{"id":"a-1925-14","name":"Trustee Act 1925","slug":"trustee-act-1925","collection":"act","jurisdiction":"act","status":"in_force","isInForce":true,"actNumber":"14 of 1925","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":24385,"registerId":"act-a-1925-14-current","compilationNumber":null,"startDate":"2026-04-01","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Name of Act","content":"1 Name of Act\nThis Act is the Trustee Act 1925.\n","sortOrder":0},{"sectionNumber":"2","sectionType":"section","heading":"Dictionary","content":"2 Dictionary\nThe dictionary at the end of this Act is part of this Act.\nNote 1 The dictionary at the end of this Act defines certain words and\nexpressions used in this Act, and includes references (signpost\ndefinitions) to other words and expressions defined elsewhere in this Act\nor in other legislation.\nFor example, the signpost definition ‘trust—see section 4 (Meaning of\ntrust).’ means that the expression ‘trust’ is defined in that section.\nNote 2 A definition in the dictionary (including a signpost definition) applies to\nthe entire Act unless the definition, or another provision of the Act,\nprovides otherwise or the contrary intention otherwise appears (see\nLegislation Act 2001, s 155 and s 156 (1)).\n","sortOrder":1},{"sectionNumber":"3","sectionType":"section","heading":"Notes","content":"3 Notes\nA note included in this Act is explanatory and is not part of this Act.\nNote See Legislation Act 2001, s 127 (1), (4) and (5) for the legal status of\nnotes.\n","sortOrder":2},{"sectionNumber":"4","sectionType":"section","heading":"Meaning of trust","content":"4 Meaning of trust\n(1) In this Act, trust includes—\n(a) an implied or constructive trust (including a trust where the\ntrustee has a beneficial interest in the trust property); and\n(b) the duties of a legal representative of a dead person.\n(2) However, trust does not include the duties incidental to an estate\nconveyed by way of mortgage.\n\nPreliminary Part 1\n","sortOrder":3},{"sectionNumber":"5","sectionType":"section","heading":"Offences against Act—application of Criminal Code etc","content":"5 Offences against Act—application of Criminal Code etc\nOther legislation applies in relation to offences against this Act.\nNote 1 Criminal Code\nThe Criminal Code, ch 2 applies to all offences against this Act (see\nCode, pt 2.1).\nThe chapter sets out the general principles of criminal responsibility\n(including burdens of proof and general defences), and defines terms used\nfor offences to which the Code applies (eg conduct, intention,\nrecklessness and strict liability).\nNote 2 Penalty units\nThe Legislation Act, s 133 deals with the meaning of offence penalties\nthat are expressed in penalty units.\n","sortOrder":4},{"sectionNumber":"5A","sectionType":"section","heading":"Treatment of unincorporated entities named in trusts","content":"5A Treatment of unincorporated entities named in trusts\n(1) This section applies if an unincorporated entity is named in an\ninstrument establishing a trust.\n(2) For this Act, the people who make up the entity from time to time are\ntaken to have been individually named in the instrument.\n(3) To remove any doubt, this section does not apply to the interpretation\nof the instrument establishing the trust.\n\n","sortOrder":5},{"sectionNumber":"Div 2","sectionType":"division","heading":"1 Appointment, retirement, disclaimer","content":"Division 2.1 Appointment, retirement, disclaimer\nand ceasing to be executor\n","sortOrder":6},{"sectionNumber":"6","sectionType":"section","heading":"Appointment of new trustees","content":"6 Appointment of new trustees\n(1) A new trustee may by registered deed be appointed in place of a\ntrustee, either original or substituted, and whether appointed by the\nSupreme Court or otherwise.\n(2) A new trustee may be appointed in the following cases:\n(a) if a trustee is dead;\n(b) if a trustee remains out of the ACT for more than 1 year without\nhaving properly delegated the execution of the trust;\n(c) if a trustee remains out of the ACT for more than 2 years;\n(d) if a trustee desires to be discharged from all or any of the trusts\nor powers reposed in or conferred on him or her;\n(e) if a trustee refuses to act, is unfit to act, or cannot act, as trustee;\n(f) if a trustee is a child;\n(g) if a trustee is removed under the trust instrument;\n(h) if a trustee that is a corporation is dissolved.\n(3) The person to be appointed a trustee shall not be the person, or 1 of\nthe persons, by whom or with whose consent the appointment is or\nmay be made, unless the appointment is made with the consent of the\nSupreme Court or of a majority of the beneficiaries.\n(4) The appointment may be made by—\n(a) the person (the nominated person) nominated by the trust\ninstrument to appoint new trustees; or\n\n(b) if there is no nominated person, or the nominated person cannot\nor is unwilling to act—the surviving or continuing trustee for the\ntime being; or\n(c) if there is no surviving or continuing trustee—by the legal\nrepresentative of the last surviving or continuing trustee.\n(5) The appointment may be made for all or any part of the trust property.\n(6) The following provisions apply to appointments under subsection (1):\n(a) 2 or more trustees may be appointed concurrently;\n(b) the number of trustees may be increased up to 4;\n(c) a separate set of up to 4 trustees may be appointed for any part\nof the trust property held on trusts that are distinct from those\nrelating to any other part of the trust property even if a new\ntrustee is not to be appointed for the other part;\n(d) any existing trustee may be appointed or remain a trustee of the\nseparate set of trustees;\n(e) if only 1 trustee was originally appointed—a separate trustee\nmay be appointed for the distinct part;\n(f) it is not necessary to appoint more than 1 new trustee if only\n1 trustee was originally appointed or to fill up the original\nnumber of trustees if more than 2 trustees were originally\nappointed.\n(7) By the appointment a trustee in place of whom the new trustee is\nappointed shall be discharged from the trust, provided that, except\nwhere only 1 trustee was originally appointed, a trustee shall not be\nso discharged unless there will be left after the discharge at least\n2 trustees, the public trustee and guardian, or a trustee company, to\nperform the trust.\n(8) Any conveyance or thing requisite for vesting the trust property, or\nany part of the trust property, jointly in the persons who are the\ntrustees, shall be executed or done.\n\n(9) Every new trustee appointed under this section, as well before as after\nall the trust property becomes by law or by conveyance or otherwise\nvested in him or her, shall have the same powers and discretions, and\nmay in all respects act as if he or she had been originally appointed a\ntrustee by the trust instrument.\n(10) The provisions of this section about a trustee who is dead include the\ncase of a person nominated trustee in a will but dying before the\ntestator.\n(11) The provisions of this section about a person nominated for the\npurpose of appointing new trustees apply, whether the appointment is\nto be made in a case specified in this section or in a case specified in\nthe trust instrument, but where a new trustee is appointed under this\nsection in a case specified in that instrument, the appointment shall\nbe subject to the terms applicable to an appointment in that case under\nthe provisions of that instrument.\n(12) The provisions of this section about a continuing trustee apply to a\nrefusing or retiring trustee if the trustee is willing to act in the\nexecution of this section.\n(13) However—\n(a) if there is a continuing trustee—this section does not authorise a\nrefusing or retiring trustee to act separately from the continuing\ntrustee; or\n(b) if a refusing or retiring trustee does not act in the execution of\nthis section—the fact that the trustee was willing to act does not\naffect the validity of an appointment made by anyone else.\n(14) Nothing in this section shall give power to appoint any person as an\n(15) This section applies to a trust except so far as the contrary intention\n\n","sortOrder":7},{"sectionNumber":"7","sectionType":"section","heading":"Additional trustee","content":"7 Additional trustee\n(1) A new trustee may by registered deed be appointed in addition to any\nexisting trustee or trustees.\n(2) A new trustee may be appointed in the following cases:\n(a) where a sole trustee other than the public trustee and guardian\nor a trustee company is or has been originally appointed to act\nin a trust;\n(b) where, in the case of any trust, there are not more than 3 trustees,\neither original or substituted, and whether appointed by the\nSupreme Court or otherwise, and none of the trustees is the\npublic trustee and guardian or a trustee company.\n(3) The person to be appointed a trustee shall not be the person, or 1 of\nthe persons, by whom the appointment is or may be made, unless the\nappointment is made with the consent of the Supreme Court or of a\nmajority of the beneficiaries.\n(4) The appointment may be made by—\n(a) the person (the nominated person) nominated by the trust\ninstrument to appoint new trustees; or\n(b) if there is no nominated person, or the nominated person cannot\nor is unwilling to act—the trustee for the time being.\n(5) The appointment may be made for all or any part of the trust property.\n(6) The following provisions apply to appointments under subsection (1):\n(a) 2 or more trustees may be appointed concurrently;\n(b) the number of trustees may be increased up to 4.\n(7) Except as provided by the trust instrument or another Territory law,\nit is not necessary to appoint any additional trustee.\n(8) Section 6 (8), (9), (11) and (14) apply to the appointment of an\nadditional trustee.\n\n","sortOrder":8},{"sectionNumber":"7A","sectionType":"section","heading":"Children not to be appointed trustees","content":"7A Children not to be appointed trustees\n(1) The appointment of a child as trustee is void.\n(2) This section does not affect the power to appoint a new trustee to fill\nthe vacancy.\n","sortOrder":9},{"sectionNumber":"8","sectionType":"section","heading":"Retirement","content":"8 Retirement\n(1) A trustee may by registered deed retire from the trust without any new\ntrustee being appointed in his or her place.\n(2) A trustee may not so retire, unless his or her co-trustees and such other\nperson (if any) as is empowered to appoint trustees, consent by the\nsame or other registered deed to the retirement, and there will be left\nafter the retirement at least 2 continuing trustees, or the public trustee\nand guardian, or a trustee company, to perform the trust.\n(3) Trustees may retire concurrently.\n(4) By the retirement the trustee shall be discharged from the trust,\nprovided that, if in order to vest any part of the trust property in the\ncontinuing trustees alone, it is necessary that it should be duly\ntransferred, the retiring trustee shall not be discharged in respect of\nthat part until it is duly transferred.\n(5) At any time after the registration of the deed or deeds of consent and\nretirement the continuing trustees shall have the same powers and\ndiscretions, and may in all respects act as if the retiring trustee were\nwholly discharged from the trust.\n(6) Any conveyance or thing required for vesting the trust property in the\ncontinuing trustees alone shall be executed or done.\n(7) Nothing in this section shall authorise any retirement from the office\nof an executor or administrator.\n(8) This section applies to a trust except so far as the contrary intention\n\n","sortOrder":10},{"sectionNumber":"9","sectionType":"section","heading":"Vesting on appointment and retirement","content":"9 Vesting on appointment and retirement\n(1) Where a new trustee is appointed, the execution and registration of\nthe deed of appointment shall without any conveyance, except as\notherwise provided in this section, vest in the persons who become\nand are the trustees for performing the trust, as joint tenants and for\nthe purposes of the trust, the trust property for which the new trustee\nis appointed.\n(2) Where a trustee retires, the execution and registration of the deed or\ndeeds of consent and retirement shall without any conveyance, except\nas otherwise provided in this section, vest in the continuing trustees\nalone as joint tenants and for the purposes of the trust, all the trust\nproperty which is jointly vested in the continuing trustees and the\nretiring trustee.\n(3) Land under the Land Titles Act 1925 does not vest until—\n(a) the appropriate transfer is registered; or\n(b) an entry of the vesting is made in the register kept under that\nAct.\n(4) For subsection (3), an entry of the vesting of land has the same effect\nas the registration of a transfer of the land.\n(5) The following property does not vest until the appropriate transfer is\nregistered:\n(a) a mortgage for securing money subject to the trust (other than\nland under the Land Titles Act 1925 or land conveyed on trust\nfor securing debentures or debenture stock);\n(b) other property for which a conveyance is required to be\nregistered under the law of the place where the property is\nlocated.\n(6) Property that is only transferable—\n(a) in books kept by a corporation, company or other body; or\n\n(b) in the manner directed by or under a law in force in the place\nwhere the property is located;\ndoes not, under this section, vest until it is duly transferred.\n(7) In the case of land held under a lease which contains any covenant\ncondition or agreement against assignment or disposing of the land\nwithout license or consent, the land shall not vest until it is duly\ntransferred, unless—\n(a) before the execution of the deed of appointment, or the deed or\ndeeds of consent and retirement, as the case may be, the requisite\nlicense or consent to the assignment or disposition has been\nobtained; or\n(b) by virtue of any statute or rule of law the vesting would not\noperate as a breach of covenant or give rise to a forfeiture.\n(8) In subsection (7):\nlease includes an underlease and an agreement for a lease or\nunderlease.\n(9) If any property does not vest under this section until transfer or\nregistration, the execution and registration of the deed of\nappointment, or of the deed or deeds of consent and retirement, as the\ncase may be, shall nevertheless vest the right to call for a transfer of\nthe property, and to sue for or recover the property.\n(10) This section extends to an appointment by deed, or a retirement by\ndeed, under the provisions of the trust instrument.\n(11) In this section:\njoint tenant includes joint owner.\n","sortOrder":11},{"sectionNumber":"10","sectionType":"section","heading":"Renunciation of probate","content":"10 Renunciation of probate\n(1) If a person who is appointed by will both executor and trustee of the\nwill renounces probate, or after being duly cited fails to apply for\n\nprobate, the renunciation or failure shall be deemed to be a disclaimer\nof the trust contained in the will.\n(2) Where—\n(a) such a person renounces probate or fails, after being duly cited,\nto apply for probate; or\n(b) such a person dies before probate is granted to him or her; or\n(c) such a person, instead of applying for probate—\n(i) requests the public trustee and guardian in writing to apply\nfor an order under the Administration and Probate Act\n1929, section 88; or\n(ii) authorises a trustee company to apply for administration\nwith the will annexed;\nand where the Supreme Court grants to the public trustee and\nguardian an order under that section to collect and administer the\nestate of the person or administration with the will of the person\nannexed is granted to a trustee company, the public trustee and\nguardian or the trustee company, as the case may be, shall, by virtue\nof the order or grant and without further appointment be deemed to\nbe appointed trustee of the will in the place of the person appointed\ntrustee by the will.\n(3) Where—\n(a) under the Trustee Companies Act 1947, section 7, a trustee\ncompany is authorised to apply for probate of a will in place of\na person who was, by the will, appointed both executor and\ntrustee of the will; and\n(b) probate of that will is granted to the trustee company;\nthe trustee company shall, by virtue of the grant and without further\nappointment, be deemed to be appointed trustee of the will in place\nof that person.\n\n(4) Where—\n(a) the Supreme Court grants administration with the will annexed\nto a trustee company instead of granting probate of the will to a\nperson who was, by the will, appointed both executor and trustee\nof the will; or\n(b) under the Trustee Companies Act 1947, section 14, an executor\nwho was, by a will, appointed both executor and trustee of the\nwill, with the consent of the Supreme Court, appoints a trustee\ncompany to perform and discharge the acts and duties of that\nexecutor;\nthe trustee company shall, by virtue of the appointment, be deemed\nto be appointed trustee or 1 of the trustees, as the case may be, of the\nwill.\n","sortOrder":12},{"sectionNumber":"11","sectionType":"section","heading":"Ceasing to be executor","content":"11 Ceasing to be executor\n(1) If any property is vested in any person as executor of a will under\nwhich he or she is the trustee of the property or is beneficially entitled\nto it, the person may, at any time after all the executorial duties with\nrespect to the property have been duly performed, declare by\nregistered instrument in writing that he or she has ceased to hold the\nproperty as executor and that he or she holds the same as trustee or as\nbeneficiary, as the case may be.\n(2) Where a declaration is so made, the property shall, except as\notherwise provided in this section, be deemed to be held in\naccordance with the declaration.\n\n(3) For land under the Land Titles Act 1925—\n(a) if the declaration is that the executor holds the land as trustee—\nthe land is not taken to be so held until the registrar-general\nenters for the land a caveat forbidding the registration of any\ninstrument not in accordance with the trusts and provisions of\nthe will; or\n(b) if the declaration is that the executor holds the land as\nbeneficiary—the land is not taken to be so held until the\nregistrar-general withdraws any inconsistent caveat.\n","sortOrder":13},{"sectionNumber":"12","sectionType":"section","heading":"Registration","content":"12 Registration\n(1) Any instrument by which a new trustee is appointed, or by which a\ntrustee retires or disclaims, or by which the executor declares that he\nor she holds as trustee or as beneficiary, as the case may be, shall be\ndeemed not to be registered for this Act unless it has been registered\nunder the Registration of Deeds Act 1957.\n(2) This section extends to an appointment or retirement, whether under\nthis part or under the provisions of the trust instrument or otherwise,\nand to a consent to an appointment or retirement.\n(3) This section applies whether or not the land is under the Land Titles\nAct 1925.\n(4) For land under the Land Titles Act 1925, if an appointment or\nretirement or an instrument by which an executor declares that the\nexecutor holds as trustee or as beneficiary is registered, the registrar-\ngeneral must make an entry of the vesting of the trust property or\nenter, vary or withdraw caveats, as the case requires.\n(5) However, the registrar-general shall not be bound so to do until a\nwritten request is made to him or her by the persons in whom the\nproperty is to be vested, such evidence is given as he or she may\nreasonably require, and such notice (if any) is given to any other\nperson as he or she may direct.\n\n","sortOrder":14},{"sectionNumber":"13","sectionType":"section","heading":"Protection of purchasers","content":"13 Protection of purchasers\n(1) A statement in a registered deed by which a new trustee is appointed\nto the effect of any of the following matters, is, in favour of a\nsubsequent honest purchaser, conclusive evidence of the appointment\nand any vesting resulting from the appointment:\n(a) that a trustee has remained outside the ACT for longer than\n1 year without having properly delegated the execution of the\n(b) that a trustee has remained outside the ACT for longer than\n2 years;\n(c) that a trustee refuses to act, is unfit to act, or cannot act, as\ntrustee.\n(2) A statement contained in any registered instrument by which an\nexecutor declares that he or she holds any property as trustee or as\nbeneficiary, as the case may be, to the effect that all the executorial\nduties with respect to the property have been duly performed, shall in\nfavour of a subsequent honest purchaser be conclusive evidence of\nthe matter so stated upon any question as to the capacity in which the\nproperty was held.\n(3) The protection afforded by this section to an honest purchaser extends\nto the registrar-general when registering or certifying title.\n","sortOrder":15},{"sectionNumber":"Subdiv 2","sectionType":"subdivision","heading":"2.1 Investment","content":"Subdivision 2.2.1 Investment\n","sortOrder":16},{"sectionNumber":"14","sectionType":"section","heading":"Powers of investment","content":"14 Powers of investment\nA trustee may, unless expressly forbidden by the trust instrument—\n(a) invest trust funds in any form of investment; and\n(b) vary an investment at any time.\n\n","sortOrder":17},{"sectionNumber":"14A","sectionType":"section","heading":"Duties of trustee in relation to powers of investment","content":"14A Duties of trustee in relation to powers of investment\n(1) This section has effect subject to the trust instrument.\n(2) A trustee shall, in exercising a power of investment—\n(a) if the trustee’s profession, business or employment is or includes\nacting as a trustee or investing money on behalf of other\npersons—exercise the care, diligence and skill that a prudent\nperson engaged in that profession, business or employment\nwould exercise in managing the affairs of other persons; or\n(b) if the trustee is not engaged in such a profession, business or\nemployment—exercise the care, diligence and skill that a\nprudent person would exercise in managing the affairs of other\npersons.\n(3) A trustee shall exercise a power of investment in accordance with any\nprovision of the trust instrument that is binding on the trustee and\nrequires the trustee to obtain a consent or approval in relation to trust\ninvestments.\n(4) A trustee shall, at least once a year, review the performance\n(individually and as a whole) of trust investments.\n","sortOrder":18},{"sectionNumber":"14B","sectionType":"section","heading":"Law and equity preserved","content":"14B Law and equity preserved\n(1) Any rule or principle of law or equity that imposes a duty on a trustee\nexercising a power of investment continues to apply except to the\nextent that it is inconsistent with this or any other Act or with the trust\ninstrument.\n(2) A duty mentioned in subsection (1) includes the following:\n(a) a duty to exercise the powers of a trustee in the best interests of\nall present and future beneficiaries of the trust;\n(b) a duty to invest trust funds in investments that are not\nspeculative or hazardous;\n\n(c) a duty to act impartially towards beneficiaries and different\nclasses of beneficiaries;\n(d) a duty to take advice.\n(3) If a provision in a trust instrument purports to exempt, indemnify or\nlimit the liability of a trustee in relation to a breach of trust, any rule\nor principle of law or equity that relates to the provision continues to\napply.\n(4) If a trustee is under a duty to take advice, the reasonable costs of\nobtaining the advice are payable out of trust funds.\n","sortOrder":19},{"sectionNumber":"14C","sectionType":"section","heading":"Exercise of power of investment","content":"14C Exercise of power of investment\n(1) Without limiting the matters that a trustee may take into account when\nexercising a power of investment, a trustee shall, so far as they are\nappropriate to the circumstances of the trust (if any), have regard to\nthe following matters:\n(a) the purposes of the trust and the needs and circumstances of the\nbeneficiaries;\n(b) the desirability of diversifying trust investments;\n(c) the nature of, and the risk associated with, existing trust\ninvestments and other trust property;\n(d) the need to maintain the real value of the capital or income of\nthe trust;\n(e) the risk of capital or income loss or depreciation;\n(f) the potential for capital appreciation;\n(g) the likely income return and the timing of income return;\n(h) the length of the term of the proposed investment;\n(i) the probable duration of the trust;\n\n(j) the liquidity and marketability of the proposed investment\nduring, and at the end of, the term of the proposed investment;\n(k) the aggregate value of the trust estate;\n(l) the effect of the proposed investment in relation to the tax\nliability of the trust;\n(m) the likelihood of inflation affecting the value of the proposed\ninvestment or other trust property;\n(n) the costs (including commissions, fees, charges and duties\npayable) of making the proposed investment;\n(o) the results of a review of existing trust investments.\n(2) A trustee may, having regard to the size and nature of the trust—\n(a) obtain and consider independent and impartial advice\nreasonably required for the investment of trust funds or the\nmanagement of the investment from a person whom the trustee\nreasonably believes to be competent to give the advice; and\n(b) pay out of trust funds the reasonable costs of obtaining the\nadvice.\n(3) A trustee shall comply with this section unless expressly forbidden\nby the trust instrument.