Trust Regulations 2007
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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 Qatar
Issued 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
Regulationsmay be cited as the Trust Regulations 2007.
Article 2 - Application(1) These
Regulationsare made by the Ministerpursuant to Article 9 of the QFC Law and shall apply in the QFC. To the fullest extent permitted by the QFCLaw, the laws, rules and regulations of the State concerning the matters dealt with by or under these Regulationsshall not apply in the QFC.(2) These Regulationsapply to Express Trustsand Trustscreated pursuant to law or judgment that requires the Trustto be administered in the manner of an Express Trust.
Amended (as from 24th December 2017).
Article 3 - Commencement
Regulationsshall come into force on the date of their signature by the Minister.
Article 4 - Language
In accordance with Article 9 of the QFC Law, these
Regulationsare 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 these Regulationsand any other version, the English text will prevail. Amended (as from 24th December 2017).
Article 5 - Interpretation
Words and expressions used in these
Regulationsand interpretative provisions applying to these Regulationsare 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
QFC Authorityand the Regulatory Authority, each within the scope of the jurisdiction, authority or powers conferred upon them may make rules to the extent set out in the QFCLaw, these Regulationsand any other Regulationsconferring powers, duties and functions on the QFC Authorityand Regulatory Authorityas they deem necessary or appropriate to implement, carry out or enforce these Regulations.
The provisions of these
Regulationsshall 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 other Regulationsenacted with the approval of the Council of Ministers. Amended (as from 24th December 2017).
Article 7 – Default and mandatory rules(1) Except as otherwise provided in the Terms of the
Trust, these Regulationsgovern, among other matters, the duties and powers of a Settlor, Trustee, relations among Trusteesand the rights and interests of a Beneficiary.(2) The Terms of the Trustprevail over any provision of these Regulations, except for:(A) any provision that deals with or is related to the creation of a Trust, including but not limited to requirements for registration of the Trust;(B) the duty of a Trusteeto act in good faith, in accordance with the purposes of the Trustand otherwise consistent with its fiduciary duties;(C) the requirement that a Trustand its terms be for the benefit of its Beneficiaries, and that the Trusthave a purpose that is lawful, not contrary to public policy, and possible to achieve;(D) the power of the QFC Courtto give directions to a Trusteeor any other Personand to modify or terminate a Trustin accordance with these Regulations;(E) the effect of a Protective Trustas provided in Part 7;(F) the power of the QFC Courtunder Article 37 to adjust a Trustee'scompensation specified in the Terms of the Trustwhich 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 the QFC Courtto take such action and exercise such jurisdiction as may be necessary in the interests of justice;(K) the relevant requirements of a QFC Trustand provisions relating to the QFC Authorityand Regulatory Authorityin Part 13; and(L) the exclusive jurisdiction of the QFC Courtunder Article 14. Amended (as from 24th December 2017).
Article 8 – Common law and principles of equity(1) The common law of
Trustsand principles of equity applicable in England and Wales supplement these Regulations, except to the extent modified by these Regulationsor any other Regulations.(2) The statute law of England and Wales applicable to Trustsdoes not, except to the extent it is replicated in these Regulations, apply in the QFC. Amended (as from 24th December 2017).
Part 3: Part 3: Choice of Governing Law; Place of Administration
Article 9 – Governing Law(1) If the
Trust Instrumentexplicitly 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 the Trust Instrumentcontains 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 the Trust.(3) If the Trust Instrumentcontains 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 the Trust.(4) In deciding what jurisdiction is most closely connected with the Trust, the following may be taken into account:(A) where the Trustis to be administered;(B) where the Trust Propertyis located;(C) the domicile and usual address of the Settlorand the Trustee;(D) the domicile and usual address of the Beneficiary;(E) the objects of the Trustand where those objects are to be fulfilled; and(F) any other relevant matter.(5) A law is incapable of applying to a Trustif the law does not provide for the kind of Trust. Amended (as from 24th December 2017).
Article 10 – Provision for change of Governing Law(1) Where a term of a
Trustso provides, the Governing Lawmay be changed to or from the laws of the QFC, in the manner prescribed by the Terms of the Trust, if:(A) in the case of a change to the laws of the QFCby a Trust, such change is recognised by the Governing Lawpreviously in effect; or(B) in the case of a change from the laws of the QFCto a new Governing Law, the new Governing Lawwould recognise the validity of the Trustand either all the powers and provisions of the Trustremain enforceable, capable of being exercised and so taking effect or, prior to the change, the Trustee obtains the approval of the QFC Courtto the change.(2) Where the Governing Lawof the Trustchanges to the laws of the QFC, that Trustwill for all purposes be a QFC Trust.(3) A change in the Governing Lawwill not affect the legality or validity of, or render any Personliable for, anything done before the change.(4) If a Trust becomes a QFC Trust, the Trusteemay:(A) exercise any power conferred on the Trusteeto postpone the date of termination of the Trustwithout 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 the Trusteeto postpone the date of the termination of the Trust, apply to the QFC Courtfor 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 a
Trustwhich is for the time being governed by the laws of the QFCor in regard to any disposition of Propertyupon the Trustwill be determined in accordance with the laws of the QFCand without reference to any Foreign Law.(2) Subject to Articles 12, 13 and 14, Article 11(1) will:(A) not validate any disposition of Propertywhich is neither owned by the Settlornor is the subject of a power in that behalf vested in the Settlor;(B) not validate any Trustor disposition of immovable Propertysituated in a jurisdiction in which such Trustor disposition is invalid according to the laws of such jurisdiction;(C) not validate any testamentary Trustor disposition which is invalid according to the laws of the testator's last domicile;(D) not affect the recognition of Foreign Lawsin determining whether the Settloris or was the owner of the settled Propertyor is or was the holder of a power to dispose of such Property;(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 of Foreign Lawsprescribing generally, without reference to the existence or Terms of the Trust, the formalities for the disposition of Property. Amended (as from 24th December 2017).
Article 12 – Limitations in Foreign Law(1) Unless the
Settlorhas acted in bad faith, none of the matters in Article 12(2) will:(A) render void, voidable or defective:(i) a Trustgoverned by the laws of the QFC(ii) a disposition of Propertyto be held in Trustthat is valid under the laws of the QFC(B) affect the capacity of a Settloror disposition;(C) deprive a Trusteeor Beneficiary, or any other Person, of any right, under a Trustor disposition; or(D) make a Trusteeor Beneficiary, or any other Person, liable under a Trustor 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 a Trust;(B) that the Trustor disposition voids or defeats any rights, claims or interest conferred by a Foreign Lawupon a Personbecause of a personal relationship with the Settloror any Beneficiaryor by way of Heirship Rights; or(C) that the Trustor disposition contravenes a Foreign Lawor 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, an Heirship Rightconferred by Foreign Law, including laws of the State, in relation to the Propertyof a living Personwill not be recognised as affecting the ownership of immovable Propertyin the State and movable Propertywherever 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
Amended (as from 24th December 2017).
