{"id":"nsw:act-1993-010","name":"Charitable Trusts Act 1993","slug":"charitable-trusts-act-1993","collection":"act","jurisdiction":"nsw","status":"in_force","isInForce":true,"actNumber":"10 of 1993","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":106031,"registerId":"nsw-act-1993-010-current","compilationNumber":null,"startDate":"2026-04-03","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"Part 1","sectionType":"part","heading":"Preliminary","content":"# Part 1 Preliminary\n\nPart 1 Preliminary","sortOrder":0},{"sectionNumber":"1","sectionType":"section","heading":"Name of Act","content":"#### 1 Name of Act\n\n1 Name of Act\n\n> This Act may be cited as the [Charitable Trusts Act 1993](/view/html/inforce/current/act-1993-010).","sortOrder":1},{"sectionNumber":"2","sectionType":"section","heading":"Commencement","content":"#### 2 Commencement\n\n2 Commencement\n\n> This Act commences on a day or days to be appointed by proclamation.","sortOrder":2},{"sectionNumber":"3","sectionType":"section","heading":"Definitions","content":"#### 3 Definitions\n\n3 Definitions\n\n> In this Act:\n> \n> charitable trust means any trust established for charitable purposes and subject to the control of the Court in the exercise of the Court’s general jurisdiction with respect to charitable trusts.\n> \n> Court means the Supreme Court of New South Wales.\n> \n> trust property means any property subject to the charitable trust concerned.","sortOrder":3},{"sectionNumber":"4","sectionType":"section","heading":"Application of Act","content":"#### 4 Application of Act\n\n4 Application of Act\n\n> > (1) This Act applies in respect of a charitable trust even though:\n> > \n> > > (a) it was established outside New South Wales, or\n> > \n> > > (b) the trust property is not situated in New South Wales, or\n> > \n> > > (c) the trustees are not domiciled or resident in New South Wales.\n> \n> > (2) This Act applies to a trust created before or after the commencement of this section, except as otherwise provided by this Act.\n> \n> > (3) This Act does not apply to the exclusion of the provisions of any other Act relating to charitable trusts.","sortOrder":4},{"sectionNumber":"Part 2","sectionType":"part","heading":"Protection of charitable property","content":"# Part 2 Protection of charitable property\n\nPart 2 Protection of charitable property","sortOrder":5},{"sectionNumber":"5","sectionType":"section","heading":"Definition of “charitable trust proceedings”","content":"#### 5 Definition of “charitable trust proceedings”\n\n5 Definition of “charitable trust proceedings”\n\n> > (1) In this Part, charitable trust proceedings means proceedings in the Court brought, whether by any trustee of a charitable trust or by any other person, under the Court’s statutory or general jurisdiction with respect to any breach or supposed breach of a charitable trust, or with respect to the administration of a charitable trust.\n> \n> > (2) However, in this Part charitable trust proceedings does not include:\n> > \n> > > (a) proceedings for the bringing of any appeal, or\n> > \n> > > (b) proceedings relating merely to the construction of a trust instrument.","sortOrder":6},{"sectionNumber":"6","sectionType":"section","heading":"Bringing of certain charitable trust proceedings to be authorised by Attorney General or by leave","content":"#### 6 Bringing of certain charitable trust proceedings to be authorised by Attorney General or by leave\n\n6 Bringing of certain charitable trust proceedings to be authorised by Attorney General or by leave\n\n> > (1) Charitable trust proceedings are not to be commenced in the Court unless:\n> > \n> > > (a) the Attorney General has authorised the bringing of the proceedings, or\n> > \n> > > (b) leave to bring the proceedings is obtained from the Court.\n> \n> > (2) The Court is not to give such leave unless satisfied that the Attorney General has been given an opportunity to consider whether to authorise the proceedings or that the referral of the matter to the Attorney General is not appropriate because of the urgency of the matter or other good cause.\n> \n> > (2A) Any such authority or leave may also be given after charitable trust proceedings have been brought so as to enable the continuation of those proceedings.\n> \n> > (3) A person who does not otherwise have standing may bring charitable trust proceedings if authorised by the Attorney General to bring those proceedings.\n> \n> > (4) Nothing in this section applies to the bringing by the Attorney General, with or without a relator, of charitable trust proceedings or any other proceedings relating to a charitable trust.\n> \n> **s 6:** Am 1999 No 85, Sch 1.5.","sortOrder":7},{"sectionNumber":"7","sectionType":"section","heading":"Extension of powers of Court to protect charitable property","content":"#### 7 Extension of powers of Court to protect charitable property\n\n7 Extension of powers of Court to protect charitable property\n\n> > (1) If the Court, in charitable trust proceedings, is satisfied that:\n> > \n> > > (a) there has been any misconduct or mismanagement in the administration of a charitable trust, and\n> > \n> > > (b) it is necessary or desirable to act for the purpose of protecting existing or future trust property or securing a proper application, for the purpose of the charitable trust, of existing or future trust property,\n> > \n> > the Court may, without limiting any other powers of the Court, make one or more of the orders specified in subsection (2).\n> \n> > (2) The orders which may be made by the Court are as follows:\n> > \n> > > (a) an order removing any or all trustees of the charitable trust,\n> > \n> > > (b) an order appointing a person as a trustee of the charitable trust,\n> > \n> > > (c) an order precluding the employment or engagement of a person in the affairs of the charitable trust,\n> > \n> > > (d) an order directing any bank or person who holds property of the charitable trust not to part with the property without the approval of the Court or the Attorney General (or a person authorised by the Attorney General) or of some other person,\n> > \n> > > (e) an order restricting the transactions which may be entered into or the nature or amount of the payments which may be made, in the administration of the charitable trust, without the approval of the Court or the Attorney General (or a person authorised by the Attorney General) or of some other person,\n> > \n> > > (f) an order appointing a receiver of the property of the charitable trust,\n> > \n> > > (g) an order which is necessary or convenient to be made for giving effect to an order referred to in this subsection.