\n","sortOrder":20},{"sectionNumber":"14D","sectionType":"section","heading":"Powers of trustee in relation to securities","content":"14D Powers of trustee in relation to securities\n(1) If securities of a body corporate are subject to a trust, the trustee may\nconcur, in the same way as if the trustee were beneficially entitled to\nthe securities, in any scheme or arrangement—\n(a) for or arising out of the reconstruction, reduction of capital or\nliquidation of, or the issue of shares by, the body corporate; or\n(b) for the sale of all or part of the property and undertaking of the\nbody corporate to another body corporate; or\n\n(c) for the acquisition of securities of the body corporate, or of\ncontrol of the body corporate, by another body corporate; or\n(d) for the amalgamation of the body corporate with another body\ncorporate; or\n(e) for the release, modification or variation of rights, privileges or\nliabilities attached to all or any of the securities.\n(2) The trustee may accept instead of, or in exchange for, the securities\nsubject to the trust securities of any denomination or description of\nanother body corporate party to the scheme or arrangement.\n(3) If a conditional or preferential right to subscribe for securities in a\nbody corporate is offered to a trustee in relation to a holding in the\nbody corporate or another body corporate, the trustee may, for all or\nany of the securities—\n(a) exercise the right and apply capital money subject to the trust in\npayment of the consideration; or\n(b) assign to any person, including a beneficiary under the trust, the\nbenefit of the right, or the title to the right, for the best\nconsideration that can be reasonably obtained; or\n(c) renounce the right.\n(4) A trustee accepting or subscribing for securities under this section is,\nfor any provision of this division, exercising a power of investment.\n(5) A trustee may keep securities accepted or subscribed for under this\nsection for any period for which the trustee could properly have kept\nthe original securities.\n(6) The consideration for an assignment made under subsection (3) (b) is\nto be held as capital of the trust.\n(7) This section applies in relation to securities subject to the trust\ninstrument.\n\n","sortOrder":21},{"sectionNumber":"14E","sectionType":"section","heading":"Power to buy house as residence for beneficiary","content":"14E Power to buy house as residence for beneficiary\n(1) Without limiting section 14C and subject to the trust instrument, a\ntrustee may—\n(a) buy a house for a beneficiary to use as a residence; or\n(b) enter into any other agreement or arrangement to secure for a\nbeneficiary a right to use a house as a residence.\n(2) Despite the terms of the trust instrument, a trustee may keep, as part\nof the trust property, a house for a beneficiary to use as a residence if\nto do so would not unfairly prejudice the interests of other\nbeneficiaries.\n(3) If a house is bought, kept or otherwise secured for use by a beneficiary\nas a residence, the house may be made available to the beneficiary on\nthe terms, consistent with the trust and the beneficiary’s interest in the\ntrust, that the trustee considers appropriate.\n(4) The trustee may keep a house, or any interest or rights in relation to a\nhouse, secured for use by a beneficiary under this section after the\nbeneficiary’s use of the house as a residence has finished.\n(5) In this section:\nhouse includes—\n(a) any building or part of a building designed, or converted or\ncapable of being converted, for use as a residence; and\n(b) any amenities or facilities for use in association with the use of\na house.\n","sortOrder":22},{"sectionNumber":"14F","sectionType":"section","heading":"Investment in securities under RITS system","content":"14F Investment in securities under RITS system\n(1) A thing in action arising under the RITS system that entitles its holder\nto a security of a particular description (the underlying security) is,\n\nfor this Act and the trust instrument, taken to be the same in all\nrespects as the underlying security.\nNote A thing in action (also called a chose in action) is an intangible personal\nproperty right recognised and protected by the law. Examples include\ndebts, money held at a bank, shares, rights under a trust, copyright, and\nthe right to sue for breach of contract.\n(2) Accordingly, the holding or acquisition by a trustee of such a thing in\naction is to be regarded as an investment by the trustee in the\nunderlying security.\n(3) It does not matter that the right conferred by the thing in action is a\nright in relation to securities of a particular description and not in\nrelation to particular securities.\n(4) This section applies only to the extent that the trust instrument does\nnot expressly forbid its application.\n(5) In this section:\nRITS system means the Reserve Bank Information and Transfer\nSystem operated by the Reserve Bank of Australia, as operating from\ntime to time.\n","sortOrder":23},{"sectionNumber":"17","sectionType":"section","heading":"Accepting a short title","content":"17 Accepting a short title\nA trustee shall not be chargeable with breach of trust upon the ground\nonly that in effecting the purchase of or in lending money upon the\nsecurity of any property he or she has accepted a shorter title than the\ntitle which a purchaser is, in the absence of a special condition,\nentitled to require, if in the opinion of the Supreme Court the title\naccepted be such as a person acting with prudence and caution would\nhave accepted.\n","sortOrder":24},{"sectionNumber":"18","sectionType":"section","heading":"Ratio of loan to value","content":"18 Ratio of loan to value\n(1) A trustee lending money on the security of any property on which he\nor she can lawfully lend shall not be chargeable with breach of trust\nby reason only of the proportion borne by the amount of the loan to\n\nthe value of the property at the time when the loan was made,\nprovided that the loan was made in accordance with this section.\n(2) A loan shall be deemed not to have been made by a trustee in\naccordance with this section—\n(a) unless the trustee acts upon a report of the value of the property\nmade by a person reasonably believed by the trustee to be a\ncompetent valuer and instructed and employed by the trustee\nindependently of any owner of the property, whether the valuer\ncarries on business in the locality where the property is situated\nor elsewhere; and\n(b) unless the loan is made upon the advice, expressed in the report,\nof the valuer; and\n(c) unless the amount of the loan is not more than 2/3 of the value of\nthe property as stated in the report.\n","sortOrder":25},{"sectionNumber":"19","sectionType":"section","heading":"Loss on authorised security","content":"19 Loss on authorised security\nIf a trustee improperly advances an amount of trust money on a\nmortgage security that would, at the time of investment, be a proper\ninvestment for a smaller amount, the trustee is liable to make good\nonly the difference between the amounts with interest.\n","sortOrder":26},{"sectionNumber":"20","sectionType":"section","heading":"Release of part of security","content":"20 Release of part of security\n(1) Where any property is held by a trustee by way of security and the\ntrustee has power under this Act or otherwise to invest on mortgage\nand to vary investments, the trustee—\n(a) may release part of the property from the mortgage, whether any\npart of the mortgage debt is repaid or not, provided that the\nunreleased part of the property would, at the time, be a proper\ninvestment in all respects for the amount remaining unpaid; and\n(b) may, on a sale by the mortgagor of part of the mortgaged\nproperty and on the receipt by the trustee of the whole of the\n\npurchase money for the part after deduction of the expenses of\nthe sale, release such part from the mortgage.\n(2) A subsequent purchaser of the released part of the property, or the\nregistrar-general, shall not be concerned to inquire whether the\nrelease was authorised by this section.\n","sortOrder":27},{"sectionNumber":"21","sectionType":"section","heading":"Arrangement with company","content":"21 Arrangement with company\n(1) Where any security of a company is held by a trustee, and the trustee\ncan lawfully hold or retain the same, the trustee may, in like manner\nas if he or she were beneficially entitled to the security, concur in any\nscheme or arrangement—\n(a) for the reconstruction of the company; or\n(b) for the amalgamation of the company with any other company;\nor\n(c) for the sale of all or any part of the property and undertaking of\nthe company to any other company; or\n(d) for the release, modification or variation of any rights, privileges\nor liabilities attached to the security.\n(2) Instead of or exchange for the security the trustee may accept any\nsecurity of any denomination or description of the reconstructed or\nnew or purchasing company.\n(3) The trustee shall not be responsible for any loss occasioned by\nanything done honestly, and may hold and retain any security so\naccepted in like manner as he or she could have done if the same had\nbeen an investment authorised by the trust instrument or by law.\n(4) The powers conferred by this section shall be exercisable subject to\nthe consent of any person whose consent to a change of investment is\nrequired by the trust instrument or by law.\n(5) This section applies to a trust except so far as the contrary intention\n\n","sortOrder":28},{"sectionNumber":"22","sectionType":"section","heading":"New shares in company","content":"22 New shares in company\n(1) Where a preferential right to subscribe for a security in a company is\noffered to a trustee in respect of any holding in the company, he or\nshe may—\n(a) exercise the right and apply capital money subject to the trust in\npayment of the consideration; or\n(b) renounce the right; or\n(c) assign the benefit of the right for the best consideration that can\nreasonably be obtained to any person, including a beneficiary\nunder the trust.\n(2) Where a trustee assigns the benefit of the right, the consideration\nreceived by him or her for the assignment shall be held as capital\nmoney of the trust.\n(3) If—\n(a) a preferential right to subscribe for shares in a company is\noffered to the trustee; and\n(b) the shares are subject to a special or reserve liability; and\n(c) the company is wound up;\nthe trustee may exercise the right and hold the shares as if they were\npart of the trustee’s original holding in the company.\n(4) The trustee shall not be responsible for any loss occasioned by\nanything done honestly.\n(5) The powers conferred by this section shall be exercisable subject to\nthe consent of any person whose consent to a change of investment is\nrequired by law or by the trust instrument.\n\n","sortOrder":29},{"sectionNumber":"23","sectionType":"section","heading":"Calls on shares","content":"23 Calls on shares\n(1) A trustee may apply capital money subject to a trust in payment of\nthe calls on any shares subject to the trust.\n","sortOrder":30},{"sectionNumber":"24","sectionType":"section","heading":"Accrued interest on debentures or stock sold or","content":"24 Accrued interest on debentures or stock sold or\npurchased\n(1) Where any payment received by a trustee in respect of a sale of\ndebentures or inscribed stock bearing interest at a fixed rate shall be\nor include payment for the right to receive any interest accrued from\nthe debentures or stock at the time of the sale, though the interest may\nnot then be due, the amount of the accrued interest shall for the\npurposes of the trust be deemed to have been received as interest in\nrespect of the period during which the interest so accrued.\n(2) Where any payment made by a trustee in respect of a purchase of any\ndebentures or inscribed stock bearing interest at a fixed rate shall be\nor include payment for the right to receive any interest accrued from\nthe debentures or stock at the time of the purchase, though the interest\nmay not then be due, the amount of the accrued interest when received\nshall for the purposes of the trust be deemed to have been received as\npurchase money repaid.\n","sortOrder":31},{"sectionNumber":"25","sectionType":"section","heading":"Continued holding","content":"25 Continued holding\nA trustee is not liable for breach of trust only because the trustee\ncontinues to hold an investment after the investment is no longer\nauthorised by the trust instrument or by law.\n\nSubdivision 2.2.2 Sale and other dealings\n","sortOrder":32},{"sectionNumber":"26","sectionType":"section","heading":"Powers incidental to sale","content":"26 Powers incidental to sale\n(1) A trustee for sale may—\n(a) sell all or any part of the trust property; or\n(b) sever and sell fixtures apart from the balance of the property; or\n(c) grant and sell any easement right or privilege of any kind over\nor in relation to the property; or\n(d) impose, reserve or make binding, as far as the law permits, by\ncovenant, condition or other means, on the whole or any part of\nthe trust property that remains unsold, or on any property sold\nand on the purchaser of that property, a restriction or reservation\nin relation to building on, or other use of, land; or\n(e) sell the whole or part of the trust property, either with or\nwithout—\n(i) a grant or reservation of rights of way, rights of water,\neasements, rights, and privileges for or connected with\nbuilding or other purposes in relation to the whole or any\npart of the trust property that remains unsold or to any\nproperty sold; and\n(ii) a covenant by the purchaser of land to expend money on\nthe land; or\n(f) lay out and make such roads, streets and ways, to be dedicated\nto the public or not, and grant such easements, rights of way or\nrights of drainage over those roads, streets and ways, as the\ncircumstances of the case require and the trustee thinks fit; or\n(g) join with any other person in doing anything under paragraphs\n(a) to (f); or\n(h) pay or apply capital money subject to the trust for any of the\npurposes mentioned in this subsection.\n\n(2) The sale may be subject to any such conditions respecting title or\nevidence of title or other matter as the trustee thinks fit, and may be—\n(a) either subject to prior charges or not; or\n(b) either together or in lots, in subdivision or otherwise; or\n(c) by public auction or by private contract.\n(3) The trustee may vary any contract for sale, buy in at any auction,\nrescind any contract for sale and resell, without being answerable for\nany loss.\n(4) If the trustee joins with any other person in selling, the purchase\nmoney shall be apportioned in or before the contract of sale, and a\nseparate receipt shall be given by the trustee for the apportioned share.\n(5) A contravention of subsection (4) shall not invalidate or be deemed\nto have invalidated any instrument intended to affect or evidence the\ntitle to any land.\n","sortOrder":33},{"sectionNumber":"27","sectionType":"section","heading":"Duration of trust or power to sell","content":"27 Duration of trust or power to sell\n(1) Where the instrument creating a trust or power to sell property does\nnot expressly limit the duration of the trust or power, the trustee may,\nif so requested in writing by any beneficiary, sell the property under\nthe authority conferred by this section and shall be deemed to be a\ntrustee for sale accordingly, notwithstanding any lapse of time or that\nall the beneficiaries are absolutely entitled to the property or full\nownership in possession and are free of any incapacity, but in all other\nrespects the authority conferred by this section shall be subject to any\nrestrictions to which the power or trust created by the instrument is\nsubject.\n(2) Nothing in this section shall affect any trust or power to sell which is\nfor the time being in existence under the instrument creating the trust\nor power.\n\n","sortOrder":34},{"sectionNumber":"27B","sectionType":"section","heading":"Postponement of sale","content":"27B Postponement of sale\n(1) A power to postpone sale is implied in every trust for sale, unless the\ncontrary intention appears in the trust instrument.\n(2) Subject to any express direction to the contrary in the trust instrument,\nif there is power to postpone sale—\n(a) the trustee for sale is not liable for postponing the sale, in the\nexercise of his or her discretion, for any indefinite period; and\n(b) a buyer need not investigate any directions about the\npostponement of sale.\n(3) Where a disposition or settlement coming into operation after\n1 December 1957 contains a trust either to retain or sell any property,\nthe disposition or settlement is taken to be a trust to sell the property\nwith power to postpone the sale.\n","sortOrder":35},{"sectionNumber":"27C","sectionType":"section","heading":"Purchaser under trust for sale","content":"27C Purchaser under trust for sale\n(1) A trust for sale shall, so far as regards the safety and protection of any\npurchaser, be deemed to subsist notwithstanding any lapse of time\nuntil the property is conveyed to or under the direction of the persons\ninterested in the proceeds of sale, and in the case of land until the\nconveyance is duly registered.\n(2) Nothing in this section shall prevent any court from making an order\nrestraining a sale.\n","sortOrder":36},{"sectionNumber":"27D","sectionType":"section","heading":"Application of rule in Howe v Earl of Dartmouth to leases","content":"27D Application of rule in Howe v Earl of Dartmouth to leases\n(1) The rule in Howe v Earl of Dartmouth (1802) (7 Ves 137) does not\napply in relation to property consisting of a territory lease.\n(2) This section applies to a trust unless the contrary intention appears in\n\n","sortOrder":37},{"sectionNumber":"28","sectionType":"section","heading":"Deferred payment on sale of land","content":"28 Deferred payment on sale of land\n(1) A trustee for sale may sell land on terms of deferred payment or\notherwise.\n(2) The terms of deferred payment may provide either for the purchase\nmoney being paid by instalments, or for the unpaid purchase money\nbeing secured by mortgage.\n(3) If the purchase money is to be paid by instalments, the terms upon\nwhich the land is sold shall, in addition to such other provisions as\nthe trustee may deem proper, include provisions for giving effect to\nthe following:\n(a) that part of the purchase money shall be paid on the execution\nof the contract of sale;\n(b) that the balance of the purchase money is payable in instalments,\nthe first not later than 3 years after the date of the contract of\nsale and the others at intervals of not longer than 1 year\nbeginning on the day the first instalment is payable, and interest\nis payable, at least every 6 months, on any unpaid amount;\n(c) that the whole of the purchase money and interest shall be\npayable within a period not exceeding 10 years from the date of\nthe contract of sale;\n(d) that, if an instalment (or a part of an instalment) or interest is in\narrears for 6 months (or any shorter period provided in the\ncontract), all of the purchase money is payable immediately.\n(4) For subsection (3) (b), an instalment must not be payable during the\nfirst 3 years from the date of the contract of sale that is less than 5%\nof the purchase money, and all instalments payable after then must be\nequal in amount.\n(5) If the unpaid purchase money is to be secured by mortgage, the terms\nupon which the land is sold shall, in addition to such other provisions\n\nas the trustee may deem proper, include provisions for giving effect\nto the following:\n(a) that part of the purchase money shall be paid on the execution\nof the contract of sale;\n(b) that the unpaid purchase money shall be secured by a registered\nmortgage of the land sold, with or without the security of any\nother property, and shall bear interest payable half-yearly or\noftener on the amount from time to time unpaid;\n(c) that the mortgage must contain covenants by the mortgagor to\npay the principal and interest, to maintain and protect the\nproperty, and insure all buildings (if any) on the land against loss\nor damage by fire to their full insurable value;\n(d) that the mortgagor shall not have power to make any lease of the\nproperty, unless the trustee consents in writing.\n(6) Whether the purchase money is to be paid by instalments or the\nunpaid purchase money is to be secured by mortgage, the trustee shall\nnot be deemed to be lending money within the meaning of section 18\nso as to be bound to act in accordance with that section, and shall not\nbe liable for any loss which may be incurred by reason only of the\nsecurity being insufficient at the date of the mortgage.\n(7) The part of the purchase money to be paid on the execution of the\ncontract of sale shall not be less than the sum which a person acting\nwith prudence would, if the land were his or her own, have accepted\nin the circumstances in order to sell the land to the best advantage.\n(8) The trustee shall not be bound to require payment of any greater part\nof the purchase money before letting the purchaser into possession,\nor before conveying the land and taking a mortgage back, than a\nperson acting with prudence would, if the land were his or her own,\nhave considered as sufficient, provided that the trustee shall not\nconvey the land and take a mortgage back until at least 1/10 of the\npurchase money has been paid.\n\n(9) Notwithstanding that the purchase money is to be paid by instalments,\nthe trustee may at any time after 1/10 of the purchase money has been\npaid convey the land and take a mortgage back in any case where a\nperson acting with prudence would, if the land were his or her own,\nhave been willing in the circumstances so to do, and in any such case\nthe mortgage shall be in accordance with subsection\n(5) (b), (c) and (d), and subsection (6) applies.\n(10) Any mortgage under this section may be for any period not exceeding\n10 years from the date of the contract of sale.\n(11) The trustee may, on such terms (if any) as he or she deems proper, by\nwriting waive or vary any right arising from failure to comply with\nany term of the contract of sale or of any mortgage under this section\nwithin the proper time.\n(12) Where the sale is made under the order of the Supreme Court, the\nprovisions of this section shall apply, unless the court shall otherwise\ndirect.\n(13) This section applies to a trust except so far as the contrary intention\n","sortOrder":38},{"sectionNumber":"30","sectionType":"section","heading":"Depreciatory conditions","content":"30 Depreciatory conditions\n(1) The sale of land by a trustee subject to a condition that may have been\nunnecessarily depreciatory is not a ground for—\n(a) the buyer objecting to the title to the land; or\n(b) a beneficiary challenging the sale; or\n(c) if the land has been conveyed to the buyer—the buyer’s title to\nthe land being challenged.\n\n(2) However—\n(a) a beneficiary may challenge the sale of the land on the ground\nthat a condition may have been unnecessarily depreciatory if the\nconsideration for the sale was made inadequate because of the\ncondition; and\n(b) a buyer’s title may be challenged on the ground that a condition\nmay have been unnecessarily depreciatory if the buyer was\nacting in collusion with the trustee when the contract for the sale\nwas made.\n","sortOrder":39},{"sectionNumber":"31","sectionType":"section","heading":"Sale of part of land","content":"31 Sale of part of land\n(1) A trust or power to sell or dispose of land includes a trust or power to\nsell or dispose of part of the land, whether the division is horizontal,\nvertical, or otherwise.\n","sortOrder":40},{"sectionNumber":"32","sectionType":"section","heading":"Sale, exchange and partition","content":"32 Sale, exchange and partition\n(1) If a trustee is authorised by the trust instrument or by law to dispose\nof land by sale, exchange or partition, the trustee may dispose of all\nor any part of the land in that way.\n(2) The exchange or partition may be made upon terms of giving or\nreceiving any money for equality of exchange or partition.\n(3) For the purpose of completing the disposition, the trustee may convey\nor otherwise dispose of the land either by way of revocation and\nappointment of the use or otherwise as may be necessary.\n(4) This section extends to any other person authorised to dispose of land\nby way of sale, exchange or partition.\n\n","sortOrder":41},{"sectionNumber":"32A","sectionType":"section","heading":"Power to purchase equity of redemption instead of","content":"32A Power to purchase equity of redemption instead of\nforeclosure\n(1) This section applies if default is made in a mortgage held by a trustee\nover land in Australia.\n(2) Unless expressly prevented by the trust instrument, the trustee may,\ninstead of foreclosing, buy the equity of redemption if the amount\nspent on the purchase—\n(a) is subject to the same trusts as the mortgage debt; and\n(b) is not more than 5% of the amount owing under the mortgage.\n","sortOrder":42},{"sectionNumber":"33","sectionType":"section","heading":"Sale after right of redemption barred","content":"33 Sale after right of redemption barred\n(1) Where any property is vested in a trustee by way of security, and the\nproperty becomes discharged from the right of redemption, the trustee\nshall hold the property on trust for sale, with power to postpone the\nsale for such a period as he or she may think proper.\n(2) The net proceeds of sale, after payment of costs and expenses, shall\nbe applied in like manner as the mortgage debt, if received, would\nhave been applicable, and the income of the property until sale shall\nbe applied in like manner as the interest, if received, would have been\napplicable.\n(3) This section does not affect any rule of law relating to the\napportionment of capital and income between a life tenant of land and\na person entitled to the remainder of the interest in the land.\n(4) This section shall not affect the right of any person to require that,\ninstead of a sale, the property shall be conveyed to him or her or in\naccordance with his or her directions.\n(5) This section applies whether the property is discharged from the right\nof redemption by virtue of the statutes of limitation or of an order for\nforeclosure or purchase of the equity of redemption or otherwise.