Article 15 – Place of administration(1) The
Terms of the Trustdesignating the place of administration are valid and conclusive if:(A) a Trustee'sprincipal place of business is located in or a Trusteeis a resident of the designated place of administration; or(B) all or part of the administration occurs in the designated place of administration.(2) A Trusteeis under a continuing duty to administer the Trustat a place appropriate to its purposes, its administration, and the interests of the Beneficiaries or in furtherance of its purposes and in accordance with the Terms of the Trust.(3) Without precluding the right of the QFC Courtto order, approve, or disapprove a transfer in furtherance of the duty prescribed in Article 15(2), the Trusteemay transfer the Trust'splace of administration to another jurisdiction outside the QFC.(4) In connection with a transfer of the Trust'splace of administration, the Trusteemay transfer some or all of the Trust Propertyto a successor Trusteedesignated in the Terms 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) A
Trustis a legally binding relationship created by a Settlorthrough which Trust Propertyis held in the name of the Trustee(or another Personon behalf of the Trustee) who exercises, in relation to the Property, duties and powers in accordance with the Governing Law of the Trustand the Terms of the Trustfor either or both of the following:(A) the benefit of a Beneficiarywhether or not yet ascertained or in existence;(B) any valid purpose that is not for the sole benefit of the Trustee.(2) Without prejudice to the provisions of Article 16(1) ), a Trustwill have the following characteristics:(A) the Trust Propertyconstitutes a separate fund and is not a part of the Trustee'sown estate;(B) title to the Trust Propertyis held in the name of the Trusteeor is held in the name of another Personon behalf of the Trustee; and(C) the Trusteehas the power and the duty to manage, employ or dispose of the Trust Propertyin accordance with the Terms of the Trustand the duties imposed upon it by any applicable law.(3) A Trustmay be created by:(A) transfer of Propertyto another Personas Trusteeduring the Settlor'slifetime or by will or other disposition taking effect upon the Settlor'sdeath, provided that such disposition is not contrary to applicable Sharia law;(B) the transfer of Propertyfrom one Trustto another;(C) declaration by the owner of Propertythat the owner holds identifiable Propertyas Trustee; or(D) exercise of a power of appointment in favour of a Trustee.(4) A Trustmust come into existence by an instrument in writing including a will or codicil.(5) A Trusteemay sue and be sued in its capacity as Trusteeand may appear before any court or any Personacting in an official capacity. Amended (as from 24th December 2017).
Article 16A – Registration(1) No
Trustis established, valid and binding under these Regulationsunless it is registered with the QFC Authorityand details of which are included in the Register.(2) A Personmust apply for the registration of a Trustby signing and providing the QFC Authoritywith the Prescribed Formtogether with such other documents and pay the Prescribed Feesas may be specified by the QFC Authority.(3) The application must be made by any Personwho will become a Trusteeof the Truston its registration.(4) A Trustmust at all times have at least one (1) Trustee. Details of the Trusteemust be included in the Registerand the Trusteemust ensure that such details are at all times accurate and up to date.(5) A Trusteeof any Pre-Existing Trustmust ensure that it registers such Trustwith the QFC Authorityand brings the Trustinto compliance with these Regulationswithin one hundred and eighty (180) days of the commencement date of these Regulations. A failure to register any such Trustwithin the period stipulated herein will invalidate such Trustand render its terms unenforceable.(6) On registration of a Trust, the QFC Authoritymust:(A) issue a certificate confirming that the Trustis registered as a Trustwith the name specified in the certificate and with effect from the date of the certificate;(B) allocate to the Trusta registration number; and(C) enter in the Register:(1) the name and registered number of the Trust;(2) the objects of the Trust; and(3) the names of the Trustees.(7) A certificate of registration is conclusive evidence of the registration of the Trustwith the name specified in it and that the registration process has been complied with.(8) The QFC Authoritymust maintain a Register of Trusts.(9) The QFC Authoritymust 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) A
Trustis created if:(A) the Settlorhas the capacity to create a Trust;(B) the Settlorindicates an intention to create the Trust;(C) the Trusteither:(i) has a definite Beneficiary; or(ii) is a purpose Trust, as provided for in Article 22;(D) the Trusteeholds or has vested in it Propertyfor the benefit of a Beneficiaryor for a purpose;(E) the Trusteehas duties to perform; and(F) the same Personis not the sole Trusteeand sole Beneficiary.(2) A Beneficiaryis definite if the Beneficiarycan be ascertained now or in the future.(3) A Trustmay have at the same time a definite Beneficiaryand a purpose. Amended (as from 24th December 2017).
Article 18 – Trust purposes(1) A
Trustmay only be created to the extent its purposes are sufficiently certain to allow the Trustto be carried out, lawful in the QFCand not contrary to public policy.(2) A Trustand 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) A
Trustmay continue indefinitely or terminate in accordance with these Regulationsor in accordance with the Terms of the Trust.(2) No rule against perpetuities or excessive accumulations shall apply to a Trustor to any advancement, appointment, payment or application of assets from a Trust.(3) Except where the terms of a Trustprovide to the contrary, any advancement, appointment, payment or application of assets from that Trustto another Trust shall be valid even if that other Trustmay continue after the date by which the first Trustmust terminate. Amended (as from 24th December 2017).
Article 20 – Validity and invalidity of a Trust(1) Subject to Article 20(2) and 20(3), a
Trustis valid and enforceable in accordance with its terms.(2) A Trustis invalid to the extent that:(A) it purports to do anything which is contrary to the laws of the QFC;(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 no Beneficiaryunless it complies with Article 22;(D) its creation was induced by fraud, duress, mistake, undue influence or misrepresentation;(E) the Trustis immoral or contrary to public policy; or(F) the Terms of the Trustare so uncertain that its performance is rendered impossible.(3) Where a Trustis created for two or more purposes of which some are lawful and others are unlawful:(A) if those purposes cannot be separated the Trustis invalid; or(B) where those purposes can be separated the QFC Courtmay declare that the Trustis valid as to the purposes which are lawful; or the Propertyas to which a Trustis wholly or partially invalid will revert to the Personwho provided the Property(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) A
Trustwill not be invalid by reason of Article 20(2)(C) if the Terms of the Trustprovide for the appointment of an Enforcerin relation to its purposes and for the appointment of a new Enforcerat any time when there is none.(2) Subject to Article 22(1), a Trustmay be declared by Trust Instrumentfor a non-charitable purpose, including the purpose of holding or investing in shares in any Personor any other assets constituting the Trust Property, if:(A) the purpose is possible and sufficiently certain to allow the Trustto be carried out;(B) the purpose is not contrary to public policy or unlawful under the laws of the QFC; or(C) the Trust Instrumentspecifies the event upon the happening of which the Trustterminates and provides for the disposition of surplus assets of the Trustupon its termination.(3) It is the duty of an Enforcerto take reasonable steps to ensure that the Trustis enforced in relation to its purposes.(4) The appointment of a Personas Enforcerof a Trustin relation to its purposes will not have effect if it is also a Trusteeof the Trustor has a conflict of interest.(5) Except as permitted by these Regulationsor expressly provided by the Terms of the Trust, or with the approval of the QFC Courtan Enforcermust not:(A) directly or indirectly profit from its appointment;(B) cause or permit any other Personto profit directly or indirectly from such appointment; or(C) on its own account, enter into any transaction with the Trusteesor relating to the Trust Propertywhich may result in profit to it or the Trustee.(6) Subject to Article 22(7), an Enforcermay resign its office by notice in writing delivered to the Trustee. 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) An Enforcerwill cease to be an Enforcerof the Trustin relation to its purposes immediately upon:(A) the Enforcer'sremoval from office by the QFC Court;(B) the Enforcer'sresignation becoming effective;(C) the coming into effect of a provision in the Terms of the Trustunder which the Enforceris removed from office or otherwise ceases to hold office; or(D) the Enforcer'sappointment as a Trusteeof the Trust.(9) Where required, a Trusteemust at any time when there is no Enforcer, take such steps as may be necessary to secure the appointment of a new Enforcer.(10) Where the Trusteehas reason to believe that the Enforcerin relation to such purposes is unwilling or refuses to act, or is unfit to act or incapable of acting, the Trustee must apply to the QFC Courtfor the removal of the Enforcerand the appointment of a replacement.(11) The Trusteemust apply to the QFC Courtfor the appointment of a new Enforcerwhere such an appointment is not possible under the Trust Instrument or the Enforceris unwilling or refuses to act within 30 days of becoming aware there is no Personwilling and able to act as the Enforcer.(12) If the Trusteedoes not make an application in accordance with Article 22(11), the Trusteewill contravene a relevant requirement. Amended (as from 24th December 2017).
