining whether theSettlor is or was the owner of the settledProperty or is or was the holder of a power to dispose of suchProperty ;(E) not affect the recognition of the laws of its place of incorporation in relation to the capacity of a corporation; and(F) not affect the recognition ofForeign Laws prescribing generally, without reference to the existence or Terms of theTrust , the formalities for the disposition ofProperty .Amended (as from 24th December 2017). Article 12 – Limitations in Foreign Law
(1) Unless theSettlor has acted in bad faith, none of the matters in Article 12(2) will:(A) render void, voidable or defective:(i) aTrust governed by the laws of theQFC (ii) a disposition ofProperty to be held inTrust that is valid under the laws of theQFC (B) affect the capacity of aSettlor or disposition;(C) deprive aTrustee orBeneficiary , or any otherPerson , of any right, under aTrust or disposition; or(D) make aTrustee orBeneficiary , or any otherPerson , liable under aTrust or disposition.(2) The reasons under Article 12(1) that may not be relied on are the following:(A) that the laws of a foreign jurisdiction prohibit or do not recognise the concept of aTrust ;(B) that theTrust or disposition voids or defeats any rights, claims or interest conferred by aForeign Law upon aPerson because of a personal relationship with theSettlor or anyBeneficiary or by way ofHeirship Rights ; or(C) that theTrust or disposition contravenes aForeign Law or a foreign judicial or administrative order, arbitration award or action intended to recognise or give effect to a right, claim or interest referred to in Article 12(2)(B).Amended (as from 24th December 2017). Article 13 – Heirship Rights
To the extent permitted by the laws of the
QFC , anHeirship Right conferred byForeign Law , including laws of the State, in relation to theProperty of a livingPerson will not be recognised as affecting the ownership of immovableProperty in the State and movableProperty wherever it is situated for the purposes of Article 11(2)(A)and(B) or for any other purpose.Amended (as from 24th December 2017). Article 14 – Foreign Judgments
The judgment of a court in a jurisdiction outside the
QFC will not be recognised or enforced or give rise to any estoppels insofar as it is inconsistent with Articles 12 and 13.Amended (as from 24th December 2017). Article 15 – Place of administration
(1) TheTerms of the Trust designating the place of administration are valid and conclusive if:(A) aTrustee's principal place of business is located in or aTrustee is a resident of the designated place of administration; or(B) all or part of the administration occurs in the designated place of administration.(2) ATrustee is under a continuing duty to administer theTrust at a place appropriate to its purposes, its administration, and the interests of the Beneficiaries or in furtherance of its purposes and in accordance with theTerms of the Trust .(3) Without precluding the right of theQFC Court to order, approve, or disapprove a transfer in furtherance of the duty prescribed in Article 15(2), theTrustee may transfer theTrust's place of administration to another jurisdiction outside theQFC .(4) In connection with a transfer of theTrust's place of administration, theTrustee may transfer some or all of theTrust Property to a successorTrustee designated in theTerms of the Trust .Amended (as from 24th December 2017). Part 4: Part 4: Judicial and Non Judicial Proceedings
Article 16 – [Deleted]
Deleted (as from 24th December 2017). Article 17 – [Deleted]
Deleted (as from 24th December 2017). Article 18 – [Deleted]
Deleted (as from 24th December 2017). Article 19 – [Deleted]
Deleted (as from 24th December 2017). Part 5: Part 5: Creation, Validity and Modification of a QFC Trust
Article 16 – Creation of a Trust
(1) ATrust is a legally binding relationship created by aSettlor through whichTrust Property is held in the name of theTrustee (or anotherPerson on behalf of theTrustee ) who exercises, in relation to theProperty , duties and powers in accordance with the Governing Law of theTrust and theTerms of the Trust for either or both of the following:(A) the benefit of aBeneficiary whether or not yet ascertained or in existence;(B) any valid purpose that is not for the sole benefit of theTrustee .(2) Without prejudice to the provisions of Article 16(1) ), aTrust will have the following characteristics:(A) theTrust Property constitutes a separate fund and is not a part of theTrustee's own estate;(B) title to theTrust Property is held in the name of theTrustee or is held in the name of anotherPerson on behalf of theTrustee ; and(C) theTrustee has the power and the duty to manage, employ or dispose of theTrust Property in accordance with the Terms of theTrust and the duties imposed upon it by any applicable law.(3) ATrust may be created by:(A) transfer ofProperty to anotherPerson asTrustee during theSettlor's lifetime or by will or other disposition taking effect upon theSettlor's death, provided that such disposition is not contrary to applicable Sharia law;(B) the transfer ofProperty from oneTrust to another;(C) declaration by the owner ofProperty that the owner holds identifiableProperty asTrustee ; or(D) exercise of a power of appointment in favour of aTrustee .(4) ATrust must come into existence by an instrument in writing including a will or codicil.(5) ATrustee may sue and be sued in its capacity asTrustee and may appear before any court or anyPerson acting in an official capacity.Amended (as from 24th December 2017). Article 16A – Registration
(1) NoTrust is established, valid and binding under theseRegulations unless it is registered with theQFC Authority and details of which are included in theRegister .(2) APerson must apply for the registration of aTrust by signing and providing theQFC Authority with thePrescribed Form together with such other documents and pay thePrescribed Fees as may be specified by theQFC Authority .(3) The application must be made by anyPerson who will become aTrustee of theTrust on its registration.(4) ATrust must at all times have at least one (1)Trustee . Details of theTrustee must be included in theRegister and theTrustee must ensure that such details are at all times accurate and up to date.(5) ATrustee of anyPre-Existing Trust must ensure that it registers suchTrust with theQFC Authority and brings theTrust into compliance with theseRegulations within one hundred and eighty (180) days of the commencement date of theseRegulations . A failure to register any suchTrust within the period stipulated herein will invalidate suchTrust and render its terms unenforceable.(6) On registration of aTrust , theQFC Authority must:(A) issue a certificate confirming that theTrust is registered as aTrust with the name specified in the certificate and with effect from the date of the certificate;(B) allocate to theTrust a registration number; and(C) enter in theRegister :(1) the name and registered number of theTrust ;(2) the objects of theTrust ; and(3) the names of theTrustees .(7) A certificate of registration is conclusive evidence of the registration of theTrust with the name specified in it and that the registration process has been complied with.(8) TheQFC Authority must maintain a Register of Trusts.(9) TheQFC Authority must not make available to the public any information in the Register (unless such information is contained in the certificate of registration) except on terms it considers appropriate and pursuant to:(A) a statutory obligation; or(B) a court order.Inserted (as from 24th December 2017). Article 17 – Requirements for creation
(1) ATrust is created if:(A) theSettlor has the capacity to create aTrust ;(B) theSettlor indicates an intention to create theTrust ;(C) theTrust either:(i) has a definiteBeneficiary ; or(ii) is a purposeTrust , as provided for in Article 22;(D) theTrustee holds or has vested in itProperty for the benefit of aBeneficiary or for a purpose;(E) theTrustee has duties to perform; and(F) the samePerson is not the soleTrustee and soleBeneficiary .(2) ABeneficiary is definite if theBeneficiary can be ascertained now or in the future.(3) ATrust may have at the same time a definiteBeneficiary and a purpose.Amended (as from 24th December 2017). Article 18 – Trust purposes
(1) ATrust may only be created to the extent its purposes are sufficiently certain to allow theTrust to be carried out, lawful in theQFC and not contrary to public policy.(2) ATrust and its terms must be for the benefit of its Beneficiaries or in furtherance and support of its purposes.Amended (as from 24th December 2017). Article 19 – Duration of a Trust
(1) ATrust may continue indefinitely or terminate in accordance with theseRegulations or in accordance with theTerms of the Trust .(2) No rule against perpetuities or excessive accumulations shall apply to aTrust or to any advancement, appointment, payment or application of assets from aTrust .(3) Except where the terms of aTrust provide to the contrary, any advancement, appointment, payment or application of assets from thatTrust to another Trust shall be valid even if that otherTrust may continue after the date by which the firstTrust must terminate.Amended (as from 24th December 2017). Article 20 – Validity and invalidity of a Trust
(1) Subject to Article 20(2) and 20(3), aTrust is valid and enforceable in accordance with its terms.(2) ATrust is invalid to the extent that:(A) it purports to do anything which is contrary to the laws of theQFC ;(B)it is created for the predominant purpose of avoiding obligations under any other law or regulations;(C) it is created for a purpose in relation to which there is noBeneficiary unless it complies with Article 22;(D) its creation was induced by fraud, duress, mistake, undue influence or misrepresentation;(E) theTrust is immoral or contrary to public policy; or(F) the Terms of theTrust are so uncertain that its performance is rendered impossible.(3) Where aTrust is created for two or more purposes of which some are lawful and others are unlawful:(A) if those purposes cannot be separated theTrust is invalid; or(B) where those purposes can be separated theQFC Court may declare that theTrust is valid as to the purposes which are lawful; or theProperty as to which aTrust is wholly or partially invalid will revert to thePerson who provided theProperty (or its heirs and successors).Amended (as from 24th December 2017). Article 21 – [INTENTIONALLY OMITTED]