\n> \n> > (3) A person appointed by order of the Court under this section as a receiver of the property of a charitable trust:\n> > \n> > > (a) may require the trustees to deliver to the receiver any property of which the person has been appointed receiver or to give to the receiver all such information concerning that property as may reasonably be required, and\n> > \n> > > (b) may acquire and take possession of any property of which the person has been appointed receiver, and\n> > \n> > > (c) may deal with any property that the person has acquired or of which the person has taken possession in any manner in which the trustees might lawfully have dealt with the property, and\n> > \n> > > (d) has such other powers and duties in respect of the property as the Court specifies in the order.\n> \n> > (4) Nothing in the terms of any charitable trust precludes the Court from making any order it is empowered by this section to make or affects the operation of any such order.\n> \n> > (5) In this section and section 8, misconduct or mismanagement includes the remuneration of persons acting in the affairs of the charitable trust concerned, or for other administrative purposes, by payments which are excessive in relation to the duties of the persons so acting.","sortOrder":8},{"sectionNumber":"8","sectionType":"section","heading":"Provisions relating to removal of trustees etc","content":"#### 8 Provisions relating to removal of trustees etc\n\n8 Provisions relating to removal of trustees etc\n\n> Without limiting the powers of the Court, the Court may, under section 7, remove a trustee of a charitable trust:\n> \n> > (a) if the trustee has been responsible for or participated in misconduct or mismanagement in the administration of the charitable trust or has by the trustee’s conduct contributed to it or facilitated it, or\n> \n> > (b) if the trustee has been convicted, whether in New South Wales or elsewhere, of any offence involving fraud or dishonesty, or\n> \n> > (c) if the trustee has become mentally incapacitated, or\n> \n> > (d) if the trustee has become bankrupt, has applied to take the benefit of any law for the relief of bankrupt or insolvent debtors, has compounded with his or her creditors or has made an assignment of his or her remuneration for their benefit, or\n> \n> > (e) if the trustee is a corporation:\n> > \n> > > (i) which is in the course of being wound up, or\n> > \n> > > (ii) which is under official management, or\n> > \n> > > (iii) in respect of which a receiver or manager has been appointed, whether by the Court or pursuant to the powers contained in any instrument or otherwise, or\n> > \n> > > (iv) which has entered into a compromise or scheme of arrangement with its creditors, or\n> > \n> > > (v) in respect of which a writ of execution or other process has been issued on a judgment, decree or order of any court in favour of a creditor of the corporation and has been returned unsatisfied in whole or in part.","sortOrder":9},{"sectionNumber":"Part 3","sectionType":"part","heading":"Application of charitable property cy pres","content":"# Part 3 Application of charitable property cy pres\n\nPart 3 Application of charitable property cy pres","sortOrder":10},{"sectionNumber":"9","sectionType":"section","heading":"Extension of the occasions for applying trust property cy pres","content":"#### 9 Extension of the occasions for applying trust property cy pres\n\n9 Extension of the occasions for applying trust property cy pres\n\n> > (1) The circumstances in which the original purposes of a charitable trust can be altered to allow the trust property or any part of it to be applied cy pres include circumstances in which the original purposes, wholly or in part, have since they were laid down ceased to provide a suitable and effective method of using the trust property, having regard to the spirit of the trust.\n> \n> > (2) References in this section to the original purposes of a charitable trust are to be construed, if the application of the trust property or any part of it has been altered or regulated by a scheme or otherwise, as references to the purposes for which the trust property are for the time being applicable.","sortOrder":11},{"sectionNumber":"10","sectionType":"section","heading":"Requirement for general charitable intention of donor","content":"#### 10 Requirement for general charitable intention of donor\n\n10 Requirement for general charitable intention of donor\n\n> > (1) This Part does not affect the requirement that trust property can not be applied cy pres unless it is given with a general charitable intention.\n> \n> > (2) However, a general charitable intention is to be presumed unless there is evidence to the contrary in the instrument establishing the charitable trust.","sortOrder":12},{"sectionNumber":"11","sectionType":"section","heading":"Duty of trustee to secure application of trust property cy pres","content":"#### 11 Duty of trustee to secure application of trust property cy pres\n\n11 Duty of trustee to secure application of trust property cy pres\n\n> A charitable trust places a trustee under a duty, if the case permits and requires the trust property or any part of it to be applied cy pres, to secure its effective use for charitable purposes by taking steps to enable it to be so applied.","sortOrder":13},{"sectionNumber":"Part 4","sectionType":"part","heading":"Schemes by Attorney General for administration of charitable trusts","content":"# Part 4 Schemes by Attorney General for administration of charitable trusts\n\nPart 4 Schemes by Attorney General for administration of charitable trusts","sortOrder":14},{"sectionNumber":"12","sectionType":"section","heading":"Attorney General may establish schemes","content":"#### 12 Attorney General may establish schemes\n\n12 Attorney General may establish schemes\n\n> > (1) The Attorney General may by order establish a scheme for the administration of any charitable trust. In particular, the Attorney General may by such an order:\n> > \n> > > (a) establish a scheme for the alteration of the original purposes of a charitable trust so as to enable the trust property or any part of it to be applied cy pres if it appears to the Attorney General that the trust property or any part of it may be so applied, or\n> > \n> > > (b) establish a scheme to extend or vary the powers of trustees of a charitable trust or prescribe or vary the manner or mode of administration of any charitable trust, either generally or in a particular case, if it appears to the Attorney General that it is expedient to do so in the interests of the administration of the charitable trust, or\n> > \n> > > (c) in the case of 2 or more charitable trusts, establish a scheme to authorise the trustees to use common premises or employ common staff in the administration of the trusts, to pool the trust property for the purpose of investment, or otherwise to combine for any purpose of administration of the trusts.