\n\n(6) This section extends to land secured by a mortgage under the Land\nTitles Act 1925 and, in relation to such security, an order for\nforeclosure includes an order for foreclosure under that Act.\n","sortOrder":43},{"sectionNumber":"34","sectionType":"section","heading":"Release of equity of redemption in discharge of mortgage","content":"34 Release of equity of redemption in discharge of mortgage\ndebt\n(1) Where an equity of a redemption is vested in a trustee and the\nmortgaged property is not of greater value than the amount of the\nmortgage debt, the trustee may release the equity of redemption to the\nmortgagee in discharge of the mortgage debt or part of it.\n(2) The trustee shall not be chargeable with breach of trust nor shall the\nrelease be impeached by any beneficiary upon the ground only that\nthe mortgaged property was of greater value than the amount of the\nmortgage debt or of the part of it discharged if the trustee acted\nhonestly and on the advice of a person whom he or she reasonably\nbelieved to be a competent valuer instructed and employed\nindependently of the mortgagee, whether the valuer carried on\nbusiness in the locality where the property is situated or elsewhere.\n(3) A subsequent purchaser or the registrar-general shall not be\nconcerned to inquire whether the release was authorised by this\n","sortOrder":44},{"sectionNumber":"35","sectionType":"section","heading":"Surrender of onerous lease","content":"35 Surrender of onerous lease\n(1) Where a leasehold is vested in a trustee and the property is subject to\nonerous covenants of such a nature that it would not be in the interests\nof the beneficiaries to retain the property, the trustee may surrender\nor concur in surrendering the lease.\n\n(2) The trustee shall not be chargeable with breach of trust nor shall the\nsurrender be impeached by any beneficiary upon the ground only that\nthe covenants were not of such a nature if the trustee acted honestly\nand on the advice of a person whom he or she reasonably believed to\nbe a competent valuer instructed and employed independently of the\nlessor, whether the valuer carried on business in the locality where\nthe property is situated or elsewhere.\n(3) A subsequent purchaser or the registrar-general shall not be\nconcerned to inquire whether the surrender was authorised by this\n","sortOrder":45},{"sectionNumber":"36","sectionType":"section","heading":"Leasing","content":"36 Leasing\n(1) A trustee may give a lease of land in possession for a term of not\nlonger than—\n(a) if the trustee has power to manage the land, or holds the land on\ntrust for sale with an express power to postpone the sale—\n5 years; or\n(b) in any other case—3 years.\n(2) A trustee shall not be deemed to hold land with power to manage the\nland within the meaning of this section by reason only of the fact that\nit is proper to postpone sale in order to sell to the best advantage and\nin the meantime to manage the land.\n(3) Any lease that a trustee is authorised to make under this section, or\nunder the trust instrument or other instrument giving the\nauthorisation, may—\n(a) provide for rent increases at times stated in the lease; or\n(b) give an option for renewal that does not extend the lease beyond\nthe term for which the trustee is authorised to make the lease.\n(4) A trustee making a lease under this section may execute such\nassurances and do such things as are necessary or proper to make the\nlease.\n\n(5) A lease shall be deemed not to have been made under this section\nunless—\n(a) it is made to take effect in possession not later than 3 months\nafter its date; and\n(b) it reserves the best rent that can reasonably be obtained, regard\nbeing had to the circumstances of the case, but, subject to\nsubsection (6), without a fine being taken or the rent being made\npayable in advance except that the last payment of rent may be\nmade payable on a day not more than 1 month before the\nexpiration of the term of the lease; and\n(c) it contains a condition of re-entry if the rent is not paid within a\nperiod (not longer than 30 days) provided in the lease; and\n(d) in the case of a lease of land subject to the provisions of the Land\nTitles Act 1925 that would not, unless registered under that Act,\nbe valid as against a person claiming an interest in the land by\nvirtue of a dealing registered subsequent to the execution of the\nlease—it is registered under that Act; and\n(e) in the case of a lease other than a lease referred to in\nparagraph (d)—it is registered under the Registration of Deeds\nAct 1957; and\n(f) the lease is executed by the lessee.\n(6) Where a trustee makes a lease of land on which are erected premises\nthat are licensed under the Liquor Act 2010—\n(a) a bonus or fine may be taken in respect of the lease; and\n(b) if a bonus or fine is taken—the bonus or fine shall be dealt with\nby the trustee as though an amount ascertained by dividing the\namount of the bonus or fine by the number of days contained in\nthe term of the lease were rent received by the trustee under the\nlease in respect of each day of the term of the lease.\n\n(7) The execution of a lease by the lessor is evidence, for the lessee and\nanyone deriving title from the lessee, of the execution of the lease by\nthe lessee.\n(8) A contract to make or accept a lease under this section may, if\nregistered, be enforced by or against every person on whom the lease,\nif granted, would be binding.\n(9) This section shall not apply to a bare trustee for persons all of whom\nare entitled in possession and are free of any incapacity.\n(10) This section applies to a trust except so far as the contrary intention\n","sortOrder":46},{"sectionNumber":"37","sectionType":"section","heading":"Renewal of renewable leasehold","content":"37 Renewal of renewable leasehold\n(1) Where a leasehold for lives or for years is vested in a trustee and the\nlease is renewable from time to time, either under any covenant or\ncontract, or by custom or usual practice, the trustee may obtain from\ntime to time the renewal on the accustomed and reasonable terms.\n(2) If required in writing by any person having any beneficial interest\npresent, future or contingent in the leasehold, the trustee shall use his\nor her best endeavours to obtain from time to time the renewal on\nsuch terms.\n(3) The trustee may from time to time make or concur in making a\nsurrender of the lease for the time being subsisting, and may do all\nsuch other acts as are requisite for the renewal.\n(4) If by the terms of the trust instrument the person in possession for his\nor her life or other limited interest is entitled to enjoy the same\nwithout any obligation to renew or to contribute to the expense of\nrenewal, this section shall not apply unless the consent in writing of\nthat person is obtained to the renewal.\n(5) The trustee may pay or apply capital money subject to the trust for\nthe purpose of obtaining the renewal.\n\n","sortOrder":47},{"sectionNumber":"38","sectionType":"section","heading":"Raising money","content":"38 Raising money\n(1) Where a trustee is authorised by the trust instrument or by law to pay\nor apply capital money for any purpose or in any manner, the trustee\nhas power to raise the money required by sale, conversion, calling in,\nor mortgage of all or any part of the trust property for the time being\nin possession held upon the same trusts as the capital money.\n(2) If—\n(a) a trustee holds land in relation to which an amount is owing for\nrates or taxes, or in relation to which the trustee is under a\nstatutory obligation to spend an amount; and\n(b) the trustee does not have money subject to the same trusts as the\nland from which the amount can be paid;\nthe trustee has power to raise the money necessary to pay or spend\nthe amount by sale or mortgage of all or part of the land or by sale,\nconversion, calling in or mortgage of all or part of the trust property\nheld on the same trusts as the land.\n(3) This section shall not apply to a trustee of property held for charitable\npurposes.\n","sortOrder":48},{"sectionNumber":"39","sectionType":"section","heading":"Protection of purchasers or mortgagees","content":"39 Protection of purchasers or mortgagees\nNo purchaser or mortgagee, paying or advancing money on a sale or\nmortgage purporting to be made under any trust or power vested in a\ntrustee, shall be concerned to see that the money is wanted, or that no\nmore than is wanted is raised, or to see to its application.\n\n","sortOrder":49},{"sectionNumber":"39A","sectionType":"section","heading":"Application of income by trustee as mortgagee in","content":"39A Application of income by trustee as mortgagee in\npossession\n(1) If a trustee is entitled, whether separately or as a co-mortgagee, to a\ndebt secured by mortgage of land in trust for all or part of the debt for\npeople by way of succession, and the trustee is in possession of the\nmortgaged land, the trustee must apply the net income of the land in\nmaking payments as follows:\n(a) in discharge of all rents, taxes, rates and outgoings affecting the\nmortgaged land;\n(b) in payment of the premiums on any insurances properly payable\nunder the mortgage instrument or under any law in force in the\nTerritory and the costs of executing necessary repairs;\n(c) in keeping down all annual sums or other payments and the\ninterest on all principal sums having priority to the mortgage in\nright he or she is in possession.\n(2) Subject to the mortgagor’s rights, the trustee holds the balance of the\nincome received by the trustee on the trusts to which the mortgage\ndebt is subject.\n(3) The payments to be made by the trustee under subsection (1) are those\nthat became payable after the trustee enters into possession.\n(4) However, if on the day the trustee enters into possession the amount\nof a periodical payment is owing, and the amount relates in whole or\npart to a period after the trustee enters into possession, the amount is\ntaken, for this section, to accrue from day-to-day and is apportionable\naccordingly.\n\n(5) On the recovery of the amount secured by the mortgage whether in\nwhole or in part, and whether by repayment or on realisation of the\nsecurity or otherwise, such part of the income applied by the trustee\nin making payments under subsection (1) as would otherwise have\nbeen payable as interest to the person entitled to the interest of the\nmortgage debt shall as between the persons respectively entitled to\nthe income and corpus of the mortgage debt be deemed to be arrears\nof interest and the amount received by the trustee shall be apportioned\naccordingly.\n(6) Despite anything in this section, the trustee may apply income of the\nmortgaged property received by the trustee in making payments under\nsubsection (1) that are not authorised by subsections (3) and (4), but\nthe person entitled to the interest on the mortgage debt is entitled to\nrecover out of the capital of the mortgage debt all payments made by\nthe trustee under this subsection.\nSubdivision 2.2.3 Property not in possession\n","sortOrder":50},{"sectionNumber":"40","sectionType":"section","heading":"Powers","content":"40 Powers\n(1) If trust property consists of or includes a share or interest in property\n(or the proceeds of the sale of property) not vested in the trustee, or\nany other thing in action, then, when it comes into possession or\nbecomes payable or transferable, the trustee may—\n(a) agree on or work out the amount or value of it, or any part of it,\nin any way the trustee considers appropriate; and\n(b) accept in or towards satisfaction of it, at market or current value,\nor on any valuation or estimate of value that the trustee considers\nappropriate, any securities authorised by the trust instrument or\nby law for the investment of money subject to the trust; and\n(c) allow any deductions for duties, costs or charges that the trustee\nconsiders proper or reasonable; and\n(d) execute a release in relation to it.\n\n(2) The trustee is not responsible for loss caused by anything done\nhonestly under subsection (1).\n(3) Unless and until required in writing so to do by some person\nbeneficially interested under the trust or by the guardian of his or her\nperson or estate, and unless also due provision is made to his or her\nsatisfaction for payment of the costs of any proceedings required to\nbe taken, the trustee shall not be under any obligation—\n(a) to apply for any stop or other like order upon any securities or\nother property out of or on which such share or interest or other\nthing in action is derived payable or charged; or\n(b) bring proceedings for any act or omission by anyone in whom\nthe securities or other property (or any part) is or has been\nvested.\n(4) The trustee may if he or she thinks fit refer any of the matters\nmentioned in subsection (3) to the person beneficially entitled or to\nthe guardian of his or her person or estate.\n(5) The trustee shall not be chargeable with breach of trust by reason of\nany omission in any of the matters mentioned in subsection (3),\nexcept when required and upon due provision made as mentioned in\nthe subsection.\n(6) Nothing in this section shall relieve a trustee of the obligation to get\nin and obtain payment or transfer of any such share or interest or other\nthing in action on the same falling into possession.\n(7) This section applies to a trust except so far as the contrary intention\nSubdivision 2.2.4 Insurance\n","sortOrder":51},{"sectionNumber":"41","sectionType":"section","heading":"Insurance","content":"41 Insurance\n(1) A trustee may insure against loss or damage, whether by fire or\notherwise, any insurable property, and against any risk or liability\n\nagainst which it would be prudent for a person to insure if he or she\nwere acting for himself or herself.\n(2) The insurance may be for any amount, provided that, together with\nthe amount of any insurance already on foot, the total shall not exceed\nthe insurable value or liability.\n(3) The premiums may be paid by the trustee out of the income of the\nproperty concerned or out of the income of any other property subject\nto the same trusts, without obtaining the consent of any person who\nmay be entitled wholly or partly to the income.\n","sortOrder":52},{"sectionNumber":"42","sectionType":"section","heading":"Application of insurance money","content":"42 Application of insurance money\n(1) Where a policy of insurance against the loss or damage of any\nproperty subject to a trust, whether by fire or otherwise, has been kept\nup under any trust in that behalf, or under any power (statutory or\notherwise), or in performance of any obligation (statutory or\notherwise), the money receivable by a trustee under the policy shall\nbe capital money for the purposes of the trust.\n(2) If the money is receivable in respect of property held upon trust for\nsale, the money is to be held on the trusts and subject to the powers\nand provisions applicable to money arising by a sale under the trust.\n(3) In any other case the money shall be held upon trusts corresponding\nas nearly as may be with the trusts affecting the property in respect of\nwhich it was payable.\n(4) The money or any part of it may also be applied by the trustee or, if\nin court, under the direction of the Supreme Court, in rebuilding,\nreinstating, replacing, or repairing the property lost or damaged.\n(5) An application to the Supreme Court for a direction under subsection\n(4) is subject to the consent of anyone whose consent is required by\nthe trust instrument to the investment of money subject to the trust.\n\n(6) Nothing in this section shall prejudice or affect the right of any person\nto require the money or any part of it to be applied in rebuilding,\nreinstating or repairing the property lost or damaged.\n(7) Nothing in this section shall prejudice or affect the rights of any\nmortgagee lessor or lessee, whether under any statute or otherwise.\n(8) This section applies to a trust except so far as the contrary intention\nSubdivision 2.2.5 Maintenance, advancement and\nprotective trusts\n","sortOrder":53},{"sectionNumber":"43","sectionType":"section","heading":"Maintenance and accumulation","content":"43 Maintenance and accumulation\n(1) Where any property is held in trust for a person who is for the time\nbeing a child for any interest whatsoever, whether vested or\ncontingent, and whether absolute or liable to be divested, the trustee\nmay at his or her sole discretion pay to the parent or guardian (if any)\nof the child, or to the person with whom the child is for the time being\nresiding, or otherwise apply the whole or any part of the income of\nthe property, for or towards the maintenance, education or benefit of\nthe child.\n(2) The power conferred by subsection (1) may be exercised whether\nthere is any other fund applicable to the same purpose, or any person\nbound by law to provide for the maintenance or education of the child,\nor not.\n(3) The power conferred by subsection (1) shall not prejudice or affect\nany prior interest in or charge over the property.\n(4) Where the interest for which the property is held in trust for the child\nis future or contingent, and the trust for the child would not, apart\nfrom this section, carry the intermediate income, and the intermediate\nincome is not expressly or specifically disposed of but would pass to\nsome other person only because of an interest to which he or she is\nentitled under a residuary or a general gift in the trust instrument, or\n\nin the absence of such a gift then as upon intestacy or as upon a\nresulting trust, the trust for the child shall, during the childhood, if the\ninterest of the child so long continues, be deemed to carry the\nintermediate income, and the interest of such person shall not be\ndeemed to be a prior interest within the meaning of this section.\n(5) During the childhood, if the interest of the child so long continues,\nthe trustee shall accumulate all the residue of the income in the way\nof compound interest by investing the same, and the resulting income\nfrom time to time on securities on which he or she is by the trust\ninstrument or by law authorised to invest the trust money.\n(6) During the childhood, if the interest of the child so long continues,\nthe trustee may at any time, if he or she thinks fit, apply the\naccumulations or any part of them as if the same were income arising\nin the then current year.\n(7) In the following cases the trustee shall hold the accumulations\nabsolutely for the child:\n(a) if otherwise than by virtue of this section the child is entitled to\nthe income which has been accumulated;\n(b) if, under the provisions of the trust instrument, the child is\nentitled on reaching 18 years old or on the happening of an\nearlier event to a vested interest, whether absolute or liable to be\ndivested, or in full ownership in the property from which the\nincome arose, and the child in fact becomes entitled to such\nvested interest.\n(8) Any accumulations held in trust in accordance with subsection (7) do\nnot affect the provisions of any settlement made by the child under a\nTerritory law during his or her childhood.\n(9) Except in the cases mentioned in subsection (7), and notwithstanding\nthat the person for whom the property is held in trust had a vested\ninterest in the income by virtue of this section, the trustee shall hold\nthe accumulations as an accretion to the capital of the property from\n\nwhich the accumulations arose, and as a single fund with such capital\nfor all purposes.\n(10) This section extends to a vested annuity in like manner as if the\nannuity were the income of property held by a trustee in trust to pay\nthe income of it to the annuitant for the same period for which the\nannuity is payable, save that in any case accumulations made during\nthe childhood of the annuitant shall be held in trust for the annuitant\nabsolutely.\n(11) This section applies to a trust except so far as the contrary intention\n","sortOrder":54},{"sectionNumber":"44","sectionType":"section","heading":"Advancement","content":"44 Advancement\n(1) If, under a trust, a person is entitled to the capital of the trust property\nor to a share in it, the trustee may pay or apply any capital money\nsubject to the trust, not more than 1/2 of the value of the property or\nshare, for the advancement or benefit of the person or, if the person is\na child, for the maintenance, education, advancement or benefit of the\nperson in any way the trustee considers appropriate (in his or her\nabsolute discretion).\n(2) The power conferred by this section may be exercised whether the\nperson is entitled absolutely or contingently on his or her attaining\nany specified age or on the occurrence of any other event, or subject\nto a gift over on his or her death under any specified age or on the\noccurrence of any other event, and, notwithstanding that the interest\nof the person so entitled is liable to be defeated by the exercise of a\npower of appointment or revocation, or to be diminished by the\nincrease of the class to which he or she belongs.\n(3) The power conferred by this section may be exercised whether the\nperson is so entitled in possession or in remainder or reversion.\n(4) If the person is or becomes absolutely and indefeasibly entitled to a\nshare in the trust property, the money so paid or applied shall be\nbrought into account as part of such share.\n\n(5) No such payment or application shall be made so as to prejudice any\nperson entitled to any prior life or other interest, whether vested or\ncontingent, in the money paid or applied unless such person is in\nexistence and an adult and consents in writing to the payment or\napplication.\n(6) This section applies only where the trust property consists of money\nor securities or property held upon trust for sale calling in and\nconversion, and the money or securities or the proceeds of the sale\ncalling in and conversion are not by a law in force in the Territory, or\nin equity, considered as land.\n(7) This section applies to a trust except so far as the contrary intention\n","sortOrder":55},{"sectionNumber":"45","sectionType":"section","heading":"Protective trusts","content":"45 Protective trusts\n(1) Income may be directed to be held ‘on protective trusts’ for the\nbenefit of any person (the principal beneficiary) for the period of his\nor her life or for any less period, and where there is such a direction\nthe income shall during the period (the trust period), and without\nprejudice to any prior interest, be held upon trust as provided in this\n(2) During the trust period, or until the trust of the income fails or\ndetermines during the subsistence of the trust period, the income shall\nbe held upon trust for the principal beneficiary.\n(3) The income of the trust fails or determines during the trust period if\nthe principal beneficiary does something or an event happens that, if\nthe income were payable to the principal beneficiary absolutely, the\nprincipal beneficiary would lose the right to receive the income or any\npart of it.\n(4) The income of the trust fails or determines whether the principal\nbeneficiary does the thing, or the event happens, before or after the\ntermination of any prior interest.\n\n(5) The trust of the income does not fail or determine because of an\nadvance under any statutory or express power.\n(6) If the trust of the income fails or determines during the trust period,\nincome during the rest of the trust period is to be held on trust for\napplication—\n(a) for the maintenance, support, or otherwise for the benefit of all\nor any 1 or more exclusively of the other or others of the\nprincipal beneficiary and his or her domestic partner (if any) and\nhis or her children or more remote issue (if any) as the trustee in\nhis or her absolute discretion thinks fit; or\n(b) if there is no domestic partner or issue of the principal\nbeneficiary in existence, then for the maintenance, support, or\notherwise for the benefit of all or any 1 or more exclusively of\nthe other or others of the principal beneficiary and the persons\nwho would, if he or she were actually dead, be entitled to the\ntrust property or the income of it or of the annuity fund (if any)\nor arrears of the annuity, as the case may be, as the trustee in his\nor her absolute discretion thinks fit.\nNote For the meaning of domestic partner, see Legislation Act, s 169.\n(7) This section extends to an annuity or other periodical income\npayment directed to be held on protective trusts.\n(8) Any trust implied by this section may be set aside in any case where\nan express trust to the same effect might be set aside.\n(9) This section applies to a trust except so far as the contrary intention\n\nSubdivision 2.2.6 Appropriation and payment to public\ntrustee and guardian\n","sortOrder":56},{"sectionNumber":"46","sectionType":"section","heading":"Appropriation","content":"46 Appropriation\n(1) A trustee may appropriate any part of the property subject to the trust\nor of the real or personal estate of a testator or intestate in its actual\ncondition or state of investment in or towards satisfaction of a legacy\nor of any share or interest in the property or estate, whether settled or\nnot, as to the trustee may seem just and reasonable, according to the\nrespective rights of the persons interested in the property or estate,\nbut—\n(a) the appropriation shall not be made so as to affect prejudicially\nany specific gift, devise or bequest; and\n(b) the appropriation shall be made with the consent (if any)\nrequired by this section; and\n(c) in making the appropriation the trustee shall have regard to the\nrights of any person who may afterwards come into existence or\nwho cannot be found or ascertained at the time of the\nappropriation or as to whom it is uncertain at that time whether\nhe or she is living or dead, and of any other person whose\nconsent is not required by this section.\n(2) The power of appropriation conferred by this section applies to—\n(a) property over which a testator exercises a general power of\nappointment; and\n(b) setting apart a fund to answer an annuity by means of an income\nof the fund or otherwise, provided that at the time of\nappropriation the fund would be sufficient, if it were invested in\ngovernment securities of the Commonwealth at par, to provide\nan income exceeding the annuity by at least 15%; and\n(c) setting apart a sum of money in or towards the satisfaction of a\nlegacy share or interest.