Article 39 - Duties of Trustees

(1) Subject to the Terms of the Trust, a Trustee must so far as is reasonably practical preserve the value of the Trust Property.
(2) Except with the approval of the QFC Court or as permitted by these Regulations or expressly provided by the Terms of the Trust, a Trustee must not:
(A) directly or indirectly profit from its trusteeship;
(B) cause or permit any other Person to profit directly or indirectly from such trusteeship; or
(C) on its own account enter into any transaction with the Trustees or relating to the Trust Property which may result in such profit.
(3) Subject to Article 60, a sale, encumbrance, or other transaction involving the investment or management of the Trust Property entered into by the Trustee for the Trustee's own personal account or which is otherwise affected by a conflict between the Trustee's fiduciary and personal interests is voidable by a Beneficiary affected 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 Beneficiary did not commence judicial proceedings within the time allowed by Article 55; or
(D) the Beneficiary consented to the Trustee's conduct or ratified the transaction.
(4) A Trustee must keep accurate accounts and records of its trusteeship. Such accounts and records must be maintained for a period of five (5) years from the date that the Trustee ceases to be trustee.
(5) A Trustee must keep Trust Property separate from its personal property and separately identifiable from any other property of which it is a Trustee.
(6) A Trustee must disclose its capacity as a Trustee in all business relationships entered into with a financial institution or a DNFBP.
Amended (as from 24th December 2017).
Amended (as from 6th July 2021)