\n> \n> > (2) Without limiting the generality of any provision of this Part, a scheme under this Part may vest in any trustees of a charitable trust who desire to sell, mortgage or lease the trust property or any part of it, but who cannot do so for lack of power vested in them by the instrument (if any) creating the trust or by law, the necessary power for such a sale, mortgage or lease.\n> \n> > (3) If there are no trustees of a charitable trust, a scheme under this Part may appoint trustees for the purposes of the scheme.\n> \n> > (4) A scheme for the administration of a charitable trust established by the Attorney General under this Part has the same effect as it would have if it had been established by the Court.","sortOrder":15},{"sectionNumber":"13","sectionType":"section","heading":"Application etc for establishment of scheme by Attorney General","content":"#### 13 Application etc for establishment of scheme by Attorney General\n\n13 Application etc for establishment of scheme by Attorney General\n\n> > (1) The Attorney General may establish a scheme under this Part:\n> > \n> > > (a) on the application of all or any of the trustees, or\n> > \n> > > (b) in a special case—on the Attorney General’s own initiative, or\n> > \n> > > (c) in accordance with a referral from the Court under subsection (2).\n> \n> > (2) If the Court directs that a scheme for the administration of a charitable trust be established, the Court may, by order, refer the matter to the Attorney General for the Attorney General to establish the scheme in accordance with the directions (if any) of the Court.","sortOrder":16},{"sectionNumber":"14","sectionType":"section","heading":"Restrictions on power of Attorney General to establish schemes","content":"#### 14 Restrictions on power of Attorney General to establish schemes\n\n14 Restrictions on power of Attorney General to establish schemes\n\n> > (1) The Attorney General is not to establish a scheme under this Part if:\n> > \n> > > (a) the value of the trust property affected by the scheme exceeds $500,000 or, if another amount is prescribed by the regulations, that other amount, or\n> > \n> > > (b) the Attorney General is satisfied that the subject matter is, because of its contentious character or any special question of law or fact or for other reasons, more fit to be dealt with by the Court.\n> \n> > (2) This section does not apply to the establishment of a scheme in accordance with a referral from the Court.","sortOrder":17},{"sectionNumber":"15","sectionType":"section","heading":"Publicity for schemes proposed to be established by Attorney General","content":"#### 15 Publicity for schemes proposed to be established by Attorney General\n\n15 Publicity for schemes proposed to be established by Attorney General\n\n> > (1) The Attorney General is not to establish a scheme under this Part unless:\n> > \n> > > (a) the Attorney General (or a person authorised by the Attorney General) has, not less than 1 month previously, published in the Gazette or in a newspaper circulating throughout New South Wales a notice about the proposed scheme, and\n> > \n> > > (b) the Attorney General has given due consideration to any representations or suggestions made in respect of the proposed scheme by any person.\n> \n> > (2) A notice about a proposed scheme must:\n> > \n> > > (a) specify that the Attorney General proposes to establish a scheme under this Part, and\n> > \n> > > (b) give details of the proposed scheme or specify a place at which a copy of the proposed scheme may be inspected, and\n> > \n> > > (c) specify a period within which any person may make representations or suggestions to the Attorney General in respect of the proposed scheme.\n> \n> > (3) This section does not apply to the establishment of a scheme if:\n> > \n> > > (a) the scheme does not alter the original purposes of the charitable trust and the Attorney General is satisfied that the scheme should be established as a matter of urgency, or\n> > \n> > > (b) the value of the trust property affected by the scheme does not exceed $2,000 or, if another amount is prescribed by the regulations, that other amount, or\n> > \n> > > (c) the scheme is established in accordance with a referral from the Court.","sortOrder":18},{"sectionNumber":"16","sectionType":"section","heading":"Publication and commencement of schemes","content":"#### 16 Publication and commencement of schemes\n\n16 Publication and commencement of schemes\n\n> > (1) If the Attorney General makes an order under this Part establishing a scheme, the Attorney General must publish in the Gazette or in a newspaper circulating throughout New South Wales a copy of the order or brief details of the order and the address of the place at which a copy of the order may be inspected.\n> \n> > (2) Any such order does not take effect:\n> > \n> > > (a) until 21 days after its publication in accordance with this section or such later time as is specified in the order, or\n> > \n> > > (b) if an appeal against the order is duly made to the Court under this Part within that time, unless the order is confirmed or the appeal is withdrawn or lapses.\n> \n> > (3) An order establishing a scheme referred to in section 15 (3) may, despite anything in this section, specify that it takes effect on or at any time after its publication.","sortOrder":19},{"sectionNumber":"17","sectionType":"section","heading":"Revocation or variation of schemes","content":"#### 17 Revocation or variation of schemes\n\n17 Revocation or variation of schemes\n\n> > (1) The Attorney General may revoke a scheme established under this Part by a further order published in the same manner as the order establishing the scheme.\n> \n> > (2) The Attorney General may vary a scheme established under this Part by a further order published in the same manner as the order establishing the scheme. The provisions of this Part relating to the establishment of a scheme apply to any such variation of the scheme.","sortOrder":20},{"sectionNumber":"18","sectionType":"section","heading":"Appeal from orders of Attorney General relating to schemes","content":"#### 18 Appeal from orders of Attorney General relating to schemes\n\n18 Appeal from orders of Attorney General relating to schemes\n\n> > (1) If the Attorney General makes an order under this Part:\n> > \n> > > (a) any trustee of the charitable trust concerned, or\n> > \n> > > (b) with the leave of the Court, any other person,\n> > \n> > may appeal to the Court against the order within 21 days after the order is published under this Part or, with the leave of the Court, at any time after the order is so published.