Article 23 – Variation and revocation of a Trust(1) A
Trustmay expressly provide that:(A) its terms are capable of variation; or(B) the Trustitself or a power exercisable under the Trustis revocable either in whole or in part.(2) Where a Trustprovides that the Terms of the Trustmay be varied, such power to vary is without prejudice to the power vested in the QFC Courtby these Regulationsfor the variation of the Terms of the Trust.(3) No variation of the Terms of the Trustor revocation of a Trustor a power exercisable under a Trustwill prejudice anything lawfully done by a Trusteein relation to a Trustprior to it receiving a notice of such variation or revocation.(4) A Trust may only be revoked by an order of the QFC Court. Where a Trustis revoked, either in whole or in part, the Trusteemust hold and deal with the Trust Propertyaffected by the revocation in accordance with the direction of the QFC Court. The Trusteemust provide details of the order of the QFC Courtto the QFC Authority.(5) For the purposes of this Article, the “ Settlor” is the particular Personwho provided the Propertywhich is the subject of revocation.(6) The QFC Courtmay vary the Terms of the Trust:(A) even if unambiguous, to conform the terms to the Settlor'sintention if it is provided by clear and convincing evidence that both the Settlor'sintent and the Terms of the Trustwere affected by a mistake of fact or law, whether in expression or inducement;(B) if, because of circumstances not anticipated by the Settlor, modification will further the purpose of the Trust; or(C) if continuation of the Truston its existing terms would be impractical or wasteful or impair the Trust'sadministration.(7) An application under this Article may be made by a Settlor, a Trustee, a Beneficiary, or an Interested Person. Amended (as from 24th December 2017).
Article 24 – Failure or lapse of interest(1) Subject to the Terms of the
Trustand to any order of the QFC Court, the Trust Propertyor interest under the Trustmust be held by the Trusteefor the Settlorabsolutely or if the Settloris dead, for the Settlor'spersonal representatives or estate where:(A) the interest in question lapses;(B) the Trust Propertyis vested in a Personotherwise than for its sole benefit but the Trustsupon which it is to hold the Propertyare not declared or communicated to it; or(C) the Trustterminates otherwise than in accordance with Article 25(1)(D).(2) For the purposes of this Article, the “ Settlor” is the particular Personwho provided the Propertyaffected by the failure or lapse. Amended (as from 24th December 2017).
Article 25 – Termination of a Trust(1) Without prejudice to the powers of the
QFC Courtunder these Regulations, a Trustterminates:(A) if the Trustis revoked pursuant to an order of the QFC Courtor expires pursuant to its terms;(B) if there is no Beneficiaryor Personwho can become a Beneficiaryin accordance with the Terms of the Trustor if no purpose of the Trustremains to be achieved;(C) if the purposes of the Trusthave become unlawful, or impossible to achieve; or(D) notwithstanding the Terms of the Trust, upon consent of all the Beneficiaries in existence who have been ascertained and none of whom is a Minoror a Personunder a legal disability.(2) The QFC Courtmay terminate a Trust:(A) because of circumstances not anticipated by the Settlor, if termination will further the purposes of the Trust; or(B) if the value of the Trust Propertyis insufficient to justify the cost of administration.(3) An application to the QFC Courtunder this Article may be made by a Settlor, a Trustee, a Beneficiary, or any Interested Person, as the case may be. Amended (as from 24th December 2017).
Article 26 – Distribution of Property(1) Without prejudice to the powers of the
QFC Courtunder Article 26(3), on the termination of the Trust, the Trusteemust distribute the Trust Propertyto the Personsentitled to such Propertywithin a reasonable time and in accordance with the Terms of the Trust.(2) The Trusteemay retain sufficient assets or obtain satisfactory security to make reasonable provision for liabilities, whether existing, future, contingent or otherwise, before distributing the Trust Propertyunder Article 26(1).(3) The QFC Courtmay, on the termination of a Trustor at any time thereafter, upon an application made by a Trustee, any Beneficiaryor any Interested Person:(A) require the Trusteeto distribute the Trust Property;(B) direct the Trusteenot to distribute the Trust 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) A
Beneficiarymust be:(A) identifiable by name; or(B) ascertainable by reference to:(i) a class; or(ii) a relationship to some Personwhether or not living at the time of the creation of the Trustor at the time which under the Terms of the Trustis the time by reference to which members of a class are to be determined.(2) The Terms of the Trustmay provide for the addition of a Personas a Beneficiaryor the exclusion of a Beneficiaryfrom benefit.(3) Provided that the same Personis not the sole Trusteeand sole Beneficiary, a Settloror a Trusteeof a Trustmay also be a Beneficiaryof a Trust. Amended (as from 24th December 2017).