Deleted (as from 24th December 2017). Article 22 – Purpose Trusts
(1) ATrust will not be invalid by reason of Article 20(2)(C) if theTerms of the Trust provide for the appointment of anEnforcer in relation to its purposes and for the appointment of a newEnforcer at any time when there is none.(2) Subject to Article 22(1), aTrust may be declared byTrust Instrument for a non-charitable purpose, including the purpose of holding or investing in shares in anyPerson or any other assets constituting theTrust Property , if:(A) the purpose is possible and sufficiently certain to allow theTrust to be carried out;(B) the purpose is not contrary to public policy or unlawful under the laws of theQFC ; or(C) theTrust Instrument specifies the event upon the happening of which theTrust terminates and provides for the disposition of surplus assets of theTrust upon its termination.(3) It is the duty of anEnforcer to take reasonable steps to ensure that theTrust is enforced in relation to its purposes.(4) The appointment of aPerson asEnforcer of aTrust in relation to its purposes will not have effect if it is also aTrustee of theTrust or has a conflict of interest.(5) Except as permitted by theseRegulations or expressly provided by the Terms of theTrust , or with the approval of theQFC Court anEnforcer must not:(A) directly or indirectly profit from its appointment;(B) cause or permit any otherPerson to profit directly or indirectly from such appointment; or(C) on its own account, enter into any transaction with theTrustees or relating to theTrust Property which may result in profit to it or theTrustee .(6) Subject to Article 22(7), anEnforcer may resign its office by notice in writing delivered to theTrustee . Such resignation will take effect upon delivery of notice.(7) A resignation given in order to facilitate a breach of trust will be of no effect.(8) AnEnforcer will cease to be anEnforcer of theTrust in relation to its purposes immediately upon:(A) theEnforcer's removal from office by theQFC Court ;(B) theEnforcer's resignation becoming effective;(C) the coming into effect of a provision in the Terms of theTrust under which theEnforcer is removed from office or otherwise ceases to hold office; or(D) theEnforcer's appointment as aTrustee of theTrust .(9) Where required, aTrustee must at any time when there is noEnforcer , take such steps as may be necessary to secure the appointment of a newEnforcer .(10) Where theTrustee has reason to believe that theEnforcer in relation to such purposes is unwilling or refuses to act, or is unfit to act or incapable of acting, the Trustee must apply to theQFC Court for the removal of theEnforcer and the appointment of a replacement.(11) TheTrustee must apply to theQFC Court for the appointment of a newEnforcer where such an appointment is not possible under the Trust Instrument or theEnforcer is unwilling or refuses to act within 30 days of becoming aware there is noPerson willing and able to act as theEnforcer .(12) If theTrustee does not make an application in accordance with Article 22(11), theTrustee will contravene a relevant requirement.Amended (as from 24th December 2017). Article 23 – Variation and revocation of a Trust
(1) ATrust may expressly provide that:(A) its terms are capable of variation; or(B) theTrust itself or a power exercisable under theTrust is revocable either in whole or in part.(2) Where aTrust provides that the Terms of theTrust may be varied, such power to vary is without prejudice to the power vested in theQFC Court by theseRegulations for the variation of the Terms of theTrust .(3) No variation of the Terms of theTrust or revocation of aTrust or a power exercisable under aTrust will prejudice anything lawfully done by aTrustee in relation to aTrust prior to it receiving a notice of such variation or revocation.(4) A Trust may only be revoked by an order of theQFC Court . Where aTrust is revoked, either in whole or in part, theTrustee must hold and deal with theTrust Property affected by the revocation in accordance with the direction of theQFC Court . TheTrustee must provide details of the order of theQFC Court to theQFC Authority .(5) For the purposes of this Article, the “Settlor ” is the particularPerson who provided theProperty which is the subject of revocation.(6) TheQFC Court may vary the Terms of theTrust :(A) even if unambiguous, to conform the terms to theSettlor's intention if it is provided by clear and convincing evidence that both theSettlor's intent and the Terms of theTrust were affected by a mistake of fact or law, whether in expression or inducement;(B) if, because of circumstances not anticipated by theSettlor , modification will further the purpose of theTrust ; or(C) if continuation of theTrust on its existing terms would be impractical or wasteful or impair theTrust's administration.(7) An application under this Article may be made by aSettlor , aTrustee , aBeneficiary , or anInterested Person .Amended (as from 24th December 2017). Article 24 – Failure or lapse of interest
(1) Subject to the Terms of theTrust and to any order of theQFC Court , theTrust Property or interest under theTrust must be held by theTrustee for theSettlor absolutely or if theSettlor is dead, for theSettlor's personal representatives or estate where:(A) the interest in question lapses;(B) theTrust Property is vested in aPerson otherwise than for its sole benefit but theTrusts upon which it is to hold theProperty are not declared or communicated to it; or(C) theTrust terminates otherwise than in accordance with Article 25(1)(D).(2) For the purposes of this Article, the “Settlor ” is the particularPerson who provided theProperty affected by the failure or lapse.Amended (as from 24th December 2017). Article 25 – Termination of a Trust
(1) Without prejudice to the powers of theQFC Court under theseRegulations , aTrust terminates:(A) if theTrust is revoked pursuant to an order of theQFC Court or expires pursuant to its terms;(B) if there is noBeneficiary orPerson who can become aBeneficiary in accordance with the Terms of theTrust or if no purpose of theTrust remains to be achieved;(C) if the purposes of theTrust have become unlawful, or impossible to achieve; or(D) notwithstanding the Terms of theTrust , upon consent of all the Beneficiaries in existence who have been ascertained and none of whom is aMinor or aPerson under a legal disability.(2) TheQFC Court may terminate aTrust :(A) because of circumstances not anticipated by theSettlor , if termination will further the purposes of theTrust ; or(B) if the value of theTrust Property is insufficient to justify the cost of administration.(3) An application to theQFC Court under this Article may be made by aSettlor , aTrustee , aBeneficiary , or anyInterested Person , as the case may be.Amended (as from 24th December 2017). Article 26 – Distribution of Property
(1) Without prejudice to the powers of theQFC Court under Article 26(3), on the termination of theTrust , theTrustee must distribute theTrust Property to thePersons entitled to suchProperty within a reasonable time and in accordance with theTerms of the Trust .(2) TheTrustee may retain sufficient assets or obtain satisfactory security to make reasonable provision for liabilities, whether existing, future, contingent or otherwise, before distributing theTrust Property under Article 26(1).(3) TheQFC Court may, on the termination of aTrust or at any time thereafter, upon an application made by aTrustee , anyBeneficiary or anyInterested Person :(A) require theTrustee to distribute theTrust Property ;(B) direct theTrustee not to distribute theTrust Property ; or(C) make such other order as it thinks fit.Amended (as from 24th December 2017). Part 6: Part 6: The Beneficiaries of a QFC Trust
Article 27 – Beneficiaries of a Trust
(1) ABeneficiary must be:(A) identifiable by name; or(B) ascertainable by reference to:(i) a class; or(ii) a relationship to somePerson whether or not living at the time of the creation of theTrust or at the time which under theTerms of the Trust is the time by reference to which members of a class are to be determined.(2) TheTerms of the Trust may provide for the addition of aPerson as aBeneficiary or the exclusion of aBeneficiary from benefit.(3) Provided that the samePerson is not the soleTrustee and soleBeneficiary , aSettlor or aTrustee of aTrust may also be aBeneficiary of aTrust .Amended (as from 24th December 2017). Article 28 – Disclaimer
(1) ABeneficiary may disclaim its whole interest.(2) A disclaimer made under Article 28(1) must be in writing and must be irrevocable.(3) Subject to the Terms of theTrust , aBeneficiary under aTrust may disclaim part of its interest, whether or not it has received some benefit from its interest.(4) A disclaimer made under Article 28(3) may, subject to theTerms of the Trust , be revocable and it must be exercisable in the manner and under the circumstances so expressed.Amended (as from 24th December 2017). Article 29 - Interest of Beneficiary and dealings
(1) The interest of aBeneficiary will constitute movableProperty .(2) Subject to theTerms of the Trust , aBeneficiary may, by instrument in writing, sell, charge, transfer or otherwise deal with its interest in any manner.Amended (as from 24th December 2017). Part 7: Part 7: Protective Trusts and Creditors' Claims
Article 30 – Protective Trusts