\n> \n> > (2) An appeal is to be made in accordance with the rules of the Court.\n> \n> > (3) The Court may, in determining the appeal, confirm, vary or quash the order.\n> \n> > (4) If the Court quashes the order, it may establish another scheme for the administration of the charitable trust or direct the Attorney General to establish another such scheme in accordance with the directions (if any) of the Court.\n> \n> > (5) A scheme purporting to be established by the Attorney General under this Part may not be challenged because of any alleged contravention of this Part, except in an appeal to the Court under this section.","sortOrder":21},{"sectionNumber":"19","sectionType":"section","heading":"Register of orders of Attorney General relating to schemes","content":"#### 19 Register of orders of Attorney General relating to schemes\n\n19 Register of orders of Attorney General relating to schemes\n\n> > (1) The Attorney General is to maintain a register of all orders made by the Attorney General under this Part.\n> \n> > (2) The register is to be open to inspection by any person during ordinary office hours.\n> \n> > (3) The regulations may make provision for or with respect to the maintenance and inspection of the register.","sortOrder":22},{"sectionNumber":"20","sectionType":"section","heading":"Immunity of Attorney General","content":"#### 20 Immunity of Attorney General\n\n20 Immunity of Attorney General\n\n> The Attorney General has, in relation to any matter or thing done or omitted by the Attorney General in connection with any scheme under this Part, the same immunities from liability as a Judge of the Court would have if the matter or thing were done or omitted by the Court.","sortOrder":23},{"sectionNumber":"21","sectionType":"section","heading":"Fees payable to Attorney General","content":"#### 21 Fees payable to Attorney General\n\n21 Fees payable to Attorney General\n\n> > (1) The Attorney General may, by the order establishing or varying a scheme under this Part, charge fees for the costs and expenses (including legal costs and disbursements) incurred by the Attorney General in connection with the establishment or variation of the scheme.\n> \n> > (2) Any such fees may be fixed as a percentage of the value of the trust property affected by the scheme (with or without any minimum fee).\n> \n> > (3) Any fees payable under this section are (unless paid by the applicant for the establishment or variation of the scheme) payable from the trust property concerned.\n> \n> > (4) An appeal may be made to the Court against an order under this Part in connection with the fees required to be paid under the order.","sortOrder":24},{"sectionNumber":"22","sectionType":"section","heading":"Determination of value of trust property for purposes of this Part","content":"#### 22 Determination of value of trust property for purposes of this Part\n\n22 Determination of value of trust property for purposes of this Part\n\n> For the purposes of this Part, the determination of the value of trust property is to be made by the Attorney General. The value is to be determined as at the date of the application for the scheme concerned or any other date the Attorney General considers convenient.","sortOrder":25},{"sectionNumber":"Part 4A","sectionType":"part","heading":"Gifts by certain trusts for philanthropic purposes","content":"# Part 4A Gifts by certain trusts for philanthropic purposes\n\nPart 4A Gifts by certain trusts for philanthropic purposes\n\n**pt 4A (ss 22A–22D):** Ins 2006 No 100, Sch 1 \\[1\\].","sortOrder":26},{"sectionNumber":"22A","sectionType":"section","heading":"Definitions","content":"#### 22A Definitions\n\n22A Definitions\n\n> In this Part:\n> \n> commencement day means the date of assent to the [Charitable Trusts Amendment Act 2006](/view/html/repealed/current/act-2006-100).\n> \n> eligible recipient means a deductible gift recipient within the meaning of the [Income Tax Assessment Act 1997](http://www.legislation.gov.au/) of the Commonwealth, whether or not the deductible gift recipient is a charity at law or (without limitation) is established for a charitable purpose or purposes.\n> \n> prescribed trust means a trust:\n> \n> > (a) that establishes and maintains a fund referred to in item 2 of the table in section 30-15 of the [Income Tax Assessment Act 1997](http://www.legislation.gov.au/) of the Commonwealth, or\n> \n> > (b) that is established for charitable or philanthropic purposes and is of a class prescribed by the regulations,\n> \n> whether created before, on or after the commencement day.\n> \n> trust instrument means the initial instrument establishing a prescribed trust, as modified by all validly executed amendments.\n> \n> **pt 4A (ss 22A–22D):** Ins 2006 No 100, Sch 1 \\[1\\].","sortOrder":27},{"sectionNumber":"22B","sectionType":"section","heading":"Prescribed trust—trust instrument containing express power to give to eligible recipients","content":"#### 22B Prescribed trust—trust instrument containing express power to give to eligible recipients\n\n22B Prescribed trust—trust instrument containing express power to give to eligible recipients\n\n> The trust instrument of a prescribed trust may include an express power for the trustees to provide money, property or benefits to or for an eligible recipient or for the establishment of an eligible recipient.\n> \n> **pt 4A (ss 22A–22D):** Ins 2006 No 100, Sch 1 \\[1\\].","sortOrder":28},{"sectionNumber":"22C","sectionType":"section","heading":"Prescribed trust—trust instrument not containing express power to give to eligible recipients","content":"#### 22C Prescribed trust—trust instrument not containing express power to give to eligible recipients\n\n22C Prescribed trust—trust instrument not containing express power to give to eligible recipients\n\n> > (1) The powers of the trustees of a prescribed trust, whose trust instrument does not contain an express power to do so, include a power to provide money, property or benefits to or for an eligible recipient or for the establishment of an eligible recipient.