Article 28 – Disclaimer(1) A
Beneficiarymay 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 the Trust, a Beneficiaryunder a Trustmay 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 the Terms 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 a
Beneficiarywill constitute movable Property.(2) Subject to the Terms of the Trust, a Beneficiarymay, 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) The
Terms of the Trustmay make the interest of the Beneficiaryliable to termination.(2) Without prejudice to the generality of Article 30(1), the Terms of the Trustmay make the interest of a Beneficiaryin the Incomeor capital of the Trust Propertysubject to:(A) a restriction on alienation or disposal in whole or in part; or(B) a diminution or termination in the event of the Beneficiarybecoming bankrupt or any of its Propertybecoming liable to sequestration for the benefit of its creditors.(3) A Trustunder which the interest of a Beneficiaryis subject to restriction, diminution or termination under Article 30(2) is a Protective Trust.(4) A provision in the Terms of the Trustrequiring the interest of a Beneficiaryin the Trust Propertyto be held upon a Protective Trustmust be construed as a requirement that the interest of the Beneficiarybe 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 a
Discretionary Trust, whether or not such Trustcontains a protective provision, a creditor of a Beneficiarymay not compel a distribution that is subject to the Trustee'sdiscretion, even if:(A) the discretion is expressed in the form of a standard of distribution; or(B) the Trusteehas abused the discretion.(2) To the extent a Trusteehas not complied with a standard of distribution or has abused a discretion:(A) a distribution may be ordered by the QFC Courtto satisfy a judgment or QFC Courtorder against the Beneficiaryfor support or maintenance of that Beneficiary'schild, spouse or former spouse; and(B) the QFC Courtmust direct the Trusteeto pay to the child, spouse, or former spouse such amount as is equitable under the circumstances but not more than the amount the Trusteewould have been required to distribute to or for the benefit of the Beneficiaryhad the Trusteecomplied 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) a
Persondesignated as Trusteeaccepts the trusteeship:(A) by substantially complying with a method of acceptance provided in the Terms of the Trust; or(B) if the Terms of the Trustdo not provide a method or the method provided in the terms is not expressly made exclusive, by accepting delivery of the Trust Property, exercising powers or performing duties as Trustee, or otherwise indicating acceptance of the trusteeship.(2) A Persondesignated as Trusteewho has not yet accepted the trusteeship may decline the trusteeship. A designated Trusteewho does not accept the trusteeship within a reasonable amount of time after knowing of the designation is deemed to have rejected the trusteeship.(3) A Persondesignated as a Trustee, without accepting the trusteeship, may without liability for loss:(A) act to preserve the Trust Propertyif, within a reasonable time after acting, it sends a written rejection of the trusteeship to the Settloror, if the Settloris dead or lacks capacity, to a named Beneficiary;(B) inspect or investigate the Trust Propertyto determine potential liability under any other law or for any other purpose; or(C) apply to the QFC Courtfor directions or advice.(4) A Personwho knowingly does any act or thing in relation to the Trust Propertyconsistent with the status of a Trusteeof that Propertywill be deemed to have accepted appointment as a Trustee, but it willnot be remunerated for acting in such capacity as provided in Article 37, unless the Trusteeappointed under the Terms of the Trustotherwise 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) a
Persondesignated as Trusteerejects the trusteeship;(B) a Persondesignated as Trusteecannot be identified or does not exist;(C) a Trusteeresigns;(D) a Trusteeis removed;(E) a Trusteedies; or(F) a guardian is appointed for an individual serving as Trustee.(2) Where the Terms of the Trustcontain no provision for the appointment of a new Trustee, the Trusteefor the time being may appoint a new Trusteeor failing that the QFC Courtmay appoint a new Trustee.(3) Subject to the Terms of the Trust, a Trusteeappointed under this Article will have the same powers, discretions and duties and may act as if it had been originally appointed a Trustee.(4) A Trusteehaving power to appoint a new Trusteewho fails to exercise such power may be removed from office by the QFC Courtand the QFC Courtmay appoint a new Trustee.(5) If one or more co- Trusteesremain in office, a vacancy in a trusteeship need not be filled.(6) A vacancy in trusteeship must be filled if the Trusthas no remaining Trustee.(7) Where there is no Trusteea Trustwill not fail on that account.(8) If a new Trusteeis appointed, details of such new Trusteemust be entered into the Register within five (5) days of such appointment by such new Trustee. Amended (as from 24th December 2017).
Article 34 - Resignation of Trustee(1) Subject to the
Terms of the Trust, a Trusteemay resign its office:(A) by giving at least thirty (30) days' notice in writing to the Beneficiaries, the Settlor, 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 the Trusteeresigning and the Settlor, if living, and its co- Trustees;(B) with the approval of the QFC Court; or(C) otherwise in accordance with the Terms 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) The
Settlor, an Enforcer, a co- Trustee, a Beneficiary, the QFC Authorityor the Regulatory Authoritymay apply to the QFC Courtto remove a Trustee, or a Trusteemay be removed by the QFC Courton its own initiative.(2) The QFC Courtmay remove a Trusteeif:(A) the Trusteehas committed a breach of trust;(B) if lack of cooperation among co- Trusteessubstantially impairs the administration of the Trust;(C) because of unfitness, unwillingness, or persistent failure of the Trusteeto administer the Trustand if the QFC Courtdetermines that removal of the Trusteeis in the best interests of the Beneficiaries; or(D) if there has been a substantial change of circumstances or removal is requested by all of the Beneficiariesand the QFC Courtfinds that removal of the Trusteeis in the best interests of all the Beneficiariesand is not inconsistent with a material purpose of the Trust, and a suitable co- Trusteeor successor Trusteeis available.(3) Pending a final decision on a request to remove a Trustee, or in lieu of or in addition to removing a Trustee, the QFC Courtmay order an appropriate relief under Article 52. Amended (as from 24th December 2017).
Article 36 - Position of outgoing Trustee(1) A
Trusteewho resigns or is removed must expeditiously deliver the Trust Propertywithin the Trustee'spossession to the co-Trustee, successor Trusteeor other Personentitled to it.(2) Unless a co-Trustee remains in office or the QFC Courtotherwise orders, and until the Trust Propertyis delivered to a successor Trusteeor other Personentitled to it, a Trusteewho has resigned or been removed has the duties of a Trusteeand the powers necessary to protect the Property.(3) A Trusteewho resigns or is removed may require to be provided with reasonable security for liabilities whether existing, future, contingent or otherwise before surrendering the Trust Property.(4) A Trusteewho resigns or is removed and has complied with Article 36(1) will be released from liability to any Beneficiary, Trusteeor Personinterested under the Trustfor any act or omission in relation to the Trust Propertyor the Trustee'sduty as a Trusteeexcept liability:(A) arising from any breach of trust to which such Trusteewas a party or to which the Trusteewas privy; or(B) in respect of actions to recover from such Trusteethe Trust Propertyor the proceeds of the Trust Propertyin the possession of such Trustee. Amended (as from 24th December 2017).
Article 37 - Remuneration of a Trustee(1) Unless authorised by:(A) the
Terms of the Trust;(B) the consent in writing of all of the Beneficiaries; or(C) an order of the QFC Court;a Trusteewill not be entitled to remuneration for its services.(2) If the Terms of the Trustspecify the Trustee'sremuneration, the Trusteeis entitled to be remunerated as specified, but the QFC Courtmay allow more or less remuneration if:(A) the duties of the Trusteeare substantially different from those contemplated when the Trustwas created; or(B) the remuneration specified by the Terms of the Trustwould be unreasonably low or unreasonably high.(3) A Trusteemay reimburse itself out of the Trust Propertyor pay out of the Trustall expenses and liabilities properly incurred in connection with the administration of the Trust. 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, the
Trusteemust in the execution of its duties and in the exercise of its powers and discretions:(A) act with due diligence as would a prudent Personto the best of its ability and skill; and(B) observe the utmost good faith;in accordance with the terms and purposes of the Trustand these Regulations.(2) A Trusteemust administer the Trustsolely in the interest of the Beneficiariesor in furtherance or support of the purposes of the Trust.(3) Subject to such further requirements as may be prescribed by the Rules, a Trusteemust be:(A) a Licensed Firmthat is a DNFBP;(B) an Authorised Firm; or(C) a Personapproved by the QFC Authoritythat is duly licensed or authorised in a jurisdiction outside of the QFCand is subject to adequate requirements in respect of anti-money laundering and counter terrorism financing, by the laws applicable to the Person.