(1) TheTerms of the Trust may make the interest of theBeneficiary liable to termination.(2) Without prejudice to the generality of Article 30(1), theTerms of the Trust may make the interest of aBeneficiary in theIncome or capital of theTrust Property subject to:(A) a restriction on alienation or disposal in whole or in part; or(B) a diminution or termination in the event of theBeneficiary becoming bankrupt or any of itsProperty becoming liable to sequestration for the benefit of its creditors.(3) ATrust under which the interest of aBeneficiary is subject to restriction, diminution or termination under Article 30(2) is aProtective Trust .(4) A provision in theTerms of the Trust requiring the interest of aBeneficiary in theTrust Property to be held upon aProtective Trust must be construed as a requirement that the interest of theBeneficiary be subject to restriction, diminution or termination as mentioned in Article 30(2).Amended (as from 24th December 2017). Article 31 – Creditors' claims in relation to a Discretionary Trust
(1) In the case of aDiscretionary Trust , whether or not suchTrust contains a protective provision, a creditor of aBeneficiary may not compel a distribution that is subject to theTrustee's discretion, even if:(A) the discretion is expressed in the form of a standard of distribution; or(B) theTrustee has abused the discretion.(2) To the extent aTrustee has not complied with a standard of distribution or has abused a discretion:(A) a distribution may be ordered by theQFC Court to satisfy a judgment orQFC Court order against theBeneficiary for support or maintenance of thatBeneficiary's child, spouse or former spouse; and(B) theQFC Court must direct theTrustee to pay to the child, spouse, or former spouse such amount as is equitable under the circumstances but not more than the amount theTrustee would have been required to distribute to or for the benefit of theBeneficiary had theTrustee complied with the standard of distribution or not abused the discretion.Amended (as from 24th December 2017). Part 8: Part 8: Office of Trustee
Article 32 - Accepting or declining trusteeship
(1) Except as otherwise provided in Article 32(3) aPerson designated asTrustee accepts the trusteeship:(A) by substantially complying with a method of acceptance provided in theTerms of the Trust ; or(B) if theTerms of the Trust do not provide a method or the method provided in the terms is not expressly made exclusive, by accepting delivery of theTrust Property , exercising powers or performing duties asTrustee , or otherwise indicating acceptance of the trusteeship.(2) APerson designated asTrustee who has not yet accepted the trusteeship may decline the trusteeship. A designatedTrustee who does not accept the trusteeship within a reasonable amount of time after knowing of the designation is deemed to have rejected the trusteeship.(3) APerson designated as aTrustee , without accepting the trusteeship, may without liability for loss:(A) act to preserve theTrust Property if, within a reasonable time after acting, it sends a written rejection of the trusteeship to theSettlor or, if theSettlor is dead or lacks capacity, to a namedBeneficiary ;(B) inspect or investigate theTrust Property to determine potential liability under any other law or for any other purpose; or(C) apply to theQFC Court for directions or advice.(4) APerson who knowingly does any act or thing in relation to theTrust Property consistent with the status of aTrustee of thatProperty will be deemed to have accepted appointment as aTrustee , but it willnot be remunerated for acting in such capacity as provided in Article 37, unless theTrustee appointed under theTerms of the Trust otherwise agrees.Amended (as from 24th December 2017). Article 33 - Vacancy in Trusteeship; appointment of a new Trustee
(1) A vacancy in a trusteeship occurs if:(A) aPerson designated asTrustee rejects the trusteeship;(B) aPerson designated asTrustee cannot be identified or does not exist;(C) aTrustee resigns;(D) aTrustee is removed;(E) aTrustee dies; or(F) a guardian is appointed for an individual serving asTrustee .(2) Where theTerms of the Trust contain no provision for the appointment of a newTrustee , theTrustee for the time being may appoint a newTrustee or failing that theQFC Court may appoint a newTrustee .(3) Subject to theTerms of the Trust , aTrustee appointed under this Article will have the same powers, discretions and duties and may act as if it had been originally appointed aTrustee .(4) ATrustee having power to appoint a newTrustee who fails to exercise such power may be removed from office by theQFC Court and theQFC Court may appoint a newTrustee .(5) If one or more co-Trustees remain in office, a vacancy in a trusteeship need not be filled.(6) A vacancy in trusteeship must be filled if theTrust has no remainingTrustee .(7) Where there is noTrustee aTrust will not fail on that account.(8) If a newTrustee is appointed, details of such newTrustee must be entered into the Register within five (5) days of such appointment by such newTrustee .Amended (as from 24th December 2017). Article 34 - Resignation of Trustee
(1) Subject to theTerms of the Trust , aTrustee may resign its office:(A) by giving at least thirty (30) days' notice in writing to the Beneficiaries, theSettlor , if living, and all its co-Trustees . Such resignation will take effect upon the expiry of such thirty (30) day notice period or such earlier date as may be agreed between theTrustee resigning and theSettlor , if living, and its co-Trustees ;(B) with the approval of theQFC Court ; or(C) otherwise in accordance with theTerms of the Trust .(2) A resignation given in order to facilitate a breach of trust will have no effect.Amended (as from 24th December 2017). Article 35 - Removal of Trustee by QFC Court or under the terms of the Trust
(1) TheSettlor , anEnforcer , a co-Trustee , aBeneficiary , theQFC Authority or theRegulatory Authority may apply to theQFC Court to remove aTrustee , or aTrustee may be removed by theQFC Court on its own initiative.(2) TheQFC Court may remove aTrustee if:(A) theTrustee has committed a breach of trust;(B) if lack of cooperation among co-Trustees substantially impairs the administration of theTrust ;(C) because of unfitness, unwillingness, or persistent failure of theTrustee to administer theTrust and if theQFC Court determines that removal of theTrustee is in the best interests of theBeneficiaries ; or(D) if there has been a substantial change of circumstances or removal is requested by all of theBeneficiaries and theQFC Court finds that removal of theTrustee is in the best interests of all theBeneficiaries and is not inconsistent with a material purpose of theTrust , and a suitable co-Trustee or successorTrustee is available.(3) Pending a final decision on a request to remove aTrustee , or in lieu of or in addition to removing aTrustee , theQFC Court may order an appropriate relief under Article 52.Amended (as from 24th December 2017). Article 36 - Position of outgoing Trustee
(1) ATrustee who resigns or is removed must expeditiously deliver theTrust Property within theTrustee's possession to the co-Trustee, successorTrustee or otherPerson entitled to it.(2) Unless a co-Trustee remains in office or theQFC Court otherwise orders, and until theTrust Property is delivered to a successorTrustee or otherPerson entitled to it, aTrustee who has resigned or been removed has the duties of aTrustee and the powers necessary to protect theProperty .(3) ATrustee who resigns or is removed may require to be provided with reasonable security for liabilities whether existing, future, contingent or otherwise before surrendering theTrust Property .(4) ATrustee who resigns or is removed and has complied with Article 36(1) will be released from liability to anyBeneficiary ,Trustee orPerson interested under theTrust for any act or omission in relation to theTrust Property or theTrustee's duty as aTrustee except liability:(A) arising from any breach of trust to which suchTrustee was a party or to which theTrustee was privy; or(B) in respect of actions to recover from suchTrustee theTrust Property or the proceeds of theTrust Property in the possession of suchTrustee .Amended (as from 24th December 2017). Article 37 - Remuneration of a Trustee
(1) Unless authorised by:(A) theTerms of the Trust ;(B) the consent in writing of all of the Beneficiaries; or(C) an order of theQFC Court ;aTrustee will not be entitled to remuneration for its services.(2) If theTerms of the Trust specify theTrustee's remuneration, theTrustee is entitled to be remunerated as specified, but theQFC Court may allow more or less remuneration if:(A) the duties of theTrustee are substantially different from those contemplated when theTrust was created; or(B) the remuneration specified by theTerms of the Trust would be unreasonably low or unreasonably high.(3) ATrustee may reimburse itself out of theTrust Property or pay out of theTrust all expenses and liabilities properly incurred in connection with the administration of theTrust .Amended (as from 24th December 2017). Part 9: Part 9: Duties and Powers of Trustees
Chapter 1: Chapter 1: Duties of Trustees
Article 38 - Duty to administer a Trust
(1) Upon acceptance of a trusteeship, theTrustee must in the execution of its duties and in the exercise of its powers and discretions:(A) act with due diligence as would a prudentPerson to the best of its ability and skill; and(B) observe the utmost good faith;in accordance with the terms and purposes of theTrust and theseRegulations .(2) ATrustee must administer theTrust solely in the interest of theBeneficiaries or in furtherance or support of the purposes of theTrust .(3) Subject to such further requirements as may be prescribed by the Rules, aTrustee must be:(A) aLicensed Firm that is aDNFBP ;(B) anAuthorised Firm ; or(C) aPerson approved by theQFC Authority that is duly licensed or authorised in a jurisdiction outside of theQFC and is subject to adequate requirements in respect of anti-money laundering and counter terrorism financing, by the laws applicable to thePerson .[Guidance Note: A Licensed Firm or an Authorised Firm that wishes to carry out the provision of administration of trusts by way of business, must be licensed or authorised to do so.]