\n> \n> > (2) Subsection (1):\n> > \n> > > (a) applies despite any provision to the contrary in the trust instrument, but\n> > \n> > > (b) does not apply in relation to a particular eligible recipient or a particular class of eligible recipients to the extent that there is an express prohibition in the trust instrument against the provision by the trustees of money, property or benefits:\n> > > \n> > > > (i) to or for that eligible recipient or class of eligible recipients, or\n> > > \n> > > > (ii) for the establishment of that eligible recipient or class of eligible recipients.\n> \n> > (3) Subsection (1) does not apply to the trustees of a prescribed trust unless there is in force a declaration substantially to the effect of the form in Schedule 1 in respect of the prescribed trust.\n> \n> > (4) For the purpose of making a declaration under this section, the form in Schedule 1 may be modified so as to limit the application of the declaration to a specified eligible recipient or specified class of eligible recipients. If the declaration made in respect of a prescribed trust is so limited, subsection (1) in its application to the prescribed trust has effect only in relation to the specified eligible recipient or specified class of eligible recipients.\n> \n> > (5) The trustees must ensure that the declaration, or a certified copy of it, is retained with the records of the prescribed trust.\n> \n> > (6) The trustees are not under a duty to make a declaration under this section, nor are the trustees in breach of a duty in making a declaration under this section.\n> \n> **pt 4A (ss 22A–22D):** Ins 2006 No 100, Sch 1 \\[1\\].","sortOrder":29},{"sectionNumber":"22D","sectionType":"section","heading":"Ancillary provisions","content":"#### 22D Ancillary provisions\n\n22D Ancillary provisions\n\n> > (1) In this section:\n> > \n> > prescribed power, in relation to a prescribed trust, means:\n> > \n> > > (a) a power referred to in section 22B included in the trust instrument, or\n> > \n> > > (b) the power referred to in section 22C as applying to the prescribed trust.\n> \n> > (2) This Act applies to a prescribed trust as if the prescribed power were a power exercisable for a charitable purpose.\n> \n> > (3) Without limiting subsection (2):\n> > \n> > > (a) neither the existence nor the exercise of the prescribed power affects the validity or status of a charitable trust as a charitable trust, and\n> > \n> > > (b) a prescribed trust is to be construed and given effect to in the same manner in all respects as if:\n> > > \n> > > > (i) the prescribed power were a power exercisable for a charitable purpose, and\n> > > \n> > > > (ii) any payment or application of the trust property or the trust income, or any part of either of them, in the manner allowed by the power were to or for a charitable purpose, and\n> > \n> > > (c) the existence or exercise of the prescribed power does not affect the control of a prescribed trust by the Court in the exercise of the Court’s general jurisdiction with respect to charitable trusts, and\n> > \n> > > (d) the jurisdiction referred to in paragraph (c) extends to the prescribed power as if the power were exercisable for a charitable purpose.\n> \n> > (4) The provision, before the commencement day, by the trustees of a prescribed trust of money, property or benefits to or for an eligible recipient or for the establishment of an eligible recipient:\n> > \n> > > (a) is taken to be, and always to have been, a provision for an authorised and valid purpose of the prescribed trust, and\n> > \n> > > (b) does not affect, and is taken never to have affected, the status of the prescribed trust as a charitable trust.\n> > \n> > This subsection applies despite anything to the contrary in the trust instrument.\n> \n> > (5) The inclusion of a power referred to in section 22B in the trust instrument of a prescribed trust before the commencement day is taken to be, and always to have been, validly included.\n> \n> **pt 4A (ss 22A–22D):** Ins 2006 No 100, Sch 1 \\[1\\].","sortOrder":30},{"sectionNumber":"Part 5","sectionType":"part","heading":"Miscellaneous","content":"# Part 5 Miscellaneous\n\nPart 5 Miscellaneous","sortOrder":31},{"sectionNumber":"23","sectionType":"section","heading":"Inclusion of non-charitable purpose not to invalidate trust","content":"#### 23 Inclusion of non-charitable purpose not to invalidate trust\n\n23 Inclusion of non-charitable purpose not to invalidate trust\n\n(cf former s 37D of [Conveyancing Act 1919](/view/html/inforce/current/act-1919-006))\n\n> > (1) A trust is not invalid merely because some non-charitable and invalid purpose as well as some charitable purpose is or could be taken to be included in any of the purposes to or for which an application of the trust property or of any part of it is directed or allowed by the trust.\n> \n> > (2) Any such trust is to be construed and given effect to in the same manner in all respects as if no application of the trust property or of any part of it to or for any such non-charitable and invalid purpose had been or could be taken to have been so directed or allowed.\n> \n> > (3) This section does not apply to any trust declared before, or to the will of any testator dying before, 1 January 1939, being the date of commencement of the [Conveyancing, Trustee and Probate (Amendment) Act 1938](/view/pdf/asmade/act-1938-30).","sortOrder":32},{"sectionNumber":"24","sectionType":"section","heading":"Act binds the Crown","content":"#### 24 Act binds the Crown\n\n24 Act binds the Crown\n\n> This Act binds the Crown.","sortOrder":33},{"sectionNumber":"25","sectionType":"section","heading":"Regulations","content":"#### 25 Regulations\n\n25 Regulations\n\n> The Governor may make regulations, not inconsistent with this Act, for or with respect to any matter that by this Act is required or permitted to be prescribed or that is necessary or convenient to be prescribed for carrying out or giving effect to this Act.","sortOrder":34},{"sectionNumber":"26","sectionType":"section","heading":"Effect on pending charitable trust proceedings","content":"#### 26 Effect on pending charitable trust proceedings\n\n26 Effect on pending charitable trust proceedings\n\n> > (1) Nothing in any provision of this Act affects any proceedings relating to a trust that were commenced in the Court before the commencement of the provision concerned.\n> \n> > (2) Despite subsection (1), the Court may make a referral under section 13 (2) of a matter in relation to proceedings relating to a trust that were commenced in the Court before 15 April 1994 (the date of commencement of this Act) as well as in relation to proceedings commenced after that date.