[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 the
Terms of the Trust, a Trusteemust so far as is reasonably practical preserve the value of the Trust Property.(2) Except with the approval of the QFC Courtor as permitted by these Regulationsor expressly provided by the Terms of the Trust, a Trusteemust not:(A) directly or indirectly profit from its trusteeship;(B) cause or permit any other Personto profit directly or indirectly from such trusteeship; or(C) on its own account enter into any transaction with the Trusteesor relating to the Trust Propertywhich may result in such profit.(3) Subject to Article 60, a sale, encumbrance, or other transaction involving the investment or management of the Trust Propertyentered into by the Trusteefor the Trustee'sown personal account or which is otherwise affected by a conflict between the Trustee'sfiduciary and personal interests is voidable by a Beneficiaryaffected by the transaction unless:(A) the transaction was authorised by the Terms of the Trust;(B) the transaction was approved by the QFC Court;(C) the Beneficiarydid not commence judicial proceedings within the time allowed by Article 55; or(D) the Beneficiaryconsented to the Trustee'sconduct or ratified the transaction.(4) A Trusteemust 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 the Trusteeceases to be trustee.(5) A Trusteemust keep Trust Propertyseparate from its personal property and separately identifiable from any other property of which it is a Trustee.(6) A Trusteemust disclose its capacity as a Trusteein all business relationships entered into with a financial institution or a DNFBP.(7) A Trusteemust maintain current and up-to-date information about the identity of the Settlor, the Trustee, the Beneficiaryor class of Beneficiaries, the Protector, and details of any other Personwho exercises Control over the Trust, as well as service providers.(8) Where any of the parties set out in Article 39(7) is a legal entity, the Trusteemust maintain current up-to-date information about the identity of the ultimate Beneficial Ownerof such legal entity. Amended (as from 24th December 2017).
Article 40 - Duties of co-Trustees to act together(1) Subject to the
Terms of the Trust, where there is more than one Trusteeall the Trusteesmust join in performing the Trust.(2) Subject to Article 40(3), where there is more than one Trusteeno power or discretion given to the Trusteesmust be exercised unless all the Trusteesagree on its exercise.(3) The Terms of the Trustmay empower the Trusteesto act by a majority but a Trusteewho dissents from a decision of the majority of the Trusteesmay 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 one Beneficiary, or more than one purpose, the Trusteemust act impartially and must not execute the Trustfor 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, the Trusteemay incur only costs that are reasonable in relation to the Trust Property, the purposes of the Trustand the skills of the Trustee. Amended (as from 24th December 2017).
Article 43 - Enforcement and defence claims
Trusteemust take reasonable steps to enforce claims of the Trustand to defend claims against the Trust. Amended (as from 24th December 2017).
Article 44 - Collecting Trust Property
Trusteemust take reasonable steps to compel a former Trusteeor other Personto deliver the Trust Propertyto the Trustee, and, subject to the Terms of the Trust, to redress a breach of trust known to the Trusteeto have been committed by a former Trustee. Amended (as from 24th December 2017).
Article 45 - Duty to inform and report(1) Subject to the
Terms of the Trustand any order of the QFC Court, a Trusteemust, on application in writing by a Beneficiary, disclose to the Beneficiaryall documents which relate to or form part of the accounts of the Trust.(2) A Trusteeis not required to disclose to any Person, 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 the Terms of the Trust:(A) the QFC Courtmay on application made to it declare that in the particular circumstances of the Trust, its terms do not render the Trusteessufficiently or appropriately accountable to one or more Beneficiaries; and(B) the QFC Courtmay pursuant to such declaration extend or restrict the rights of all or any Beneficiariesto information regarding the Trustor 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 the
Terms of the Trustand duties under these Regulations, a Trusteewill in relation to the Trust Propertyhave:(A) all the same powers as a natural Person;(B) any other powers appropriate to achieve the proper investment, management, and distribution of Trust Property; and(C) any other powers conferred by these Regulations.(2) A Trusteemust exercise its powers only in the interest of the Beneficiariesand in furtherance and support of the purposes of the Trustand in accordance with the Terms of the Trust.(3)(A) Any Trusteemay apply to the QFC Courtfor an opinion, advice or direction on any question regarding the management or administration of the Trust Property, such application to be served upon, or the hearing to be attended by, all Personsinterested in such application, or such of them as the QFC Courtthinks expedient.(B) If the Trusteeacts upon the opinion, advice or direction given by the QFC Court, it is taken to have discharged its duty as a Trusteewith regards to the subject matter of such application. However, these Regulations do not apply if the Trusteeacted 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 the QFC 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, a Trusteemay:(1) collect the Trust Propertyand accept or reject additions to the Trust Propertyfrom a Settloror any other Person;(2) subject to the Terms of the Trust, without the consent of any Beneficiary, appropriate the Trust Propertyin or towards satisfaction of the interest of a Beneficiaryin 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 the Trust Property;(5) deposit Trustmoney in an account in a regulated financial services institution;(6) borrow money, with or without security, and mortgage or pledge the Trust Propertyfor a period within or extending beyond the duration of the Trust;(7) where the Terms of the Trustso permit, exercise a discretion in relation to the manner in which and to whom the Trust Propertyis distributed;(8) with respect to an interest in a partnership, limited liability company, business Trust, 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, or Propertyowners, 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 voting Trustagreement;(B) hold a security in the name of a nominee or in other form without disclosure of the Trustso 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 the Trust;(12) grant an option involving a sale, lease, or other disposition of the Trust Propertyor acquire an option for the acquisition of property, including an option exercisable beyond the duration of the Trust, and exercise an option so acquired;(13) insure the property of the Trustagainst damage or loss and insure the Trustee, the Trustee'sagents, and Beneficiariesagainst liability arising from the administration of the Trustand the insurance proceeds must belong to the Trust;(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 the Trust, and release, in whole or in part, a claim belonging to the Trust;(16) pay remuneration of the Trustee, Protector or Enforcerand of employees and agents of the Trust, and other expenses incurred in the administration of the Trust;(17) indemnify outgoing Trustees;(18) select a mode of payment under any employee benefit or retirement plan, annuity, or life insurance payable to the Trustee, 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 the Trust Property, including loans to a Beneficiaryon terms and conditions the Trusteeconsiders to be fair and reasonable under the circumstances, and the Trusteehas a lien on future distributions for repayment of those loans;(20) pledge the Trust Propertyto guarantee loans made by others to the Beneficiary;(21) appoint a Trusteeto act in another jurisdiction with respect to the Trust Propertylocated in the other jurisdiction, confer upon the appointed Trusteeall of the powers and duties of the appointing Trustee, require that the appointed Trusteefurnish security, and remove any Trusteeso appointed;(22) pay an amount distributable to a Beneficiarywho is under a legal disability or who the Trusteereasonably believes is incapacitated, by paying it directly to the Beneficiaryor applying it for the Beneficiary'sbenefit, or by:(A) paying it to the Beneficiary'sguardian and the receipt by such guardian must constitute a full discharge of the Trustee'sobligation;(B) if the Trusteedoes 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 the Beneficiary, to be expended on the Beneficiary's behalf and the receipt by such Person must constitute a full discharge of the Trustee; or(C) managing it as a separate fund on the Beneficiary's behalf, subject to the Beneficiary's continuing right to withdraw the distribution;(23) on distribution of Trust Propertyor the division or termination of a Trust, make distributions in divided or undivided interests, allocate particular assets in proportionate or disproportionate shares, value the Trust Propertyfor those purposes, and adjust for resulting differences in valuation;(24) resolve a dispute concerning the interpretation of the Trustor 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 the Trust Propertyand the Trusteein the performance of the Trustee's duties;(26) sign and deliver contracts and other instruments that are useful to achieve or facilitate the exercise of the Trustee's powers;(27) on termination of the Trust, exercise the powers appropriate to wind up the administration of the Trustand distribute the Trust Propertyto the Personsentitled to it; or(28) consult accountants, lawyers, bankers, investment bankers, and other specialists and professional advisers in relation to the affairs of the Trust, at the expense of the Trust. Amended (as from 24th December 2017).