Amended (as from 24th December 2017). Article 39 - Duties of Trustees
(1) Subject to theTerms of the Trust , aTrustee must so far as is reasonably practical preserve the value of theTrust Property .(2) Except with the approval of theQFC Court or as permitted by theseRegulations or expressly provided by theTerms of the Trust , aTrustee must not:(A) directly or indirectly profit from its trusteeship;(B) cause or permit any otherPerson to profit directly or indirectly from such trusteeship; or(C) on its own account enter into any transaction with theTrustees or relating to theTrust Property which may result in such profit.(3) Subject to Article 60, a sale, encumbrance, or other transaction involving the investment or management of theTrust Property entered into by theTrustee for theTrustee's own personal account or which is otherwise affected by a conflict between theTrustee's fiduciary and personal interests is voidable by aBeneficiary affected by the transaction unless:(A) the transaction was authorised by theTerms of the Trust ;(B) the transaction was approved by theQFC Court ;(C) theBeneficiary did not commence judicial proceedings within the time allowed by Article 55; or(D) theBeneficiary consented to theTrustee's conduct or ratified the transaction.(4) ATrustee must keep accurate accounts and records of its trusteeship. Such accounts and records must be maintained for a period of five (5) years from the date that theTrustee ceases to be trustee.(5) ATrustee must keepTrust Property separate from its personal property and separately identifiable from any other property of which it is aTrustee .(6) ATrustee must disclose its capacity as aTrustee in all business relationships entered into with a financial institution or a DNFBP.(7) ATrustee must maintain current and up-to-date information about the identity of theSettlor , theTrustee , theBeneficiary or class of Beneficiaries, theProtector , and details of any otherPerson who exercises Control over theTrust , as well as service providers.(8) Where any of the parties set out in Article 39(7) is a legal entity, theTrustee must maintain current up-to-date information about the identity of the ultimateBeneficial Owner of such legal entity.Amended (as from 24th December 2017). Article 40 - Duties of co-Trustees to act together
(1) Subject to theTerms of the Trust , where there is more than oneTrustee all theTrustees must join in performing theTrust .(2) Subject to Article 40(3), where there is more than oneTrustee no power or discretion given to theTrustees must be exercised unless all theTrustees agree on its exercise.(3) TheTerms of the Trust may empower theTrustees to act by a majority but aTrustee who dissents from a decision of the majority of theTrustees may require its dissent to be recorded in writing.Amended (as from 24th December 2017). Article 41 - Impartiality of a Trustee
Subject to the
Terms of the Trust , where there is more than oneBeneficiary , or more than one purpose, theTrustee must act impartially and must not execute theTrust for the advantage of one at the expense of the other.Amended (as from 24th December 2017). Article 42 - Cost of administration
In administering a
Trust , theTrustee may incur only costs that are reasonable in relation to theTrust Property , the purposes of theTrust and the skills of theTrustee .Amended (as from 24th December 2017). Article 43 - Enforcement and defence claims
A
Trustee must take reasonable steps to enforce claims of theTrust and to defend claims against theTrust .Amended (as from 24th December 2017). Article 44 - Collecting Trust Property
A
Trustee must take reasonable steps to compel a formerTrustee or otherPerson to deliver theTrust Property to theTrustee , and, subject to theTerms of the Trust , to redress a breach of trust known to theTrustee to have been committed by a formerTrustee .Amended (as from 24th December 2017). Article 45 - Duty to inform and report
(1) Subject to theTerms of the Trust and any order of theQFC Court , aTrustee must, on application in writing by aBeneficiary , disclose to theBeneficiary all documents which relate to or form part of the accounts of theTrust .(2) ATrustee is not required to disclose to anyPerson , any document which:(A) discloses its deliberations as to the manner in which it has exercised a power or discretion or performed a duty conferred upon it;(B) discloses the reason for any particular exercise of such power or discretion or performance of duty or the material upon which such reason was or might have been based; or(C) relates to the exercise or proposed exercise of such power or discretion or the performance or proposed performance of such duty.(3) Notwithstanding theTerms of the Trust :(A) theQFC Court may on application made to it declare that in the particular circumstances of theTrust , its terms do not render theTrustees sufficiently or appropriately accountable to one or moreBeneficiaries ; and(B) theQFC Court may pursuant to such declaration extend or restrict the rights of all or anyBeneficiaries to information regarding theTrust or may make such other order as it thinks fit.Amended (as from 24th December 2017). Chapter 2: Chapter 2: General Powers of Trustees
Article 46 - Powers of Trustee
(1) Subject to theTerms of the Trust and duties under theseRegulations , aTrustee will in relation to theTrust Property have:(A) all the same powers as a naturalPerson ;(B) any other powers appropriate to achieve the proper investment, management, and distribution ofTrust Property ; and(C) any other powers conferred by theseRegulations .(2) ATrustee must exercise its powers only in the interest of theBeneficiaries and in furtherance and support of the purposes of theTrust and in accordance with theTerms of the Trust .(3)(A) AnyTrustee may apply to theQFC Court for an opinion, advice or direction on any question regarding the management or administration of theTrust Property , such application to be served upon, or the hearing to be attended by, allPersons interested in such application, or such of them as theQFC Court thinks expedient.(B) If theTrustee acts upon the opinion, advice or direction given by theQFC Court , it is taken to have discharged its duty as aTrustee with regards to the subject matter of such application. However, these Regulations do not apply if theTrustee acted fraudulently or made any misrepresentations in obtaining such opinion, advice or direction.(C) The costs of such application will be subject to the discretion of theQFC Court .Amended (as from 24th December 2017). Article 47 - Specific powers of Trustees
Without limiting the generality of Article 46, and subject to the
Terms of the Trust , aTrustee may:(1) collect theTrust Property and accept or reject additions to theTrust Property from aSettlor or any otherPerson ;(2) subject to theTerms of the Trust , without the consent of anyBeneficiary , appropriate theTrust Property in or towards satisfaction of the interest of aBeneficiary in such manner and in accordance with such valuation as it thinks fit;(3) acquire or sell property, for cash or on credit, at public or private sale;(4) exchange, partition, or otherwise change the character of theTrust Property ;(5) depositTrust money in an account in a regulated financial services institution;(6) borrow money, with or without security, and mortgage or pledge theTrust Property for a period within or extending beyond the duration of theTrust ;(7) where theTerms of the Trust so permit, exercise a discretion in relation to the manner in which and to whom theTrust Property is distributed;(8) with respect to an interest in a partnership, limited liability company, businessTrust , corporation, or other form of business or enterprise, continue the business or other enterprise and take any action that may be taken by shareholders, members, orProperty owners, including merging, dissolving, or otherwise changing the form of business organisation or contributing additional capital;(9) with respect to stocks or other securities, exercise the rights of an absolute owner, including the right to:(A) vote, or give proxies to vote, with or without power of substitution, or enter into or continue a votingTrust agreement;(B) hold a security in the name of a nominee or in other form without disclosure of theTrust so that title may pass by delivery;(C) pay calls, assessments, and other sums chargeable or accruing against the securities, and sell or exercise stock subscription or conversion rights; and(D) deposit the securities with a depositary or other regulated financial services institution;(10) with respect to an interest in immovable property, construct, or make ordinary or extraordinary repairs to, alterations to, or improvements in, buildings or other structures, demolish improvements, raze existing or erect new party walls or buildings, subdivide or develop land, dedicate land to public use or grant public or private easements, and make or vacate plots and adjust boundaries;(11) enter into a lease for any purpose as lessor or lessee, including a lease or other arrangement for exploration and removal of natural resources, with or without the option to purchase or renew, for a period within or extending beyond the duration of theTrust ;(12) grant an option involving a sale, lease, or other disposition of theTrust Property or acquire an option for the acquisition of property, including an option exercisable beyond the duration of theTrust , and exercise an option so acquired;(13) insure the property of theTrust against damage or loss and insure theTrustee , theTrustee's agents, andBeneficiaries against liability arising from the administration of theTrust and the insurance proceeds must belong to theTrust ;(14) abandon or decline to administer property of no value or of insufficient value to justify its collection or continued administration;(15) pay or contest any claim, settle a claim by or against theTrust , and release, in whole or in part, a claim belonging to theTrust ;(16) pay remuneration of theTrustee , Protector orEnforcer and of employees and agents of theTrust , and other expenses incurred in the administration of theTrust ;(17) indemnify outgoingTrustees ;(18) select a mode of payment under any