\n> \n> **s 26:** Am 1996 No 30, Sch 1.","sortOrder":35},{"sectionNumber":"27","sectionType":"section","heading":"Consequential repeals","content":"#### 27 Consequential repeals\n\n27 Consequential repeals\n\n> The following provisions are repealed:\n> \n> > Division 6 of Part 2 of the [Conveyancing Act 1919](/view/html/inforce/current/act-1919-006) (**Trusts for charitable purposes**)\n> \n> > Division 3 of Part 3 of the [Imperial Acts Application Act 1969](/view/html/inforce/current/act-1969-030) (**Charities**).","sortOrder":36},{"sectionNumber":"28","sectionType":"section","heading":"Review of Act","content":"#### 28 Review of Act\n\n28 Review of Act\n\n> > (1) The Minister is to review this Act to determine whether the policy objectives of the Act remain valid and whether the terms of the Act remain appropriate for securing those objectives.\n> \n> > (2) The review is to be undertaken as soon as possible after the period of 5 years from the date of assent to this Act.\n> \n> > (3) A report on the outcome of the review is to be tabled in each House of Parliament within 12 months after the end of the period of 5 years.","sortOrder":37},{"sectionNumber":"Schedule 1","sectionType":"schedule","heading":"Declaration by trustees","content":"# Schedule 1 Declaration by trustees\n\nSchedule 1 Declaration by trustees\n\n(Section 22C)\n\nThe trustees of the \\[*insert name of trust*\\], after having regard to the effect of this declaration (including its effect on the liability of the trustees to income tax), declare that the power conferred by section 22C of the [Charitable Trusts Act 1993](/view/html/inforce/current/act-1993-010) to provide money, property or benefits to or for an eligible recipient, or for the establishment of an eligible recipient, within the meaning of section 22A of that Act, is approved as a power that the trustees for the time being of the \\[*insert name of trust*\\] are authorised to exercise.\n\nDeed dated\n\n**sch 1:** Ins 2006 No 100, Sch 1 \\[2\\].","sortOrder":38}],"analysis":{"issue_detection":{"absurdities":[],"contradictions":[]},"kimi_summary":{"_metrics":{"source":"grok-batch-everything"},"content_quality":"ok","complexity_score":7,"scope_assessment":{"changed":true,"description":"The original 1993 Act focused on court protection of charitable property, expanded cy pres grounds and Attorney General scheme-making powers. The 2006 insertion of Part 4A (ss 22A–22D) materially broadened scope by statutorily deeming certain gifts to non-charitable deductible gift recipients as charitable, presuming general charitable intention, and treating such powers as exercisable for charitable purposes, thereby extending the Act’s reach into tax-effective philanthropy while preserving charitable trust status."},"complexity_factors":["Multi-part structure with distinct regimes for court proceedings (Part 2), cy pres variations (Part 3), Attorney General administrative schemes (Part 4) and later-inserted philanthropic powers (Part 4A)","Nested conditions and exceptions, e.g. leave requirements in s 6(2), value thresholds of $500,000 (s 14(1)(a)) and $2,000 (s 15(3)(b)), and carve-outs in s 5(2) and s 4(3)","Heavy cross-referencing to other statutes including the Income Tax Assessment Act 1997 (Cth), Conveyancing Act 1919 and Imperial Acts Application Act 1969","Defined terms that interact across parts (charitable trust, trust property, eligible recipient, prescribed trust) plus a statutory form in Schedule 1","Procedural layers for publicity, appeals, registers and immunity (ss 15–20)"],"plain_english_summary":"**This Act creates a practical framework for overseeing and protecting charitable trusts in New South Wales.**\n\nIt lets the Supreme Court step in when trustees mismanage funds — for example by removing them, freezing bank accounts, or appointing a receiver (sections 7 and 8). The Attorney General can also set up simplified 'schemes' to update a trust’s rules, combine several trusts, or change how they are run, provided the value is under set limits and the public has been notified (Part 4).\n\nThe law makes it easier to redirect money to new charitable causes (called 'cy pres') when the original purpose no longer works, as long as the donor had a general charitable intention (Part 3). It also protects trusts that include some non-charitable purposes from being ruled completely invalid (section 23).\n\nA 2006 addition (Part 4A) lets certain trusts give money to a wider range of tax-deductible good causes without losing their charitable status, provided trustees sign a specific declaration.\n\n**Who it affects:** trustees of any charitable trust (even those set up outside NSW), the Attorney General, the Supreme Court, and anyone wanting to challenge how a charity is run. **Why it matters:** it keeps donated money working for public good even when circumstances change, deters misuse, and encourages more philanthropy while maintaining court oversight."},"summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"Based on the limited metadata available, the Act appears to have maintained its original scope since commencement in 1993, with the current version stable since 27 November 2006. No evidence of significant scope expansion or contraction is apparent from the provided text."},"complexity_factors":["Involves specialist legal concepts around trust law (fiduciary duties, cy-pres doctrine for redirecting charitable funds)","Intersects with both state and Commonwealth law on charities","Applies to a wide range of entities from small community trusts to large institutional charities","Insufficient substantive text was provided to fully assess complexity — only website metadata was included, limiting analysis","Trust law generally requires understanding of equity jurisdiction which is inherently technical"],"plain_english_summary":"## Charitable Trusts Act 1993 (NSW)\n\n**What is this?**\nThis is a New South Wales law that governs how **charitable trusts** (legal arrangements where money or property is held and managed for charitable purposes) are created, administered, and overseen.\n\n**Who does it affect?**\n- People or organisations setting up charitable trusts in NSW\n- Trustees (the people legally responsible for managing a charitable trust)\n- Charities and charitable organisations operating in NSW\n- Donors contributing assets to charitable purposes\n\n**Why does it matter?**\nCharitable trusts hold significant assets for public benefit — think hospitals, schools, community organisations, and religious bodies. This Act provides the legal framework to ensure those assets are used properly and that trustees follow the rules. It sits under the responsibility of the NSW Attorney General.