Article 48 - Power of accumulation and advancement(1) Where the
Terms of the Trustso authorise, a Trusteemay accumulate for a period, part or all of the Incomeof the Trust.(2) Subject to Article 48(3), Incomeof the Trustwhich is not accumulated under Article 48(1) must be distributed.(3) Subject to the Terms of the Trustand subject to any prior interests or charges affecting the Trust Property, where a Beneficiaryis a Minorand whether or not the Beneficiary'sinterest:(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;the Trusteemay:(C) accumulate the Incomeattributable to the interest of such Beneficiarypending the attainment of the age of majority or such later age or the occurrence of such event;(D) apply such Incomeor part of it to or for the maintenance, education or other benefit of such Beneficiary; or(E) advance or appropriate to for the benefit of any such Beneficiarysuch interest or part of such interest.(4) The receipt by a parent or the lawful guardian of a Beneficiarywho is a Minormust be a sufficient discharge of the Trustee'sobligations for a payment made under Article 48(3). Amended (as from 24th December 2017).
Article 49 - Delegation by a Trustee(1) A
Trusteemust not delegate its powers unless permitted to do so by these Regulationsor by the Terms of the Trust.(2) Subject to Article 49(1), a Trusteemay delegate duties and powers that a prudent Trusteeof comparable skills could properly delegate under the circumstances. The Trusteemust 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 and Terms 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 the Trustto exercise reasonable care to comply with the terms of the delegation.(4) A Trusteewho complies with Article 49(1) and otherwise acts in good faith is not liable to the Beneficiaries or to the Trustfor 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 or Personsto act in relation to any of the affairs of the Trustor to hold any of the Trust Property.(6) A Trusteemay authorise a Personreferred 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 the
Terms of the Trust, a Trusteemay combine two or more Trustsinto a single Trustor divide a Trustinto two or more separate Trusts, if the result does not impair rights of any Beneficiaries or adversely affect achievement of the purposes of the Trusts.(2) Subject to the tTrms of the Trust, where a Trusteedivides a Trustinto two or more separate Trusts, it must have the power to appoint Trusteesfor such Trusts. 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 these
Regulationsand to the Terms of the Trust, a Trusteeis liable for a breach of trust committed by the Trusteeor in respect of which the Trusteehas granted its approval.(2) A Trusteewho is liable for a breach of trust is liable for:(A) the loss or depreciation in value of the Trust Propertyresulting from such breach; and(B) the profit, if any, which would have accrued to the Trust Propertyif there had been no such breach.(3) Where there are two or more breaches of trust, a Trusteemust not set off a gain from one breach of trust against the loss resulting from another breach of trust.(4) A Trusteeis not liable for a breach of trust committed prior to its appointment, if such breach of trust was committed by some other Person.(5) A Trusteeis 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- Trusteeto 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 the Trust Propertyor prevent such breach.(6) A Beneficiarymay:(A) relieve a Trusteeof liability to it for a breach of trust; or(B) indemnify a Trusteeagainst liability for a breach of trust.(7) Article 51(6) will not apply unless the Beneficiary:(A) has legal capacity;(B) has full knowledge of all material facts; and(C) is not improperly induced by the Trusteeto take action under Article 51(6).(8) Where two or more Trusteesare liable in respect of a breach of trust, they must be liable jointly and severally.(9) A Trusteewho 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 the Terms of the Trustmust relieve, release, or exonerate a Trusteefrom 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 Courtmay:(1) compel the Trusteeto perform the Trustee'sduties;(2) restrain the Trusteefrom committing a breach of trust;(3) compel the Trusteeto redress a breach of trust by paying money, restoring Property, or other means;(4) order a Trusteeto account;(5) appoint a special fiduciary to take possession of the Trust Propertyand administer the Trust;(6) suspend the Trustee;(7) remove the Trusteeas provided in Article 35;(8) reduce or deny remuneration to the Trustee;(9) subject to Article 60, invalidate an act of the Trustee, impose a lien or a constructive trust on the Trust Property, or trace Trust Propertywrongfully disposed of and recover the Propertyor 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 the
Terms of the Trust, a Trusteeis accountable to the Trustfor any profit made by the Trusteearising from the administration of the Trust, even where there has been a breach of trust.(2) Except as expressly provided in the Terms of the Trust, absent a breach of trust, a Trusteeis not liable for a loss or depreciation in the value of the Trust Propertyor 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, the QFC 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 the Trustthat 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) a
Personmay not commence a proceeding against a Trusteefor breach of trust more than three (3) years after the date such Personor a representative of such Personreceives a report from the Trusteethat adequately disclosed information that could form the basis for a potential claim for breach of trust and informed such Personor 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 such Personor 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 such Personagainst a Trusteefor breach of trust must be commenced within seven (7) years after the first to occur of:(A) the removal, resignation, or death of the Trustee;(B) in relation to a claim by a Beneficiary, the termination of the Beneficiary'sinterest in the Trust; or(C) the termination of the Trust.(4) No period of limitation will apply to an action brought against a Trustee:(A) in respect of any fraud to which the Trusteewas a party or to which the Trusteewas privy; or(B) to recover from the Trusteethe Trust Property:(i) in the Trustee'spossession;(ii) under the Trustee'scontrol; or(iii) previously received by the Trusteeand converted to the Trustee'suse.(5) This Article applies also to proceedings brought against an Enforcer. Amended (as from 24th December 2017).
Article 56 - Reliance on Trust instrument
Personwho acts in reasonable reliance on the Terms of the Trustas expressed in the TrustInstrument 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
Trustrelieving a Trusteeof liability for breach of trust is unenforceable to the extent that it:(A) relieves the Trusteeof liability for breach of trust committed in bad faith or with reckless indifference to the purposes of the Trustor the interests of the Beneficiaries; or(B) was inserted as the result of an abuse by the Trusteeof a fiduciary or confidential relationship with the Settlor. Amended (as from 24th December 2017).
Article 58 - Beneficiary's consent, release or ratification
Subject to Article 51(10), a
Trusteeis not liable to a Beneficiaryfor breach of trust if the Beneficiaryconsented to the conduct constituting the breach, released the Trusteefrom 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 the Beneficiarywas induced by improper conduct of the Trustee; or(B) at the time of the consent, release, or ratification, the Beneficiarydid not know of the Beneficiary'srights 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, a
Trusteeis not personally liable on a contract properly entered into in the Trustee'sfiduciary capacity in the course of administering the Trustif the Trusteein the contract disclosed the fiduciary capacity.(2) A Trusteeis personally liable for torts committed in the course of administering a Trust, or for obligations arising from ownership or control of the Trust Propertyonly if the Trusteeis personally at fault.(3) A claim based on a contract entered into by a Trusteein the Trustee'sfiduciary capacity or an obligation arising from ownership or control of the Trust Property, or on a tort committed in the course of administering a Trust, may be asserted in a judicial proceeding against the Trusteein the Trustee'sfiduciary capacity, whether or not the Trusteeis personally liable for the claim. Amended (as from 24th December 2017).