employee benefit or retirement plan, annuity, or life insurance payable to theTrustee , exercise rights thereunder, including exercise of the right to indemnification for expenses and against liabilities, and take appropriate action to collect the proceeds;(19) make loans out of theTrust Property , including loans to aBeneficiary on terms and conditions theTrustee considers to be fair and reasonable under the circumstances, and theTrustee has a lien on future distributions for repayment of those loans;(20) pledge theTrust Property to guarantee loans made by others to theBeneficiary ;(21) appoint aTrustee to act in another jurisdiction with respect to theTrust Property located in the other jurisdiction, confer upon the appointedTrustee all of the powers and duties of the appointingTrustee , require that the appointedTrustee furnish security, and remove anyTrustee so appointed;(22) pay an amount distributable to aBeneficiary who is under a legal disability or who theTrustee reasonably believes is incapacitated, by paying it directly to theBeneficiary or applying it for theBeneficiary's benefit, or by:(A) paying it to theBeneficiary's guardian and the receipt by such guardian must constitute a full discharge of theTrustee's obligation;(B) if theTrustee does not know of a guardian, or custodial Trustee, paying it to an adult relative or other Person having legal or physical care or custody of theBeneficiary , to be expended on theBeneficiary 's behalf and the receipt by such Person must constitute a full discharge of theTrustee ; or(C) managing it as a separate fund on theBeneficiary 's behalf, subject to theBeneficiary 's continuing right to withdraw the distribution;(23) on distribution ofTrust Property or the division or termination of aTrust , make distributions in divided or undivided interests, allocate particular assets in proportionate or disproportionate shares, value theTrust Property for those purposes, and adjust for resulting differences in valuation;(24) resolve a dispute concerning the interpretation of theTrust or its administration by mediation, arbitration, or other procedure for alternative dispute resolution;(25) prosecute or defend an action, claim, or judicial proceeding in any jurisdiction to protect theTrust Property and theTrustee in the performance of theTrustee 's duties;(26) sign and deliver contracts and other instruments that are useful to achieve or facilitate the exercise of theTrustee 's powers;(27) on termination of theTrust , exercise the powers appropriate to wind up the administration of theTrust and distribute theTrust Property to thePersons entitled to it; or(28) consult accountants, lawyers, bankers, investment bankers, and other specialists and professional advisers in relation to the affairs of theTrust , at the expense of theTrust .Amended (as from 24th December 2017). Article 48 - Power of accumulation and advancement
(1) Where theTerms of the Trust so authorise, aTrustee may accumulate for a period, part or all of theIncome of theTrust .(2) Subject to Article 48(3),Income of theTrust which is not accumulated under Article 48(1) must be distributed.(3) Subject to theTerms of the Trust and subject to any prior interests or charges affecting theTrust Property , where aBeneficiary is aMinor and whether or not theBeneficiary's interest:(A) is a vested interest; or(B) is an interest which will become vested:(i) on attaining the age of majority;(ii) at any later age; or(iii) upon the occurrence of any event;theTrustee may:(C) accumulate theIncome attributable to the interest of suchBeneficiary pending the attainment of the age of majority or such later age or the occurrence of such event;(D) apply suchIncome or part of it to or for the maintenance, education or other benefit of suchBeneficiary ; or(E) advance or appropriate to for the benefit of any suchBeneficiary such interest or part of such interest.(4) The receipt by a parent or the lawful guardian of aBeneficiary who is aMinor must be a sufficient discharge of theTrustee's obligations for a payment made under Article 48(3).Amended (as from 24th December 2017). Article 49 - Delegation by a Trustee
(1) ATrustee must not delegate its powers unless permitted to do so by theseRegulations or by theTerms of the Trust .(2) Subject to Article 49(1), aTrustee may delegate duties and powers that a prudentTrustee of comparable skills could properly delegate under the circumstances. TheTrustee must exercise reasonable care, skill, and caution in:(A) selecting a competent and qualified agent;(B) establishing the scope and terms of the delegation, consistent with the purposes andTerms of the Trust ; and(C) periodically reviewing the agent's actions in order to monitor the agent's performance and compliance with the terms of the delegation.(3) In performing a delegated function, an agent owes a duty to theTrust to exercise reasonable care to comply with the terms of the delegation.(4) ATrustee who complies with Article 49(1) and otherwise acts in good faith is not liable to the Beneficiaries or to theTrust for an action, omission or negligence of the agent to whom the function was delegated.(5) For the purposes of this Article, an “agent” may include investment managers, accountants, lawyers, bankers, brokers, custodians, investment advisers, nominees, property agents and other professional advisers orPersons to act in relation to any of the affairs of theTrust or to hold any of theTrust Property .(6) ATrustee may authorise aPerson referred to in Article 49(5) to retain any commission or other payment usually payable in relation to any transaction.Amended (as from 24th December 2017). Article 50 - Combination and division of Trusts
(1) Subject to theTerms of the Trust , aTrustee may combine two or moreTrusts into a singleTrust or divide aTrust into two or more separateTrusts , if the result does not impair rights of any Beneficiaries or adversely affect achievement of the purposes of theTrusts .(2) Subject to the tTrms of theTrust , where aTrustee divides aTrust into two or more separateTrusts , it must have the power to appointTrustees for suchTrusts .Amended (as from 24th December 2017). Part 10: Part 10: Liability of Trustees and Rights of Persons Dealing with a Trustee
Article 51 - Liability for breach of trust
(1) Subject to theseRegulations and to theTerms of the Trust , aTrustee is liable for a breach of trust committed by theTrustee or in respect of which theTrustee has granted its approval.(2) ATrustee who is liable for a breach of trust is liable for:(A) the loss or depreciation in value of theTrust Property resulting from such breach; and(B) the profit, if any, which would have accrued to theTrust Property if there had been no such breach.(3) Where there are two or more breaches of trust, aTrustee must not set off a gain from one breach of trust against the loss resulting from another breach of trust.(4) ATrustee is not liable for a breach of trust committed prior to its appointment, if such breach of trust was committed by some otherPerson .(5) ATrustee is not liable for a breach of trust committed by a co-Trustee unless:(A) he becomes aware or ought to have become aware of the commission of such breach or of the intention of the co-Trustee to commit a breach of trust; and(B) he actively conceals such breach or such intention or fails within a reasonable time to take proper steps to protect or restore theTrust Property or prevent such breach.(6) ABeneficiary may:(A) relieve aTrustee of liability to it for a breach of trust; or(B) indemnify aTrustee against liability for a breach of trust.(7) Article 51(6) will not apply unless theBeneficiary :(A) has legal capacity;(B) has full knowledge of all material facts; and(C) is not improperly induced by theTrustee to take action under Article 51(6).(8) Where two or moreTrustees are liable in respect of a breach of trust, they must be liable jointly and severally.(9) ATrustee who becomes aware of a breach of trust under Article 51(4) must take all reasonable steps to have such breach remedied within a reasonable time of becoming aware of the breach of trust.(10) Nothing in theTerms of the Trust must relieve, release, or exonerate aTrustee from liability for breach of trust arising from its own fraud, wilful misconduct or gross negligence.Amended (as from 24th December 2017). Article 52 - Remedies for Breach of Trust
To remedy a breach of trust that has occurred or may occur, the
QFC Court may:(1) compel theTrustee to perform theTrustee's duties;(2) restrain theTrustee from committing a breach of trust;(3) compel theTrustee to redress a breach of trust by paying money, restoringProperty , or other means;(4) order aTrustee to account;(5) appoint a special fiduciary to take possession of theTrust Property and administer theTrust ;(6) suspend theTrustee ;(7) remove theTrustee as provided in Article 35;(8) reduce or deny remuneration to theTrustee ;(9) subject to Article 60, invalidate an act of theTrustee , impose a lien or a constructive trust on theTrust Property , or traceTrust Property wrongfully disposed of and recover theProperty or its proceeds; or(10) order any other appropriate relief.Amended (as from 24th December 2017). Article 53 - Damages in absence of a breach
(1) Except as expressly provided in theTerms of the Trust , aTrustee is accountable to theTrust for any profit made by theTrustee arising from the administration of theTrust , even where there has been a breach of trust.(2) Except as expressly provided in theTerms of the Trust , absent a breach of trust, aTrustee is not liable for a loss or depreciation in the value of theTrust Property or for not having made a profit.Amended (as from 24th December 2017). Article 54 - Legal fees and costs
In a judicial proceeding involving the administration of a
Trust , theQFC Court , as justice and equity may require, may award costs and expenses, including reasonable lawyers' fees, to any party, to be paid by another party or from theTrust that is the subject of the proceeding.Amended (as from 24th December 2017). Article 55 - Limitation of action against Trustee