\n\n**Important note:** The actual substantive content of this Act (its specific rules and provisions) was **not included** in the text provided — only administrative and navigation metadata from the NSW legislation website was supplied. The summary above is based on the Act's known legal context. The Act has been in its current form since **27 November 2006** and appears to have been largely stable for nearly two decades."},"flash_summary":{"complexity_score":6,"scope_assessment":{"changed":true,"description":"The Act replaces and repeals earlier statutory provisions (s 27) and sets out a consolidated regime that both preserves court control over charitable trusts and creates a parallel administrative route through Attorney General schemes (Part 4). It extends occasions for cy pres application (s 9), formalises when trustees may make gifts to Commonwealth tax-deductible recipients (Part 4A, ss 22A–22D), and authorises recovery of scheme costs from trust property (s 21). Those features change the practical scope of administrators' and courts' roles by adding explicit administrative powers, fee recovery mechanisms, valuation authority for scheme purposes, and a new presumption of general charitable intention (s 10)."},"complexity_factors":["Multiple decision-makers with overlapping roles: Attorney General has administrative powers and the Supreme Court retains judicial oversight (ss 6, 12, 18).","Procedural gates to litigation: requirement for Attorney General authorisation or Court leave to commence charitable trust proceedings, with exceptions and post‑commencement authorisation (s 6).","Broad remedial powers of the Court covering removal, appointment, receivership and transaction restraints with detailed ancillary powers (s 7).","Attorney General scheme regime with monetary thresholds, public-notice requirements, publication and waiting periods, appeals and a register (ss 12–19).","Fee regime allowing the Attorney General to charge percentage fees and recover them from trust property, with value determined by the Attorney General (ss 21–22).","Interaction with Commonwealth tax definitions via Part 4A: prescribed trusts, eligible recipients and required trustee declarations (ss 22A–22D, Schedule 1).","Transitional and savings provisions (s 26) and repeal of earlier statutes (s 27) requiring attention to legacy cases.","Discretionary statutory language and immunity for the Attorney General increase reliance on administrative interpretation (ss 14, 20).","Regulation‑making power and potential cross-references to other legislation (ss 25, 22A cross-referencing Commonwealth tax law).","Diverse remedies and exceptions (e.g. urgency exceptions for publicity rules, s 15(3)) increasing conditional complexity."],"plain_english_summary":"What this law does, in plain language:\n\n- It creates a legal framework for how charitable trusts are governed and protected in New South Wales. The Act defines what counts as a charitable trust (s 3) and says the rules apply even if the trust, its property or its trustees are outside New South Wales (s 4).\n\n- It restricts who can start court proceedings about charitable trusts. A person generally must either have the Attorney General’s written authorisation or obtain leave from the Supreme Court to commence charitable trust proceedings (s 6). The Court must normally give the Attorney General an opportunity to consider authorisation before granting leave (s 6(2)). The Attorney General may bring proceedings directly without these limits (s 6(4)).\n\n- It gives the Supreme Court broad powers to protect charitable property if it finds misconduct or mismanagement. The Court can remove and appoint trustees, restrict spending or transactions, appoint receivers, and order banks or others not to transfer trust property without approval (s 7). The Act explicitly counts excessive remuneration as possible mismanagement (s 7(5)). The Court may remove trustees for misconduct, criminal convictions for dishonesty, incapacity, bankruptcy, or where a corporate trustee is subject to insolvency processes (s 8).\n\n- It clarifies when trust property may be applied cy pres (i.e. altered from the original specified charitable purpose) if the original purpose has ceased to be a suitable or effective use of the property, and it presumes a general charitable intention unless the trust instrument shows otherwise (ss 9–10). Trustees have a duty to take steps to secure cy pres application when appropriate (s 11).\n\n- It gives the Attorney General a parallel, administrative route to change or regulate the administration of charitable trusts by establishing schemes (Part 4). The Attorney General can create schemes to alter purposes (for cy pres), extend or vary trustee powers, allow trusts to share premises or staff or to pool investments, and to give trustees powers they lack in their instrument such as selling or mortgaging property (s 12). A scheme set up by the Attorney General has the same effect as one set up by the Court (s 12(4)).\n\n- How Attorney General schemes work in practice: the Attorney General can act on application by trustees, on the Attorney General’s own initiative in special cases, or on a referral from the Court (s 13). The Attorney General must not use these powers where the trust property affected exceeds a monetary threshold ($500,000 unless regulations set another amount) or where the matter is more fit for Court (s 14). Proposed schemes normally require public notice and at least one month for representations (s 15). Schemes must be published and generally take effect 21 days after publication unless appealed (s 16). The Attorney General keeps a register of orders and is immune from liability for actions taken in connection with schemes to the same extent as a judge (ss 19–20).\n\n- The Attorney General may charge fees for establishing or varying a scheme and may fix those fees as a percentage of the value of the trust property; those fees can be paid from the trust property itself unless the applicant pays them (s 21). The Attorney General also determines the value of the trust property for these purposes (s 22).\n\n- The Act introduces a specific set of rules (Part 4A) allowing certain trusts (\"prescribed trusts\") to make gifts to or establish recipients that qualify for Commonwealth tax-deductible gift status (\"eligible recipients\"). If the trust instrument already contains an express power it can do so (s 22B). If it does not, the trustees acquire a power to make such gifts provided a declaration in the form in Schedule 1 is made and kept with the trust records (s 22C). The Act treats those powers and any prior exercise of them as valid and as if they were charitable purposes for Court control and interpretation (s 22D).