Article 60 - Protection of Persons dealing with Trustees(1) A
Personother than a Beneficiarywho in good faith assists a Trustee, or who in good faith and for value deals with a Trustee, without knowledge that the Trusteeis exceeding or improperly exercising the Trustee'spowers is protected from liability as if the Trusteeproperly exercised the power.(2) A Personother than a Beneficiarywho in good faith deals with a Trusteeis not required to inquire into the extent of the Trustee'spowers or the propriety of their exercise.(3) A Personwho in good faith delivers assets to a Trusteeneed not ensure their proper application.(4) A Personother than a Beneficiarywho in good faith assists a former Trusteeor who in good faith and for value deals with a former Trustee, without knowledge that the trusteeship has terminated is protected from liability as if the former Trusteewere still a Trustee.(5) Comparable protective provisions of other Regulationsor 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) A
Trust Instrumentmay contain provisions by virtue of which the exercise by the Trusteesof any of their powers is subject to the previous consent of the Settloror some other Personas Protector, and if so provided in the Trust Instrumentthe Trusteesis not liable for any loss caused by their actions if the previous consent was given and the Trusteesacted in good faith.(2) The Trust Instrumentmay confer on the Settloror on the Protector any power, including without limitation the power to:(A) determine the law of the jurisdiction which will be the Governing Lawof the Trust;(B) change the forum of administration of the Trust;(C) remove Trustees;(D) appoint new or additional Trustees;(E) exclude any Personas a Beneficiary;(F) add any Personas a Beneficiaryin addition to any existing Beneficiary;(G) give or withhold consent to specified actions of the Trusteeeither conditionally or unconditionally; or(H) release any of the Protector's powers.(3) A Personexercising 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 a Trustee.(4) A Personmay charge reasonable remuneration for its services as Protector unless otherwise provided by the Trust 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 a
Trustis not void because the Settloris (whether solely or with others) a Beneficiary, Enforceror Protectorof the Trust. Neither is the disposition void because the Settlorreserved to itself any of the following powers:(A) to appoint new, add or remove any Trustees, Protectors, Enforcers or Beneficiaries;(B) to determine or change the Governing Law of the Trustand the principal place of administration of the Trust;(C) to restrict the exercise of any powers or discretions of the Trusteeby requiring that they must only be exercisable with the consent of the Settloror any other Personspecified in the Trust Instrument;(D) to give binding directions to the Trusteein connection with the management, pledging or sale of the Trust Propertyor adding to it additional property;(E) to distribute, appoint, use or advance the Trust Propertyor 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 the Trust;(G) to appoint or remove any investment manager or investment adviser or any other Personacting in such capacity in relation to the affairs of the Trustor any Trust Property;(H) to revoke the Trustor vary or amend the Terms of the Trustor 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 the Trust.(2) The reservation or exercise of a power or right referred to in this Article does not of itself render any Trusteeliable in respect of any loss to the Trust 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), a
Foreign Trustwill be regarded as being governed by, and will be interpreted in accordance with its Governing Law.(2) A Foreign Trustwill be unenforceable in the QFC:(A) to the extent that it purports:(i) to do anything which is contrary to the laws of the QFC; or(ii) to confer any right or power or impose any obligation the exercise of which is contrary to the laws of the QFC; or(B) to the extent that the QFC Courtdeclares that the Trustis 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
Prescribed Formsand Prescribed Feesare issued by the QFC Authorityunder these Regulations. Inserted (as from 24th December 2017).
Article 64 - General Contraventations(1) For the purposes of these
Regulations, a Personcontravenes a relevant requirement if it:(A) fails to comply with any prohibition or requirement imposed on it by the QFC Authorityor any undertaking given by it to the QFC Authorityand 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 the Personis required to do under any law, regulations or rules;(D) otherwise commits any contravention described as such in these Regulations.(2) In this Article 64, "Person" does not include the QFC Authority, the Regulatory Authority, or the CRO. Inserted (as from 24th December 2017).
Article 65 - Involvement in Contraventions(1) A
Personwho is knowingly concerned in a contravention of these Regulationsor any other Regulationsconferring functions on the QFC Authoritywhich is committed by another Personalso commits the contravention.(2) For the purposes of this Article 65, a Personis "knowingly concerned" in a contravention if, and only if, the Person:(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 the QFC Authority, the Regulatory Authorityor the CROfrom detecting, investigating or prosecuting a contravention.(3) In this Article 65, "Person" does not include the QFC Authority, the Regulatory Authorityor the CRO. Inserted (as from 24th December 2017).
Article 66 - Imposition of Financial Penalties(1) The
QFC Authoritymay, in Rules, prescribe procedures in relation to the imposition and recovery of financial penalties under these Regulations.(2) Where the QFC Authorityconsiders that a Personhas contravened a provision in these Regulationsand in relation to which a penalty is stipulated in the Rules (or elsewhere), the QFC Authoritymay impose by written notice given to the Persona 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) the Personpays the prescribed penalty to the QFC Authority, then no proceedings may be commenced by the QFC Authorityagainst the Person in respect of the relevant contravention; or(B) the Persontakes such action as is prescribed in any rules made by the QFC Authorityto object to the imposition of the penalty or has not paid the prescribed penalty to the QFC Authority, the QFC Authoritymay apply to the QFC Courtfor, and the QFC Courtmay so order, the payment of the penalty or so much of the penalty as is not paid and make any further order as the QFC Courtsees fit for recovery of the penalty.(4) A certificate that purports to be signed by or on behalf of the QFC Authorityand 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 the Person; 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 the QFC Authority, the Regulatory Authority, or the CRO. 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 Authorityand the QFC Authoritywill have all powers required to conduct such investigation, including the power to compel the production of all records held by the Trusteeand the Trustoperating in or established under the laws of the QFC, as well as their attorneys, notaries, other independent legal professionals and accountants, and other Personsproviding services to such Trusteeor Trust. Pursuant to such investigation, the Regulatory Authorityand the QFC Authoritywill have the power to search Personsand premises, including compelling the Trusteeor the Trustto identify the Trust 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) An
Interested Personmay apply to the QFC Courtto take, in respect of a Trust, any of the actions specified in this Part.(2) Where the QFC Courtconsiders that a Person'sinterest in a Trustis sufficiently close that the Personought to be treated as an Interested Person, the QFC Courtmay determine that the Personis an Interested Personfor the purposes of these Regulations. Inserted (as from 24th December 2017).