\n\n(3) For the purpose of an appropriation under this section, the trustee may\nascertain and fix the value of the respective parts of the property or\nestate and the liabilities to which the property or estate is subject as\nthe trustee may think fit, and shall for that purpose employ a duly\nqualified valuer in any case where such employment may be\nnecessary.\n(4) An appropriation made under this section shall bind all persons\ninterested in the property or estate, including the persons whose\nconsent is not required, and to the extent to which the appropriation\nis made in or towards satisfaction of the legacy, share or interest, the\nrights to which any person is entitled in virtue of the legacy, share or\ninterest shall be restricted to the part of the property or estate so\nappropriated and shall not extend to any other part of it that may be\ndealt with or disposed of freed from any such rights.\n(5) An appropriation of property whether it is or is not an investment\nauthorised by law or by the trust instrument for the investment of\nmoney subject to it, shall not, except as otherwise provided by this\nsection, be made for the benefit of a person absolutely and\nbeneficially entitled in possession, unless the person is not a person\nwith a legal disability and consents in writing.\n(6) An appropriation must not, except as otherwise provided in this\nsection, be made in relation to a settled legacy, share or interest,\nunless 1 of the following consents in writing:\n(a) the trustee (if any) of the legacy, share or interest, if the trustee\nis not making the appropriation;\n(b) the person who is, for the time being, entitled to the income.\n\n(7) If the person whose consent is required under subsection (5) or (6),\nnot being the trustee of a settled legacy share or interest—\n(a) is a child—the consent may be given on his or her behalf by his\nor her parents or parent with whom he or she resides or in whose\ncustody he or she is, as the case may be, or by his or her\ntestamentary or other guardian, or if there is no such parent or\nguardian, by the Supreme Court; or\n(b) is a person with a mental disability—the consent may be given\non his or her behalf—\n(i) by the guardian of the person, or the manager of the\nperson’s property, under the Guardianship and\nManagement of Property Act 1991; or\n(ii) if there is no such guardian or manager—by the Supreme\nCourt; or\n(c) is a person who cannot be found or ascertained, or as to whom\nit is uncertain whether he or she is living or dead—the consent\nmay be given on his or her behalf by the Supreme Court.\n(8) If the appropriation is of an investment authorised by law or by the\ntrust instrument, no consent except that of the trustee (if any) of a\nsettled legacy share or interest shall be required on behalf of—\n(a) a child if there is no parent or guardian; or\n(b) a person with a mental disability if there is neither a guardian of\nthe person nor a manager of the person’s property under the\nGuardianship and Management of Property Act 1991; or\n(c) a person who may come into existence after the time of\nappropriation, or who cannot be found or ascertained at that\ntime, or as to whom it is uncertain at that time whether he or she\nis living or dead.\n\n(9) Notwithstanding subsection (1) (b), (5) or (7), the consent of the\nannuitant shall not be necessary in any case in which the trustee, after\nhaving set apart a fund to answer the annuity, which fund at the time\nof appropriation would be sufficient, if it were invested in\ngovernment securities of the Commonwealth at par, to provide an\nincome exceeding the annuity by at least 20%, has actually invested\nthe fund in such securities.\n(10) Where an appropriation is made under this section in respect of a\nsettled legacy, share or interest, the property appropriated shall be\nsubject to all trusts for sale and powers of leasing, disposition,\nmanagement and varying investment that would have applied to the\nproperty or to the legacy, share or interest in respect of which the\nappropriation is made, if no such appropriation had been made,\nprovided that nothing in this section shall relieve the trustee of the\nsettled legacy, share or interest, where he or she is not the trustee\nmaking the appropriation, from the obligation to obtain payment or\ntransfer of the property appropriated, if it is so payable or transferable.\n(11) Where the exercise of any power of sale conferred on a legal\nrepresentative by the Administration and Probate Act 1929,\nsection 50 is subject to any condition or to the leave of the Supreme\nCourt being obtained, the legal representative shall not be entitled to\nappropriate any part of the real estate under the powers conferred by\nthis section, except with the leave of the court.\n(12) The trustee may make any conveyance or assent which may be\nnecessary for giving effect to an appropriation under this section.\n(13) Any appropriation or disposition of property made in purported\nexercise of the powers conferred by this section shall, in favour of an\nhonest purchaser or the registrar-general, be taken to have been made\nin accordance with the requirements of this section, and after all\nrequisite consents (if any) have been given.\n\n(14) In this section:\nsettled, in relation to a legacy, share or interest, means a legacy, share\nor interest settled by the trust instrument or another instrument, and\nincludes a legacy, share or interest to which a person is not absolutely\nentitled in possession on the day the appropriation is made.\n(15) This section shall not prejudice any other power of appropriation\nconferred by law or by the trust instrument, and the powers conferred\nby this section shall be in addition to any such power.\n(16) This section applies to a trust except so far as the contrary intention\n","sortOrder":57},{"sectionNumber":"47","sectionType":"section","heading":"Payment to public trustee and guardian","content":"47 Payment to public trustee and guardian\n(1) If an amount is held in trust for a child, someone with a legal disability\nor someone who cannot be found, the trustee may pay the amount to\nthe public trustee and guardian and, if the amount is paid to the public\ntrustee and guardian, must give the public trustee and guardian—\n(a) a copy of the trust instrument, or, if there is no trust instrument,\na statement setting out the trusts on which the amount is held;\nand\n(b) any information about the disability or identity of the person for\nwhom the amount is held in trust that the public trustee and\nguardian requires.\nNote It is an offence to make a false or misleading statement, give false or\nmisleading information or produce a false or misleading document (see\nCriminal Code, pt 3.4).\n(2) The public trustee and guardian shall hold the amount in trust for the\nchild or for such other person in accordance with the trusts affecting\nthe amount, and may exercise, in addition to the powers conferred on\nhim or her by this section, such other powers as would be conferred\non him or her by this Act if he or she had duly appointed the sole\ntrustee of the amount by a person having the power so to appoint him\nor her.\n\n(3) If the amount is held in trust for a person with a legal disability, the\npublic trustee and guardian may—\n(a) for an amount of not more than $6 000—at the public trustee\nand guardian’s discretion; or\n(b) for an amount of money more than $6 000 but not more than\n$25 000—with the Supreme Court’s consent;\napply all or part of the amount for the maintenance, education or\nbenefit of the person or pay it to someone else to be so applied by that\n(4) Where an amount has been paid to the public trustee and guardian\nunder subsection (1) and the public trustee and guardian has, during\na period of 6 years after the amount was paid to him or her, had no\nknowledge of the existence or address of a person who is, or claims\nto be, entitled to the amount or a share in the distribution of the\namount, the public trustee and guardian shall pay an amount equal to\nthat amount or that share, as the case may be, to the Minister, and\nfurnish the Minister with particulars of the amount.\n(5) A receipt given by the director-general for amounts paid to the\nMinister under subsection (4) is an effective discharge to the public\ntrustee and guardian for the amounts.\n(6) A person claiming to be entitled to an amount, or a share in the\ndistribution of an amount, paid to the Minister under subsection (4)\nmay apply to the Supreme Court for an order for payment to him or\nher of the amount due to him or her, and the court, if satisfied that the\nperson is entitled to the amount or to a share in the distribution of the\namount, shall make an order for payment accordingly.\n(7) Upon the making of an order under subsection (6) for payment of an\namount to a person, or where the Minister is otherwise satisfied that\na person is entitled to the amount, or a share in the distribution of the\namount, paid to the Minister under this section, the Minister shall pay\nan amount equal to that amount or to that share, to that person.\n\n(8) This section does not—\n(a) deprive a person of any right or remedy to which the person is\nentitled against a trustee or anyone else; or\n(b) require the public trustee and guardian to make or continue to\nmake any inquiry or investigation to find out who might be\nentitled to amounts paid to the trustee under subsection (1) after\nthose amounts have been paid to the Minister under subsection\n(4).\nSubdivision 2.2.7 Receipts and compounding\n","sortOrder":58},{"sectionNumber":"48","sectionType":"section","heading":"Receipts","content":"48 Receipts\n(1) This section applies if trustees give a written receipt to a person for\npersonal property payable, transferable or deliverable to the trustees\nunder a trust or power.\n(2) The receipt—\n(a) is a sufficient discharge for the property; and\n(b) relieves the person from—\n(i) seeing to the application of the property; or\n(ii) being answerable for any loss or misapplication of the\n(3) In this section:\npersonal property includes an amount of money.\n","sortOrder":59},{"sectionNumber":"49","sectionType":"section","heading":"Compounding","content":"49 Compounding\n(1) The trustees or a majority acting together, or a sole trustee if the trust\ninstrument or a Territory law authorises a sole trustee to act, may—\n(a) accept any property before the time at which it is made\ntransferable or payable; and\n\n(b) sever and apportion any blended trust funds or property; and\n(c) accept any composition or any security, real or personal, for any\ndebt or for any property claimed; and\n(d) allow any time for payment for any debt; and\n(e) compromise, compound, abandon, submit to arbitration, or\notherwise settle any debt, account, claim or thing relating to the\nestate or trust; and\n(f) for any of those purposes, enter into, give or execute any\nagreement, instrument or arrangement, or do anything,\nconsidered appropriate by the trustees, majority of trustees, or\ntrustee.\n(3) A trustee is not responsible for loss resulting from anything done\nhonestly under this section.\nSubdivision 2.2.8 Safe custody, audit and valuation\n","sortOrder":60},{"sectionNumber":"50","sectionType":"section","heading":"Deposit for safe custody","content":"50 Deposit for safe custody\n(1) A trustee may deposit any documents held by him or her relating to\nthe trust, or the trust property, with any bank or with any incorporated\ncompany whose business it is to undertake the safe custody of\ndocuments.\n(2) Any sum payable in respect of the deposit may be paid out of the\nincome of the trust property.\n\n","sortOrder":61},{"sectionNumber":"51","sectionType":"section","heading":"Audit","content":"51 Audit\n(1) A trustee may, in his or her absolute discretion, from time to time\ncause the accounts of the trust property to be examined or audited by\na person who publicly carries on the business of an accountant, and\nshall for that purpose produce such vouchers and give such\ninformation to him or her as he or she shall require.\n(2) The costs of the examination or audit, including the fee of the person\nmaking the examination or audit, shall be paid out of the capital or\nincome of the trust property, or partly in one way and partly in the\nother, as the trustee shall in his or her absolute discretion think fit.\n(3) In default of any direction, in any special case, by the trustee to the\ncontrary, cost attributable to capital shall be borne by capital and\nthose attributable to income by income.\n(4) Where the trustee is the public trustee and guardian or an incorporated\ncompany, nothing in this section shall authorise any costs or fee to be\npaid out of or borne by the capital or income of the trust property\nunless the Supreme Court approves the costs or fee being so paid or\nborne or unless the costs are, or the fee is, incurred in respect of the\nexamination or audit of the accounts of a business forming part of the\ntrust property.\n(5) This section applies to a trust except so far as the contrary intention\n","sortOrder":62},{"sectionNumber":"51A","sectionType":"section","heading":"Information etc for Minister","content":"51A Information etc for Minister\n(1) This section applies if it appears to the Minister that a trustee may be\ncontravening, or may have contravened—\n(a) this Act; or\n(b) a Territory law relevant to its activities under this Act; or\n(c) a legal obligation as a trustee.\n\n(2) The Minister may, in writing, ask the trustee to give the Minister,\nwithin a stated reasonable time, stated information, or written\nstatements, about—\n(a) the affairs of the trust; or\n(b) the activities of the trustee as trustee.\n(3) A requirement under this section may describe the information or\nstatements asked for generally.\n(4) The trustee commits an offence if—\n(a) the Minister asks the trustee for information or written\nstatements under this section; and\n(b) the trustee fails to give the Minister the information or written\nstatements within the reasonable time stated in the request.\nMaximum penalty: 200 penalty units.\n(5) An offence against this section is a strict liability offence.\n","sortOrder":63},{"sectionNumber":"51B","sectionType":"section","heading":"Minister may require inquiry etc","content":"51B Minister may require inquiry etc\n(1) The Minister may, in writing, authorise a stated person to do 1 or\nmore of the following:\n(a) inquire into the activities of a trustee as trustee;\n(b) audit a trustee’s books and accounts (including books and\naccounts of or in relation to any estate, trust or property managed\nor administered by the trustee).\n(2) An authority under this section may be general or relate to a particular\nmatter.\n\n","sortOrder":64},{"sectionNumber":"52","sectionType":"section","heading":"Valuation","content":"52 Valuation\n(1) A trustee may, for the purpose of giving effect to the trust or any of\nthe provisions of the trust instrument or of any statute, from time to\ntime, by duly qualified agents, ascertain and fix the value of any trust\nproperty in such manner as he or she thinks proper.\n(2) A valuation made honestly under this section is binding on everyone\ninterested under the trust.\nSubdivision 2.2.9 Agents, banks and others\n","sortOrder":65},{"sectionNumber":"53","sectionType":"section","heading":"Employment of agents","content":"53 Employment of agents\n(1) A trustee may, instead of acting personally, employ and pay an agent,\nwhether a bank, lawyer, stockbroker or any other person, to transact\nany business or do any act required to be transacted or done in the\nexecution of the trust or in the administration of the estate.\n(2) The trustee shall be entitled to be allowed and paid all charges and\nexpenses so incurred.\n(3) The trustee shall not be responsible for the default of any such agent\nif employed honestly.\n(4) This section extends, in the case of a bank but not in any other case,\nto the receipt and payment of money.\n(5) Nothing in this section shall authorise a trustee to employ an agent in\nany case where a person acting with prudence would not employ the\nagent to transact the business or do the act, if the business or act was\nrequired to be transacted or done in such person’s own affairs.\n\n","sortOrder":66},{"sectionNumber":"54","sectionType":"section","heading":"Banks","content":"54 Banks\n(1) Where there are more than 2 trustees or where there are 2 trustees 1\nof whom is the public trustee and guardian or a trustee company, and\nthe trustees by signed instrument authorise a bank—\n(a) to pay bills of exchange drawn upon the banking account of the\ntrustees by 2 or more trustees named in that behalf in the\nauthority or by the public trustee and guardian or a trustee\ncompany if 1 of the trustees and so named in that behalf in the\nauthority; or\n(b) to recognise as a valid endorsement upon any bill of exchange\nor promissory note payable to the order of the trustees the\nendorsement by 2 or more trustees named in that behalf in the\nauthority or by the public trustee and guardian or a trustee\ncompany if 1 of the trustees and so named in that behalf in the\nauthority, or where the endorsement is for collection and credit\nof any account of the trustees with a bank, the endorsement by\nany 1 or more of the trustees named in that behalf in the\nauthority;\nthe bank acting under the authority shall not be deemed privy to a\nbreach of trust on the ground only of notice that the persons giving\nthe authority were trustees, or that the trust instrument did not contain\nany express power to give the authority.\n(2) The duration of any such authority shall be limited to a period not\nexceeding 3 months on any 1 occasion, except where—\n(a) the trustee or 1 of the trustees named in the authority is the public\ntrustee and guardian or a trustee company; or\n(b) the authority is to indorse for collection and credit of any\naccount of the trustees with a bank.\n(3) This section shall not affect any question of the liability of any trustee\nfor breach of trust in giving the authority.\n\n","sortOrder":67},{"sectionNumber":"54A","sectionType":"section","heading":"Bank may recognise certain signatures and","content":"54A Bank may recognise certain signatures and\nendorsements\n(1) If 2 or more people receive an amount in a fiduciary position (other\nthan as trustees under a will, settlement or like instrument) and\ndeposit the amount with a bank, the bank may, if authorised by\nthem—\n(a) pay a cheque drawn on the bank by 1 or more of them or by an\nagent authorised by them; and\n(b) recognise as valid an endorsement on a bill of exchange or\npromissory note payable to their order if the endorsement is an\nendorsement by 1 or more of them or by an agent authorised by\nthem.\n(2) If a person receives an amount in a fiduciary position (other than as\ntrustee under a will, settlement or like instrument) and deposits the\namount with a bank, the bank may, if authorised by the person—\n(a) pay a cheque drawn on the bank by an agent authorised by the\nperson; and\n(b) recognise as valid an endorsement on a bill of exchange or\npromissory note payable to the order of the person if the\nendorsement is an endorsement by an agent authorised by the\n(3) This section does not affect the liability of a person to anyone in\nrelation to whom the person is in a fiduciary position.\n","sortOrder":68},{"sectionNumber":"55","sectionType":"section","heading":"Property outside ACT","content":"55 Property outside ACT\n(1) Where any property subject to a trust or forming part of the estate of\na testator or intestate is in any place outside the ACT, the trustee may\n\nappoint any person to act as his or her agent or attorney for any of the\nfollowing purposes:\n(a) selling, converting, collecting, getting in, and executing and\nperfecting assurances of, or managing, or cultivating, or\notherwise administering the property;\n(b) executing or exercising any discretion trust or power vested in\nthe trustee in relation to the property.\n(2) The agent or attorney may be so appointed with such ancillary\npowers, and with and subject to such provisions and restrictions as\nthe trustee may think fit, including a power to appoint substitutes.\n(3) The trustee is not liable for any loss arising from an appointment\nunder this section only because the trustee made the appointment.\n","sortOrder":69},{"sectionNumber":"56","sectionType":"section","heading":"Undivided interests","content":"56 Undivided interests\n(1) Where an undivided share in the proceeds of sale of land directed to\nbe sold, or in any other property, is subject to a trust or forms part of\nthe estate of a testator or intestate, the trustee may, without prejudice\nto the trust for sale affecting the entirety of the land and the powers\nof the trustees for sale, execute or exercise any trust or power vested\nin him or her in relation to such share, in conjunction with the person\nentitled to or having power in that behalf over the other share or\nshares.\n(2) This section applies notwithstanding that the trustee may be entitled\nto or interested in any such other share, either in his or her own right\nor in a fiduciary capacity.\n\nSubdivision 2.2.10 Surviving trustees\n","sortOrder":70},{"sectionNumber":"57","sectionType":"section","heading":"Two or more trustees","content":"57 Two or more trustees\n(1) If a power or trust is given to or vested in 2 or more trustees jointly,\nthe power or trust may be exercised by the survivor or survivors of\nthem for the time being.\nSubdivision 2.2.11 Protection of trustees\n","sortOrder":71},{"sectionNumber":"58","sectionType":"section","heading":"Powers of attorney","content":"58 Powers of attorney\n(1) This section applies if—\n(a) a trustee pays an amount, or does something else, honestly under\na power of attorney given by a person; and\n(b) when the trustee does the thing—\n(i) the person is dead or has done something to end the power\nof attorney; but\n(ii) the trustee is unaware of this.\n(2) The trustee is not liable for doing the thing.\n(3) If the trustee pays an amount to a person (the payee)—\n(a) this section does not affect the rights against the payee of anyone\nentitled to the amount (an affected person); and\n(b) the affected person is entitled to the same remedies against the\npayee as the affected person would have had against the trustee.\n\n","sortOrder":72},{"sectionNumber":"59","sectionType":"section","heading":"Implied indemnity","content":"59 Implied indemnity\n(1) A trustee shall be chargeable only for money and securities actually\nreceived by him or her, notwithstanding his or her signing any receipt\nfor the sake of conformity.\n(2) A trustee shall be answerable and accountable only for his or her own\nacts, receipts, neglects, or defaults, and not for those of any other\ntrustee, nor for any bank, broker, or other person with whom any trust\nmoney or securities may be deposited, nor for the insufficiency or\ndeficiency of any securities, nor for any other loss, unless the same\nhappens through his or her own wilful neglect or default.\n(3) Nothing in subsections (1) and (2) shall prejudice the provisions of\n(4) A trustee may reimburse himself or herself, or pay or discharge out\nof the trust property, all expenses incurred in or about the execution\nof his or her trusts or powers.\n","sortOrder":73},{"sectionNumber":"60","sectionType":"section","heading":"Distribution after notice","content":"60 Distribution after notice\n(1) Where a trustee intends to convey or distribute any property to or\namong the persons entitled to it, he or she may give the requisite\nnotice of his or her intention so to convey or distribute the property.\n(2) For subsection (1), the requisite notice is a public notice and such\nother notice or notices (if any) published within or outside the ACT\nas may be given under the Administration and Probate Act 1929,\nsection 64 in the case of an intended distribution of assets by an\nNote Public notice means notice on an ACT government website or in a daily\nnewspaper circulating in the ACT (see Legislation Act, dict, pt 1).\n(3) The notice shall require any person interested to send particulars of\nhis or her claim in respect of the property or any part of it to which\nthe notice relates to the trustee within the time, not being less than\n1 month, fixed in the notice or when more than 1 notice is given in\nthe last of the notices.\n\n(4) At the expiration of the time fixed by the notice the trustee may\nconvey or distribute the property or any part of it to or among the\npersons entitled to it, having regard only to the claims, formal or\notherwise, of which he or she then had notice.\n(5) If the requisite notice has been given, the trustee shall not, as respects\nthe property conveyed or distributed, be liable to any person of whose\nclaim the trustee has not had notice at the time of the conveyance or\ndistribution.\n(6) Nothing in this section shall prejudice the right of any person to\nfollow the property, or any property representing the same, into the\nhands of any person who may have received the same.\n","sortOrder":74},{"sectionNumber":"61","sectionType":"section","heading":"Distribution where estate comprises leaseholds, and in","content":"61 Distribution where estate comprises leaseholds, and in\ncertain other cases\n(1) The Administration and Probate Act 1929, section 66 applies to an\nassignment or a conveyance executed by a trustee and to a distribution\nof trust property in like manner as that section applies to an\nassignment by a legal representative and to a distribution of the estate\nof a testator or an intestate person.\n(2) Nothing in this section shall prejudice the right of the lessor or grantor\nand the persons deriving title under him or her to follow the trust\nproperty into the hands of the person amongst whom the same may\nhave been distributed.