\n\n- Other practical points: the Act says a trust is not invalid merely because it also appears to have a non-charitable purpose (s 23); the Act binds the Crown (s 24); it permits regulations (s 25); it preserves existing proceedings started before the Act in certain ways (s 26); it repeals certain earlier statutory provisions (s 27); and it requires a formal review of the Act’s policy objectives about five years after assent (s 28).\n\nWho is affected and who decides:\n\n- Trustees and beneficiaries of charitable trusts are the primary subjects. Trustees face duties (for example to seek cy pres if needed (s 11)) and may be removed or have their powers changed by the Court (s 7) or by Attorney General schemes (Part 4).\n\n- The Attorney General gains administrative powers to establish schemes, set fees, determine values and be the gatekeeper for certain proceedings (ss 6, 12, 21, 22). The Attorney General also has immunity for actions taken under these powers (s 20).\n\n- The Supreme Court retains and exercises judicial control: it hears appeals from Attorney General orders (s 18), may grant leave to litigate when the Attorney General has not authorised proceedings (s 6), and has comprehensive remedial powers over trusts (s 7).\n\nWho pays and what changes in behaviour are likely:\n\n- Where the Attorney General establishes or varies a scheme, the Attorney General may charge fees for the costs of doing so and those fees can be paid from the trust property unless the applicant pays them (s 21(1),(3)). This shifts the immediate financial burden in many cases onto the trust assets.\n\n- Trustees who want to exercise the Part 4A prescribed power but whose trust instrument lacks an express power must decide whether to make and keep a written declaration (Schedule 1) to activate that power (s 22C(3),(5)). That is a low-friction compliance step that confers a substantive legal power (s 22C).\n\nCompliance burden and implementation risks:\n\n- Administrative steps are required for Attorney General schemes: public notice and a period for submissions (s 15), publication and a waiting period before effect (s 16), maintenance of a register (s 19), potential appeals (s 18), and possible fees charged against trust assets (s 21). These create measurable compliance costs in time and money.\n\n- Several important decisions are left to public officials: the Attorney General decides whether to authorise proceedings, establish schemes, determine the value of trust property for fee calculations, and set scheme fees (ss 6, 12, 21, 22). The Court retains oversight by way of leave and appeal (ss 6, 18), but the Act vests significant administrative discretion in the Attorney General.\n\nMarket and private-choice effects (mechanisms, not judgments):\n\n- Contract freedom within trust instruments is qualified in two principal ways: (1) the Attorney General can grant or the Court can order changes to administration and purposes under schemes (s 12) and (2) trustees of prescribed trusts gain or are treated as having powers to make donations to tax-deductible recipients despite contrary clauses unless expressly prohibited (s 22C(1)–(2), s 22D(3)–(4)). These alter the effective range of actions trustees can take compared with a strict reading of original trust instruments.\n\n- The scheme provisions enable administrative consolidation (sharing premises or staff, pooling investments) which can change cost structures for trusts (s 12(1)(c)). The Act therefore creates legal mechanisms that can produce economies of scale in trust administration, and which may change the market for services used by charities.\n\nConcentrated benefits, diffuse costs, and discretion:\n\n- Benefits from a particular scheme or court order will typically be concentrated to the affected trust(s) and their trustees/beneficiaries. The Act explicitly allows the Attorney General to recover costs from the trust property itself (s 21(3)), creating a direct, traceable cost to those trusts.\n\n- The Attorney General’s discretion is broad (to make schemes, determine value, charge fees and to authorise proceedings) and is subject to specified limits (value threshold and fitness for Court, s 14) and procedural safeguards (public notice, appeals, Court oversight, ss 15–18). The presence of statutory discretion combined with fee recovery and immunity (s 20) creates an administrative pathway that may substitute for some Court processes (s 12(4)).\n\nTrade-offs and opportunity costs (by mechanism):\n\n- Using Attorney General schemes can be quicker or administratively simpler than full Court proceedings in some cases (because the AG may act on application or initiative and a scheme has the same effect as a Court order, s 12(4)), but it can incur fees payable from trust assets (s 21) and is limited by monetary and fitness thresholds (s 14).\n\n- Trustees who choose to rely on Part 4A powers to make gifts to eligible recipients must weigh any tax or other effects (the Schedule 1 form requires trustees to have regard to income tax consequences) and keep a record of the declaration (s 22C(5) and Schedule 1).\n\nSummary of notable mechanics by section references: s 3 (definitions); s 4 (extraterritorial application); s 6 (AG authorisation / Court leave); ss 7–8 (Court powers and grounds for removal); ss 9–11 (cy pres rules and trustee duty); ss 12–22 (Attorney General schemes, procedures, appeals, fees, valuation, registers, immunity); ss 22A–22D and Schedule 1 (prescribed trusts and gifts to eligible recipients); s 21(3) (fees recoverable from trust property); s 23 (non-charitable purpose does not invalidate the trust); s 24 (binds the Crown); s 25 (regulation-making power); s 26 (transitional effect on pending proceedings); s 27 (repeals); s 28 (statutory review).\n\nThis description is focused on what the Act does and how it operates. It identifies the actors who decide (Attorney General, Court, trustees), who pays in key cases (trust property may meet AG costs, s 21(3)), the formal steps trustees must take to use particular powers (declaration, Schedule 1; public notices and waiting periods for schemes, ss 15–16), and the main trade-offs between administrative (Attorney General) and judicial (Court) routes (s 12(4))."}},"importantCases":[],"_links":{"self":"/api/acts/charitable-trusts-act-1993","history":"/api/acts/charitable-trusts-act-1993/history","analysis":"/api/acts/charitable-trusts-act-1993/analysis","conflicts":"/api/acts/charitable-trusts-act-1993/conflicts","importantCases":"/api/acts/charitable-trusts-act-1993/important-cases","documents":"/api/acts/charitable-trusts-act-1993/documents"}}