TRUSTEE ACT 1936 - SECT 59C
TRUSTEE ACT 1936 - SECT 59C
59C—Power of Court to authorise variations of trust
(1) The Supreme Court
may, on the application of a trustee, or of any person who has a vested,
future, or contingent interest in property held on trust—
(a) vary
or revoke all or any of the trusts; or
(b)
where trusts are revoked—
(i)
distribute the trust property in such manner as the Court
considers just; or
(ii)
resettle the trust property upon such trusts as the Court
thinks fit; or
(c)
enlarge or otherwise vary the powers of the trustees to manage or administer
the trust property.
(2) In any proceedings
under this section the interests of all actual and potential beneficiaries of
the trust must be represented, and the Court may appoint counsel to represent
the interests of any class of beneficiaries who are at the date of the
proceedings unborn or unascertained.
(3) Before the Court
exercises its powers under this section, the Court must be satisfied—
(a) that
the application to the court is not substantially motivated by a desire to
avoid, or reduce the incidence of tax; and
(b) that
the proposed exercise of powers would be in the interests of beneficiaries of
the trust and would not result in one class of beneficiaries being unfairly
advantaged to the prejudice of some other class; and
(c) that
the proposed exercise of powers would not disturb the trusts beyond what is
necessary to give effect to the reasons justifying the exercise of the powers;
and
(d) that
the proposed exercise of powers accords as far as reasonably practicable with
the spirit of the trust.
(4) An order made by
the Supreme Court in the exercise of powers conferred by this section is
binding upon all present and future trustees and beneficiaries of the trust.
(5) This section does
not apply to—
(a) a
trust affecting property settled by an Act; or
(b) a
charitable trust.
(6) This section does
not derogate from any other power of the Supreme Court to vary or revoke a
trust, or to enlarge or otherwise vary the powers of trustees.