\n\n","sortOrder":75},{"sectionNumber":"61A","sectionType":"section","heading":"Personal liability of legal representative or trustee","content":"61A Personal liability of legal representative or trustee\nThe legal representative or trustee of the will of the deceased person\nwho was registered as the holder of shares not fully paid up in any\nincorporated company may distribute the assets of the estate of the\ndeceased person as soon as the legal representative or trustee has\nprocured the registration of some other person as the holder of the\nshares without reserving any portion of the estate for the payment of\nany calls made after the date of the registration whether made by the\ncompany or its directors or by its liquidators in a winding-up, but this\nsection does not affect any right which the company or its liquidator\nmay have to follow the assets of the deceased person into the hands\nof any persons amongst whom the same have been distributed or who\nhave received the same.\n","sortOrder":76},{"sectionNumber":"62","sectionType":"section","heading":"Notice affecting a trustee","content":"62 Notice affecting a trustee\n(1) A trustee acting for more than 1 trust or estate is not affected by notice\nof anything in relation to a particular trust or estate if the trustee has\nnotice of it only because the trustee acts for another trust or estate.\n(2) This section does not apply if the trustee is fraudulent.\n","sortOrder":77},{"sectionNumber":"63","sectionType":"section","heading":"Advice","content":"63 Advice\n(1) A trustee may apply to the Supreme Court for an opinion, advice or\ndirection on any question respecting the management or\nadministration of the trust property, or respecting the interpretation of\n(2) If the trustee acts in accordance with the opinion, advice or direction,\nhe or she shall be deemed, so far as regards his or her own\nresponsibility, to have discharged his or her duty as trustee in the\nsubject matter of the application, provided that he or she has not been\nguilty of any fraud or wilful concealment or misrepresentation in\nobtaining the opinion, advice or direction.\n\n(3) Unless otherwise prescribed by rules of court, the application may be\nmade by summons or appointment upon a written statement signed\nby the trustee or his or her lawyer.\n(4) Unless the Supreme Court otherwise directs, it shall not be necessary\nto serve notice of the application on any person, or to adduce evidence\nby affidavit or otherwise in support of the application.\n(5) Where the question is who are the beneficiaries or what are their\nrights as between themselves, the trustee before conveying or\ndistributing any property in accordance with the opinion, advice or\ndirection shall, unless the Supreme Court otherwise directs, give\nnotice to any person whose rights as beneficiary may be prejudiced\nby the conveyance or distribution.\n(6) The notice shall state shortly the opinion, advice or direction, and the\nintention of the trustee to convey or distribute in accordance with it.\n(7) Any person who claims that his or her rights as beneficiary will be\nprejudiced by the conveyance or distribution may within such time as\nmay be prescribed by rules of court, or as may be fixed by the\nSupreme Court, apply to the court for such order or directions as the\ncircumstances may require, and during such time and while the\napplication is pending, the trustee shall abstain from making the\nconveyance or distribution.\n(8) Subject to subsection (7), anyone on whom notice of any application\nunder this section is served or to whom notice is given in accordance\nwith subsection (5) shall be bound by the opinion, advice or direction\nof the Supreme Court, or by the order and directions of the court, as\nthe case may be, as if the opinion, advice or direction, or the order\nand directions, had been given or made upon the hearing of an\napplication to which such person was a party.\n\n","sortOrder":78},{"sectionNumber":"64","sectionType":"section","heading":"Execution of trust","content":"64 Execution of trust\n(1) If a trustee is absent from the ACT or is about to leave the ACT, the\ntrustee may, by registered deed, delegate the execution of the trust.\n(2) However, the trustee delegates the execution of the trust only if—\n(a) each co-trustee, and anyone else authorised to appoint trustees,\nconsents to the delegation by the deed or another registered\ndeed; and\n(b) the delegation is to—\n(i) the public trustee and guardian; or\n(ii) a trustee company; or\n(iii) a person living in the ACT who either is a co-trustee or can\nbe appointed a trustee of the trust.\n(3) The delegation may be made in relation to all or any part of the trust.\n(4) A delegation given under the authority of this section by a trustee who\nis the legal representative of a deceased person shall, unless the\ncontrary is expressed in the deed of delegation, operate to delegate\nnot only the execution of the duties incidental to the office of legal\nrepresentative of such deceased person (including the exercise of all\nthe functions of the trustee as such legal representative) but also the\nexecution of the trusts which devolve upon such trustee when the\nadministration of the estate of such deceased person is completed.\n(5) The delegation shall not operate beyond 2 years from the date of the\ndeed and shall be made on 1 occasion only, unless after the delegation\nthe trustee has returned to the ACT and is again absent or about to\ndepart from the ACT, provided that in the event of the delegate dying\nor the delegation being revoked, another delegation may be made for\nthe balance of the period of 2 years.\n\nDelegation Division 2.3\n(6) The delegation shall not be made, whether to a co-trustee or to any\nother person, unless there will be remaining in the ACT to perform\nthe trust, the public trustee and guardian or a trustee company or 2\npersons whether as trustee or as delegate.\n(7) Trustees may delegate concurrently.\n(8) A trustee who delegates his or her trust shall remain answerable for\nall acts and omissions of the delegate within the scope of the\ndelegation as if they were the acts and omissions of the trustee, and\nthe delegate shall be subject to the jurisdiction and powers of any\ncourt so far as respects the execution of the trust in the same manner\nas if he or she were the trustee.\n(9) This section applies to a trust except so far as the contrary intention\n(10) However, subsection (9) does not affect the jurisdiction or powers of\na court.\n","sortOrder":79},{"sectionNumber":"65","sectionType":"section","heading":"Consent to exercise of trust or power","content":"65 Consent to exercise of trust or power\n(1) Where a person whose consent is required by any instrument to the\nexercise of a trust or power is absent from the ACT or is about to\ndepart from the ACT, he or she may by registered deed delegate the\nright to consent to the public trustee and guardian, or a trustee\ncompany.\n(2) Persons may delegate concurrently.\n(3) The person who delegates and the delegate shall be severally liable\nfor any improper exercise of the right to consent.\n\n","sortOrder":80},{"sectionNumber":"66","sectionType":"section","heading":"Person dealing with delegate","content":"66 Person dealing with delegate\nNo person dealing honestly with the delegate under any deed of\ndelegation authorised by this part shall, by reason only that by the\ndelegation or any evidence or document in connection with the\ndelegation it appears that the delegate is acting in the execution of any\ntrust, be affected for any purpose with notice of the trust.\n","sortOrder":81},{"sectionNumber":"67","sectionType":"section","heading":"Power of attorney","content":"67 Power of attorney\nA delegation under this part is taken to be a power of attorney under\nthe Powers of Attorney Act 2006.\n","sortOrder":82},{"sectionNumber":"68","sectionType":"section","heading":"Registration","content":"68 Registration\n(1) An instrument by which a trust or the right to consent to the exercise\nof a trust or power is delegated shall be deemed not to be registered\nfor this Act unless it has been registered under the Registration of\nDeeds Act 1957.\n(2) This section extends to a delegation, whether under this part or under\nthe provisions of the instrument creating the trust or power or\notherwise, and whether the trust or power does or does not relate to\nland under the Land Titles Act 1925.\n(3) This section extends to a consent to a delegation.\n\n","sortOrder":83},{"sectionNumber":"70","sectionType":"section","heading":"New trustees","content":"70 New trustees\n(1) The Supreme Court may, on application by a relevant person or on its\nown initiative, make 1 or more of the following orders in relation to\na trust:\n(a) an order removing a trustee;\n(b) an order replacing a trustee;\n(c) an order appointing a trustee, or an additional trustee.\nNote Words in the singular number include words in the plural (see Legislation\nAct, s 145).\n(2) The Supreme Court may make any other order in relation to the trust\nthe court considers appropriate.\n(3) The Supreme Court may make an order under this section only if\nsatisfied the order is appropriate—\n(a) in the interests of the people (whether or not identified) who are\nto benefit from the trust; or\n(b) to advance a purpose of the trust.\n(4) The Supreme Court need not find a fault or inadequacy on the part of\na trustee before making an order under this section.\n(5) Each of the following is a relevant person to make an application\nunder subsection (1) in relation to a trust:\n(a) the Attorney-General;\n(b) a trustee of the trust;\n(c) a beneficiary of the trust;\n\n(d) for a trust established completely or partly for charitable\npurposes—\n(i) a person named in the instrument establishing the trust as\nsomeone who must, or may, be consulted before the\ndistribution or use of property (including money) for the\npurposes of the trust; or\n(ii) a person who has received property (including money)\nfrom the trustees for the purposes of the trust; or\n(iii) a person in a class of people the trust is intended to benefit;\n(e) a person who satisfies the Supreme Court that the person has a\nrelevant interest in the trust.\n(6) An order under this section, and any consequential vesting order or\nconveyance, does not operate further or otherwise as a discharge to a\nformer or continuing trustee than an appointment of new trustees\nunder a power for that purpose in an instrument would have operated.\n(7) This section does not give the Supreme Court a power to appoint an\n","sortOrder":84},{"sectionNumber":"71","sectionType":"section","heading":"Vesting orders","content":"71 Vesting orders\n(1) The Supreme Court may make an order under this section (a vesting\norder).\nNote Section 78 deals with the effect of vesting orders.\n(2) The Supreme Court may make a vesting order in the following cases:\n(a) if the court appoints or has appointed a new trustee;\n(b) if a new trustee has been appointed out of court under any\nstatutory or express power;\n(c) if a trustee retires or has retired;\n(d) if the trustee is a child;\n\n(e) if the trustee is a person with a mental disability;\n(f) if a trustee is out of the jurisdiction of the court;\n(g) if a trustee cannot be found;\n(h) if a trustee being a corporation is dissolved;\n(i) if a trustee neglects or refuses to convey any property, or to\nreceive the dividends or income of any property, or to sue for or\nrecover any property according to the direction of the person\nabsolutely entitled to the same for 28 days next after a request\nin writing has been made to him or her by the person so entitled;\n(j) if it is uncertain who was the survivor of 2 or more trustees\njointly entitled to or possessed of any property;\n(k) if, as to the last trustee known to have been entitled to or\npossessed of any property, it is uncertain whether he or she is\nliving or dead;\n(l) if there is no legal representative of a trustee who was entitled\nto or possessed of any property or where it is uncertain who is\nthe legal representative of a trustee who was entitled to or\npossessed of any property;\n(m) if any person neglects or refuses to convey any property, or to\nreceive the dividends or income of any property, or to sue for or\nrecover any property in accordance with the terms of an order of\nthe court;\n(n) if the court might have made a vesting order if this Act had not\nbeen passed;\n(o) if property is vested in a trustee, whether by way of mortgage or\notherwise, either solely or jointly with any other person, and it\nappears to the court to be expedient to make a vesting order.\n(3) Subsection (2) (d), (e), (f), (g), (h) and (i) extend to a trustee entitled\nto or possessed of any property either solely or jointly with any other\n\n(4) Where the order is consequential on the appointment of a new trustee,\nthe property shall be vested in the persons who, on the appointment\nare the trustees.\n(5) Where the vesting order is consequential on the retirement of 1 or\nmore of a number of trustees, the property may be vested in the\ncontinuing trustees alone.\n(6) Subject to subsection (4), the order may vest the property in anyone,\nin any way and for any interest that the Supreme Court directs, or may\nrelease or dispose of any contingent right to a person as the court\ndirects.\n(7) The fact that the order is founded or purports to be founded on an\nallegation of the existence of any of the matters mentioned in\nsubsection (2) shall be conclusive evidence of the matter so alleged\nin any court upon any question as to the validity of the order.\n(8) This section does not prevent the Supreme Court from—\n(a) directing a reconveyance or the payment of costs incurred if the\norder is improperly obtained; or\n(b) making a further vesting order.\n(9) If a legal interest in property ends because of the dissolution of a\ncorporation, the Supreme Court may, by order—\n(a) create a corresponding interest; and\n(b) vest the corresponding interest in the person who would have\nbeen entitled to the interest if it had not ended.\n","sortOrder":85},{"sectionNumber":"72","sectionType":"section","heading":"Contingent rights of unborn person","content":"72 Contingent rights of unborn person\nWhere any property is subject to a contingent right in an unborn\nperson or class of unborn persons, who, on coming into existence,\nwould become entitled to or possessed of the property on any trust,\nthe Supreme Court may make a vesting order releasing the property\nfrom the contingent right, or vesting in any person the estate or\n\ninterest to or of which the unborn person or class of unborn persons\nwould, on coming into existence, be entitled or possessed in the\n","sortOrder":86},{"sectionNumber":"73","sectionType":"section","heading":"Child beneficiary","content":"73 Child beneficiary\nWhere a child is beneficially entitled to any property the Supreme\nCourt may, with a view to the application of the capital or income of\nthe property for the maintenance, education, or benefit of the child,\nmake an order upon such terms as the court may think fit appointing\na person to convey the property, or in the case of stock, or a thing in\naction, vesting in any person the right to transfer or call for a transfer\nof the stock, or to receive the dividends or income, or to sue for and\nrecover the thing in action.\n","sortOrder":87},{"sectionNumber":"74","sectionType":"section","heading":"Mortgagee under disability","content":"74 Mortgagee under disability\nWhere any person entitled to or possessed of property by way of\nmortgage is a person with a legal disability, the Supreme Court may\nmake a vesting order vesting, releasing or disposing of the property,\nwith the right to transfer or call for a transfer of property, or to receive\nthe dividends or income, or to sue for or recover property or any\ninterest in property, in like manner as in the case of a trustee with a\nlegal disability.\n","sortOrder":88},{"sectionNumber":"75","sectionType":"section","heading":"Deceased mortgagee","content":"75 Deceased mortgagee\n(1) Subject to this section, where a mortgagee of land has died—\n(a) if the land is under the Land Titles Act 1925—the Supreme\nCourt may make an order discharging the mortgage; and\n(b) in any other case—the Supreme Court may order that the land\nvests in anyone, in any way and for any estate that the court\ndirects.\n(2) The order may only be made if—\n\n(a) the mortgagee did not enter into possession, and the amount\nowing under the mortgage has been paid to a person entitled to\nreceive the amount; or\n(b) the person entitled to receive the amount consents to any order\nfor reconveyance of the land.\n(3) The order may be made in any of the following cases:\n(a) if the legal representative of the mortgagee is out of the\njurisdiction of the Supreme Court or cannot be found;\n(b) if the legal representative of the mortgagee, on demand made by\nor on behalf of a person entitled to require a conveyance of the\nland has stated in writing that he or she will not convey the land\nor does not convey the land for the space of 28 days next after a\nproper deed for conveying the land has been tendered to him or\nher by or on behalf of the person so entitled;\n(c) if it is uncertain as to the legal representative of the mortgagee\nwhether he or she is living or dead;\n(d) if there is no legal representative of a mortgagee who has died\nintestate as to the land, or where the mortgagee has died and it\nis uncertain who is his or her legal representative;\n(e) if the court might have made a vesting order if this Act had not\nbeen passed.\n(4) The fact that the order is founded or purports to be founded on an\nallegation of the existence of any of the matters mentioned in\nsubsection (3) shall be conclusive evidence of the matter in any court\nupon any question as to the validity of the order.\n(5) This section does not prevent the Supreme Court from—\n(a) directing a reconveyance or the payment of costs incurred if the\norder is improperly obtained; or\n(b) making a further vesting order.\n\n","sortOrder":89},{"sectionNumber":"76","sectionType":"section","heading":"Sale or mortgage of land","content":"76 Sale or mortgage of land\n(1) If the Supreme Court makes an order directing the sale or mortgage\nof land, the court may make an order vesting the land, or part of it,\nfor any estate the court considers appropriate in the purchaser, the\nmortgagee, or anyone else.\n(2) For this section, every person who is entitled to or possessed of the\nland, or entitled to a contingent right in the land, and is a party to the\nproceeding in which the order is made or is otherwise bound by the\norder, shall be deemed to be so entitled or possessed, as the case may\nbe, as a trustee within the meaning of this Act.\n","sortOrder":90},{"sectionNumber":"77","sectionType":"section","heading":"Specific performance etc","content":"77 Specific performance etc\n(1) The Supreme Court may make a vesting order where an order is made\nby the court for the specific performance of a contract concerning any\nland, or for the partition or sale instead of partition of any land, or for\nthe exchange of any land, or for the conveyance of any land, either in\ncases arising out of the doctrine of election or otherwise.\n(2) For this section, the Supreme Court may declare—\n(a) that any of the parties to the proceeding are trustees of the land\nor any part of it within the meaning of this Act; or\n(b) that the interests of unborn persons who might claim under any\nparty to the proceeding, or under the will or voluntary settlement\nof any person deceased, who was during his or her lifetime a\nparty to the contract or transactions concerning which the order\nis made, are the interests of persons who on coming into\nexistence would be trustees within the meaning of this Act.\n(3) The vesting order may be made with respect to the rights of those\npersons born and unborn as if they had been trustees.\n\n","sortOrder":91},{"sectionNumber":"78","sectionType":"section","heading":"Effect of vesting order","content":"78 Effect of vesting order\n(1) In the case of a vesting order consequential on the appointment of a\nnew trustee, or the retirement of a trustee, the vesting order shall have\nthe same effect as if the persons who before the appointment or\nretirement were the trustees (if any) had duly executed all proper\nconveyances of the property for such estate or interest as the Supreme\nCourt directs or if there is no such person, or no such person who is\nnot a person with a legal disability, then as if such person had existed\nand not been a person with a legal disability, and had duly executed\nall proper conveyances of the property for such estate or interest as\nthe court directs.\n(2) In every other case the vesting order shall have the same effect as if\nthe trustee or other person or description or class of persons to whose\nrights, or supposed rights, the provisions of this part respectively\nrelate, had been an ascertained and existing person of full capacity,\nand had executed a conveyance or release to the effect intended by\nthe order.\n(3) Land does not vest because of a vesting order made under this part\nuntil—\n(a) if the land is under the Land Titles Act 1925—an entry of the\nvesting is made in the register kept under that Act; or\n(b) in any other case—the order is registered under the Registration\nof Deeds Act 1957.\n(4) In the following cases the vesting order shall vest in the person named\nin the order the right to transfer or call for a transfer of a property or\nsecurity:\n(a) any property that does not come within subsection (3), but a\ntransfer of which is required to be registered by or under a law\nin force in the ACT or otherwise;\n\n(b) any security that is only transferable in books kept by a\ncorporation, company or other body, or in manner directed by or\nunder a law in force in the ACT or otherwise.\n(5) In the case of any security or thing in action the vesting order shall\nvest in the person named in the order the right to receive the dividends\nor income of it, and to sue for or recover the thing in action.\n(6) The person in whom the right to transfer or call for the transfer of any\nproperty or security is so vested may transfer the property or security\nto himself or herself or any other person according to the order and\neveryone must obey the order.\n(7) After notice in writing of the vesting order it shall not be lawful for\nanyone to transfer any property or security to which the order relates,\nor to pay any dividends on it except in accordance with the order.\n","sortOrder":92},{"sectionNumber":"79","sectionType":"section","heading":"Appointment of person to convey","content":"79 Appointment of person to convey\nIn all cases where a vesting order can be made the Supreme Court\nmay, if it is more convenient, appoint a person to convey the property\nor release any contingent right, and a conveyance or release by that\nperson in conformity with the order shall have the same effect as an\norder under the appropriate provision.\n","sortOrder":93},{"sectionNumber":"80","sectionType":"section","heading":"Trustees of charities","content":"80 Trustees of charities\nThe powers conferred by this Act as to vesting orders may be\nexercised for vesting any property in any trustee of a charity or society\nover which the Supreme Court would have jurisdiction in a\nproceeding duly instituted, whether the appointment of the trustee\nwas made by instrument under a power or by the court under its\ngeneral or statutory jurisdiction.\n\n","sortOrder":94},{"sectionNumber":"81","sectionType":"section","heading":"Advantageous dealings","content":"81 Advantageous dealings\n(1) Where in the management or administration of any property vested in\ntrustees, any sale, lease, mortgage, surrender, release, or disposition,\nor any purchase, investment, acquisition, expenditure, or transaction,\nis in the opinion of the Supreme Court expedient, but the same cannot\nbe effected by reason of the absence of any power for that purpose\nvested in the trustees by instrument or by law, the court—\n(a) may by order confer upon the trustees, either generally or in any\nparticular instance, the necessary power for the purpose, on such\nterms, and subject to such provisions and conditions, including\nadjustment of the respective rights of the beneficiaries, as the\ncourt may think fit; and\n(b) may direct in what manner any money authorised to be\nexpended, and the costs of any transaction, are to be paid or\nborne as between capital and income.\n(2) Subsection (1) shall be deemed to empower the Supreme Court,\nwhere it is satisfied that an alteration whether by extension or\notherwise of the trusts or powers conferred on the trustees by\ninstrument or by law is expedient, to authorise the trustees to do or\nabstain from doing any act or thing which if done or omitted by them\nwithout the authorisation of the court or the consent of the\nbeneficiaries would be a breach of trust, and in particular the court\nmay authorise the trustees—\n(a) to sell trust property, notwithstanding that the terms or\nconsideration for the sale may not be within any statutory\npowers of the trustees, or within the terms of the trust\ninstrument, or may be forbidden by that instrument; or\n(b) to postpone the sale of trust property; or\n(c) to carry on any business forming part of the trust property during\nany period for which a sale may be postponed; or\n\nDealings and improvements Division 3.2\n(d) to employ capital money subject to the trust in any business\nwhich the trustees are authorised by instrument or by law to\ncarry on.\n(3) The Supreme Court may from time to time rescind or vary any order\nmade under this section, or may make any new or further order.\n(4) The powers of the Supreme Court under this section shall be in\naddition to the powers of the court under its general administrative\njurisdiction, under this Act or another Act.