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).