Article 68 - Power of the QFC Court to order compliance(1) If the
QFC Courtis satisfied that, in respect of a Trust, a Personhas failed to comply with:(A) a requirement of these Regulations, Rules, or the Terms of the Trust; or(B) an obligation imposed on the Personby these Regulations, Rules, or by the Terms of the Trust; the QFC Courtmay, by order, require the Personto comply with the requirement or obligation.(2) If the QFC Courtis satisfied that a Trusthas failed to carry out its objects or any of them, the Court may, by order, require the Trustto do so.(3) If the QFC Courtis satisfied that, in respect of a Trust, a Personhas failed to comply with the requirement under Article 16A(5) to register a Pre-Existing Trust, the QFC Courtmay order that the Trustis established, valid and binding and direct the QFC Authorityto register the Pre-Existing Trust, if the QFC Courtis 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 the QFC Courtis satisfied that, in respect of a Trust, a Personhas failed to comply with the requirement under Article 16A(5) to register a Trust, the QFC Courtmay order that the Trustis established, valid and binding provided that QFC Courtis satisfied that:(A) the Trustwould otherwise be in compliance with the provisions of these Regulations; and(B) the Trustcould be registered as a QFC Trust; and(C) it is in the interests of justice to do so.(5) An order under this Article may specify the action that a Personor Trustis 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) The
QFC Courtmay order the amendment of the Terms of the Trustif the QFC Courtis satisfied:(A) that the change will assist the Trustto administer its assets or to attain its objects; or(B) that those objects are no longer attainable and that the change will assist the Trustto attain objects as near as reasonably possible to those objects.(2) Without limiting Article 69(1), the QFC Courtmay make an order under Article 69(1) in the event that the Terms of the Trustcannot 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 the
QFC Courtis satisfied:(A) that if it gives a direction it will assist a Trustto administer its assets or to carry out its objects; or(B) that it is otherwise desirable for the QFC Courtto give a direction.(2) The QFC Courtmay give a direction as to:(A) the meaning and effect of a provision of the Terms of the Trust;(B) the manner in which a Trusteeor Enforceris required to carry out the administration of the Trust'sassets or the carrying out of its objects;(C) the functions of any other Personappointed under the Terms of the Trust;(D) the functions of a Trustee;(E) whether a Personis a Beneficiary;(F) the rights of Beneficiaries under the Trustas between themselves or as between themselves and the Trust;(G) such other matters as the QFC Courtconsiders relevant to the Trust, the Terms of the Trust, the administration of its assets or the carrying out of its objects;(H) the provision of a copy of the Trust Instrumentor the Terms of the Trustto a particular Person.(3) The QFC Courtmay, 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
QFC Courtmay by order appoint a Personto protect the interests of a Personwhich the QFC Courtis satisfied is or may become a Beneficiaryunder a Trust, where:(1) the Personis unborn; or(2) the QFC Courtis satisfied that the Personis 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
QFC Courtis satisfied that it is in the interest of a Trustto do so, it may order:(A) the removal of a Trustee; or(B) the appointment of a Personto be a Trustee, 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 the
QFC Courtis satisfied, in respect of a Trust, that a Personhas failed to comply with:(A) a requirement of these Regulations, Rules, or the Terms of the Trust; or(B) an obligation imposed on the Personby these Regulations, Rules, or the Terms of the Trust.(2) The QFC Courtmay order the QFC Authorityto comply with the requirement or obligation on behalf of the Personwho has failed to do so.(3) The QFC Courtmust not do so unless it is satisfied:(A) that to do so will assist the Trustin 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 the QFC Courtdoes so, its order has the same effect as if it were an action taken by the Personrequired 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 the
QFC Courtunder this Part in respect of a Trustmay, in particular, provide for the appointment or removal of a Personappointed under the Terms of the Trust.(2) Any order made by the QFC Courtunder this Part:(A) may be made on such terms; and(B) may impose such conditions,as the QFC Courtthinks fit. Inserted (as from 24th December 2017).
Article 75 - Power of the QFC Court to set aside a disposition
QFC Courtmay on the application of the Settlordeclare that a transfer or other disposition of property to a QFC Trustis 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 the QFC Courtto 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 any
Trustproperty a transaction cannot be effected as a result of an absence of power vested in the Trusteeby law or by the Trust Instrument, the QFC Courtmay, by order, confer on the Trusteeeither generally or in a particular instance, the necessary power for that purpose on such terms and conditions as the QFC Courtthinks fit, including directions as to the expenditure of money.(2) The QFC Courtmay 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 these
Regulations, 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 these Regulations, includes publishing or causing to be published in printed or electronic form;(C) a Personincludes any natural Person, 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 these Regulationsdo not affect their interpretation.(3) A reference in these Regulationsto 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 these Regulationsto 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 these Regulations.(5) A reference in an Article or other division of these Regulationsto 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 these Regulationsin which that reference occurs.(6) Any reference in these Regulationsto “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 Personentitled to benefit under a Trustor in whose favour a discretion to distribute Propertyheld on Trustmay 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 these Regulationsand the QFCA Rules, a Personexercises control over a Settlor, Trustee, Beneficiaryor Protector(“Trust Persons”) where the Person:(A) holds 25% or more of the shares in the Trust Person;(B) is entitled to exercise, or controls the exercise of, 25% or more of the voting power in the Trust Person;(C) is able to exercise significant influence over the management of the Trust Personby virtue of shareholding or voting power, or by contractual or other arrangements, including but not limited to the Trust Person'sboard 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 to Personsin positions described above in paragraphs (A) to (C), by participating in the financing of the enterprise, or through historical or contractual associations with the Trust Person.(2) for purposes of this Article:(A) shares:(i) in relation to a Trust Personwith a share capital, means allotted shares;(ii) in relation to a Trust Personwith capital but no share capital, means rights to share in the capital of the Trust Person; and(iii) in relation to a Trust Personwithout capital, means interests conferring any right to share in the profits, or liability to contribute to the losses, of the Trust Person; or giving rise to any obligation to contribute to the debts or expenses of the Trust Personin the event of winding up; and(B) voting power, in relation to a Trust Personwhich 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 Trustin which the Settlorhas delegated complete or limited discretion to the Trusteeto decide, among other things:(a) when and how much Incomeor Propertyis distributed to a Beneficiary; 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 Trustcreated with the Settlor'sexpress intent declared in writing or a written declaration of Trustby the Trustee. Enforcer in relation to a Trust, means a Personwho is appointed under a Trust Instrument to ensure that the purpose of the Trustis achieved. Foreign Law means any laws, regulations and rules other than the laws of the QFC. Foreign Trust means a Trustwhose 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 Propertyof a Personarising, accruing or existing in consequence of, or in anticipation of, that Person'sdeath, other than any such right, claim or interest created by will or other voluntary disposition by such Personor resulting from an express limitation in the disposition of the Propertyof such Person. Income means all income including rents and profits. Interested Person means any of the following Persons:(a) the Settlor;(b) if any rights the Settlorhad in respect of the Trustand its assets have been assigned to some other Person, that other Person;(c) a Protector;(d) an Enforcer;(e) a Personappointed under the Trust Instrument;(f) a Beneficiary;(g) the QFC Authorityor the Regulatory Authority;(h) a Personwho, in the view of the QFC Court, can reasonably claim to speak on behalf of an object or purpose of the Trust; and(i) a Personwho the QFC Courtdetermines to be a Personwith sufficient interest in the Trustfor the purposes of these Regulations. 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 Personwho has not attained the age of majority under the Governing Lawof the Trustor 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 Trustthat is designed to protect the Trust Propertyto ensure the continued support of the Beneficiary. Protector in relation to a Trust, means a Personappointed under a Trust Instrumentto 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 Trustwhose Governing Lawis QFCLaw. Register means a register of Trustsmaintained by the QFC 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 Authorityunder these Regulations from time to time. Settlor means a Personwho provides Trust Propertyor makes a testamentary disposition on Trustor to a Trust. Terms of the Trust means the written or oral terms of the Trustor any other terms applicable under its Governing Law. Trust means a right, enforceable solely in equity, to the beneficial enjoyment of the Property to which another Personholds 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 Trustis created and includes a unilateral declaration of Trustand any instrument varying the Terms of the Trust. Trust Property means the Propertyfor the time being held in Trust. Trustee means a Personappointed to act as a trustee of a Trustin accordance with the provisions of these Regulations.
Amended (as from 24th December 2017).