\n","sortOrder":95},{"sectionNumber":"82","sectionType":"section","heading":"Improvements and repairs","content":"82 Improvements and repairs\n(1) Where any leasehold is vested in a trustee for a child, or in trust for\nany persons in succession, the Supreme Court may authorise the\ntrustee to pay or apply capital money subject to the trust for any 1 or\nmore of the following purposes:\n(a) to effect repairs to any existing buildings, dams, fences or other\nerections upon the land;\n(b) to effect improvements of or upon the land, or to reconstruct\nenlarge or improve any existing buildings, dams, fences or other\nerections on the land;\n(c) to erect any new buildings, dams, fences or other erections upon\nthe land;\n(d) to erect, or join in erecting, a fence of which part is on the land\nand part on adjoining land;\n(e) to restock the land with sheep, cattle, or horses;\n(f) to replace machinery or implements required for the land.\n(2) The trustee may be so authorised where the Supreme Court, having\ndue regard to the interest of all persons beneficially interested in the\nland, thinks that the proposed expenditure is expedient, although it\nmay not be necessary for the purpose of the salvage of the property.\n\n(3) The amount of capital money that may be so expended shall be stated\nin the order authorising the proposed expenditure.\n(4) The Supreme Court may authorise the trustee—\n(a) to raise the amount by mortgage of the land, or by sale of a part\nof the land; or\n(b) to raise the amount by mortgage or sale of any other real or\npersonal property held upon the same trusts; or\n(c) to pay the amount out of any money under the control of the\ntrustee and held by him or her upon the same trusts; or\n(d) to provide the amount partly in one and partly in another of those\nmodes; or\n(e) to provide a sinking fund out of income.\n(5) Where the amount is authorised to be raised by mortgage, the\nSupreme Court may give directions to the trustee how the principal\nand interest are to be paid.\n(6) The Supreme Court may require such provision for a sinking fund as\nthe court thinks proper.\n(7) The Supreme Court shall give such directions as appear necessary and\nproper, so as to throw upon the respective interests of the persons\nbeneficially interested their proper proportion of the money to be\nexpended.\n(8) No purchaser or mortgagee paying or advancing money upon any sale\nor mortgage authorised by the Supreme Court under this section shall\nbe required to see to the application of the purchase money or\nmortgage money, and the protection given by this subsection shall\nextend to the registrar-general.\n\nDealings and improvements Division 3.2\n","sortOrder":96},{"sectionNumber":"83","sectionType":"section","heading":"Improvements and repairs without Supreme Court’s","content":"83 Improvements and repairs without Supreme Court’s\napproval\n(1) Where any leasehold is vested in a trustee for a child or in trust for\nany person in succession and in the opinion of the trustee it is\nexpedient in the interest of all persons beneficially interested in the\nland to expend capital money subject to the trust for any 1 or more of\nthe purposes specified in section 82 (1) (a) to (f) the trustee may,\nwithout the authority of the Supreme Court, expend on all or any of\nsuch purposes capital money subject to the trust not exceeding in all\n$25 000 or 1/3 of the value of the land whichever is the less.\n(2) Where in the opinion of the trustee it is expedient to exercise the\npower conferred by subsection (1), he or she may without the\nauthority of the Supreme Court exercise any of the powers specified\nin section 82 (4), and he or she shall throw upon the respective\ninterests of the persons beneficially interested a proper proportion of\nthe money so expended.\n(3) A purchaser paying money upon a sale, or a mortgagee advancing\nmoney upon a mortgage, authorised by this section is not required to\nsee to the application of the purchase money or mortgage money and\nthe protection given by this subsection extends to the registrar-\ngeneral.\n","sortOrder":97},{"sectionNumber":"84","sectionType":"section","heading":"Sale of child’s property","content":"84 Sale of child’s property\n(1) Where any property is held in trust for a child, the Supreme Court\nmay authorise the trustee to sell the whole or any part of the property.\n(2) The authority shall be given on such terms and subject to such\nprovisions and conditions as the Supreme Court may think fit.\n(3) The Supreme Court may confer upon the trustee such powers as\nappear necessary or proper for the purpose, including power to concur\nwith any other person.\n\n(4) This section applies whether the trust is for the child solely or together\nwith any other person, and whether the interest of the child is or is not\nin possession.\n","sortOrder":98},{"sectionNumber":"85","sectionType":"section","heading":"Excusable breaches of trust","content":"85 Excusable breaches of trust\n(1) Where a trustee is or may be personally liable for any breach of trust,\nthe Supreme Court may relieve the trustee either wholly or partly\nfrom personal liability for the breach.\n(2) The relief may not be given unless it appears to the Supreme Court\nthat the trustee has acted honestly and reasonably, and ought fairly to\nbe excused for the breach of trust and for omitting to obtain the\ndirection of the court in the matter in which he or she committed the\nbreach.\n(3) In the case of a legal representative the powers of the Supreme Court\nmay be exercised in its probate as well as in its equity jurisdiction.\n","sortOrder":99},{"sectionNumber":"86","sectionType":"section","heading":"Indemnity for breach of trust","content":"86 Indemnity for breach of trust\n(1) Where a trustee commits a breach of trust at the instigation or request\nor with the written consent of a beneficiary, the Supreme Court may,\nif it thinks fit, make such order as to the court seems just for\nimpounding all or any part of the interest of the beneficiary in the trust\nestate by way of indemnity to the trustee or person claiming through\nhim or her.\n(2) Subsection (1) authorises the Supreme Court to impound all or any\npart of the interest of any beneficiary who receives any pecuniary\nbenefit from the breach of trust.\n\nMiscellaneous powers Division 3.4\n","sortOrder":100},{"sectionNumber":"Div 3","sectionType":"division","heading":"4 Miscellaneous powers","content":"Division 3.4 Miscellaneous powers\n","sortOrder":101},{"sectionNumber":"87","sectionType":"section","heading":"Division of chattels","content":"87 Division of chattels\n(1) Where any chattels are vested in a trustee for persons in undivided\nshares, any person interested in a moiety or upwards may apply to the\nSupreme Court for an order for division of the chattels or any of them,\naccording to a valuation or otherwise.\n(2) The Supreme Court may make such order and give any consequential\ndirections as it thinks fit.\n","sortOrder":102},{"sectionNumber":"88","sectionType":"section","heading":"Order in absence of trustee","content":"88 Order in absence of trustee\nWhere in any proceeding the Supreme Court is satisfied that diligent\nsearch has been made for any person who, in the character of trustee,\nis made a defendant to the proceeding to serve him or her with a\nprocess of the court and that he or she cannot be found, the court may\nhear and determine the proceeding and make an order against that\nperson in his or her character of a trustee as if he or she had been duly\nserved or had entered an appearance in the proceeding, and had also\nappeared by his or her lawyer at the hearing, but without prejudice to\nany interest he or she may have in the matters in question in the\nproceeding in any other character.\n","sortOrder":103},{"sectionNumber":"89","sectionType":"section","heading":"Supreme Court considerations in action for breach of","content":"89 Supreme Court considerations in action for breach of\ntrust\nIn a proceeding against a trustee for a breach of trust in relation to a\nduty under division 2.2 relating to the trustee’s power of investment,\nthe Supreme Court may, when considering the question of the\ntrustee’s liability, take into account the following:\n(a) the nature and purpose of the trust;\n(b) whether the trustee had regard to the matters mentioned in\nsection 14C so far as is appropriate to the circumstances of the\n\n(c) whether the trust investments were made in accordance with an\ninvestment strategy formulated in accordance with the duty of a\ntrustee under division 2.2;\n(d) the extent the trustee acted on the independent and impartial\nadvice of a person competent (or apparently competent) to give\nthe advice.\n","sortOrder":104},{"sectionNumber":"89A","sectionType":"section","heading":"Power of Supreme Court to set off investment gains and","content":"89A Power of Supreme Court to set off investment gains and\nlosses\n(1) In considering an action for breach of trust arising out of or in relation\nto an investment by a trustee where a loss has been or is expected to\nbe made by the trust, the Supreme Court may set off all or part of the\nloss resulting from the investment against all or part of the gain\nresulting from any other investment whether in breach of trust or not.\n(2) The power of set-off under subsection (1) is in addition to any other\npower or entitlement to set off all or part of any loss against any\n","sortOrder":105},{"sectionNumber":"90","sectionType":"section","heading":"Postponement of order","content":"90 Postponement of order\nWhere any application is made under this part, the Supreme Court\nmay postpone making any order upon the application until the right\nof the applicant has been declared in a proceeding duly instituted for\nthat purpose.\n","sortOrder":106},{"sectionNumber":"91","sectionType":"section","heading":"Orders in other proceedings","content":"91 Orders in other proceedings\n(1) If in any proceeding in the Supreme Court the facts proved would\nentitle the court to make an order on an application under this Act, the\ncourt may make the order without requiring a separate proceeding to\nbe begun.\n(2) The order is taken to be made on an application under this Act.\n\nCharitable trusts Division 3.6\n","sortOrder":107},{"sectionNumber":"92","sectionType":"section","heading":"People entitled to apply","content":"92 People entitled to apply\n(1) An order under this Act for the appointment of a new trustee or\nconcerning any property subject to a trust may be made on the\napplication of any person interested in the property, whether under\ndisability or not, or of any person duly appointed trustee of the\n(2) An order under this Act concerning any property subject to a\nmortgage may be made on the application of any person interested in\nthe equity of redemption, whether under disability or not, or of any\nperson interested in the money secured by the mortgage.\nNote to div 3.6:\nThe provisions of this division were relocated from the Imperial Acts (Substituted\nProvisions) Act 1986, sch 2, pt 18. (For the effect of a relocation, see Legislation\nAct 2001, s 96) The 1986 Act substituted provisions for certain UK Acts that\napplied (or may have applied) in the ACT and repealed those Acts. The provisions\nof sch 2, pt 18 were substituted for 52 Geo. 3 c 101 (1812). The 1986 Act, s 4 (1)\nprovided, in effect, that the rules of law about the interpretation of consolidating\nActs apply to the interpretation of the provisions of a law set out in sch 2. These\nrules of law continue to apply to this division (see Legislation Act 2001, s 96 (3)).\n","sortOrder":108},{"sectionNumber":"94A","sectionType":"section","heading":"Applications to Supreme Court","content":"94A Applications to Supreme Court\n(1) A relevant person may apply to the Supreme Court for relief in\nrelation to the administration of a trust for charitable purposes if—\n(a) there is a breach, or the person suspects there is a breach, of the\ntrust; or\n(b) the person is satisfied that a direction or order of the court is\nnecessary for the administration or management of the trust or\nto the advantage or benefit of the trust.\n(2) The application must set out—\n(a) the breach or suspected breach and the relief sought; or\n\n(b) the necessary direction or order and why it is necessary.\n(3) Each of the following is a relevant person for this section:\n(a) the Attorney-General;\n(b) a trustee of the trust;\n(c) a beneficiary of the trust;\n(d) a person named in the instrument establishing the trust as\nsomeone who must, or may, be consulted before the distribution\nor use of property (including money) for the purposes of the\n(e) a person who received property (including money) from the\ntrustees for the purposes of the trust;\n(f) a person in a class of people the trust is intended to benefit;\n(g) a person who satisfies the Supreme Court that the person has a\nrelevant interest in the trust.\n","sortOrder":109},{"sectionNumber":"94B","sectionType":"section","heading":"Orders of Supreme Court","content":"94B Orders of Supreme Court\nIf application is made to the Supreme Court under section 94A, the\ncourt may make any order that it considers just.\n","sortOrder":110},{"sectionNumber":"94C","sectionType":"section","heading":"Notice to Minister","content":"94C Notice to Minister\n(1) Notice of an application under section 94A shall be served on the\nMinister.\n(2) The Minister may be represented in the hearing of an application.\n","sortOrder":111},{"sectionNumber":"94E","sectionType":"section","heading":"Action under Supreme Court order lawful","content":"94E Action under Supreme Court order lawful\nAction taken by trustees of a trust for charitable purposes in\naccordance with an order made by the Supreme Court under\nsection 94B shall, for all purposes, be deemed to have been duly and\nlawfully taken.\n\nPayment into court Part 4\n","sortOrder":112},{"sectionNumber":"94F","sectionType":"section","heading":"Definitions for pt 4","content":"94F Definitions for pt 4\nIn this part:\npayment into court, in relation to stocks and securities, includes the\ndeposit with, or the transfer to, the Supreme Court of the stocks or\nsecurities.\ntrustee includes every implied or constructive trustee.\n","sortOrder":113},{"sectionNumber":"95","sectionType":"section","heading":"Trustees","content":"95 Trustees\n(1) Where trustees, or the majority of trustees, have in their hands or\nunder their control money or securities belonging to a trust, they may\npay them into court.\n(2) Where any money or securities are vested in any persons as trustees,\nand the majority wish to pay them into court, but the agreement of the\nother or others cannot be obtained, the Supreme Court may order the\npayment into court to be made by the majority without the agreement\nof the other or others.\n(3) Where any such money or securities are deposited with any bank,\nbroker or other depositary, the Supreme Court may order transfer,\npayment or delivery of the money or securities to the majority of the\ntrustees for the purpose of payment into court.\n(4) Every transfer, payment and delivery made under any such order shall\nbe valid and take effect as if it had been made on the authority or by\nthe act of all the persons entitled to the money or securities so\ntransferred, paid or delivered.\n\n","sortOrder":114},{"sectionNumber":"96","sectionType":"section","heading":"Person liable to person with legal disability","content":"96 Person liable to person with legal disability\nIf a person with a legal disability is entitled to an amount payable in\ndischarge of land, stock, or a thing in action, conveyed under this Act,\nthe person by whom the amount is payable may pay the amount into\ncourt.\n","sortOrder":115},{"sectionNumber":"98","sectionType":"section","heading":"Money or securities","content":"98 Money or securities\n(1) The payment of money or securities into court shall be subject to rules\nof court.\n(2) The receipt or certificate of the registrar of the Supreme Court or other\nproper officer shall be a sufficient discharge to anyone for money or\nsecurities paid into court.\n(3) Money or securities paid into court shall, subject to rules of court, be\ndealt with according to the orders of the Supreme Court.\n(4) The Supreme Court may make such order as it thinks fit as to the\ninvestment, payment or distribution of money or securities paid into\ncourt, or the dividends or income of them.\n\nMiscellaneous Part 5\n","sortOrder":116},{"sectionNumber":"102","sectionType":"section","heading":"Compulsion to account","content":"102 Compulsion to account\n(1) Where a guardian, committee, receiver or other trustee appointed by\nthe Supreme Court has been or is, by order in a particular cause or\nmatter or by rules of court, directed to account from time to time or\nto file a report or account in the office of the registrar of the court, the\ncourt may, in order to enforce compliance with the order or the rules\nof court, cause the guardian, committee, receiver or other trustee to\nbe summoned before the court to show cause why he or she should\nnot be ordered to account or to file the report or account.\n(2) If the guardian, committee, receiver or other trustee does not, within\nthe prescribed time or within such further time as is allowed by the\nSupreme Court, account or file the report or account in the prescribed\nmanner he or she is liable to attachment in accordance with the\npractice of the court.\n(3) Under this section, the Supreme Court may cause a guardian,\ncommittee, receiver or other trustee to be summoned before the court\non its own initiative or on the application of—\n(a) the parties to the cause or matter or any of those parties; or\n(b) the registrar of the court on behalf of those parties or any of those\nparties.\n","sortOrder":117},{"sectionNumber":"103","sectionType":"section","heading":"Indemnity for anything done under Act etc","content":"103 Indemnity for anything done under Act etc\n(1) This Act, and every order purporting to be made under this Act, is a\ncomplete indemnity to anyone for anything done under this Act or the\norder.\n(2) It is not necessary for anyone to inquire whether an order purporting\nto be made under this Act was properly made.\n\n","sortOrder":118},{"sectionNumber":"104","sectionType":"section","heading":"Preamble to Charitable Uses Act 1601","content":"104 Preamble to Charitable Uses Act 1601\nFor the law of the Territory, the text set out in schedule 1 is taken to\nbe the text of the preamble to the former United Kingdom Act 43 Eliz.\nc 4 (also known as the Charitable Uses Act 1601).\n","sortOrder":119},{"sectionNumber":"105","sectionType":"section","heading":"Illusory etc share valid in law and equity","content":"105 Illusory etc share valid in law and equity\n(1) The exercise of a power of appointment under a trust is valid at law\nand in equity even if a beneficiary or object is given an insubstantial,\nnominal or illusory share or an insubstantial, nominal, or illusory\nshare is left unappointed to devolve on a beneficiary or object.\n(2) This section does not apply to a trust instrument that states the amount\nof the share or shares from which no beneficiary or object may be\nexcluded.\n","sortOrder":120},{"sectionNumber":"106","sectionType":"section","heading":"Consideration of advice etc by certain trustees","content":"106 Consideration of advice etc by certain trustees\n(1) This section applies to the trustee of a trust established completely or\npartly for charitable purposes.\n(2) The trustee must, when administering the trust, consider any relevant\ninformation, representation or advice given to the trustee in writing\nby a relevant person.\n(3) Each of the following is a relevant person:\n(a) a person named in the instrument establishing the trust as\nsomeone entitled to, or who may, receive property (including\nmoney) for the purposes of the trust;\n(b) a person named in the instrument establishing the trust as\nsomeone who must, or may, be consulted before the distribution\nor use of property (including money) for the purposes of the\n\nMiscellaneous Part 5\n(c) a person who received property (including money) from the\ntrustees for the purposes of the trust;\n(d) a person in a class of people the trust is intended to benefit.\n\n","sortOrder":121},{"sectionNumber":"Sch 1","sectionType":"schedule","heading":"Preamble to Charitable Uses Act 1601","content":"Schedule 1 Preamble to Charitable Uses Act 1601\nSchedule 1 Preamble to Charitable Uses\nAct 1601\n(see s 104)\nWhereas lands, tenements, rents, annuities, profits, hereditaments,\ngoods, chattels, money and stocks money have been heretofore given,\nlimited, appointed and assigned, as well by the Queen’s most\nexcellent Majesty and her most noble progenitors, as by sundry other\nwell disposed persons, some for relief of aged, impotent and poor\npeople, some for maintenance of sick and maimed soldiers and\nmariners, schools of learning, free schools and scholars in\nuniversities, some for repair of bridges, ports, havens, causeways,\nchurches, sea banks and highways, some for education and\nproferment of orphans, some for or towards relief, stock or\nmaintenance for houses of correction, some for marriages of poor\nmaids, some for support, aid and help of young tradesmen,\nhandicraftsmen, and decayed persons, and others for relief or\nredemption of prisoners or captives and for aid or ease of any poor\ninhabitants concerning payment of fifteens, setting out of soldiers and\nother taxes; which lands, tenements, rents, annuities, profits,\nhereditaments, goods, chattels, money and stocks of money\nnevertheless have not been employed according to the charitable\nintent of the givers and founders thereof by reason of the frauds,\nbreaches of trusts and negligence in those that should pay, deliver and\nemploy the same.\n\n(see s 2)\nNote 1 The Legislation Act contains definitions and other provisions relevant to\nthis Act.\nNote 2 For example, the Legislation Act, dict, pt 1, defines the following terms:\n• ACT\n• affidavit\n• appoint\n• asset\n• child\n• instrument (see s 14)\n• interest\n• land\n• lawyer\n• month\n• person\n• power\n• proceeding\n• property\n• public trustee and guardian\n• registrar-general\n• sign\n• territory lease\n• will\n• year.\nadministrator includes anyone to whom administration of the estate\nof a dead person is granted, and includes the public trustee and\nguardian acting under the Administration and Probate Act 1929, part\n6.\n\ncontingent right, in relation to land, includes—\n(a) a contingent or executory interest or a possibility coupled with\nan interest, whether or not the object of the gift or limitation of\nthe interest or possibility is known; and\n(b) a right of entry, whether immediate or future and vested or\ncontingent.\nconveyance, in relation to a person, includes the execution or doing\nby the person of everything necessary to convey, assign, appoint,\nsurrender, or otherwise transfer or dispose of, property.\nexecutor means the executor to whom probate has been granted, and\nincludes an executor by right of representation.\ngovernment securities include government stocks, funds, bonds,\ndebentures and Treasury bills.\ninstrument includes a deed, a will, an agreement for settlement and a\nlaw of the Territory, the Commonwealth or a State.\nlegal representative includes executor and administrator.\nmortgage—\n(b) for other property—includes any estate or interest regarded in\nequity as only a security for money.\nmortgagee—\n(b) for other property—includes a person taking title to the\nmortgage under the original mortgagee.\nmortgagor—\n\n(b) for other property—includes any of the following:\n(i) a person taking title to the equity of redemption under the\noriginal mortgagor;\n(ii) a person entitled to redeem a mortgage, according to his or\nher interest in the mortgaged property.\npayment into court, for part 4—see section 94F.\nperson with a legal disability means—\n(a) a child; or\n(b) a person with a mental disability.\nperson with a mental disability means—\n(a) in relation to a proceeding—a person (other than a child) who is\nnot legally competent to be a party to the proceeding; and\n(b) in relation to the doing of something—a person (other than a\nchild) who is not legally competent to do the thing;\nand includes such a person even if a guardian or manager has not been\nappointed for the person under the Guardianship and Management of\nProperty Act 1991.\npossessed includes—\n(a) a vested estate less than a life estate, legal or equitable, in\npossession or expectancy, in property; and\n(b) the receipt of income from such an estate.\npurchaser includes—\n(a) a lessee or mortgagee; and\n(b) anyone who acquires an interest in property for valuable\nconsideration.\nright includes estate and interest.\nsecurities includes stocks, funds and shares.\n\nstock includes—\n(a) paid-up shares; and\n(b) in relation to a vesting order—a fund, annuity or security\n(including a share or interest in such a fund, annuity or security)\ntransferable in books kept by a corporation or by instrument of\ntransfer (including a transfer subject to other requirements).\ntransfer, of stock, includes the execution of a deed or power of\nattorney, and anything else done by the transferor, to give title to the\ntransferee.\ntrust—see section 4 (Meaning of trust).\ntrustee—\n(a) includes a legal representative, the public trustee and guardian\nand a trustee company; and\n(b) for part 4 (Payment into court)—see section 94F.\ntrustee company, means a trustee company under the Trustee\nCompanies Act 1947.\ntrust instrument means the instrument (if any) creating the trust.\nvesting order means an order under section 71.\n\nAbout the endnotes 1\n1 About the endnotes\nAmending and modifying laws are annotated in the legislation history and the\namendment history. Current modifications are not included in the republished law\nbut are set out in the endnotes.\nNot all editorial amendments made under the Legislation Act 2001, part 11.3 are\nannotated in the amendment history. Full details of any amendments can be\nobtained from the Parliamentary Counsel’s Office.\nUncommenced amending laws are not included in the republished law. The details\nof these laws are underlined in the legislation history. Uncommenced expiries are\nunderlined in the legislation history and amendment history.