(1) Subject to Article 51(10) aPerson may not commence a proceeding against aTrustee for breach of trust more than three (3) years after the date suchPerson or a representative of suchPerson receives a report from theTrustee that adequately disclosed information that could form the basis for a potential claim for breach of trust and informed suchPerson or its representative that any proceeding based on such information must be commenced within the three (3) year period.(2) A report adequately discloses the existence of a potential claim for breach of trust if it provides sufficient information so that suchPerson or representative knows of the potential claim or should have inquired into its existence.(3) If Article 55(1) does not apply, a judicial proceeding by suchPerson against aTrustee for breach of trust must be commenced within seven (7) years after the first to occur of:(A) the removal, resignation, or death of theTrustee ;(B) in relation to a claim by aBeneficiary , the termination of theBeneficiary's interest in theTrust ; or(C) the termination of theTrust .(4) No period of limitation will apply to an action brought against aTrustee :(A) in respect of any fraud to which theTrustee was a party or to which theTrustee was privy; or(B) to recover from theTrustee theTrust Property :(i) in theTrustee's possession;(ii) under theTrustee's control; or(iii) previously received by theTrustee and converted to theTrustee's use.(5) This Article applies also to proceedings brought against anEnforcer .Amended (as from 24th December 2017). Article 56 - Reliance on Trust instrument
Any
Person who acts in reasonable reliance on theTerms of the Trust as expressed in theTrust Instrument is not liable for a breach of trust to the extent the breach resulted from such reliance.Amended (as from 24th December 2017). Article 57 - Exculpation of Trustee
A term of a
Trust relieving aTrustee of liability for breach of trust is unenforceable to the extent that it:(A) relieves theTrustee of liability for breach of trust committed in bad faith or with reckless indifference to the purposes of theTrust or the interests of theBeneficiaries ; or(B) was inserted as the result of an abuse by theTrustee of a fiduciary or confidential relationship with theSettlor .Amended (as from 24th December 2017). Article 58 - Beneficiary's consent, release or ratification
Subject to Article 51(10), a
Trustee is not liable to aBeneficiary for breach of trust if theBeneficiary consented to the conduct constituting the breach, released theTrustee from liability for the breach as provided in Article 51(6) or ratified the transaction constituting the breach, unless:(A) the consent, release, or ratification of theBeneficiary was induced by improper conduct of theTrustee ; or(B) at the time of the consent, release, or ratification, theBeneficiary did not know of theBeneficiary's rights or of the material facts relating to the breach.Amended (as from 24th December 2017). Article 59 - Limitation on Personal liability of Trustee
(1) Except as otherwise provided in the contract, aTrustee is not personally liable on a contract properly entered into in theTrustee's fiduciary capacity in the course of administering theTrust if theTrustee in the contract disclosed the fiduciary capacity.(2) ATrustee is personally liable for torts committed in the course of administering aTrust , or for obligations arising from ownership or control of theTrust Property only if theTrustee is personally at fault.(3) A claim based on a contract entered into by aTrustee in theTrustee's fiduciary capacity or an obligation arising from ownership or control of theTrust Property , or on a tort committed in the course of administering aTrust , may be asserted in a judicial proceeding against theTrustee in theTrustee's fiduciary capacity, whether or not theTrustee is personally liable for the claim.Amended (as from 24th December 2017). Article 60 - Protection of Persons dealing with Trustees
(1) APerson other than aBeneficiary who in good faith assists aTrustee , or who in good faith and for value deals with aTrustee , without knowledge that theTrustee is exceeding or improperly exercising theTrustee's powers is protected from liability as if theTrustee properly exercised the power.(2) APerson other than aBeneficiary who in good faith deals with aTrustee is not required to inquire into the extent of theTrustee's powers or the propriety of their exercise.(3) APerson who in good faith delivers assets to aTrustee need not ensure their proper application.(4) APerson other than aBeneficiary who in good faith assists a formerTrustee or who in good faith and for value deals with a formerTrustee , without knowledge that the trusteeship has terminated is protected from liability as if the formerTrustee were still aTrustee .(5) Comparable protective provisions of otherRegulations or rules issued thereunder relating to commercial transactions or transfer of securities by fiduciaries prevail over the protection provided by this Article.Amended (as from 24th December 2017). Part 11A: Part 11A: The Protector
Amended (as from 24th December 2017). Article 61 - The Protector
(1) ATrust Instrument may contain provisions by virtue of which the exercise by theTrustees of any of their powers is subject to the previous consent of theSettlor or some otherPerson asProtector , and if so provided in theTrust Instrument theTrustees is not liable for any loss caused by their actions if the previous consent was given and theTrustees acted in good faith.(2) TheTrust Instrument may confer on theSettlor or on the Protector any power, including without limitation the power to:(A) determine the law of the jurisdiction which will be theGoverning Law of theTrust ;(B) change the forum of administration of theTrust ;(C) removeTrustees ;(D) appoint new or additionalTrustees ;(E) exclude anyPerson as aBeneficiary ;(F) add anyPerson as aBeneficiary in addition to any existingBeneficiary ;(G) give or withhold consent to specified actions of theTrustee either conditionally or unconditionally; or(H) release any of the Protector's powers.(3) APerson exercising any one or more of the powers set forth in Article 61(2) will not by virtue only of such exercise be deemed to be aTrustee .(4) APerson may charge reasonable remuneration for its services as Protector unless otherwise provided by theTrust Instrument .Amended (as from 24th December 2017). Part 11B: Part 11B: The Settlor
Inserted (as from 24th December 2017). Article 61A - Reservation of Certain Rights and Powers to the Settlor
(1) A disposition under aTrust is not void because theSettlor is (whether solely or with others) aBeneficiary ,Enforcer orProtector of theTrust . Neither is the disposition void because theSettlor reserved to itself any of the following powers:(A) to appoint new, add or remove anyTrustees , Protectors, Enforcers or Beneficiaries;(B) to determine or change the Governing Law of theTrust and the principal place of administration of theTrust ;(C) to restrict the exercise of any powers or discretions of theTrustee by requiring that they must only be exercisable with the consent of theSettlor or any otherPerson specified in theTrust Instrument ;(D) to give binding directions to theTrustee in connection with the management, pledging or sale of theTrust Property or adding to it additional property;(E) to distribute, appoint, use or advance theTrust Property or its Income or to give binding directions in respect of any of the foregoing;(F) to act as, or give binding directions as to the appointment or removal of, a director or other officer of any corporation wholly or partly owned by theTrust ;(G) to appoint or remove any investment manager or investment adviser or any otherPerson acting in such capacity in relation to the affairs of theTrust or anyTrust Property ;(H) to revoke theTrust or vary or amend theTerms of the Trust or powers arising wholly or partly pursuant to such terms;(I) to release any of the Protector's powers; or(J) to amend, vary, add or delete any particular purpose or purposes of theTrust .(2) The reservation or exercise of a power or right referred to in this Article does not of itself render anyTrustee liable in respect of any loss to theTrust Property .Inserted (as from 24th December 2017). Part 12: Part 12: Provisions Applicable to a Foreign Trust
Article 62 – Enforceability of a Foreign Trust
(1) Subject to Article 60(2), aForeign Trust will be regarded as being governed by, and will be interpreted in accordance with itsGoverning Law .(2) AForeign Trust will be unenforceable in theQFC :(A) to the extent that it purports:(i) to do anything which is contrary to the laws of theQFC ; or(ii) to confer any right or power or impose any obligation the exercise of which is contrary to the laws of theQFC ; or(B) to the extent that theQFC Court declares that theTrust is immoral or contrary to policy.Amended (as from 24th December 2017). Part 13: Part 13: Provisions Relating to QFC Authority and the Regulatory Authority
Inserted (as from 24th December 2017). Article 63 - Prescribed Forms and Prescribed Fees
The
Prescribed Forms andPrescribed Fees are issued by theQFC Authority under theseRegulations .Inserted (as from 24th December 2017). Article 64 - General Contraventations
(1) For the purposes of theseRegulations , aPerson contravenes a relevant requirement if it:(A) fails to comply with any prohibition or requirement imposed on it by theQFC Authority or any undertaking given by it to theQFC Authority and in particular the requirement to maintain current and up-to-date information as set out in Article 39(7) and Article 39(8);(B) does anything that is prohibited under, or that contravenes any provision of, any law, regulations or rules;(C) does not do something that thePerson is required to do under any law, regulations or rules;(D) otherwise commits any contravention described as such in theseRegulations .(2) In this Article 64, "Person" does not include theQFC Authority , theRegulatory Authority , or theCRO .Inserted (as from 24th December 2017). Article 65 - Involvement in Contraventions