\nIf all the provisions of the law have been renumbered, a table of renumbered\nprovisions gives details of previous and current numbering.\nThe endnotes also include a table of earlier republications.\n2 Abbreviation key\nA = Act NI = Notifiable instrument\nAF = Approved form o = order\nam = amended om = omitted/repealed\namdt = amendment ord = ordinance\nAR = Assembly resolution orig = original\nch = chapter par = paragraph/subparagraph\nCN = Commencement notice pres = present\ndef = definition prev = previous\nDI = Disallowable instrument (prev...) = previously\ndict = dictionary pt = part\ndisallowed = disallowed by the Legislative r = rule/subrule\nAssembly reloc = relocated\ndiv = division renum = renumbered\nexp = expires/expired R[X] = Republication No\nGaz = gazette RI = reissue\nhdg = heading s = section/subsection\nIA = Interpretation Act 1967 sch = schedule\nins = inserted/added sdiv = subdivision\nLA = Legislation Act 2001 SL = Subordinate law\nLR = legislation register sub = substituted\nLRA = Legislation (Republication) Act 1996 underlining = whole or part not commenced\nmod = modified/modification or to be expired\n\nThe Trustee Act 1925 (NSW), as in force in NSW immediately before 1 December\n1957, was formerly applied in the ACT in a modified form by the Trustee Act 1957.\nAfter its application in the ACT, the Trustee Act 1925 (as it applied in the ACT)\nwas amended (directly or indirectly) by Commonwealth laws made before self-\ngovernment and ACT laws made after self-government.\nThe Interpretation Act 1967, section 65 converted all former New South Wales acts\nin force in the ACT immediately before 10 November 1999 into laws made by the\nLegislative Assembly.\nThe Trustee Act 1957 was repealed by the Statute Law Amendment Act 2001 (No 2)\nand the remaining provisions affecting the operation of the Trustee Act 1925 were\nincorporated into that Act by amendment.\nThe provisions of the Conveyancing and Law of Property (Supplemental) Act 1901\n(also a former NSW Act) were remade by the Statute Law Amendment Act 2001\n(No 2) as part of the Trustee Act 1925. The Conveyancing and Law of Property\n(Supplemental) Act 1901 has been repealed in NSW.\nBefore 11 May 1989, ordinances commenced on notification day unless otherwise\nstated (see Seat of Government (Administration) Act 1910 (Cwlth), s 12).\nAfter 11 May and before 10 November 1999, Acts commenced on notification day\nunless otherwise stated (see Australian Capital Territory (Self-Government) Act\n1988 (Cwlth), s 25).\nNSW legislation\nTrustee Act 1925 A1925-14 (NSW)\nassented to 8 December 1925\ncommenced 1 March 1926 (s 1 (2))\nas amended by\nTrustee (Amendment) Act 1929 Act 1929 No 60 (NSW)\nassented to 24 December 1929\ncommenced 24 December 1929\nStatute Law Revision Act 1937 Act 1937 No 35 (NSW)\nassented to 23 December 1937\ncommenced 23 December 1937\n\nConveyancing, Trustee and Probate (Amendment) Act 1938\nAct 1938 No 30 (NSW)\nassented to 14 December 1938\ncommenced 1 January 1939 (s 1 (2) and NSW Gaz 1938 No 188\np 4951)\nTrustee and Wills (Emergency Provisions) Act 1940 Act 1940 No 32\n(NSW)\nassented to 11 November 1940\ncommenced 11 November 1940\nPublic Trustee (Amendment) Act 1942 Act 1942 No 26 (NSW)\nassented to 14 December 1942\ncommenced 14 December 1942\nCommonwealth legislation\nas applied and modified by\nTrustee Act 1957 A1957-14 (previously Trustee Ordinance 1957)\nnotified 21 November 1957 (Cwlth Gaz 1957 No 63 p 3538)\ncommenced 1 December 1957 (s 2)\nas amended by\nTrustee Ordinance 1968 Ord1968-18 s 2\nnotified 26 September 1968 (Cwlth Gaz 1968 No 78)\ncommenced 26 September 1968\nTrustee Ordinance 1975 Ord1975-28 s 3\nnotified 10 September 1975 (Cwlth Gaz 1975 No S179)\ncommenced 10 September 1975\nOrdinances Revision Ordinance 1978 Ord1978-46 sch 2\nnotified 28 December 1978 (Cwlth Gaz 1978 No S292)\ncommenced 28 December 1978\nTrustee (Amendment) Ordinance 1982 Ord1982-27 s 2\nnotified 25 June 1982 (Cwlth Gaz 1982 No S133)\ncommenced 25 June 1982\n\nOrdinances Revision (Companies Amendments) Ordinance 1982\nOrd1982-38 sch 4\nnotified 30 June 1982 (Cwlth Gaz 1982 No S139)\ncommenced 1 July 1982 (s 2)\nPublic Trustee (Miscellaneous Amendments) Ordinance 1985\nOrd1985-9 sch 2\nnotified 8 March 1985 (Cwlth Gaz 1985 No S69)\ncommenced 28 October 1985 (s 2 and Cwlth Gaz 1985 No G42\np 3902)\nPerpetuities and Accumulations Ordinance 1985 Ord1985-65 s 22\nnotified 19 December 1985 (Cwlth Gaz 1985 No S542)\ncommenced 19 December 1985\nLimitation Ordinance 1985 Ord1985-66 sch\nnotified 19 December 1985 (Cwlth Gaz 1985 No S542)\ncommenced 19 December 1985\nAdministrative Arrangements (Consequential Amendments)\nOrdinance 1988 Ord1988-17 sch 2\nnotified 22 April 1988 (Cwlth Gaz 1988 No S114)\ncommenced 22 April 1988\nTrustee (Amendment) Ordinance 1988 Ord1988-78 s 2\nnotified 7 December 1988 (Cwlth Gaz 1988 No 46)\ncommenced 7 December 1988\nSelf-Government (Consequential Amendments) Ordinance 1989\nOrd1989-38 sch 1\nnotified 10 May 1989 (Cwlth Gaz 1989 No S160)\ns 1, s 2 commenced 10 May 1989 (s 2 (1))\nsch 1 commenced 11 May 1989 (s 2 (2) and Cwlth Gaz 1989 No S164)\nLegislation after becoming Territory enactment\nTrustee (Amendment) Act 1990 A1990-1\nnotified 2 March 1990 (Gaz 1990 No S8)\ncommenced 2 March 1990\n\nFinancial Institutions (Consequential Amendments) Act 1992\nA1992-30 sch 1\nnotified 1 July 1992 (Gaz 1992 No S92)\ncommenced 1 July 1992 (s 2)\nTrustee (Amendment) Act 1992 A1992-50\nnotified 1 September 1992 (Gaz 1992 No S148)\ncommenced 1 September 1992\nRegistrar-General (Consequential Provisions) Act 1993 A1993-64\nsch 1\nnotified 6 September 1993 (Gaz 1993 No S172)\ns 1, s 2 commenced 6 September 1993 (s 2 (1))\nsch 1 commenced 1 October 1993 (s 2 (2) and Gaz 1993 No S207)\nPublic Sector Management (Consequential and Transitional\nProvisions) Act 1994 A1994-38 sch pt 78\nnotified 30 June 1994 (Gaz 1994 No S121)\ns 1, s 2 commenced 30 June 1994 (s 2 (1))\nsch pt 78 commenced 1 July 1994 (s 2 (2) and Gaz 1994 No S142)\nMental Health (Consequential Provisions) Act 1994 A1994-45 sch\nnotified 7 September 1994 (Gaz 1994 No S177)\ns 1, s 2 commenced 7 September 1994 (s 2 (1))\nsch commenced 6 February 1995 (s 2 (2) and see Gaz 1995 No S33)\nTrustee (Amendment) Act 1995 A1995-26\nnotified 5 September 1995 (Gaz 1995 No S212)\ncommenced 5 September 1995 (s 2)\nStatute Law Revision Act 1995 A1995-46 sch\nnotified 18 December 1995 (Gaz 1995 No S306)\ncommenced 18 December 1995 (s 2)\nLand Titles (Consequential Amendments) Act 1995 A1995-54 sch pt 1\nnotified 20 December 1995 (Gaz 1995 No S313)\ncommenced 20 June 1996 (s 2)\n\nLegal Practitioners (Consequential Amendments) Act 1997 A1997-96\nsch 1\nnotified 1 December 1997 (Gaz 1997 No S380)\ns 1, s 2 commenced 1 December 1997 (s 2 (1))\nsch 1 commenced 1 June 1998 (s 2 (2))\nTrustee (Amendment) Act 1999 A1999-28\nnotified 21 May 1999 (Gaz 1999 No S24)\ncommenced 21 May 1999 (s 2)\nLaw Reform (Miscellaneous Provisions) Act 1999 A1999-66 sch 3\nnotified 10 November 1999 (Gaz 1999 No 24)\ncommenced 10 November 1999 (s 2)\nLegislation (Consequential Amendments) Act 2001 A2001-44 pt 395\nnotified 26 July 2001 (Gaz 2001 No 30)\ns 1, s 2 commenced 26 July 2001 (IA s 10B)\npt 395 commenced 12 September 2001 (s 2 and see Gaz 2001 No\nS65)\nStatute Law Amendment Act 2001 (No 2) 2001 No 56 pt 3.49\nnotified 5 September 2001 (Gaz 2001 No S65)\ns 1, s 2 commenced 5 September 2001 (IA s 10B)\namdt 3.828 commenced 12 September 2001 (s 2 (2))\npt 3.49 remainder commenced 5 September 2001 (s 2 (1))\nJustice and Community Safety Legislation Amendment Act 2003\nA2003-2 pt 18\nnotified LR 3 March 2003\ns 1, s 2 commenced 3 March 2003 (LA s 75 (1))\npt 18 commenced 31 March 2003 (s 2 (2))\nSexuality Discrimination Legislation Amendment Act 2004 A2004-2\nsch 1 pt 1.17\nnotified LR 18 February 2004\ns 1, s 2 commenced 18 February 2004 (LA s 75 (1))\nsch 1 pt 1.17 commenced 22 March 2004 (s 2 and CN2004-4)\nStatute Law Amendment Act 2005 A2005-20 sch 3 pt 3.69\nnotified LR 12 May 2005\ns 1, s 2 taken to have commenced 8 March 2005 (LA s 75 (2))\nsch 3 pt 3.69 commenced 2 June 2005 (s 2 (1))\n\nJustice and Community Safety Legislation Amendment Act 2005\n(No 3) A2005-43 sch 1 pt 1.14\nnotified LR 30 August 2005\ns 1, s 2 commenced 30 August 2005 (LA s 75 (1))\nsch 1 pt 1.14 commenced 1 October 2005 (s 2 (3) and CN2005-18)\nCivil Law (Property) Act 2006 A2006-38 sch 1 pt 1.7\nnotified LR 28 September 2006\ns 1, s 2 commenced 28 September 2006 (LA s 75 (1))\nsch 1 pt 1.7 commenced 28 March 2007 (s 2 and LA s 79)\nPowers of Attorney Act 2006 A2006-50 sch 2 pt 2.5\nnotified LR 30 November 2006\ns 1, s 2 commenced 30 November 2006 (LA s 75 (1))\nsch 2 pt 2.5 commenced 30 May 2007 (s 2 and LA s 79)\nStatute Law Amendment Act 2007 A2007-3 sch 3 pt 3.109\nnotified LR 22 March 2007\ns 1, s 2 taken to have commenced 1 July 2006 (LA s 75 (2))\namdt 3.536 commenced 12 April 2007 (s 2 (2))\nsch 3 pt 3.109 remainder commenced 12 April 2007 (s 2 (1))\nPlanning and Development (Consequential Amendments) Act 2007\nA2007-25 sch 1 pt 1.31\nnotified LR 13 September 2007\ns 1, s 2 commenced 13 September 2007 (LA s 75 (1))\nsch 1 pt 1.31 commenced 31 March 2008 (s 2 and see Planning and\nDevelopment Act 2007 A2007-24, s 2 and CN2008-1)\nJustice and Community Safety Legislation Amendment Act 2008\nA2008-7 sch 1 pt 1.20\nnotified LR 16 April 2008\ns 1, s 2 commenced 16 April 2008 (LA s 75 (1))\nsch 1 pt 1.20 commenced 7 May 2008 (s 2)\nLiquor (Consequential Amendments) Act 2010 A2010-43 sch 1 pt 1.23\nnotified LR 8 November 2010\ns 1, s 2 commenced 8 November 2010 (LA s 75 (1))\nsch 1 pt 1.23 commenced 1 December 2010 (s 2 (4) and see Liquor\nAct 2010 A2010-35, s 2 (3) (as am by A2010-43 amdt 1.19) and\nCN2010-14)\n\nAdministrative (One ACT Public Service Miscellaneous Amendments)\nAct 2011 A2011-22 sch 1 pt 1.158\nnotified LR 30 June 2011\ns 1, s 2 commenced 30 June 2011 (LA s 75 (1))\nsch 1 pt 1.158 commenced 1 July 2011 (s 2 (1))\nRed Tape Reduction Legislation Amendment Act 2015 A2015-33\nsch 1 pt 1.64\nnotified LR 30 September 2015\ns 1, s 2 commenced 30 September 2015 (LA s 75 (1))\nsch 1 pt 1.64 commenced 14 October 2015 (s 2)\nProtection of Rights (Services) Legislation Amendment Act 2016\n(No 2) A2016-13 sch 1 pt 1.37\nnotified LR 16 March 2016\ns 1, s 2 commenced 16 March 2016 (LA s 75 (1))\nsch 1 pt 1.37 commenced 1 April 2016 (s 2 and see Protection of\nRights (Services) Legislation Amendment Act 2016 A2016-1 s 2)\nRed Tape Reduction Legislation Amendment Act 2016 A2016-18\nsch 3 pt 3.44\nnotified LR 13 April 2016\ns 1, s 2 commenced 13 April 2016 (LA s 75 (1))\nsch 3 pt 3.44 commenced 27 April 2016 (s 2)\nStatute Law Amendment Act 2017 A2017-4 sch 3 pt 3.33\nnotified LR 23 February 2017\ns 1, s 2 commenced 23 February 2017 (LA s 75 (1))\nsch 3 pt 3.33 commenced 9 March 2017 (s 2)\nJustice and Community Safety Legislation Amendment\nAct 2021 (No 2) A2021-33 pt 17\nnotified LR 10 December 2021\ns 1, s 2 commenced 10 December 2021 (LA s 75 (1))\npt 17 commenced 17 December 2021 (s 2 (1))\nJustice and Community Safety Legislation Amendment\nAct 2023 (No 3) A2023-57 pt 17\nnotified LR 11 December 2023\ns 1, s 2 commenced 11 December 2023 (LA s 75 (1))\npt 17 commenced 12 December 2023 (s 2 (1))\n\nTitle\ntitle sub A2001-56 amdt 3.488\nPreliminary\npt 1 hdg (prev pt 1 hdg) om A2001-56 amdt 3.490\nins A2001-56 amdt 3.489\nName of Act\ns 1 am Ord1957-14 sch 2\nsub A2001-56 amdt 3.489\ns 2 (prev s 2) om A1999-28 s 4\nNotes\ns 3 (prev s 3) om Ord1957-14 sch 2\nMeaning of trust\ns 4 (prev s 4) om Ord1957-14 sch 2\nOffences against Act—application of Criminal Code etc\ns 5 (prev s 5) am Ord1957-14 sch 2 (as am by Ord1985-9 sch 2);\nA1992-50; A1993-64; A1994-45\nom A2001-56 amdt 3.491\nins A2003-2 s 80\nam A2017-4 amdt 3.196\nTreatment of unincorporated entities named in trusts\ns 5A ins A1999-28 s 5\nom A2001-56 amdt 3.491\nins A2003-2 s 80\nAppointment, retirement, disclaimer and ceasing to be executor\ndiv 2.1 hdg (prev pt 2 div 1 hdg) renum R4 LA (see A2001-56 amdt 3.857)\nAppointment\nhdg before s 6 om A2001-56 amdt 3.492\nAppointment of new trustees\ns 6 hdg sub A2001-56 amdt 3.493\ns 6 am Act 1940 No 32 (NSW) s 11; Ord1957-14 sch 2; am\nA2001-56 amdts 3.494-508, amdts 3.852-3.854; A2005-20\namdt 3.411; A2016-13 amdt 1.143\nAdditional trustee\ns 7 am A2001-56 amdt 3.509, amdt 3.510, amdt 3.854; A2016-13\namdt 1.143\n\nChildren not to be appointed trustees\ns 7A ins A2006-38 amdt 1.13\nRetirement\nhdg before s 8 om A2001-56 amdt 3.511\nRetirement\ns 8 am A2001-56 amdt 3.512, amdt 3.513, amdt 3.852; A2016-13\namdt 1.143\nVesting on appointment and retirement\nhdg before s 9 om A2001-56 amdt 3.514\nVesting on appointment and retirement\ns 9 hdg sub A2001-56 amdt 3.515\ns 9 am Act 1938 No 30 (NSW) s 5; Ord1957-14 sch 2; A1993-64;\nA1995-54; A2001-56 amdt 3.516-3.524, amdt 3.852; A2017-4\namdt 3.197\nDisclaimer, and ceasing to be executor\nhdg before s 10 om A2001-56 amdt 3.525\nRenunciation of probate\ns 10 am Act 1938 No 30 (NSW) s 5; Ord1957-14 sch 2 (as am by\nOrd1985-9); A2001-56 amdt 3.526, amdt 3.852, amdt 3.854;\nA2016-13 amdt 1.143\nCeasing to be executor\ns 11 am Ord1957-14 sch 2; A1993-64; A1995-54; A2001-56\namdt 3.527, amdt 3.528, amdt 3.852\nhdg before s 12 om A2001-56 amdt 3.529\ns 12 am Ord1957-14 sch 2; A1993-64; A1995-54; A2001-56\namdt 3.530-3.533, amdt 3.852, amdt 3.855\nProtection of purchasers\ns 13 am Ord1957-14 sch 2; A1993-64; A2001-56\namdts 3.534-3.536, amdt 3.852, amdt 3.855\nPowers and duties\ndiv 2.2 hdg (prev pt 2 div 2 hdg) renum R4 LA (see A2001-56 amdt 3.857)\nInvestment\nsdiv 2.2.1 hdg (prev hdg before s 14) sub A2001-56 amdt 3.537\n\nPowers of investment\ns 14 am Act 1938 No 30 (NSW) s 5; Ord1957-14 sch 2 (as am by\nOrd1968-18; Ord1975-28 s 3; Ord1978-46 sch 2;\nOrd1982-27 s 2; Ord1982-38 sch 4; Ord1988-17 sch 2;\nOrd1988-78 s 2; Ord1989-38 sch 1; A1990-1 s 3); A1992-30;\nA1992-50; A1995-26\nsub A1999-28 s 6\nam A2001-56 amdts 3.538\nDuties of trustee in relation to powers of investment\ns 14A ins A1999-28 s 6\nam A2001-56 amdts 3.538\nLaw and equity preserved\ns 14B ins A1999-28 s 6\nam A2001-56 amdt 3.538, amdt 3.539\nExercise of power of investment\ns 14C ins A1999-28 s 6\nPowers of trustee in relation to securities\ns 14D ins A1999-28 s 6\nPowers to buy house as residence for beneficiary\ns 14E ins A1999-28 s 6\nInvestment in securities under RITS system\ns 14F ins A1999-28 s 6\nam A2005-20 amdt 3.412, amdt 3.413\nInterim investment\ns 15 am Ord1957-14 sch 2; A1992-50\nom A1999-28 s 6\nLoan for fixed period\ns 16 am Ord1957-14 sch 2\nom A1999-28 s 6\nAccepting a short title\ns 17 am A2001-56 amdt 3.541, amdt 3.852, amdt 3.854\nRatio of loan to value\ns 18 am Ord1957-14 sch 2 (as am by Ord1989-38 sch 1);\nA2001-56 amdt 3.542, amdt 3.852\nLoss on authorised security\ns 19 am A1999-28 s 7; A2001-56 amdt 3.543 ,amdt 3.852\n\nRelease of part of security\ns 20 am Ord1957-14 sch 2; A1993-64; A2001-56 amdt 3.544,\namdt 3.545, amdt 3.852, amdt 3.855\nArrangement with company\ns 21 am A2001-56 amdts 3.546-3.549, amdt 3.852, amdt 3.853\nNew shares in company\ns 22 am Act 1938 No 30 (NSW) s 5; A1995-46; A2001-56\namdts 3.550-3.554, amdt 3.852; A2005-20 amdt 3.414\nCalls on shares\ns 23 am A2001-56 amdt 3.555, amdt 3.852\nAccrued interest on debentures or stock sold or purchased\ns 24 am Ord1957-14 sch 2; A1999-28 s 8; A2001-56 amdt 3.556,\namdt 3.852\nContinued holding\ns 25 am A2001-56 amdt 3.557, amdt 3.852\nsub A2005-20 amdt 3.415\nSale and other dealings\nsdiv 2.2.2 hdg (prev hdg before s 26) sub A2001-56 amdt 3.558\nPowers incidental to sale\ns 26 am Act 1938 No 30 (NSW) s 5; Ord1957-14 sch 2; A2001-56\namdts 3.559-3.566, amdt 3.852, amdt 3.856\nDuration of trust or power to sell\ns 27 am Act 1929 No 60 (NSW) s 2; A2001-56 amdt 3.567,\namdt 3.568, amdt 3.852\ns 27A ins Act 1929 No 60 (NSW) s 3\nom Ord1957-14 sch 2 (as am by Ord1985-65 s 22)\nPostponement of sale\ns 27B ins Act 1929 No 60 (NSW) s 3\nam Ord1957-14 sch 2; A2001-56 amdt 3.569-3.572,\namdt 3.852; A2005-20 amdt 3.416\nPurchaser under trust for sale\ns 27C ins Act 1929 No 60 (NSW) s 3\nam A2001-56 amdt 3.852\nApplication of rule in Howe v Earl of Dartmouth to leases\ns 27D ins A2001-56 amdt 3.573\nam A2005-20 amdt 3.417; A2007-25 amdt 1.178\n\nDeferred payment on sale of land\ns 28 am Act 1938 No 30 (NSW) s 5; Ord1957-14 sch 2; A2001-56\namdts 3.574-3.582, amdt 3.852, amdt 3.854; R4 LA;\nA2005-20 amdt 3.418\nSale or purchase under Conveyancing Act 1919\ns 29 om Ord1957-14 sch 2\nDepreciatory conditions\ns 30 sub A2001-56 amdt 3.583\nSale of part of land\ns 31 am A2001-56 amdt 3.584, amdt 3.585, amdt 3.852\nSale, exchange and partition\ns 32 hdg sub A2001-56 amdt 3.586\ns 32 am A2001-56 amdts 3.587-3.589, amdt 3.852\nPower to purchase equity of redemption instead of foreclosure\ns 32A ins Act 1938 No 30 (NSW) s 5\nam Ord1957-14 sch 2\nsub A2001-56 amdt 3.590\nSale after right of redemption barred\ns 33 am Act 1938 No 30 (NSW) s 5; Ord1957-14 sch 2; A1993-64;\nA1995-54; A2001-56 amdt 3.591, amdt 3.592, amdt 3.852\nRelease of equity of redemption in discharge of mortgage debt\ns 34 am Ord1957-14 sch 2; A1993-64; A2001-56 amdt 3.593,\namdt 3.594, amdt 3.852, amdt 3.855\nSurrender of onerous lease\ns 35 am Ord1957-14 sch 2; A1993-64; A2001-56 amdt 3.852,\namdt 3.855\nLeasing\ns 36 am Ord1957-14 sch 2; A1993-64; A1995-54; A2001-56\namdts 3.595-3.605, amdt 3.852, amdt 3.856; A2005-20\namdts 3.419-3.421; A2006-38 amdt 1.14, amdt 1.15;\nss renum R10 LA (see A2006-38 amdt 1.16); A2007-3\namdt 3.536; A2010-43 amdt 1.71\nRenewal of leasehold\ns 37 am A2001-56 amdts 3.606-3.608, amdt 3.852\nRaising money\ns 38 am Act 1938 No 30 (NSW) s 5; A2001-56 amdts 3.609-3.612\nProtection of purchasers or mortgagees\ns 39 am A2001-56 amdt 3.613\n\nApplication of income by trustee as mortgagee in possession\ns 39A ins Act 1938 No 30 (NSW) s 5\nam Ord1957-14 sch 2; A2001-56 amdts 3.614-3.618\nValidation of certain payments by trustee—mortgagee in possession\ns 39B ins Act 1938 No 30 (NSW) s 5\nam Ord1957-14 sch 2\nom A2001-56 amdt 3.619\nProperty not in possession\nsdiv 2.2.3 hdg (prev hdg before s 40) sub A2001-56 amdt 3.620\nPowers\ns 40 am A2001-56 amdts 3.621-3.626, amdt 3.852\nInsurance\nsdiv 2.2.4 hdg (prev hdg before s 41) sub A2001-56 amdt 3.627\nInsurance\ns 41 am A2001-56 amdt 3.628, amdt 3.852\nApplication of insurance money\ns 42 am A2001-56 amdts 3.629-3.633, amdt 3.852, amdt 3.853\nMaintenance, advancement and protective trusts\nsdiv 2.2.5 hdg (prev hdg before s 43) sub A2001-56 amdt 3.634\nMaintenance and accumulation\ns 43 am Ord1957-14 sch 2; A2001-56 amdts 3.635-3.650,\namdt 3.852, amdt 3.853; A2005-20 amdt 3.422; A2006-38\namdt 1.17\nAdvancement\ns 44 am Act 1938 No 30 (NSW) s 5; Ord1957-14 sch 2 (as am by\nOrd1989-38 sch 1); A1992-50; A2001-56 amdts 3.651-3.653,\namdt 3.852 ; A2006-38 amdt 1.18\nProtective trusts\ns 45 am Act 1937 No 35 (NSW) sch 2; A2001-56 amdts 3.654-\n3.659, amdt 3.853; A2004-2 amdts 1.55-1.57\nss (10)-(12) exp 22 March 2006 (s 45 (11))\nAppropriation and payment to public trustee and guardian\nsdiv 2.2.6 hdg (prev hdg before s 46) sub A2001-56 amdt 3.660\nAppropriation\ns 46 am Act 1938 No 30 (NSW) s 5; Ord1957-14 sch 2; A1993-64;\nA1994-45; A2001-56 amdts 3.661-3.685, amdt 3.852,\namdt 3.854; R4 LA; A2005-20 amdts 3.423-3.425\n\nPayment to public trustee and guardian\ns 47 am Act 1942 No 26 (NSW) s 8; Ord1957-14 sch 2 (as am by\nOrd1989-38 sch 1); A1994-38; A1994-45; A2001-56\namdts 3.686-3.695, amdt 3.852, amdt 3.854; A2005-20\namdt 3.426, amdt 3.427; A2008-7 amdt 1.76, amdt 1.77;\nA2011-22 amdt 1.446; A2016-13 amdt 1.142, amdt 1.143;\nA2016-18 amdt 3.212, amdt 3.213\nReceipts and compounding\nsdiv 2.2.7 hdg (prev hdg before s 48) sub A2001-56 amdt 3.696\nReceipts\ns 48 am A2001-56 amdts 3.697-3.699, amdt 3.852\nsub A2005-20 amdt 3.428\nCompounding\ns 49 am Act 1938 No 30 (NSW) s 5; A2001-56 amdts 3.700-3.702,\namdt 3.852; A2005-20 amdt 3.429, amdt 3.430\nSafe custody, audit and valuation\nsdiv 2.2.8 hdg (prev hdg before s 50) sub A2001-56 amdt 3.703\nDeposit for safe custody\ns 50 am A2001-56 amdt 3.704, amdt 3.852\nAudit\ns 51 am Ord1957-14 sch 2; A2001-56 amdt 3.705, amdt 3.852,\namdt 3.854; A2016-13 amdt 1.143\nInformation etc for Minister\ns 51A ins A2003-2 s 81\nMinister may require inquiry etc\ns 51B ins A2003-2 s 81\nValuation\ns 52 am A2001-56 amdt 3.706, amdt 3.707, amdt 3.852\nAgents, banks and others\nsdiv 2.2.9 hdg (prev hdg before s 53) sub A2001-56 amdt 3.708\nEmployment of agents\ns 53 am A1997-96; A2001-56 amdts 3.709-3.711, amdt 3.852\nBanks\ns 54 am Act 1938 No 30 (NSW) s 5; A2001-56 amdts 3.712-3.716,\namdt 3.852; A2005-20 amdt 3.431; A2016-13 amdt 1.143\nBank may recognise certain signatures and endorsements\ns 54A hdg sub A2001-56 amdt 3.717\ns 54A ins Act 1938 No 30 (NSW) s 5\nam A2001-56 amdts 3.718-3.720; A2005-20 amdt 3.432\n\nProperty outside ACT\ns 55 hdg sub A2001-56 amdt 3.721\ns 55 am A2001-56 amdt 3.722, amdt 3.723, amdt 3.852\nUndivided interests\ns 56 am A2001-56 amdt 3.724, amdt 3.725, amdt 3.852\nSurviving trustees\nsdiv 2.2.10 hdg (prev hdg before s 57) sub A2001-56 amdt 3.726\nTwo or more trustees\ns 57 am A2001-56 amdt 3.727, amdt 3.852\nProtection of trustees\nsdiv 2.2.11 hdg (prev hdg before s 58) sub A2001-56 amdt 3.728\nPowers of attorney\ns 58 am A2001-56 amdt 3.729, amdt 3.852\nsub A2005-20 amdt 3.433\nImplied indemnity\ns 59 am A2001-56 amdt 3.730, amdt 3.731, amdt 3.852\nDistribution after notice\ns 60 am Ord1957-14 sch 2 (as am by Ord1989-38 sch 1);\nA1999-28 s 9; A2001-56 amdts 3.732-3.734; A2015-33\namdt 1.227, amdt 1.228; A2021-33 s 27; A2023-57 s 48\nDistribution if estate comprises leaseholds etc\ns 61 am Ord1957-14 sch 2; A2001-56 amdt 3.853\nPersonal liability of legal representative or trustee\ns 61A ins Act 1938 No 30 (NSW) s 5\nam A2001-56 amdt 3.735, amdt 3.736\nNotice affecting a trustee\ns 62 sub A2005-20 amdt 3.434\nAdvice\ns 63 am Ord1957-14 sch 2; A1997-96; A2001-56\namdts 3.737-3.745\nDelegation\ndiv 2.3 hdg (prev pt 2 div 3 hdg) renum R4 LA (see A2001-56 amdt 3.857)\nExecution of trust\ns 64 am Act 1938 No 30 (NSW) s 5; Ord1957-14 sch 2 (as am by\nOrd1989-38 sch 1); A2001-56 amdts 3.746-3.748,\namdt 3.852; A2005-20 amdt 3.435; A2016-13 amdt 1.143\nConsent to exercise of trust or power\ns 65 am Ord1957-14 sch 2 (as am by Ord1989-38 sch 1);\nA2001-56 amdt 3.749, amdt 3.852; A2016-13 amdt 1.143\n\nPerson dealing with delegate\ns 66 am A2001-56 amdts 3.750-3.752, amdt 3.852\nPower of attorney\ns 67 sub Ord1957-14 sch 2; A2005-20 amdt 3.436; A2006-50\namdt 2.21\ns 68 am Ord1957-14 sch 2; A1993-64; 1995 No. 54; A2001-56\namdt 3.753, amdt 3.852\nStatute of limitations\npt 2 div 4 hdg om R3 LRA\nStatute of limitations\ns 69 om Ord1957-14 sch 2 (as am by Ord1985-66 sch)\nPowers of Supreme Court\npt 3 hdg sub A2001-56 amdt 3.754\nNew trustees and vesting orders\ndiv 3.1 hdg (prev pt 3 div 1 hdg) renum R4 LA (see A2001-56 amdt 3.857)\nAppointment of new trustees\nhdg before s 70 om A2001-56 amdt 3.755\nNew trustees\ns 70 am Ord1957-14 sch 2; A2001-56 amdts 3.756- 3.760,\nsub A2003-2 s 82\nVesting orders\nhdg before s 71 om A2001-56 amdt 3.761\nVesting orders\ns 71 am A1994-45; A2001-56 amdts 3.762-3.767, amdt 3.854;\nA2005-20 amdt 3.437, amdt 3.438\nContingent rights of unborn person\ns 72 am A2001-56 amdt 3.768, amdt 3.854\nChild beneficiary\ns 73 hdg am A2001-56 amdt 3.769\ns 73 am A2001-56 amdts 3.770-3.773, amdt 3.854\nMortgagee under disability\ns 74 am A1994-45; A2001-56 amdts 3.774-3.777, amdt 3.854\nDeceased mortgagee\ns 75 am Ord1957-14 sch 2; A1993-64; A1995-54; A2001-56\namdts 3.778-3.781, amdt 3.854; A2005-20\namdts 3.439-3.442\n\nSale of mortgage of land\ns 76 am A1999-28 s 10; A2001-56 amdts 3.782-3.786, amdt 3.854;\nA2005-20 amdt 3.443\nSpecific performance etc\ns 77 am A1999-28 s 11; A2001-56 amdts 3.787-3.790, amdt 3.854,\namdt 3.856\nEffect of vesting order\ns 78 am Ord1957-14 sch 2; A1993-64; A1995-54; A2001-56\namdts 3.791-3.799, amdt 3.854\nAppointment of person to convey\ns 79 am A2001-56 amdt 3.854\nTrustees of charities\ns 80 am A1999-28 s 12; A2001-56 amdt 3.854\nDealings and improvements\ndiv 3.2 hdg (prev pt 3 div 2 hdg) renum R4 LA (see A2001-56 amdt 3.857)\nAdvantageous dealings\ns 81 am Ord1957-14 sch 2; A2001-56 amdt 3.800, amdt 3.801,\namdt 3.852, amdt 3.854; A2005-20 amdt 3.444\nImprovements and repairs\ns 82 am Ord1957-14 sch 2; A1993-64; A2001-56\namdts 3.802-3.808, amdt 3.852, amdts 3.854-3.856;\nA2005-20 amdt 3.445\nImprovements and repairs without Supreme Court’s approval\ns 83 hdg (prev s 82A hdg) sub A2001-56 amdt 3.809\ns 83 orig s 83 am Ord1957-14 sch 2\nom A1999-28 s 13\n(prev s 82A) ins Act 1938 No 30 (NSW) s 5\nam Ord1957-14 sch 2 (as am by Ord1989-38 sch 1);\nA1993-64; A2001-56 amdts 3.810-3.812, amdt 3.852,\namdt 3.854, amdt 3.855; A2008-7 amdt 1.78\nSale of child’s property\ns 84 hdg sub A2001-56 amdt 3.813\ns 84 am Ord1957-14 sch 2; A2001-56 amdts 3.814-3.816,\namdt 3.852\nRelief and indemnity\ndiv 3.3 hdg (prev pt 3 div 3 hdg) renum R4 LA (see A2001-56 amdt 3.857)\nExcusable breaches of trust\ns 85 am A2001-56 amdt 3.817, amdt 3.852, amdt 3.854\n\nDivision of chattels\ns 86 am A2001-56 amdt 3.818, amdt 3.819, amdt 3.853,\nMiscellaneous powers\ndiv 3.4 hdg (prev pt 3 div 4 hdg) renum R4 LA (see A2001-56 amdt 3.857)\nDivision of chattels\ns 87 am A2001-56 amdt 3.820, amdt 3.854\nOrder in absence of trustee\ns 88 hdg sub A2001-56 amdt 3.821\ns 88 am A1997-96, A1999-28 s 14; A2001-56\namdts 3.822-3.824, amdt 3.854\nSupreme Court considerations in action for breach of trust\ns 89 am Ord1957-14 sch 2\nom A1994-45\nins A1999-28 s 15\nam A2001-56 amdt 3.854\nPower of Supreme Court to set off investment gains and losses\ns 89A ins A1999-28 s 15\nam A2001-56 amdt 3.854\nPostponement of order\ns 90 am A1999-28 s 16; A2001-56 amdt 3.854\nApplications and orders\ndiv 3.5 hdg (prev pt 3 div 5 hdg) renum R4 LA (see A2001-56 amdt 3.857)\nOrders in other proceedings\ns 91 am Ord1957-14 sch 2 (as am by Ord1989-38 sch 1);\nA1999-28 s 17; A1999-66 sch 3\nsub A2001-56 amdt 3.825\nPeople entitled to apply\ns 92 am A2001-56 amdt 3.826\nCosts\ns 93 am A1999-28 s 18\nom A2001-56 amdt 3.827\nCharitable trusts\ndiv 3.6 hdg (prev pt 3 div 6 hdg) ins A1999-66 sch 3\nam A2001-44 amdts 1.4103-1.4105\nrenum R4 LA (see A2001-56 amdt 3.857)\n\nReference to order made under s 94B\ns 94 om Ord1957-14 sch 2\nins A1999-66 sch 3\nsub A2001-44 amdt 1.4106\nom A2001-56 amdt 3.828\nApplications to Supreme Court\ns 94A ins A1999-66 sch 3\nsub A2003-2 s 83\nOrders of Supreme Court\ns 94B ins A1999-66 sch 3\nsub A2001-56 amdt 3.829\nNotice to Minister\ns 94C ins A1999-66 sch 3\nJurisdiction of Supreme Court\ns 94D ins A1999-66 sch 3\nom A2001-44 amdt 1.4107\nAction under Supreme Court order lawful\ns 94E ins A1999-66 sch 3\nDefinitions for pt 4\ns 94F ins A2001-56 amdt 3.830\nTrustees\ns 95 ins A2001-56 amdts 3.831-3.837, amdt 3.854\nPerson liable to person with legal disability\ns 96 sub A2001-56 amdt 3.838\nLife assurance companies\ns 97 om Ord1957-14 sch 2\nMoney or securities\ns 98 am Ord1957-14 sch 2; A2001-56 amdts 3.839-3.841,\nTrustee\ns 99 om A2001-56 amdt 3.842\nMiscellaneous\npt 5 hdg sub A2001-56 amdt 3.843\nEscheat\ns 100 om A2001-56 amdt 3.844\nProperty vested in the Chief Justice\ns 101 am Act 1937 No 35 (NSW) sch 2\nom Ord1957-14 sch 2\n\nCompulsion to account\ns 102 sub Ord1957-14 sch 2\nam A2001-56 amdt 3.845, amdt 3.854\nIndemnity for anything done under Act etc\ns 103 sub A2001-56 amdt 3.846\nPreamble to Charitable Uses Act 1601\ns 104 orig s 104 om Ord1957-14 sch 2\nins A1999-28 s 19\nexp 21 May 2001 (s 104 (3))\n(prev s 103A) ins A1999-66 sch 3\nam A2001-56 amdt 3.848\nrenum A2001-56 amdt 3.847\nTransitional provisions\npt 6 hdg om R4 LA\nAmendment of other Acts\nhdg before s 105 om Ord1957-14 sch 2\nIllusory etc share valid in law and equity\ns 105 orig s 105 om Ord1957-14 sch 2\n(prev s 105) ins A1999-28 s 19\nexp 21 May 2001 (s 105 (2))\nins A2001-56 amdt 3.849\nConsideration of advice etc by certain trustees\ns 106 om Ord1957-14 sch 2\nins A1999-28 s 19\nexp 21 May 2001 (s 105 (2))\nins A2003-2 s 84\nPreamble to Charitable Uses Act 1601\nsch 1 hdg (prev sch hdg) sub A2001-56 amdt 3.850\nsch 1 (prev sch) om Ord1957-14 sch 2\nins A1999-66 sch 3\ndict hdg sub A2005-20 amdt 3.446\ndict ins A2001-56 amdt 3.851\nam A2007-25 amdt 1.179; A2016-13 amdt 1.143; A2016-18\namdt 3.214\ndef administrator ins A2001-56 amdt 3.851\ndef contingent right ins A2001-56 amdt 3.851\ndef conveyance ins A2001-56 amdt 3.851\ndef executor ins A2001-56 amdt 3.851\ndef government securities ins A2001-56 amdt 3.851\ndef instrument ins A2001-56 amdt 3.851\n\ndef joint tenant ins A2001-56 amdt 3.851\nom A2017-4 amdt 3.198\ndef legal representative ins A2001-56 amdt 3.851\ndef mortgage ins A2001-56 amdt 3.851\ndef mortgagee ins A2001-56 amdt 3.851\ndef mortgagor ins A2001-56 amdt 3.851\ndef payment into court ins A2001-56 amdt 3.851\ndef person with a legal disability ins A2001-56 amdt 3.851\ndef person with a mental disability ins A2001-56 amdt 3.851\ndef possessed ins A2001-56 amdt 3.851\ndef purchaser ins A2001-56 amdt 3.851\ndef right ins A2001-56 amdt 3.851\ndef securities ins A2001-56 amdt 3.851\ndef stock ins A2001-56 amdt 3.851\ndef transfer ins A2001-56 amdt 3.851\ndef trust ins A2001-56 amdt 3.851\ndef trustee ins A2001-56 amdt 3.851\ndef trustee company ins A2001-56 amdt 3.851\nsub A2005-43 amdt 1.42\ndef trust instrument ins A2001-56 amdt 3.851\ndef vesting order ins A2001-56 amdt 3.851\n\nEarlier republications 5\n5 Earlier republications\nSome earlier republications were not numbered. The number in column 1 refers to\nthe publication order.\nSince 12 September 2001 every authorised republication has been published in\nelectronic pdf format on the ACT legislation register. A selection of authorised\nrepublications have also been published in printed format. These republications are\nmarked with an asterisk (*) in column 1. Electronic and printed versions of an\nauthorised republication are identical.\nRepublication No Amendments to Republication date\n1 A1992-50 1 September 1992\n2 A1997-96 1 June 1998\n3 A1999-28 31 July 1999\n4 A2001-56 23 November 2001\n5 A2003-2 31 March 2003\n6 A2004-2 22 March 2004\n7 A2005-20 2 June 2005\n8 A2005-43 1 October 2005\n9 A2005-43 23 March 2006\n10 A2007-3 28 March 2007\n11 A2007-3 12 April 2007\n12 A2007-3 30 May 2007\n13 A2007-25 31 March 2008\n14* A2008-7 7 May 2008\n15 A2010-43 1 December 2010\n16 A2011-22 1 July 2011\n17 A2015-33 14 October 2015\n18 A2016-13 1 April 2016\n19 A2016-18 27 April 2016\n20 A2017-4 9 March 2017\n21 A2021-33 17 December 2021\n","sortOrder":122}],"analysis":{"kimi_summary":{"_metrics":{"completionTokens":859},"content_quality":"ok","complexity_score":8,"scope_assessment":{"changed":true,"description":"The Act has grown significantly from its original 1925 NSW form. Originally a relatively straightforward codification of trustee powers, it has expanded through amendments to include: modern investment duties (ss 14A-14F, 1999), RITS system investments (s 14F), protective trusts (s 45), detailed leasing powers (s 36), ministerial information and inquiry powers (ss 51A-51B, 2003), charitable trust provisions (div 3.6, relocated from Imperial Acts), and contemporary language updates (2001 rewrite). The 2001 restructuring into numbered divisions and subdivisions also reflects modern drafting practice rather than original scope."},"complexity_factors":["98-year-old statute with extensive amendment history (22 republications, numerous amendments since 1925)","47 defined terms in the Dictionary section, plus cross-references to other legislation","Nested conditional logic throughout — most powers apply 'except so far as the contrary intention appears in the trust instrument'","Multiple cross-references to other ACT laws: Land Titles Act 1925, Registration of Deeds Act 1957, Administration and Probate Act 1929, Trustee Companies Act 1947, Powers of Attorney Act 2006, etc.","Complex vesting rules with different requirements for land under Torrens system vs general law land vs securities","Detailed procedural requirements for appointments, retirements, and delegations (registered deeds, consents, time limits)","Extensive court powers with multiple jurisdictional bases and discretionary considerations","Protective trusts and maintenance provisions with layered conditions (contingent interests, unborn persons, protective trust failures)","Appropriation rules requiring multiple consents depending on beneficiary status (children, persons with disabilities, unascertained persons)","Ministerial oversight provisions (ss 51A, 51B) creating regulatory layer over trustee conduct"],"plain_english_summary":"This is the **Trustee Act 1925** (ACT), a comprehensive law governing how trustees manage property and assets held in trust for others.\n\n**What it does:**\n\nThe Act sets out the rules for **trustees** — people or organisations legally responsible for managing property or money for the benefit of others (called **beneficiaries**). A trust is a legal arrangement where someone (the trustee) holds and manages assets for someone else's benefit.\n\n**Key areas covered:**\n\n- **Appointment and removal of trustees** — how new trustees are appointed, how trustees can retire, and when the Supreme Court can remove or replace trustees (for example, if a trustee dies, becomes unfit, or cannot be found)\n\n- **Powers of trustees** — what trustees can do with trust property, including:\n  - **Investing** trust funds (with duties to act prudently and consider factors like risk, diversification, and beneficiaries' needs)\n  - **Selling, leasing, or mortgaging** property\n  - **Maintaining and advancing money** for children or other beneficiaries\n  - **Insuring** trust property\n  - **Delegating** duties when necessary\n\n- **Protections for trustees** — trustees who act honestly and reasonably are protected from personal liability for certain losses, and can seek advice from the Supreme Court\n\n- **Court powers** — the Supreme Court can make orders to appoint new trustees, transfer property, authorise dealings that benefit beneficiaries, and give trustees relief from liability for honest mistakes\n\n- **Charitable trusts** — special provisions for trusts established for charitable purposes\n\n**Who it affects:**\n\nAnyone involved in a trust — trustees, beneficiaries, people creating trusts (settlers), and professionals like lawyers and accountants who advise on trust matters. It also affects banks, property purchasers, and others who deal with trustees.\n\n**Why it matters:**\n\nTrusts are commonly used in wills, family arrangements, charitable giving, and asset protection. This Act provides the legal framework that ensures trustees manage assets responsibly while protecting beneficiaries' interests. It balances giving trustees flexible powers with safeguards against misuse."},"summary":{"content_quality":"ok","complexity_score":7,"scope_assessment":{"changed":true,"description":"The Act has grown significantly beyond its original 1925 scope. Originally a straightforward codification of trustee powers and appointment procedures, it now includes: modern investment duties (1999 amendments requiring diversification and professional standards); protective trusts for vulnerable beneficiaries; RITS (electronic securities) system provisions; specific rules for the Public Trustee and Guardian; ministerial oversight powers (sections 51A–51B); and charitable trust enforcement mechanisms. The 2001 rewrite restructured the entire Act into a modern format with divisions and subdivisions, and subsequent amendments have added layers of accountability, reporting, and compliance requirements that reflect contemporary fiduciary regulation rather than the original simple property management framework."},"complexity_factors":["Length: 106 sections plus a detailed dictionary and extensive endnotes covering legislation history back to 1925","Cross-references: Heavy referencing to other ACT laws including the Land Titles Act 1925, Registration of Deeds Act 1957, Administration and Probate Act 1929, Guardianship and Management of Property Act 1991, and Commonwealth legislation","Nested conditional logic: Multiple layers of exceptions and qualifications—for example, section 6 (appointment of trustees) has 15 subsections with multiple conditions, and section 46 (appropriation) has 16 subsections with complex consent requirements","Defined terms: 25+ defined terms in the dictionary, with some terms (like 'trust', 'trustee', 'mortgage') having statutory definitions that override ordinary meanings","Historical layering: The Act originated as NSW legislation from 1925, was adopted into ACT law in 1957, and has been amended by over 40 separate amending acts, creating inconsistent drafting styles and numbering","Protective provisions: Extensive 'savings' clauses and 'contrary intention' exceptions throughout (e.g., 'This section applies to a trust except so far as the contrary intention appears in the trust instrument' appears repeatedly)","Multiple regimes: Different rules apply depending on whether property is land under the Land Titles Act, other property, securities, or personal property"],"plain_english_summary":"This is the **Trustee Act 1925** (ACT), a comprehensive law governing how trustees manage property and money held in trust for others.\n\n**What it does:**\nThe Act sets out the rules for people (called **trustees**) who are legally responsible for managing assets—like money, property, or investments—for the benefit of others (called **beneficiaries**). It covers:\n\n- **Who can be a trustee and how they're appointed** (Parts 1–2): Trustees can be appointed by the person who created the trust, by other trustees, or by the Supreme Court. Children cannot be trustees. Trustees can retire or be removed if they're unfit, absent, or unable to act.\n\n- **What trustees can do with trust property** (Division 2.2): Trustees have broad powers to invest money (in almost any type of investment), sell property, lease land, insure assets, and pay for a beneficiary's maintenance or education. They must act with care, skill, and diligence—professional trustees are held to a higher standard.\n\n- **Court oversight** (Part 3): The Supreme Court can appoint or remove trustees, make orders transferring property (vesting orders), approve improvements to trust property, and excuse trustees from liability for honest mistakes.\n\n- **Protection for trustees and beneficiaries**: Trustees are protected when they act honestly and follow the Act. Beneficiaries can apply to the court if things go wrong.\n\n**Who it affects:**\nAnyone involved in a trust—trustees, beneficiaries, people creating trusts (settlors), lawyers, banks, and the Public Trustee and Guardian.\n\n**Why it matters:**\nTrusts are used for family estates, charities, superannuation, and protecting assets for people who cannot manage them themselves (like children or people with disabilities). This Act provides the legal framework that keeps trustees accountable while giving them flexibility to manage assets prudently."},"flash_summary":{"complexity_score":8,"scope_assessment":{"changed":true,"description":"The Act as republished shows substantial scope expansion and modernisation compared with its 1925 origins. The amendment history and inserted sections demonstrate that modern investment duties, securities and market system recognition, ministerial oversight provisions and procedural registration/technology adaptations were added over time (for example: investment duties and annual review obligations (s14A–s14C) inserted by later amendment; recognition of RITS and corresponding treatment of things in action (s14F); Ministerial information and inquiry powers with a specific offence and maximum penalty (s51A–s51B)). Several powers and safeguards were added or clarified to reflect contemporary financial practice and administrative oversight; at the same time the Act preserves the primacy of the private trust instrument where the instrument expresses a contrary intention (see s14 and many other provisions). The amendment history in the endnotes records numerous insertions and modernising amendments that changed scope and implementation mechanics (endnotes and amendment history references)."},"complexity_factors":["Length and breadth of subject matter (appointments, investments, sales, leases, insurance, appropriations, delegation, court powers) across many discrete chapters (multiple parts and divisions).","Extensive cross‑referencing to other Territory Acts and registers (Registration of Deeds Act 1957, Land Titles Act 1925, Administration and Probate Act 1929, Powers of Attorney Act 2006, Guardianship and Management of Property Act 1991) (see s9(3)–(6), s12, s47(7), s67).","Mixture of statutory duties and preserved common law/equitable duties (explicit preservation and limits: s14B(1)–(3)), creating layered standards for trustee conduct.","Numerous 'subject to the trust instrument' clauses that make interpretation fact‑specific and require reading of private instruments alongside the Act (eg, s14, repeated across many powers).","Wide judicial discretions (Supreme Court powers to appoint/remove trustees, make vesting orders, alter trusts and relieve trustees) that lead to case‑dependent outcomes (s70–s78, s81–s86).","Administrative and criminal enforcement overlay (Ministerial inquiries, audit powers and an offence with a substantial penalty unit maximum: s51A–s51B).","Many conditional exceptions and procedural formalities (registration requirements for deeds and delegations, caveat rules for land, timings for deferred payment sales) that create operational steps (s12, s9, s28).","Specific monetary and threshold rules (eg, payment to public trustee: $6,000/$25,000 thresholds in s47(3)) and detailed transactional mechanics (eg, deferred payment instalment timing in s28).","Interaction between professional standards (a higher standard for professional trustees: s14A(2)(a)) and ordinary prudent person standards (s14A(2)(b)), requiring fact‑sensitive assessment of conduct.","Historic layering and many amendments (see endnotes and amendment history) that increase interpretive complexity when tracking legislative changes and repeal/expiry rules."],"plain_english_summary":"What this law does (mechanically)\n\n- Creates a statutory code for how trusts and trustees operate in the Australian Capital Territory. It sets out: who can be or become a trustee and how appointments, retirements and disclaims must be made (for example by registered deed) (s6, s7, s8, s12). It explains when trust property vests on appointment or retirement and when registration or transfer is required (s9, s12).\n- Specifies trustees’ powers to invest, vary investments and deal with securities, land and other trust property, and the duties trustees must follow when investing (s14–s14F, s14A–s14C, s14D–s14F). It lists detailed matters a trustee must consider when investing (s14C).\n- Gives trustees statutory powers to sell, lease, mortgage, partition, exchange, raise money, insure property, apply insurance money, make appropriations and advance or accumulate funds for beneficiaries (s26–s49, s41–s47, s43–s46).\n- Permits trustees to appoint agents and delegates (including the public trustee and trustee companies) within specified limits, and preserves trustee liability for acts of delegates in scope of delegation (s53, s64–s68).\n- Provides purchaser/mortgagee protections so third parties dealing honestly with trustees need not enquire into internal trust questions in many circumstances (s13, s20, s39).\n- Authorises the Supreme Court to remove, replace or appoint trustees, make vesting orders, and give a wide range of directions and reliefs (including relief from personal liability, orders about sale, improvements, and adjustment of rights) (s70–s91, s81–s86).\n- Sets out administrative mechanisms: audits and valuations at trustee discretion (s51, s52), Ministerial information and inquiry powers with an offence and penalty for non‑compliance (s51A–s51B), and rules for payment of trust money to the public trustee and guardian where a beneficiary is a child or person with legal disability (s47).\n\nWho it affects\n\n- Trustees and potential trustees (including individuals, trustee companies and the public trustee and guardian). The Act treats people who make up an unincorporated entity named in a trust as if individually named (s5A).\n- Beneficiaries (including children and people with a legal disability) because the Act defines how income and capital may be applied, advanced or accumulated for them (s43–s46, s47).\n- Purchasers, mortgagees and other third parties who deal with trust property and rely on statutory protections (s13, s39).\n- The Supreme Court and the Territory Minister (who are given supervisory roles) (s70–s71, s51A–s51B).\n\nWhy it matters (stated purposes and an operational test)\n\n- Stated purpose: the Act is \"An Act relating to trustees and trust property, and for related purposes\" and therefore provides a statutory framework for trust administration, trustee powers and protections for persons dealing with trusts (title and preamble).\n\n- Operational test of that purpose: the Act increases legal predictability for trust transactions by (a) prescribing formalities (eg, registered deeds required for appointment/retirement: s12, s68), (b) giving purchasers statutory assurances where trustees have made certain statements in registered instruments (s13), and (c) setting out trustee duties and safe harbours for investment, sale and dealing with property (s14–s25, s26–s39). At the same time it creates supervisory pathways (Supreme Court orders, Ministerial inquiries) that allow court or executive intervention where statutory conditions are met (s70–s71, s51A–s51B).\n\nCosts, incentives, trade-offs and implementation practicalities (concrete mechanisms)\n\n- Compliance and administrative costs are borne from the trust fund in many cases: reasonable costs of obtaining investment advice are payable out of trust funds (s14B(4)); audit and valuation costs may be borne by capital or income as the trustee decides (s51(2)–(3), s52); deposit or safe custody fees may be paid from income (s50(2)). Trustees therefore choose whether to obtain professional input at an explicit cost to beneficiaries.\n\n- Trustee behaviour is shaped by statutory duties and safe harbours. The Act requires trustees to exercise the care of a prudent person or, for professional trustees, the standard appropriate to that profession (s14A(2)). It lists factors a trustee must have regard to when investing (s14C(1)) and permits reliance on independent advice and valuation (s14C(2), s18(2)). Those provisions create incentives to obtain advice and valuations to reduce personal exposure to later claims, and they create predictable steps a trustee can follow to demonstrate prudence.\n\n- Litigation and court‑supervision are enabled and sometimes necessary. The Supreme Court can appoint or remove trustees and make vesting orders (s70–s78), and can relieve trustees from personal liability in limited circumstances (s85). Using the court gives trustees a method to obtain safe directions (s63) but introduces time and cost (court fees, legal costs) and may delay action.\n\n- Oversight and sanctioning powers increase administrative risk. The Minister may require information, written statements or authorize inquiries and audits of trustees (s51A–s51B). Failure to provide information on request is an offence with a maximum penalty of 200 penalty units (s51A(4)). At the republication date a penalty unit for offences under this law is $160 for an individual and $810 for a corporation; the statutory maximum therefore equates to $32,000 for an individual and $162,000 for a corporation (penalty note in front material combined with s51A(4)). This creates a concrete financial exposure for trustees who do not comply with ministerial directions.\n\n- Effects on private contractual freedom. The Act repeatedly defers to the trust instrument where it expresses a contrary intention (eg, s14( \"unless expressly forbidden by the trust instrument\"), and many powers are subject to the instrument. That preserves a high degree of private ordering: trustees and settlors can limit or expand duties and powers by the trust instrument.\n\n- Impact on private enterprise and corporate transactions. For corporate securities and reconstructions, the Act treats trustees in many respects as if beneficially entitled, allowing trustees to concur in corporate schemes, accept new securities, and exercise preferential rights (s14D, s21–s23). The Act recognises modern settlement and transfer systems (eg, RITS: s14F). Those rules allow trusts to operate as active participants in corporate restructures and securities markets.\n\n- Who pays and who decides (practical summary)\n  - Who pays: generally the trust (capital or income) pays for professional advice, audits, valuations, safe custody and reasonable execution costs (s14B(4), s51(2)–(3), s50(2), s53(2)). Beneficiaries ultimately bear these costs because they are paid from trust funds. Penalties for failure to comply with ministerial information requests (s51A(4)) can be imposed on individuals or corporations.\n  - Who decides: trustees exercise day‑to‑day powers; the Supreme Court can direct, appoint, remove or relieve trustees and make vesting orders (s70–s78); the Minister can require information and authorize inquiries (s51A–s51B); registration and land title officials (registrar‑general) act on the registration provisions (s9(3)–(6), s12(4)–(5)).\n\nPotential concentrated benefits and allocation mechanisms (source‑based)\n\n- The Act makes the public trustee and trustee companies available as formal delegates or appointees in numerous provisions (for example as allowable delegates in delegations: s64(2); and as eligible continuing trustees after appointment or retirement: s6(7)). The concrete mechanism is statutory authorisation for appointment and delegation to those entities, which is how they can lawfully receive appointments and associated fees. Beneficiaries and settlors who prefer non‑private trustees can therefore rely on those statutory routes.\n\nSubstitution effects and unintended consequences to monitor (mechanistic)\n\n- Because the Act gives purchaser protections (s13, s39) and statutory vesting procedures (s71–s79), parties transacting with trustees may rely less on private due diligence and more on public registers and the formal deed record. That reduces transaction friction for honest purchasers but places a premium on correct registration (s12).\n\n- The combination of broad trustee powers (investment, sale, leasing, appropriation) together with supervisory remedies (court orders and ministerial powers) trades flexibility against the potential for litigation or administrative intervention when trustees exercise discretionary powers without court guidance.\n\nKey cross‑references and operational dependencies\n\n- Several provisions require or interact with other territory laws or registers (Registration of Deeds Act 1957, Land Titles Act 1925, Administration and Probate Act 1929, Powers of Attorney Act 2006, Guardianship and Management of Property Act 1991). The Act therefore operates in a network of statutes and relies on external registration and court procedures (for example s9(3)–(6), s12, s47(7)).\n\nBottom line (practical takeaway)\n\nThis Act is a comprehensive rulebook that (1) gives trustees broad statutory powers and defined duties, (2) provides procedural formalities (registration and deeds) to make trustee changes and property vestings effective, (3) protects third‑party purchasers who deal honestly with trustees, and (4) creates supervisory avenues through the Supreme Court and limited Ministerial powers. Those features create clear decision paths for trustees (obtain advice, keep records, use registration, seek court directions when uncertain) while imposing administrative costs and potential financial penalties for non‑compliance (s14A–s14C; s12; s51A)."}},"importantCases":[],"_links":{"self":"/api/acts/trustee-act-1925","history":"/api/acts/trustee-act-1925/history","analysis":"/api/acts/trustee-act-1925/analysis","conflicts":"/api/acts/trustee-act-1925/conflicts","importantCases":"/api/acts/trustee-act-1925/important-cases","documents":"/api/acts/trustee-act-1925/documents"}}