(1) APerson who is knowingly concerned in a contravention of theseRegulations or any otherRegulations conferring functions on theQFC Authority which is committed by anotherPerson also commits the contravention.(2) For the purposes of this Article 65, aPerson is "knowingly concerned" in a contravention if, and only if, thePerson :(A) has aided, abetted, counselled or procured the contravention;(B) has induced, whether by threats or promises or otherwise, the contravention;(C) has in any way, by act or omission, directly or indirectly, been knowingly involved in or been party to, the contravention;(D) has conspired with another or others to effect the contravention; or(E) has, alone or in concert with others, directly or indirectly, done, attempted or planned any of the following:(i) to conceal the existence or nature of a contravention; or(ii) to obstruct, impede or prevent theQFC Authority , theRegulatory Authority or theCRO from detecting, investigating or prosecuting a contravention.(3) In this Article 65, "Person" does not include theQFC Authority , theRegulatory Authority or theCRO .Inserted (as from 24th December 2017). Article 66 - Imposition of Financial Penalties
(1) TheQFC Authority may, in Rules, prescribe procedures in relation to the imposition and recovery of financial penalties under these Regulations.(2) Where theQFC Authority considers that aPerson has contravened a provision in theseRegulations and in relation to which a penalty is stipulated in the Rules (or elsewhere), theQFC Authority may impose by written notice given to thePerson a penalty, in respect of the contravention, of such amount as it considers appropriate but not exceeding the amount of the maximum penalty specified in the Rules in respect of each contravention.(3) If, within the period specified in the notice:(A) thePerson pays the prescribed penalty to theQFC Authority , then no proceedings may be commenced by theQFC Authority against the Person in respect of the relevant contravention; or(B) thePerson takes such action as is prescribed in any rules made by theQFC Authority to object to the imposition of the penalty or has not paid the prescribed penalty to theQFC Authority , theQFC Authority may apply to theQFC Court for, and theQFC Court may so order, the payment of the penalty or so much of the penalty as is not paid and make any further order as theQFC Court sees fit for recovery of the penalty.(4) A certificate that purports to be signed by or on behalf of theQFC Authority and states that a written notice was given to the Person pursuant to Article 66(2) a penalty on the basis of specific facts is:(A) conclusive evidence of the giving of the notice to thePerson ; and(B) prima facie evidence of the facts contained in the notice in any proceedings commenced under this Article.(5) In this Article 66, "Person" does not include theQFC Authority , theRegulatory Authority , or theCRO .Inserted (as from 24th December 2017). Article 66A - Anti-money Laundering
In furtherance of any investigation of money laundering, associated predicate offences and terrorist financing, the
Regulatory Authority and theQFC Authority will have all powers required to conduct such investigation, including the power to compel the production of all records held by theTrustee and theTrust operating in or established under the laws of theQFC , as well as their attorneys, notaries, other independent legal professionals and accountants, and otherPersons providing services to suchTrustee orTrust . Pursuant to such investigation, theRegulatory Authority and theQFC Authority will have the power to searchPersons and premises, including compelling theTrustee or theTrust to identify theTrust Property , take witness statements, and seize and obtain evidence.Inserted (as from 24th December 2017). Part 14: Part 14: Powers of the QFC Court
Inserted (as from 24th December 2017). Article 67 - Applications to the QFC Court
(1) AnInterested Person may apply to theQFC Court to take, in respect of aTrust , any of the actions specified in this Part.(2) Where theQFC Court considers that aPerson's interest in aTrust is sufficiently close that thePerson ought to be treated as anInterested Person , theQFC Court may determine that thePerson is anInterested Person for the purposes of these Regulations.Inserted (as from 24th December 2017). Article 68 - Power of the QFC Court to order compliance
(1) If theQFC Court is satisfied that, in respect of aTrust , aPerson has failed to comply with:(B) an obligation imposed on thePerson by theseRegulations , Rules, or by theTerms of the Trust ; theQFC Court may, by order, require thePerson to comply with the requirement or obligation.(2) If theQFC Court is satisfied that aTrust has failed to carry out its objects or any of them, the Court may, by order, require theTrust to do so.(3) If theQFC Court is satisfied that, in respect of aTrust , aPerson has failed to comply with the requirement under Article 16A(5) to register a Pre-Existing Trust, theQFC Court may order that theTrust is established, valid and binding and direct theQFC Authority to register the Pre-Existing Trust, if theQFC Court is satisfied that:(A) there was a reasonable excuse for the non-compliance; and(B) it is in the interests of justice to do so.(4) If theQFC Court is satisfied that, in respect of aTrust , aPerson has failed to comply with the requirement under Article 16A(5) to register aTrust , theQFC Court may order that theTrust is established, valid and binding provided thatQFC Court is satisfied that:(A) theTrust would otherwise be in compliance with the provisions of these Regulations; and(B) theTrust could be registered as aQFC Trust ; and(C) it is in the interests of justice to do so.(5) An order under this Article may specify the action that aPerson orTrust is required to take.Inserted (as from 24th December 2017). Article 69 - Power of the QFC Court to order amendment of the Terms of the Trust
(1) TheQFC Court may order the amendment of theTerms of the Trust if theQFC Court is satisfied:(A) that the change will assist theTrust to administer its assets or to attain its objects; or(B) that those objects are no longer attainable and that the change will assist theTrust to attain objects as near as reasonably possible to those objects.(2) Without limiting Article 69(1), theQFC Court may make an order under Article 69(1) in the event that theTerms of the Trust cannot be readily ascertained or are otherwise incomplete.Inserted (as from 24th December 2017). Article 70 - Power of the QFC Court to give directions
(1) This Article applies if theQFC Court is satisfied:(A) that if it gives a direction it will assist aTrust to administer its assets or to carry out its objects; or(B) that it is otherwise desirable for theQFC Court to give a direction.(2) TheQFC Court may give a direction as to:(A) the meaning and effect of a provision of theTerms of the Trust ;(B) the manner in which aTrustee orEnforcer is required to carry out the administration of theTrust's assets or the carrying out of its objects;(C) the functions of any otherPerson appointed under theTerms of the Trust ;(D) the functions of aTrustee ;(E) whether aPerson is aBeneficiary ;(F) the rights of Beneficiaries under theTrust as between themselves or as between themselves and theTrust ;(G) such other matters as theQFC Court considers relevant to theTrust , theTerms of the Trust , the administration of its assets or the carrying out of its objects;(H) the provision of a copy of theTrust Instrument or theTerms of the Trust to a particularPerson .(3) TheQFC Court may, in addition to giving a direction under Article 70(2), make such an order as it thinks fit to give effect to the direction.Inserted (as from 24th December 2017). Article 71 - Power of the QFC Court to protect interests under a trust
The
QFC Court may by order appoint aPerson to protect the interests of aPerson which theQFC Court is satisfied is or may become aBeneficiary under aTrust , where:(1) thePerson is unborn; or(2) theQFC Court is satisfied that thePerson is unable to act on their own behalf.Inserted (as from 24th December 2017). Article 72 - Power of the QFC Court to dismiss or appoint a trustee
If the
QFC Court is satisfied that it is in the interest of aTrust to do so, it may order:(A) the removal of aTrustee ; or(B) the appointment of aPerson to be aTrustee , or do both.Inserted (as from 24th December 2017). Article 73 - Power of the QFC Court to take action on behalf of others
(1) This Article applies where theQFC Court is satisfied, in respect of aTrust , that aPerson has failed to comply with:(2) TheQFC Court may order theQFC Authority to comply with the requirement or obligation on behalf of thePerson who has failed to do so.(3) TheQFC Court must not do so unless it is satisfied:(A) that to do so will assist theTrust in the administration of its assets or the attainment of its objects; or(B) that it is otherwise desirable that it should do so.(4) Where theQFC Court does so, its order has the same effect as if it were an action taken by thePerson required to comply with the requirement or obligation.Inserted (as from 24th December 2017). Article 74 - General power of the QFC Court in respect of orders
(1) An order made by theQFC Court under this Part in respect of aTrust may, in particular, provide for the appointment or removal of aPerson appointed under the Terms of the Trust.(2) Any order made by theQFC Court under this Part:(A) may be made on such terms; and(B) may impose such conditions,as theQFC Court thinks fit.Inserted (as from 24th December 2017). Article 75 - Power of the QFC Court to set aside a disposition
The
QFC Court may on the application of theSettlor declare that a transfer or other disposition of property to aQFC Trust is voidable or of no effect from the time of its exercise where the person exercising the power to transfer:(A) made a mistake in relation to the transfer or disposition, or took into account considerations which should not have been taken into account (the "Failure");(B) would not have exercised the power but for the Failure; and(C) the Failure is so significant that it is just for theQFC Court to make an order under this Article.Inserted (as from 24th December 2017). Article 76 - Power of the QFC Court to authorise dealings with trust property
(1) Where in the management or administration of anyTrust property a transaction cannot be effected as a result of an absence of power vested in theTrustee by law or by theTrust Instrument , theQFC Court may, by order, confer on theTrustee either generally or in a particular instance, the necessary power for that purpose on such terms and conditions as theQFC Court thinks fit, including directions as to the expenditure of money.(2) TheQFC Court may make an order under this Article after the transaction has commenced or is completed and may rescind, amend or make a new or further order in relation to the transaction.Inserted (as from 24th December 2017). Part 15: Part 15: Interpretation and Definitions
Amended (as from 24th December 2017). Article 77 - Interpretation
(1) In theseRegulations , a reference to:(A) a provision of any law or regulation includes a reference to that provision as amended or re-enacted from time to time and any reference to a law includes any regulation or rule passed pursuant to such law;(B) an obligation to publish or cause to be published a particular document, unless expressly provided otherwise in theseRegulations , includes publishing or causing to be published in printed or electronic form;(C) aPerson includes any naturalPerson , body corporate or body incorporate, including a company, partnership, unincorporated association, government or state;(D) a calendar year means a year of the Gregorian calendar;(E) a month means a month of the Gregorian calendar;(F) the masculine gender includes the feminine and the neuter; and(G) writing includes any form of representing or reproducing words in legible form.(2) The headings in theseRegulations do not affect their interpretation.(3) A reference in theseRegulations to a Schedule, an Article or a Part using the short form description of such Schedule, Article or Part in parenthesis are for convenience only and the short form description does not affect the construction of the Article or Part to which it relates.(4) A reference in theseRegulations to a Part, Article or Schedule by number only, and without further identification, is a reference to a Part, Article or Schedule of that number in theseRegulations .(5) A reference in an Article or other division of theseRegulations to a paragraph, subparagraph or Article by number or letter only, and without further identification, is a reference to a paragraph, sub-paragraph or Article of that number or letter contained in the Article or other division of theseRegulations in which that reference occurs.(6) Any reference in theseRegulations to “include”, “including”, “in particular”, “for example”, “such as” or similar expressions are considered as being by way of illustration or emphasis only and are not to be construed so as to limit the generality of any words replacing them.Amended (as from 24th December 2017). Article 78 – Definitions
The following words and phrases will where the context permits have the meanings shown against each of them:
AML/CFT Rules means the QFCRA Anti-Money Laundering and Combating Terrorist Financing Rules of 2010 and any amendments made to those rules. Beneficiary means a Person entitled to benefit under aTrust or in whose favour a discretion to distributeProperty held onTrust may be exercised.Beneficial Owner natural person(s) who: (i) has/have ultimate ownership or Control of an entity, including natural persons who exercise ultimate effective Control over a legal person or arrangement regardless of legal ownership; and/or (ii) on whose behalf a transaction is being conducted. Control (1) for the purposes of theseRegulations and theQFCA Rules , aPerson exercises control over aSettlor ,Trustee ,Beneficiary orProtector (“Trust Persons”) where thePerson :(A) holds 25% or more of the shares in theTrust Person ;(B) is entitled to exercise, or controls the exercise of, 25% or more of the voting power in theTrust Person ;(C) is able to exercise significant influence over the management of theTrust Person by virtue of shareholding or voting power, or by contractual or other arrangements, including but not limited to theTrust Person's board of directors and senior executive function; or(D) is able to exercise influence through other means without ownership, including without limitation, through personal or family connections toPersons in positions described above in paragraphs (A) to (C), by participating in the financing of the enterprise, or through historical or contractual associations with theTrust Person .(2) for purposes of this Article:(A) shares:(i) in relation to aTrust Person with a share capital, means allotted shares;(ii) in relation to aTrust Person with capital but no share capital, means rights to share in the capital of theTrust Person ; and(iii) in relation to aTrust Person without capital, means interests conferring any right to share in the profits, or liability to contribute to the losses, of theTrust Person ; or giving rise to any obligation to contribute to the debts or expenses of theTrust Person in the event of winding up; and(B) voting power, in relation to aTrust Person which does not have general meetings at which matters are decided by the exercise of voting rights, means the right under the articles of association of the Trust Person to alter the terms of its constitution.CRO means the Companies Registration Office established pursuant to Article 7 of the QFC Law. Discretionary Trust means a Trust in which theSettlor has delegated complete or limited discretion to theTrustee to decide, among other things:(a) when and how muchIncome orProperty is distributed to aBeneficiary ; and(b) which of the Beneficiaries may benefit.DNFBP means designated non-financial business or profession under the AML/CFT Rules .Express Trust means a Trust created with theSettlor's express intent declared in writing or a written declaration ofTrust by theTrustee .Enforcer in relation to a Trust , means aPerson who is appointed under a Trust Instrument to ensure that the purpose of theTrust is achieved.Foreign Law means any laws, regulations and rules other than the laws of the QFC .Foreign Trust means a Trust whose Governing Law is Foreign Law, including any Trust within the meaning of the Hague Convention.Governing Law has the meaning given in Article 9. Hague Convention is the Convention on the law applicable to trusts and their recognition, at The Hague on 1 July 1985. Heirship Right means any right, claim or interest in, against or to the Property of aPerson arising, accruing or existing in consequence of, or in anticipation of, thatPerson's death, other than any such right, claim or interest created by will or other voluntary disposition by suchPerson or resulting from an express limitation in the disposition of theProperty of suchPerson .Income means all income including rents and profits. Interested Person means any of the following Persons :(a) theSettlor ;(b) if any rights theSettlor had in respect of theTrust and its assets have been assigned to some otherPerson , that otherPerson ;(c) aProtector ;(d) anEnforcer ;(e) aPerson appointed under theTrust Instrument ;(f) aBeneficiary ;(g) theQFC Authority or theRegulatory Authority ;(h) aPerson who, in the view of theQFC Court , can reasonably claim to speak on behalf of an object or purpose of theTrust ; and(i) aPerson who theQFC Court determines to be aPerson with sufficient interest in theTrust for the purposes of theseRegulations .laws of the QFC means any laws, regulations and rules which are applicable in the QFC. Licence a licence, approval or authorisation issued by the QFCA pursuant to Article 11.1 of the QFC Law. Licenced Firm means a body corporate, partnership or unincorporated association which has been granted and continues to hold a Licence granted by the QFC Authority .Minister means the Minister of Finance of the State Minor means a Person who has not attained the age of majority under theGoverning Law of theTrust or the law of his domicile.Person means any person including a natural or judicial person, body corporate, or body unincorporate, including a branch, a company, partnership, unincorporated association or other undertaking, government or state. Pre-Existing Trust means the Trust that was established before the issuance of these revised Regulations. Prescribed Fee means a fee prescribed in rules made or approved by the QFC Authority. Prescribed Form means a form prescribed by or approved by the QFC Authority. Property means any movable or immovable property, and includes rights and interests, whether present or future and whether vested or contingent. Protective Trust means a Trust that is designed to protect theTrust Property to ensure the continued support of theBeneficiary .Protector in relation to a Trust , means aPerson appointed under aTrust Instrument to exercise one of more of the powers set out in Article 61(2).QFC means the Qatar Financial Centre. QFC Authority means the Qatar Financial Centre Authority established pursuant to Article 3 of the QFC Law. QFC Court means a competent court or tribunal established under the QFC Law. QFC Trust means a Trust whoseGoverning Law isQFC Law.Register means a register of Trusts maintained by theQFC Authority .Regulations means the regulations enacted by the Minister in accordance with Article 9 of the QFC Law. Regulatory Authority the Qatar Financial Centre Regulatory Authority established pursuant to Article 8 of the QFC Law. Rules means the rules made by the QFC Authority under these Regulations from time to time.Settlor means a Person who providesTrust Property or makes a testamentary disposition onTrust or to aTrust .Terms of the Trust means the written or oral terms of the Trust or any other terms applicable under itsGoverning Law .Trust means a right, enforceable solely in equity, to the beneficial enjoyment of the Property to which another Person holds the legal title and shall include Article 2 of the Hague Convention on the law applicable to trusts and their recognition.Trust Instrument means an instrument by which a Trust is created and includes a unilateral declaration ofTrust and any instrument varying the Terms of theTrust .Trust Property means the Property for the time being held inTrust .Trustee means a Person appointed to act as a trustee of aTrust in accordance with the provisions of theseRegulations .
Amended (as from 24th December 2017).